September is supposedly a bad month for the market. Last year though, this was not the case.
The (QQQQ) rose approximately 4% in September, while the S&P 500 index was up 2%. Both last year and this year, the market corrected somewhat over summer (June/July in 2006 vs. July/Aug in 2007) and bounced sharply. No one can predict what happens this month so its best to watch closely without taking too much action. Of course, if there is a strong "tell" indicating a big move in either direction, then you want to take your positions.
By the way, why is CNBC harping on how traders are on vacation in summer? Vacation or not, traders are always tuned in and moving markets. How else do you explain the volatility and volume we saw this summer? Its not like they just came back from Antarctica and are turning on their Quotrons for the first time since May. Aaaaarrrrrgggghhhhh!
QQQQ 2 yr. chart: