Wall Streetrebounded Thursday after a tumble in the previous session that sent two of the major indexes negative for 2018.
But the worst may not be over, according to four signposts identified by a veteran market observer. Nicholas Colas of DataTrek Research highlighted metrics to use as a "roadmap through the minefield."
"We don't think the selling is over, and now is not the time to bottom feed," said Colas, co-founder of the firm. "Watch our signals (we'll keep you updated), but stay defensive."
While Colas said he does not try to pick bottoms, he does look to spot signals that illuminate an "investable low."
"We're not there yet," he said. "We are not calling for a crash, but it is our job to help you consider risk management during periods of market stress."