9/9 noon

Currently 4% SDS, bought at 31.47 and 2% DZZ bought at 10.34.
The peak for I1 tomorrow is 3.249.  This is less than the 3.25 threshold which would have forced me to be flat stocks through this rally.  See Intro and Concepts for the I1 rule set.  In the past whenever an I1 rally peaks below 3.25 the stock market in the majority of cases continued to decline even though I1 was rising.  This peak is so close to the threshold that perhaps the rule does not apply in this particular case but I do not want to miss out on this next downmove.  I have held only minimal shorts for brief periods since DJI crossed 10,210 on the way up, the 5-minute, 380-unit critical resistance, which was 1 day prior to the I1 bottom.  I covered shorts well before this point as well.
I have updated the Trade History to reflect activity up to the latest trade. 
Here is the I1 going through November.
20100901 25.28408


20100902 25.06659

20100903 25.51281

20100906 26.69725

20100907 27.91625

20100908 29.58433

20100909 31.06375

20100910 32.49334

20100913 32.15619

20100914 31.46442

20100915 29.76997

20100916 27.14117

20100917 24.71507

20100920 22.96243

20100921 22.29074

20100922 21.8606

20100923 21.19671

20100924 21.17547

20100927 20.82228

20100928 20.55654

20100929 19.79494

20100930 18.6971

20101001 19.4164

20101004 19.8343

20101005 20.45848

20101006 20.9075

20101007 21.40699

20101008 21.63835

20101011 19.81698

20101012 17.54623

20101013 13.80057

20101014 9.866532

20101015 6.519855

20101018 3.461369

20101019 .8808112

20101020 -1.812707

20101021 -3.515924

20101022 -5.542804

20101025 -5.851898

20101026 -6.125878

20101027 -6.012274

20101028 -4.553634

20101029 -2.946923

20101101 -1.03009

20101102 .8301654

20101103 2.709498

20101104 4.524597

20101105 5.372238

20101108 5.060921

20101109 4.439075

20101110 2.793315

20101111 .785111

20101112 -.7620888

20101115 -1.673297

20101116 -1.97909

20101117 -2.243465

20101118 -2.670697

20101119 -1.940198

20101122 -.4583645

20101123 .8304453

20101124 2.523243

20101125 4.118955

20101126 5.96884

20101129 8.300858

20101130 9.911625