The cyclic work does not project lower, but unless there is a problem with the phasing. If this is a valid analogy of the internal momentum, it should broke lower tomorrow decisively, today's trading was no help in volume and internals about the test of the lows. I think another break lower would mark a very good low for a while though, especially if the market completes a 10% (yet another climactic) correction low...
I actually believe some of the extremely large money managers' fundamental concerns at this point, the leverage and the credit situation is definitely out of hand in today's markets. Mr Jeremy Grantham is one of them, heck even Dick Cheeney trusts him with his money!
- kisa