Complacency

Watching Fast Money on Monday after we went down 20 points, there was no fear among the commentators.  Yesterday, we went down again, and they couldn't understand why the market would sell off after the Fed announcement went as expected.  There you go folks.  That is a microcosm of the mood of Wall Street.  Everyone is talking about the positive seasonality, the chase for performance, the end of year rally.  I just don't see it coming.  Too many are expecting it even though though they still fear Europe. Fundamentally, they are bearish the euro and expecting stocks to go up just because its the end of the year.  It makes for a weak base of short term longs who will exit on any sign of weakness.  When something non-fundamental like seasonality has people bullish on stocks, then usually that seasonality doesn't play out.