I didn't have time to do a more in-depth post. Just a few thoughts.
Corporate profits have hit the greatest decline EVER.
Stock price to earnings ratio is highest ever or just a little high, depending on assumptions. (See last post)
Bank valuations are still unknown, and other financial companies, due to not using mark to market valuation.
Credit faults are on rise.
Unemployment numbers increase by 500,000 per month.
China/Brazil making noise to decouple from US Dollar.
Market moved up due to India market ROCKETED higher, due to politics, not economics.
Coupled with pontification Sunday night expect a rebound (whoa, that was some rebound!), this move isn't out of total expectations. SPX target high is "here", 930, or 950. In any event we will see SPX 700 before 1000 in my opinion. Therefore the risk is going long here.
Good luck in any event, and please see Monday's post about stop losses. If you put them on FAZ, you where hit out on Monday. Up to you when/if to get back in.
My plan is to hold, and the day I'm ready to puke that I can't believe the level my lottery tickets fell to, to buy 2x.