It appears the readers of this blog are a knowledgeable bunch - 29.4% correctly identified this chart:

20130828 nasdq

Additionally, more than 70% of respondents nominated a US index - one of the US 30 Dow, US SP500, US NADQ or the Russel 2000. The SP500 was the most common incorrect answer. The US indices are, unsurprisingly, reasonably correlated, so any US index is a good answer.

Thanks to all who contributed.

Congratulations to Mattthew and Ooshi, who both correctly nominated the Nasdaq and the fact most clients are short, and special mention to James SCB, who nominated the index, positioning and the time frame. James provided a strong, evidenced based answer, and takes top honours.

The answer to whether the instrument is a buy or sell is not included in the assessment, as this is a matter for each trader to decide.

The empathy award goes to R U A Cassandra, who rightly pointed out I'm worried by this positioning. The point of the exercise is that this ten year, weekly chart is still in clear uptrend. My experience is that positioning against the trend is a high risk exercise, although the overnight fall of 2.16% takes the edge off my argument and perhaps means I should take more notice of client positioning!