As I wrote yesterday, the very slight oversold condition and the positive seasonality tilt the short term odds in the bulls favor. But the fact that the consensus now believes that QE II will be a sell the news event might prompt people to sell ahead of the news.
We have a market that has not had a real correction in two months, but there are some short term positives. I have a difficult time buying into this type of setup but it usually does work out for the bulls. I was bidding for some stock yesterday but I was never filled as the bulls pulled it together. I am sitting it out for now.