Positive tariff news over the weekend led to a gap higher at the open and the market never looked back. The Dow gained 740 points on heavy volume. The advance/declines were around 6 to 1 positive. This should have the summation index moving sideways. The NASDAQ led the way and that's a plus. The short term indicators for the S&P 500 have turned back up. Are we on our way to new all time highs in the June option cycle? Time will tell. One day doesn't make a rally but it sure feels like things are going to go higher. Some earnings due this week including NVDA. Inflation data out on Friday which is also the end of the month. We are still at the mercy of the next headline but for now things look positive. Gold dropped $62 on the futures. The US dollar was higher and interest rates were generally lower. The XAU dipped 1 1/4, while GDX slipped 3/4. Volume was average. GDX remains short term overbought on some of its indicators. Considering the drop in gold the gold shares held up rather well. I'm still considering the GDX June calls as the next trade. Mentally I'm feeling OK. The VIX was lower today and closed below both its 200 day moving average and the level of 20. The short term indicators here are now heading back down. It's another reason to be positive on stocks at the moment. But like we've been saying, things can turn on a dime in this kind of trading environment. However we don't think that they will in the near term. Asia was mixed and Europe higher overnight. We'll see if we get any upside follow through tomorrow.