Is it important to keep an eye on the different Indices and follow their trends to see which direction the market is headed? You bet. Look at these trends....you can see where the uptrend was both losing its steam and preparing to go into a "correction mode" and head in the other direction at some point. It showed several signs that it was happening. All it needed was a "catalyst" to set the wheels in motion......combine the yen's strength to the dollar and the carry trade situation along with the "sub-prime" concerns, and then........... Shanghai...... and wait, "a computer glitch"??... ...sure....ooookay...lol

http://www.investopedia.com/terms/c/...carrytrade.asp

To put some new info to use.....could we be seeing the beginning of a nice 1-2-3 pattern that could result in a return to longer term bullishness???...lol....well if everything were to go great, yes...lol, but hell, this is the market....who can predict, eh?

Point #1 would already be at the 200....point #2 could be at that point of resistance I drew...point #3 would have to be just somewhere between point #2 and the 200dma...then a move back up breaking that line of resistance would be sweet! I'd be playing the OEX...and I may be on Monday anyway....

GL

http://stockcharts.com/h-sc/ui?s=$OEX&p=D&yr=0&mn=10&dy=0&id=p38243327563&a=100561145

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Just because I'm a mod doesn't mean I'm a stock geni........yet.