[gbarbs]

The big question is does the US market take out its Aug lows or do we bounce from here? MACD is curling up, but not confirmed short term buy yet. Would love to see the DOW hit new lows like the FTSE.

I am thinking the same thing. It's been a rapid drop to support so my "feeling" is that it bounces here but I'm trying to keep emotions out of it. I do pay attention to others emotions and there is certainly a more bullish sentiment than we had in August, although we dropped even lower this time. But it is mixed. I was kind of thinking if there was a strong rally here it might bring a lot more false confidence. The news buzz is all about the relationship to oil. I can't help but think oil is going to recover as the market descends.

One thing I noticed is the AD line is showing a positive divergence - the AD has made a new low but the Dow hasn't. But I am not sure if that's a long term signal because the examples in the book of that are after significant declines / bear markets. Perhaps a short term buy signal I am not really sure.