Mr. Market dished out the dull for most of the day until some late day accumulation added some spice into the mix. Only the Dow finished modestly in the red, while the S&P and Nasdaq managed to eek out nominal gains. Leadership was in defensive plays oil and gold, and other major sectors finished mixed on the day. There was some strength in biotechnology but general technology stocks saw profit taking. Breadth was flat most of the day but finished positive and volume was fairly light which we like to see when the market is consolidating. 

The past few days were a nice rest for a hot market and we suspect the slightly bullish tone that ended the day may build over the long weekend and give way to some positive action next week. When the market is hot like this one has been in recent days it doesn't take mush rest before we resume to the upside. We hope you have those buy lists ready as we suspect many stocks may see action should the bulls emerge to take the averages higher.

In addition to the technical setup after the rest, we still strongly believe that many missed the recent run and will be looking to put capital to work in names that have come in slightly.

We hope you had a good first 2 weeks of the year and encourage you to rest up over the 3-day weekend. Whether the bulls or the bears take charge, next week is sure to be exciting especially since earnings reports will begin to roll out.

Have a good weekend.