Upward Drift Should Resume Soon

Yesterday provided just what we would like to see after a panic sell off day like last Friday; a very light volume day that lacked follow through qualities. Bonds have yet to give any relief to stock prices but remain oversold and a relief rally should be in the works shortly. Stock prices want to drift higher from current levels and bears are surely frustrated that they couldn't get sellers to show up on Monday. Look for prices to slip a bit lower before finding support, but don't get overly aggressive on the short side. . We have a number of positions we are watching that have been pulling back to support. We don't want to be overly anticipatory here however so are waiting for the bleeding to stop before picking anything up. As stated, today may see a bit more weakness, but we expect that we are fairly close to a snap back reversal. Today is a good day to wait for better prices.