As long as there's no melt down in a Japanese reactor, there won't be one in the market. We'll get a more controlled reaction (pun intended). Still, I'm with Kim - dead cat bounce should be next.

I think we are almost half way through the major correction that was due when QE2 ends in June. The Japanese disaster did what Tunisia, Egypt, Lybia and the "day of rage" could not - start the correction early. It also compressed the first half of the correction into a few days rather than weeks.

Best guess is we get a dead cat bounce in the form of B wave of an ABC correction. Then the C wave down, which will panic the Fed into announcing QE3, and we rally once again.

I still plan to sell into the dead cat bounce - C waves can be killers....