Back to the upside today as the Dow gained 596 points on heavy volume. The advance/declines were better than 2 to 1 positive. The summation index is turning back up. The war still goes on and the Fed is ready to raise interest rates. But the market moves on. The NASDAQ is now on the cusp of breaking through its down trend line and one more day like today will do it. The summation index is trying to make up its mind where to go and it appears that it will be to the upside. It has hung around in negative territory for too long. The short term indicators for the S&P 500 are still mid-range. That down trend line now comes in at 4450. I'm not sure if we'll try the SPY March puts there if the summation index continues higher. More Fedspeak tomorrow and the jobs report on Friday. Gold took a breather as the futures fell $15. The US dollar was a bit lower and fell back from the highs of the session. Interest rates went back up as the Fed is ready to fight inflation. The XAU and GDX had fractional losses on average volume. Money contiues to pour into the gold stocks. They remain short term overbought. Mentally I'm feeling OK. The VIX retreated today but still remains above the 30 level. It appears that volatility is here to stay. For now. The small stocks are holding up better here. A break of their down trend lines could change the bearish picture. Hasn't happened yet but the possibility is there. The TRAN broke through its down trend line that began in the beginning of January today. Usually the TRAN and the NASDAQ are the leaders of the overall trend. We'll keep a close eye on the ongoing developments. But don't be surprised if prices keep moving up here. Europe was higher and Asia lower in last nights trading action. We'll keep an eye on tonights developments.