Stocks exploded to the upside today with the Dow closing above the 50000 level for the first time. The Dow gained 1207 points on heavy volume. The advance/declines were 4 to 1 positive. The summation index has now turned back up but is still in a sideways configuration. Yesterday looked like the market was going to fall apart and today it seems there is no stopping it to the upside. Perhaps the idea of the SPY calls was simply a day too early. However we are always wary when rallies appear out of nowhere, especially in what was considered a weak market. The Dow was the best performer today but all the major indices had stellar gains. The short term indicators for the S&P 500 have turned back up. We are going to have to look things over this weekend to decide where we're going next. Gold was up $87 on the futures. The US dollar was weaker and interest rates finished flat. The gold shares followed the overall market higher. The XAU gained 19 1/4, while GDX added 5 points. Volume was lighter than it has been. The short term indicators for GDX are still in oversold territory but they are trying to move up. I'm still considering trying the GDX February puts but this will also be something that needs a closer look over the weekend. Mentally I'm feeling OK. The VIX sank with the rise in stocks and is back below the 20 level. The short term indicators here are moving down. It could be that the decline for stocks is over for now but we'll know more about that in the coming week. We'll get the late jobs report and some inflation data. There will be plenty of charts to check over this weekend as we try and figure out the next trade. Still two weeks to go in the February option cycle less one day for a holiday. Asia was mixed and Europe higher to finish off the week overseas. It's Friday afternoon and time for a break.