Back and forth was the theme of the day as the Dow fell 85 points on heavy volume. The advance/declines were negative. The summation index continues lower. Both the NASDAQ and the S&P 500 posted gains on the day though. The S&P remains oversold as do all of the major stock indices. We'll get inflation data tomorrow and see what happens. The averages are pretty far from their 50 day moving averages on a daily basis so some kind of short covering bounce would not be a surprise. Gold lost support at $1850 as it dropped $15. The US dollar was slightly higher while interest rates were steady. The XAU fell 1 1/2 and GDX lost 1/2. Volume was average. GDX blew through my stop without getting filled. I decided to hang on to it this time around but the loss will be larger than it should be like the last trade that didn't get filled unless we see some kind of quick turnaround in the gold shares. Doubt it. Support has been broken and gold is dropping like a stone. Mentally I'm feeling OK. The VIX was a bit lower today and remains overbought. Not sure which way it'll go tomorrow but with the inflation data due out I'd expect volatility to pick up early. We'll have to wait and see. Europe was up last night while Asia was lower with the exception of China. We'll see how things go on Wednesday.