Don't get too bearish here, the surprise early next year, will actually be slightly better economic data but declining markets (g) after a January top. Note that last week the Sox's internal once more got bearishly extreme (not as extreme as in early December, but sufficiently so to indicate a strong rally is coming. Finally during last week, we got few temporary excursions of the equity P/C ratio above 1, though no closing above 1, this is still in line with the expectation that we rally from here, but that the rally will be a fake out. What better fake out then a run past the recent highs just above 1500 on the Naz?
Zeev
