Bearishness Ahead Of Leading Indicators...

Stocks are decidedly negative today ahead of tomorrow's leading indicators and Philly Fed (see economic calendar). Investors are hoping to see some signs of recovery in the leading indicators tomorrow. If the data come in disappointing tomorrow, we may see yet another period of multiples compression as the last of the bulls are defeated. In fact, the Dow formed a bearish continuation pattern today as it continues it way towards new lows. It is going to take a lot to turn this market around amidst weakening economic data and resilient oil prices.