With the T2108 down to 6%, we are in severe oversold territory. We had 7 new highs and 1080 new lows in my universe of 4,000 stocks on Tuesday. While the T2108 got down to 1.2% in the October 9th decline in 2008, the T2108 often bottoms out somewhere below 10%. I remain in cash and short. With the major trends being down, a counter-trend rally could give an opportunity to increase my short positions.