One must ask themselves if this rally truly has substance, or if it is another news item rally. The short-term significance of today is the fact that the candle neutralized yesterday's loss. However, there is still a lot of ground for the bulls to recapture. This requires sustained positive catalysts and I don't see too many of them. What do we look out for over the weekend?...

We tested the lows for the $RUT, slightly for the $COMP, and not quite for the $SPX and $DJIA. The $VIX remains elevated, but the fear seems to be subsiding as it has not tested it's own highs (as of today). The indicator is still consolidating and a breakout is still possible as long as it hold the 20-day MA.

Looking at 3-day charts, these daily patterns are not very bullish at all. We are closer to testing the Friday lows. Intra-day I made use of the fib retracement levels during the wedge's progression, another tool to keep yourself from panicking. The very long neutral range was especially problem due to false breakouts and breakdowns.

I found exactly what I was looking for, even the increased spike in volume. This was no surprise to me as it was bound to happen. I am up 14% today and up 42% for the month so far and 3 out of 4 of my students are up over 10% today alone after joining me in killing the bears (at least for a day)...