Here are the weekend charts. The last 3 days of selling have been quite intense which resulted in clean breaks of our rising trendlines and the 50 day moving averages. The SPX and DOW are now in confirmed downtrends. Whether this downtend turns out to be a correction or a resumption of the bear market remains to be seen. To get a better understanding of what may be occurring in the market, we must observe how the wave structure unfolds over the next several weeks. If the downtrend IMPULSES down in five major waves this supports a resumption of the bear market. If the market corrects in a choppy ABC pattern, then either the uptrend is extending or a new bull market is underway. Clearly, we now are positioned defensively (mostly short) and will remain so until the market suggests otherwise.