AlphaOne Capital Partners founding partner Dan Niles spoke about where the market is headed from here on CNBC's "Squawk Box" on Friday.
Niles said stocks' rally this week was a classic bear market rally and that the market will soon retest its lows or create new lows. AlphaOneCapital's fund, which is now positive for the year, has added back short-positions, expecting stocks will go down again.
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