US Markets - Jan. 27, 2010

Markets should decline a little more before completing a short term falling wedge which would be a perfect set up for the mini knee jerk bounce...this could push the DJIA back to the 10450 area. With the failure of that rally...I will be adding 1/5 to the short position...to total 40% of the desired short position. Ultimately this knee jerk bounce will be nothing more than daily noise of the markets...which is why looking at the weekly close allows one to see the bigger picture. Are we there yet? Are we there yet? Patience is a virtue. -Dio.