In the last tow days we’ve seen sellers ruin early morning rallies. That’s pretty much smart money punctuating the days. Until we see rallies in the afternoon, we’re still in pullback mode.

The major indexes are down about 2% from their recent highs.

We’ve had a handful of distribution days, though nothing to suggest it’s picking up momentum or the bigger picture bull is out.

We might see a test of the 50-day averages before it’s all over. This would no doubt shake out weak holders and create major a major scare, like the market so often does.