To the downside as the Dow dropped 213 points on heavy volume. Advance/declines were about 4 to 1 negative. Summation index heading lower. The downside action was long overdue. So where do we head from here? My thinking short term is that we should stabilize now. Obama rattled the markets with his talk of banking regulation today. It won't happen overnight. We're getting short term oversold now. It may be time to short the rallies. Volatility has returned. Gold lost ground again, off about $10 and lower in the aftermarket. ABX and GG down over a buck each. NEM off 2. Volume was heavy. Oversold here now for sure. Not sure if getting long is a good idea because we have broken some long term support. However the gold/XAU signal is about to be triggered so I will have to ponder things. Volume picking up to the downside isn't a good sign though. Tough game. Mentally I'm tired, did not sleep enough but that will change. We're almost at some short term support for the overall market. Bounce and then a fall? Perhaps but that's just a guess. If the summation index remains to the downside, then OEX puts have to be seriously considered. Gold fell today and the dollar was little changed so perhaps there is something bigger going on there. No doubt that money is leaving the gold shares though. Support has been broken. One day left in a short week.