The SPY decisively broke its 200-day EMA on Wednesday, and the DIA and QQQ have been trading below their 200-day EMAs for the last 7-8 trading days. Thus far, of course, the market has not shown any signs of a rebound (see graph immediately below). All MIPS models have been short since late October, so let's keep our eyes and ears on government action regarding the "Fiscal Cliff". Remember, just a little good news can send an oversold market like this one straight up, if even for a short period of time and a "small" rally. And, don't forget about the Santa Claus rally the we wait for each year. With all of this to assimilate, we need to rely on new signals from the MIPS models for future guidance.