NAR Index for Pending Sales

The National Association of REALTOR's index has existing home sales up 0.7% year over year. Up from January's 108.5 to Febuary's 109.3. This is good news since the fallout that has been happening in the sub-prime market also because it is still up even though the builders have standing inventory that has not been sold yet. This said I fell the market is telling us that the worst part is over. Time to pick-up the marketing and get ready for the next wave of sales and this is going to be short sales and REO's. Any thoughts on this or any other stats that you know of?