As of now, the Dow futures are down more than 330 points, while SPX futures are now more than 40 points.

It looks like SPX may be testing 1800 soon, and, we could likely see SPX at 1700 sometime in 2016!

What to sell? Biotechs have been going up and up for many years. Now, they have a long way to come down! What about energy stocks? I have been writing about oil going lower. Fossil fuel, as a source of energy, will quickly be replaced. It is like CDs and DVDs being replaced by the more efficient, tiny, portable drives that can carry terabytes of information, fossil fuel is now finally being recognized globally as a big contributor to the destruction of our environment, and, it will soon be replaced by renewable energies. Oil stocks will likely continue to go lower and lower, until worthless. Among the oil stocks, oil services, especially offshore drillers, will likely to go first. I would expect offshore drilling to become too expensive and not economical as an option, if offshore drilling itself is not being banned beforehand.

After the market yesterday, NFLX reported strong earnings and its shared popped more than $7 in after-hours trading. But, in this kind of environment, I don't expect this gain to hold. It will likely evaporate right at open.

I might start to look at gold (GLD) and bonds (TLT). I have some downside plays in Ecstatic Plays and Happy Trades portfolios. I have been staying mostly in cash in these. But, I may start to add more puts.

Good night and HappyTrading! ™