Just a quick note to reflect what I was discussing with traders late in the afternoon. We had a negative news item regarding Fitch's downgrade of California debt, and selling in stocks quickly ensued. As we moved forward, however, that selling abated and we began to see the NYSE TICK accumulate positive values. When negative news cannot keep a market down, it's a good sign that sellers cannot dominate. Once that happens, those sellers have to cover, contributing to subsequent strength.
It's an important lesson: just as important as the news is how markets respond to news. When we can't go lower on bad news, that tends to be good news for bulls.