MORE THOUGHTS

Maybe I was getting to bearish yesterday and things maybe are not as bad as they seem. I guess the best case scenario is that W will be able to negotiate some kind of cease fire over the weekend and all will be back to normal on Monday. My guess is he will negotiate something but I am not sure that Iran will care as they no doubt want to continue to stir the pot and cause grief to W. And what ever happened to the ultimatum to the harborers of terror, your either with us or against us and if you harbor terrorists your against us. Isn't this exactly what Iran and Syria do while we continue in the muck of Iraq. Would Iran be so bold if we were not stuck in the muck?

Technically, there are a lot of trapped bull who will want to sell any bounce as they no doubt do not want to be involved with the markets in light of all the geo political turmoil. Any bounce to the 1260/1280 SPX area will probably be shorted by the bears as it certaintly worked well the last time they tried.

Right now we are in the middle of the 1220 (prior lows) /1280 (prior highs) range and I will be waiting for one or the other to buy or sell. 1200 mentioned yesterday is not out of the question as earnings/guidance/Big Ben B/ and geo political issues take hold next week.

Dick Arms out on realmoney.com with a big buy signal as his Arms index signals indicate we are way oversold. Yes, we are way oversold based on technical indicators such as TRIN and VIX but we are still not down at the prior lows. Watch the market internals and the brokers as they continue to be the best market tells.