Following the recent swoon lower in the market (just as predicted last Thursday in the latest forecast by JPM's head quant Kolanovic and as we reported in "JPM Head Quant Is Back: The Rally Drivers Are Gone With "Downside Risk" Ahead"), bears may think they have the upper hand.
They may want to think again.
Here's Gartman with what may be the clearest sign the recent weakness if due for a pause.
We end this morning with this severe warning: We fear we have missed the top of the market. We fear we have been bullish over the course of the past several weeks… indeed rather aggressively so… and did not pay sufficient heed to the warning signs of lesser volume, the peak in the CNN Fear & Greed Index, the manifest breaking of trend lines and the warnings of others that something was amiss. But above all, we fear we have missed the warning that the commodity market were shouting at us. All of that forces us to the sidelines; all of that mandates that at best we are to be neutral of equities at this point; all of that is to be taken, very, very seriously. We are not wise enough to say that a bear market is now upon us, and indeed we are wise enough NOT to say that but discretion is the far better part of valor and the safety of the sidelines after several weeks of real bullishness on our part is to be sought.
You have been warned.