Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

The Markets got Greeced

Greece pushed the markets lower.  The negatives on Greece and an exaggerated move downward from an apparent "fat finger" has highlighted fear and concern as all markets finished down, giving the correction, legs and traction.  The "fat finger" led the accelerated domino affect as computer triggers sold of the markets in a hurry, Greeced by the debt issues in Europe.

So, while the overall trend still sides with the Bulls, a correction is definitely in play and the comfort and complacency that dominated sentiment is no longer.  This corrective trend still has legs and even though the markets finished higher then their lows, the short-term bears can still move values lower. 

Events to consider for tomorrow that will determine the strength or weakness of this corrective move include labor data and news from the EU.  The EU is problematic, but whether they can mitigate the slide in confidence is uncertain.

Options activity on the SPY continues to indicate a bearish move with 5 times as many Puts on the high volume strike versus the Calls.  Watch the SPY, if value breaks 110, then it's gain traction to move to 104 and possibly lower.

Summary:  With the week on an accelerated down move, you would expect bargain hunters to jump in, but I suspect the bargain hunters will be a bit hesitant unless the major events from tomorrow validate that "it's time to buy".  Be protective, use protective options on open positions or move to cash.  Keep an eye for a shift back to the Bulls, but consider that the Bears have current control.

Disclosure: no positions