Short Term Volatility within expected bounds

Yesterday Dow down 140+. This morning futures down big. To be expected with current news. Market will absorb it and behave within expected volatility parameters; system is not critical and will not "crash" at this point.

I repeat, remember the ABC's that I mentioned earlier. A rigorous application of traditional deep value metrics is, and will be the way to go.

Clarification: Nobody will ever be able to say with certainty that a complex dynamic system will have a six sigma or larger event in a specific time period; the best one can do is understand if the system has reached a point of "self organized criticality" and is then susceptible to a large event. The latter in of itself is of great value as you can hedge, and in parallel the system has reached a point of diminishing returns and decisions regarding asset allocation can be made more effective.

The large complex dynamic system we call the Stock Market is not self-organizing at this point. The system is far from critical. Value has done well as I said it would, and it will continue to do so for as far as I can see. There is no danger of a catastrophic >six sigma failure. A large unforeseen event even equivalent to 9-11 would not have the same effect.

As far as the stock market. Traditional valuation metrics with a priority placed on strong balance sheets and strong cash flows, enabling one to buy a future dollar at a discount today are, and will be the way to go. Stay away from momentum/greater fool concepts.

Taking this into account, passive diversified low expense ETF's come to mind also, if they are exposed to above mentioned parameters. I will be more specific shortly.