It was a mixed and choppy day of trading with the DJIA acting well while the Nasdaq struggled. Oil, commodities and retail led while financials and technology lagged. Market players kept one eye on Europe but nothing new developed there, so we had no clear drivers. The better-than-expected consumer confidence numbers this morning helped a little, but were soon forgotten.
After a big move like Monday's, the important thing is that we not give back too much too quickly. We want the short-termers and flippers to exit but dip-buying interest should prevent too much of a pullback. It is helpful if volume recedes a bit after a spike but it has been equally slow on both days, which is a little troubling to those who remember when volume mattered.