We would like to announce, a light volume, oversold bounce.

The NAZZ hit an intraday high of 2173.66, just a little over one point from our prediction earlier today. We bought the dip and played the bounce to some small degree but chose not to be aggressive with our buys. The Small Caps and Semis were up a decent amount and the breadth was slightly positive on both the NAZZ and the NYSE. The volume, unfortunately for the Bulls was very light. Once again, we have up days with light volume and down days with heavier volume.

CSCO and DELL continue to be M.I.A as traders are searching for "only all good news" names. Until traders regain confidence in the Horsemen such as CSCO and DELL and as long as the volume remains lethargic at best, the market will have a tough time sustaining this bounce. Some Bulls may have been excited that the market held the lows of last week. Because of this, we can probably expect more chasing to the upside tomorrow.

If You Held A Taser To Our Head: As we mentioned in an earlier post, this rally has the makings of an oversold bounce and nothing more. Therefore should the overanxious Bulls chase the market higher tomorrow we would consider selling into that strength.

-Have a good night-

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