Today was a very hard day to make money in the markets as there were multiple times that stocks would just drift aimlessly and at times that usually are not characteristic.
This tells me that there definitely is some indecision out there as many traders and investors weigh in on whether or not a major low has been put in place. The answer to this question will be given soon as the equity markets have some serious upside potential for the month of December.
However, we still need to get through this correction before any of that upside can be realized and while I really thought today would see the low for the correction, it looks as if it is going to be a more orderly progression.
Stocks currently are at their breaking point for this correction and the most logical downside target remains 1447. Once equities break, you could see that 1447 number in a hurry.
Option traders should continue to hold their puts.
Intermediate/Short term traders should be lining up their next round of purchases on the forthcoming weakness.
Long Term traders should continue to hold long and perhaps snap up a few of the battered down financial stocks during this correction.