It is now officially time to stalk good short selling candidates and use intraday up moves to add to contra ETF’s. There’s no need to use today’s open to go crazy shorting stocks because there will be plenty of time to get short if this is the start of an extended downturn, which my charts are suggesting it is.

I wouldn’t be surprised to see a gap down this morning, followed by an afternoon recovery that will do nothing but draw out the selling that is going to occur over the next few weeks.

click to enlarge