Volatility remains as the Dow was down 100 points but came back to finish the day up 44. Advance/declines were about 2 to 1 negative and the volume was average. The inflation data was even stronger then predicted but the market came back. However the signals are mixed at the moment. I did have an order in for some OEX calls but wasn't filled. If we sell off again tomorrow I might try it again. I did think the inflation data would be less then expected and was wrong today. We'll see about tomorrow. Negative advance/declines on an up day isn't the most bullish scenario. Gold lost over $14 today and the XAU fell 5 points. ABX was down over 1 1/2 on good volume. NEM only lost 50 cents on average volume. ABX is beginning to interest me on a weekly basis but I haven't gotten a buy signal in gold yet. The dollar has stopped going down for now also. GE was up a third on average volume and I'm beginning to like the relative strength there. How we close out the week tomorrow will be key once again but it looks like the weekly uptrend line will hold at this point. That could all change tomorrow though. Mentally I got a good nights sleep and feel fine. I do like the way that the market came back today but the breadth wasn't good. However when you get bad news like we did today on inflation and the market shrugs it off, it has me believing that higher prices are in the offing. But you never know. Expiration week coming up and I'll be looking for the positive bias. That said, anything can happen. On to Friday and the CPI.