Late Day Reversal On Light Volume

Stock markets reversed to close mostly higher late in the day, but volume was very light. Many will see a bullish flag or pennant forming, but I remain skeptical. One caveat though, a powerful breakout from this level should probably be bought because it would mean a short covering rally was underway, the one I talked about in May. At the same time, I would ease into a position and not go all in on such a breakout. My intuition is telling me to lay low. I think the bears are going to have one more stab at trying to take the market down a notch before the real breakout begins. That's all pure speculation though.

Leading stocks are behaving well overall, which is a good sign for the later this summer.

At the moment there is little to add until we get some definitive action on volume one way or the other.