Coming back from the brink today as the Dow fell 163 points on average volume. The advance/declines were around 2 to 1 negative. The summation index is tracking sideways. Off almost 600 points early on the markets made steady progress to the upside for the rest of the session. The NASDAQ was off 400 and made it back to positive territory. It appears that a temporary bottom has been put in place today. The market needs a break from the selling and we should see that at least for the beginning of this week. Inflation data due out on Wednesday and Thursday. Gold was up a few bucks today. The US dollar was slightly higher while interest rates were steady. The XAU was up 2 points, while GDX gained 1/2. Volume was average. I did place an open order for some GDX February calls but it will take a drop to 29 to get the order filled. That may not occur as it appears that the gold shares are ready to reverse right here. But we'll see how the rest of the week plays out. Mentally I'm feeling OK. The VIX had a spike up only to reverse and finish the day below the important level of 20. That's another reason why it isn't out the question to see the market stage some kind of rally from here. The NASDAQ held its 200 day moving average and the Russell 2000 held its long term support. So it appears that at least a temporay bottom is in place. I'm looking for some kind of bounce and it looks like it started today. I'm expecting higher prices tomorrow. The McClellan oscillator gave a signal for a big move on Friday and today probably fills the bill although it doesn't look that way on a closing basis. Volatility has picked up. Asia was generally higher and Europe lower to begin the week. We'll see what happens tomorrow.