I spoke to a couple of friends during the Flash Crash, indicating that the market would have to fall at least to those levels before we could see the correction dissipate, or at least calm down. We are now within a couple of percentage points of this reversal mark. While still bearish about the European prospects, and worried about the credit drought building there, I am now of the opinion that it is time to wade into higher quality stocks that have at least 65% of their revenues residing in North America, and are in less volatile sectors. National Presto, Laboratory Corporation of America, and Quest Diagnostics are some companies that appear qualify for purchasing at this time. I don't know where this market is headed, but companies with these characteristics should still profit during these times of economic uncertainty.
Full disclosure: I am long both NPK and LH at this time.