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[OEXCHAOS]

From this morning's ISA Navigator...

Conclusion
Last time, we said that despite the overnight bounce, I did NOT like what I was seeing, especially FALLING Bearishness, dip buying and short-covering and not just by active traders but by the least sophisticated Rydex players. I was open to a bounce thanks to the VIX, but I figured that the bounce wouldn't hold. Well, it didn't and at this writing, the market is getting killed in after hours trading. The good news is that AAII is getting Bearish again. The bad news is that we really don't see that much Bearishness as yet in our data. We have to be looking for lower price. I'm not an advocate of a major Bear market, by any stretch, but until we see some more real pessimism, we're likely on our way to test (read: "Poke through") the 200-day SMA. The one thing that would get me short-term Bullish is renewed Bearishness on a rally. Do watch out for sharp bounces at any time. Don't be a complacent Bear.