Ain't It Heavy

Yesterday we questioned whether or not the "1 point correction" on the NAZZ was the beginning of something ominous or a blip in the radar. Fortunately we positioned ourselves for a continuation of the sell-off. It seems bullish sentiment had finally reached an extreme to cause this reversal. While we do expect dip buyers to make an appearance, they will need to bring the market back for a respectable close in order to fend off the emerging Bears. The closing action today is more important than usual.

Breadth is kickin' at 2-1 negative. Retailers and Semi's are weak while Oils and Metals are outperforming. It's never bullish when defensive sectors are outperforming.

We believe that dip buyers may look for support around NAZZ 2190. At that level we will consider going in for a long intraday trade on the Quad Q's (symbol:QQQQ) but nothing more. As we're writing this the market is accelerating its decline and Oil is popping. For our position, we are liking this action.

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