Remember the basics! When does a trend reverse? When you see a candlestick buy signal and a close above the T-line. As noted, although there was support in the indexes at the 50 day moving average, one thing did not occur. A candlestick buy signal and a close above the T-line. Until that occurs, a down trend is still considered to be in a down trend.
The markets continue to show some indecisiveness, however it is doing so at what appears to be a bottoming area for the indexes. After the pullback, the basic characteristic of the market has reverted back to being very stock/sector specific. These market conditions still warrant having both long and short positions on in the portfolio.