A bit of follow through to yesterdays big gain as the Dow was up 40 points on average volume. Advance/declines were positive. We were off about 100 early in the day. Money continues to rotate into stocks and the trend for now is higher. Summation index continues higher. The OEX is at 597 and I think we could get to 620 before stiffer resistance sets in. Gold futures lost a couple bucks today but the XAU rose 5 1/2 points. An oversold bounce was due, no doubt about that. However the gold shares were mixed with ABX closing down on the day, while GG and NEM both managed about a gain of a point. Volume was heavy. The dollar continues higher here and gold probably won't do much to the upside while that trend is in place. But I am keeping an eye on things here because we could be forming a bottom in the gold shares. I'm going to give it some time though. GE was off 1/4 on light volume. Nothing doing there. Mentally I feel fine, slept well. Not much time to go in the August option cycle and I don't see any near term trades on the horizon. September has an extra week for the options and premiums will reflect that. I'm not trying to push anything here at the moment. If a good signal for the OEX appears, I'll trade it. Otherwise I may just lay low until Labor Day when all the major players are back. It's been a crazy summer but there's a chance things will settle down in August. Or not.