Listen to me: we have to go down big today because you can't lose the stock of the once biggest company and still rally. There are too many unanswered questions: weakness in China, cellphones a losing category, Qualcomm (QCOM) a factor, Chinese government subtly suggesting buy Huawei now that it is shut out of the west.
You want to buy in that environment? I say let the S&P test 2340 before you make a big move.
We have other negative forces: the reversal in oil, the transports down on a weak December for Delta (DAL) - (wildly overdone) and the weakness in the PMI like that's a shocker to anyone but Jay Powell. You get a two year low of 54.1 and a plunge the most since 2008 and you know that you are looking at a real weak economy.
The ten year at 2.5% - incredible - says the same thing.
This is some amazing moment. Everything is going wrong, just like people said about 2019.
I say let it rain.
If oil turns around the market turns around. If it doesn't, then look for the retest of Monday's numbers. It could be indicative of why bad news is good news when it comes to the Fed AND a possible China deal.