RALLY HAS LEGS?

http://www.briefing.com/Silver/Calendars/EconomicCalendar.htm

Strong retail sales, cool inflation (as depicted by CPI) and reaction in futures pits = extension to rally....and it looks like today will be one of those days with a flag pole, up straight from the get go, lots of buying sellers covering, never looking back....hard up into close.

This may lead into a rally that lasts well into AUG, making believers of the ones who are not, and maybe bringing down one of the last bearish holdouts I talked about last night, the put call ratio which better reflects the extreme optimism normally found at THE TOPS.Bringing this up JUST to the 2005 JAN highs we saw out of the gate, would not be good enough.

Remember, the DATA we now see is a month old, the MARKET is suppose to see into the future....6 months or so.SO we have some extreme readings of bullishness, decades lows in the VIX (VXO)new highs for SPX/VIX ratio surpassing old bull, yet we are far below that previous top....go figure.

Now, I'm all for having fun, and those long may choose to stay there and ride this up, but I feel too late in this cycle for me to do so, unless a special opp comes along.....like a dying quail DWA or something worth a play.

It seems like what is goos is known, we shall see how far the IPOD (mkt saturation?) and AMD (not a profit story) can take us, time for NAZ (laggard yesterday) to lead the way perhaps.Though I don't see what could put a pause in this today, market will always surprise.

CPC this AM a heady .50 (what Is ggested may now come to pass)

NDX busting out of upper Bollinger Band, and now overbought, some kind of reversal should not be far off. NO change iN VIX so far but SPX/VIX making another high.

Shorting DANGEROUS business, if pessimistic, most better off on sidelines. Being right and early is just as bad as being wrong.

Will the up move exhaust itself today....up up and away! LOL

Duratek