Since my post on June 4th, the S&P 500 has continued downward. I will look for a bounce in this index around the 1215 area.
It seems everyone is looking for a bounce here and now. Any bounce here is a gift to put out more shorts. Watch how Research In Motion (RIMM) reacts to it's earnings tomorrow. After hours action shows ominous signs and Nate's post flagging the counter trend looks spot on.
I see no panic anywhere. The weekly chart of the VIX ($VIX) shows nowhere near the spike we saw in mid to late March.
Put to call ratios ($PCIS-ST) are all heading downward. I will wait for $SPX 1215 before I worry about a bounce.
Joel Stahl
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