The market isn’t down by much today when you judge it by the S&P 500, but take a look at the Nasdaq and Russell and you’ll find that the S&P 500 is masking a lot of the weakness in today’s action.

The tendency, when we’ve seen a huge run in the market, like we have seen since the beginning of the month, is to get nervous about holding current positions any longer. Kind of like being afraid of heights the higher you get. 

However, if you look at the current price action on the daily chart of SPX or SPY  you’ll find that price still remains above even the shortest time-frame moving averages, like the 5-day. So while, I’m somewhat tempted to short a stock like Best Buy (BBY) that is setting up beautifully for the downside, I’ve held out until now in doing so until we can see a little bit more willingness from the market to want to roll over.

For now check out the bearish list of stocks below and start finding the ones that meet your requirements for a good reward/risk setup and be ready to pull the trigger if this market does decides to get funky.

Here’s the bearish trade setups: 

bearish watch-list 10-20-15

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