Raising cash is a good strategy during emotional sell offs. This should be a climatic day, but that doesn't mean a snap back or V shaped reversal per se, but it does mean huge opportunity and amazingly cheap stocks.

No, the world is not coming to an end, but all the intervention from Fed, other central banks, and governments created a crutch. I really wish the Fed didn't exist, but that said, valuations are mostly spot on. Even with buybacks, scores of stocks are oversold.

We don't need to find the exact bottom, but I suspect we will begin building new positions this week for sure.

We have been watching our favorite stocks very closely this morning and have seen some mind boggling reversals. Apple and related names look great, cyber security looks great and oil names are holding up well.

Perhaps the most stunning of all reversals is AAPL. After touching $92 at the open the stock has rebounded $16/share on incredible volume. It didn't hurt that Apple CEO, Tim Cook, sent an email with some reassuring comments. Cook said, "I can tell you that we have continued to experience strong growth for our business in China through July and August. Growth in iPhone activations has actually accelerated over the past few weeks, and we have had the best performance of the year for the App Store in China during the last 2 weeks."

In truth, the sharper the sell-off today, the better for flushing things out. The last 30 minutes of trading today are crucial. If we see buyers coming in at the close, this could be the bottom. The market wants to see how we close and how we trade overnight for an indication that the worst of the selling is over.

Chaos in commodity markets continues and it will take time for the smoke to clear. The strength in the Euro is more than a flight to safety. Dollars are the number one destination for a flight to safety. We are keeping an eye on Treasuries as well, in particular watching the 10 year yield. If and when the Fed can hike rates, billions of dollars will pour into treasuries.