the biggest reason that p/e’s are not good guages of value anymore is that they are based on corporate dishonesty as we have seen time and time again. There are much better ways of determining value than p/e’s, do some homework before investing based on them. Big picture I think we go much lower but bounces can come at any time due to how short term oversold we are. I would play them as a trade and not an investment if doing them. I am just selling rallies myself with my large accounts and using some shorter term strategies that I use in both directions in the smaller ones. I think we are headed under 6k maybe to 5500 or so before the low gets made. The new PPT team is trying to fight the downmove but even they do not have deep enough pockets, and it is too early to tell exactly what their strategy will be in futures. They have been active the last 2 days it appears.
