Bond market is hot...good time to get out

I will be selling ITRIX which holds 31% in fixed investments. I have decided to go for low cost Vanguard S&P 500 mutual fund. Reason for this fund is

1)I will be fully invested in stocks since this fund will have close to 100% of its assets invested.
2)Close to 50% of the earnings in S&P 500 come from outside US.
3)Market is not cheap at all but alternatives are not much safe either.
4)I already have a big position in cash.

I have been saying for a long time but have not yet acted upon my instincts to short long term treasury bonds or if possible high yield bonds. Unless I trade in futures options there are not many savy ways I can make this trade but doing something is better than doing nothing. Hence I might soon take a position in TBT(ultashort treasury bonds)

References:
http://www.distressed-debt-investing.com/2010/08/credit-market-quite-possibly-insane.html
http://www.dailymarkets.com/stock/2010/08/02/stock-market-valuation-08012010/