Some selling today as the Dow fell 402 points on good volume. The advance/declines were negative. The summation index continues up. The Dow led the way lower, clearly underperforming the major averages. The NASDAQ held up rather well and that's a plus. The S&P 500 remains short term overbought. I do believe that we'll see higher prices there before the week is done. The TRAN did have a big drop today and that will be something to keep an eye on. Waiting for 4150-4200 on the S&P to start thinking about the SPY August puts. The path of least resistance remains higher as long as the summation index continues to move forward. Gold was off about ten bucks on the futures. The US dollar was higher along with interest rates today. The XAU lost 1 1/2, while GDX shed 1/3. Volume was good to the downside. Perhaps if the gold shares make it back to short term oversold territory we'll consider the GDX September calls again. Mentally I'm feeling OK. The VIX was higher today and the short term technical indicators have turned back up. It does remain below the 200 day average. For some reason I just don't think we're on the verge of a huge decline but I could be wrong. The Russell 2000 was barely negative today and continues to lead the way up. If it were to reverse here then I would have to change my view. It is short term overbought but the tone of the overall market lately certainly hasn't been bearish. As always we'll keep a close eye on things and see where we go from here. Perhaps the jobs data on Friday will give us some clues. Europe and Asia were lower overnight. We'll see how it goes tomorrow.