All stocks are going to zero eventually. Dismiss buying any which appear determined to get there.

ASGN also reports tomorrow. Healthcare jobs are falling out of bedside windows!

Another cup-and-handle setup, DNKN, reports b4 the open tomorrow. Don’t eat what I eat, but…

These teeth have been expensive. Let’s hope the stock can pay (ZMH has a beautiful cup-and-handle setup; reports before the open tomorrow)

News of debt-offering creating an interesting entry-opp today in TITN (Titan Machinery). Monster breakout last week; re-testing today.

Let’s try this again - CLR will eat your young if Nat Gas retraces even slightly

Is this the most powerful stock in the market right now?

No, I don’t think it came to that degree at all. As for big investors (institutions), there’s been a tipping point to the downside, but nothing terribly dramatic so far. I think the key is to be wary, since a clear down-trend can always worsen. If we essentially consolidate now, it would be reasonable and healthy.

I’ve been trading sloppy since Friday.

With today’s set-back, I shifted to prioritizing defense. Early volatility today did not turn out to be a buy opportunity or stem the slide; the first significant follow-through flush which did not find a bid since November.

Fair to say I gave it too much faith. Now for religion.

Odds are strong tomorrow is a bounce day, but if not I’m going to get very defensive (there’s potential a failure tomorrow would end up severe. So even if unlikely, I’m poised should selling accelerate).

Otherwise, I’m looking to lighten the portfolio now on strength; position smaller until the market is clearer and/or I’ve found a better rhythm. 

Today may end up marking the lows and I’m not inclined to turn bearish at this point, but the market has affirmed we’re in a deeper correction.

That will remain true until it isn’t.

More from 36,000 feet…

Below names all stem from my Relative Strength Strict List (both the list and the daily screen are public for subs on MarketSmith.com). The list is formed from the daily screen, pulling in about 5-15 names a session which meet strict fundamental and relative-strength criteria.

Sorry I couldn’t link these from up here, and we are about to descend. They’re grouped according to their broad sector group and each is behaving well so far in the current environment (thus, they may see entry opportunities heading into tomorrow’s expected volatility).

ASGN
(this is a thinly traded staffing stock in the healthcare industry, so it may see an actionable gap-lower given the Friday employment report)

ALLT
AAPL
PKT
FFIV
RAX
SSNC
NQ
INXN

BBBY
RL
LULU
KORS
PIR
ROST
TJX
GPS
ASNA

HD
SHW
TSCO

FUL
ARG
VAL
FMC
OMN
SLCA
PNR

LVS
WYN

PII
HIBB
POOL

ABG

SCSS
TPX

WCG
UNH

CELG
BIIB

USB
SIVB
TCBI
MA

JBHT