The market remained weak all day as participants booked yesterdays profits and skepticism once again wafted through the air as bonds traded down and interest rates rose. Breadth remained poor and oil and gold led on the day. Despite the sell off we consider this day a minor victory for the bulls who preserved most of yesterday's gains. There was no great rush for the exits just some orderly locking in of some quick profits.

We remain optimistic about the chances that a rotation into technology is taking place however we don't expect that it will happen over night. We were encouraged to see the semiconductors hold their ground and only see minor weakness after yesterdays monster move. We wouldn't be surprised to see further consolidation here setting us up for another break higher.

It would be nice if rotation occurred smoothly and evenly with the old leaders declining and the new ones rising but that will not happen. It is going to be a slow, arduous and choppy process. Mr. Market never makes things easy and many will question the rotation thesis repeatedly

especially after a day like today.

Aside from more minor portfolio tweaking we didn't do much today letting our longs remain in tact. We are continuously looking for new opportunities and many stocks look to be setting up for prudent entries. Well be sure to keep you abreast of anything that looks Shark worthy.

As a side note, it seems as if the NYSE is once again making a move towards longer trading hours. Are you kidding me?

Have a good evening.

RevShark