A dose of negative economic news helped embolden sellers during the first half of the trading session. However, sellers would lose their momentum and the market would regain strength pushing well off the lows of the day's gains. After Friday's late day plunge the market appears to be ready to push higher just in time for Turnaround Tuesday. Volume on the day soared despite Friday's end of the month volume kicking in. The Dow Jones Industrial average led the broader market showing blue chips are holding up this market. Commodities jumped on dollar weakness with the USDJPY dropping below par. A few leaders were hit today, but with the market finding its footing this uptrend may not be over just yet.
Turnaround Tuesday is tomorrow and if we had to wager a guess we'd suspect a rally would occur. Tuesday's have been very important to this rally and the trend has been for Tuesday's to finish in the green. Not too mention we remain oversold given where the McClellan Oscillator resides. A run at previous highs is not out of the question with the support at May 23rd low. The market has May's high in its sights.
Gold and silver have seemingly found a bottom along with the miners. GDX has come off its lows as of late after April's plunge. Volume has picked up on the upside more so than distribution since the end of April. GLD and SLV continue to try to pull off the lows, but volume isn't prominent like volume on the GDX. Has gold and silver bottomed? No one can answer this question without guessing. Pick your spot and know where your exits are.
Stick to your process and have a great week!
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.