We are on the edge of panic, traders are right on the edge of total fear. The newspaper articles, the magazine covers, yes, they can be contrarian indicators but are very poor at helping time bottoms. Remember, bottoms occur after panics, not right before them. We have yet to see real panic and fear. With so many people still clinging to false hopes, such as more rate cuts and even begging for other countries to cut rates to help prop up markets, it is getting desperate among the bulls out there. Hedge funds are poorly positioned and facing the most redemptions ever in their history. If this rate cut doesn't come before the New York open on Monday, I think you will see true panic for the first time since 1987. A coordinated global rate cut will only keep it close to 1100, no cut tomorrow and we could see a run for the hills straight for 1000.