For over a month now, I've been patiently waiting for the MDY (S&P MidCap) to fall to pieces. It has not done so. Not even close. Indeed, it's trudged higher, and although until yesterday the technical story was still intact, that story got pierced today when the price of the MDY went above its trendline.
This is still not a healthy market, to be sure, and you would be hard pressed to find good stocks to buy. But my case for a slam-dunk short on the MDY is gone now, and we are back in wait-and-see mode. It's disappointing, to be sure, but the power of technical analysis is that it tells you when you are wrong, and the good technician listens and obeys!