Are people negative enough? Are there still plenty of happy talkers out there who believe that the worst is over and we are about to reverse and rally?
This afternoon when I was on Scott Wapner's "Fast Money Halftime Report" on CNBC our entire panel was uniformly negative about the market.
We all felt that there has been little recognition about how bad things had become and how many companies are being hurt by China and the dollar and the Fed and raw costs and supply chain issues.
The only thing that the market had going for it is that we all hated it. Often the market fools you when there is such uniform hatred of it.
But you need a spark. You need something that's blockbuster, that stands out and makes short sellers less emboldened and less negative.
It is in my nature to want to be hopeful and constructive. I want to be able to say use this weakness to buy, buy, buy.
But the truth is that I told members of the actionalertsplus.com club this morning that we still didn't like the market and it wasn't too late to sell. We only made one small buy of a distressed security in the financials that I think isn't as nearly bad off as the press seems to say it is.
We do have some earnings that come out this week. But we are caught without much right now that can spark such a short squeeze.
The negativity is right.
The happy talk is wrong.
Until we get something that's actually based on truth and not just on hope that things will get better.