Alfred E. Neuman's Back

As the markets slowly fall apart, the traders are whistling past the graveyard without a worry in the world. The sentiment puzzles me. We've had a string of bad economic data. Double dip or minimal growth seems baked in. But no capitulation. There are traders who are bullish and bearish long term, but almost all are bullish on the short term expecting a bounce because we've fallen so far in 2 weeks. The market is doing a fabulous job wearing off the oversold condition by going sideways without giving longs an opportunity to exit gracefully. There is no fear out there.