- Margin debt is at $299 billion which is pre-September 2008 levels. NYSE net cash balances are negative $35 billion.
- The VIX and put/call ratios point to a market that is not well insured.
- Short interest is at levels not seen since 2007. The shorts will not provide much support for the market.
Investing is not only about preparing for the most likely scenario, but preparing for all possible scenarios. Few are prepared for anything to go wrong.