that very ugly close was simply the banks and brokers getting sold hard to the close. some people are panicking that the subprime situation would spread to other kinds of loans.
japan is up and futures are up from close. today might have been enough capulitation for a st bounce tomorrow.
Tomorrow could be low vol day. All the hedgies will be trying to impress each other at this conference. http://www.cthedge.org/worldhedgefundforum/program.html That may be why the futures firmed up after the close. ??
i think the futures are up because japan was so ugly yesterday many feared a crash. when it opened up strong the us futures also gained.
Tomorrow is going to be an all green event. Wouldn't be surprised to see it last a few days. As soon as you think the markets are gaining ground and everything is perfect you get that next drop down that will even be more severe than the first. Anyone who bought in the last week should begin to sell any chance they get.