New Indicator.

I play tennis on Mondays in a revolving group of eight fellows, seven of us are in some manner employed in the finance industry. Usually this "Brain Trust" goes out for a beer afterwards. Monday was no different and talk was of the markets and how brutal they had been. I listened to each of these guys talk about how they were going to cut their expenses and how almost none of them could see any improvement on the horizon. To say the group was bearish would be an understatement. I was thinking about this yesterday. In particular it came to mind when I read that Doug Kass of Seabreeze Partners had stated on CNBC Monday evening that a major low would be put in place this week. I think perhaps the whole market is leaning too heavily to the negative side. {That would include myself-see my defensive call of earlier this week-although I am willing to put that money back to work pretty quickly if I see a change at least for a trade}. Therefore in honor of my friends I have created a new indicator which I will dub the "WYWEG" indicator in honor of our respective initials. The initial value of the WYWEG indicator is 700 & all of its members were bearish. That is roughly where the S&P 500 closed Monday.

We'll follow this periodically from now on.

*Long various ETF's related to the S&P 500.