DOW Off Nearly 800

No disputing it, the bears were in absolute and total control today. Thankfully, I had a very large position in some index puts (DIA, QQQQ, and SPY) since yesterday's peak in the early morning. From here, it doesn't look pretty for the bulls. There was massive selling occurring late in the day indicating that most of the large institutional players didn't want to hold any positions overnight. And really, who would blame them when the market is up 900 points one day and down 700 the next. Still, I think we should see a little more selling going into the end of the week while Options expiration on the 17th should prove to show some increased volatility. If you're long you should think about tightening some of your stops unless some great news comes out tomorrow morning (which is unlikely given that EBAY cut it's forecast after the close).

On a side note, I encourage everyone to watch the Presidential Debate tonight. I will never get into politics here (since this is strictly a trading blog), but I want everyone to form an education opinion of the candidates.

See you tomorrow morning!