Stay Short

Sometimes the toughest thing to do is to stay short after the market is down big expecting a snapback rally.  But we aren't oversold enough for us to have a snapback rally.  We just hit a countertrend rally high on Tuesday.  This continuation of the downtrend needs more time and lower prices to meet its objectives.  I thought we had the capitulation this morning but I don't see it in the numbers.

The euro being up today against the dollar will give courage to buyers here.  But that is bull bait.  If a stronger euro didn't rally the market by now, why do you think it will suddenly rally it in the 2nd half of the day?