A second chance to short, shucks I missed the short on the Dow!

I missed the opportunity to short the Dow last week. I was hesitant in entering a trade as I did not want to take too big a position ( 2 lots would cost me USD$15,000).
This week, I have another chance, through the S&P 500. This seems more likely as I need to cough up less capital. I would short if it is still trading above 700 when the market opens tmr.

The fundamentals: If history is any guide, share prices have a way to go before bottoming, because in previous market crises and crashes share prices did not hit their ultimate lows until traditional valuation measures, such as P/E ratios and dividend yields, reached oversold extremes. On that basis, we can say that stocks are still trading at 20% to 40% above the anticipated bottom. you adjust valuation to dividend rates that reflect this lower level of dividends, shares of S&P 500 companies are overvalued by as much as 46%. So it's entirely reasonable to assume that stocks are still 20% to 30% overvalued today. Here's another factor to consider: In 1997, earnings per share for the S&P 500 were higher than our 2009 earnings forecast by 25%. And P/E ratios -- the multiple investors are willing to pay for a dollar of earnings -- need to get to 10 to 12 times or lower before the real bargain hunters will join the market. During the past 75 years, the average trough P/E has been 10, so at 10 times trailing 2009 earnings, the fair value of the S&P 500 is roughly 500, i.e., 35% below yesterday's close of 773. Using a 12 P/E would put the S&P 500 at 600, which is 22% below that close, and the midpoint between these two levels is a target that's 29% lower from here, or 550 on the index(Tobin Smith)

The technicals:
LT: down, ADX>60
ST: down.
EP: 728 below Nov 2008 low of 741
TP1: 608
TP2:348 (will adjust later. should be closer to 500, but this still represent reasonably good yields).
SL:858
Position size: 10 lots (approx. USD $7,200)