Traders are talking about just staying out of the market, and blaming all the noise on high frequency trading algorithms. And now I've heard two different guys in radio interviews claim that the rising prices aren't due to current POMO pumping, but due to anticipation of the upcoming Fed's Quantitative Easing, Part II; also known as QE2, or QE Lite.
I've been looking for turnaround signs to cause the market to dip back again, probably right after the elections on November 2. Marc Faber suggests that the signal won't be elections results, but the Fed announcement.
I am currently short, and I'm sweating for jumping in too soon! But the thing I'm starting to notice is that the Russel 2K is staying flat, while the Dow and S&P are fluctuating more wildly. There is a dissonance forming between the indices, and I think it's the cracks starting to form.