More Downside to Come

We have completed an 8 day consolidation between 1355 and 1325.  All signs point toward a resolution towards the downside.  The commodity bulls are sticking steadfast to their positions.  Looking at the speculative length in energy, grains, S&P and Nasdaq futures, and non dollar FX, this liquidation will take longer to play out.  The fast money went a few steps too far and are scrambling to get their risk under control.   Perhaps another week or two should finish the job.  I don't expect a rocket ride higher either.  It should be a lengthier consolidation for commodities than previous ones.  Equities should bounce back quicker because I see much less fast money in that space.