What to do?!

We need to become conservative. We need to raise cash levels. We need to raise stops. We need to put on pullbacks. We need to buy strong RS stocks. We need to buy 1/2 positions. We need to buy ETF instead of stocks. We need to put our emotions aside and look at the supply-and-demand charts.

But, most of all, in this market, we need to remember that when a stock hits a stop loss and there is a loss -- we have to just take it. A small loss is much easier to make up than a large loss.

Now is the time when cooler heads prevail.