You can’t argue with new highs. The only thing missing in this rally is you since volume is incredibly light. Therefore, the only conclusion is computers are trading against one another. Friday’s volume was as low as a typical half day of trading during the Christmas holiday break. But this is the way things are now and we must accept it and deal with it. Stocks rose today on continued momentum from the usual “better than expected” theme and CIT being taken care of by its own creditors supposedly. It does make one wonder at the arbitrary and random nature of bailouts giving rise to conflict of interest accusations.

As noted volume was summertime light while breadth was as positive as you might imagine.








The McClellan Summation Index suggests the downturn is over as it turns sharply higher.







































































































































The volume is light but those still involved have things nicely under control. The HAL 9000s aren’t as idle as individual investors in my opinion. For an inside look at how these machines run markets please review these links that support Da Boyz in their enterprise here, here and perhaps here as well. These are eye-openers for sure.

Earnings are still rolling in and beating expectations is the name of the game. It used to be an old retailers trick to mark prices much higher and then cut them drastically to entice buyers to 50% off sales. It’s no different on Wall Street. Analysts and economists have been so wrong for so long the only safe bet is to lowball numbers and then be pleasantly surprised on the report. Anyway, I don’t make the rules and we must live with the tape.

Tomorrow is another day.