The market is at that juncture where the bears start thinking about calling a turn but there isn't any real weakness yet. The essence of the bearish argument is that the market has run too far, too fast and needs a rest.
Over the past few years, market watchers have learned that this is not a good argument for a short position. The market keeps running, even though volume may be falling and momentum slowing.
I may sell down positions into strength as they become extended, but I have learned that it is a mistake to short the indices until there is weakness first. Averaging into a short position when the market is still trending upward is a recipe for being too early.
I'd prefer to see less froth in the action so that the charts can build better support, but there is performance anxiety in the air and plenty of idle cash looking for a place to go. I'm working to find new buys and slowly putting money to work but, as usual, I'm staying selective and not buying out of anxiety.