There's a huge air pocket under stocks right now
From Pragmatic Capitalism:
"After turning very pessimistic in August markets have once again swung to an excessively optimistic position on hopes that the economic recovery is intact and that the Fed will sweep the lingering economic problems under the rug via QE. I think the market has greatly misinterpreted the current environment and therefore sits at a potentially risky position. I believe the three events that the market has rallied in anticipation of are largely priced in and largely misinterpreted. Those three events are the following: QE2, Earnings Season, November elections..."