A few short weeks we saw record call buying while this morning we were seeing put buying that was almost at the opposite extreme. A few weeks ago Greece did not matter, while yesterday Germany banning short selling convinced everyone that another crash is coming. For as long as markets exist there will be over reactions and participants will get caught up in the emotion.
I am not belittling the problems out there as I see many hard years ahead for an over levered global economy. However, there will still be rallies and selloffs. With sentiment so negative I think we could see a rally and am positioned for one.