Still Time to Get Out. Dow 8000, SP 750 are possible

Still plenty of time to get out. S&P 500 closed well below support levels today. With the economy slowing sharply. Likely into recession. Especially if you calculation real growth  minus inflation.  Financial pundits were holding out for good auto sales numbers. They came in disappointing. ISM, consumer confidence, home prices, and unemployment are all negative.   I really don't see much way for the economy not to go through another recession. Look for capitulation to happen sometime in Q4 or Q1 2012.  If Rick Perry or Mitt Romney emerge as the Republican front runner look for the market to take off(Post capitulation) as a leading indicator that the failed Obama administration is over. Staying in cash has felt good. I urge most retirement investors to do likewise for the next couple of quarters. Of course always keep your eyes on the street. Things may change.