If the market slowly grinds up instead of gapping up, would you be more inclined to short into resistance?

Probably, but the decisive factors would be the individual stocks and breadth. SPY and IWM have been showing strength, while the NASDAQ correction is mainly due to semiconductor weakness after a huge rally and extended leaders. Defensive sectors are doing well, biotechnology and healthcare are strong, and software is catching up even while the market is weak. I don't see favorable factors for a bear market or deeper correction while individual stocks are doing fine and breadth is holding up. The bounce would not be that powerful once breadth starts to decline and the defensive and other sectors start to crash down.

Source: Lockout rally again | 4 Aug 2026