As For Monday

Historically Monday's have produced the highest gains of any day of the week. That's not a reason to buy or hold, it's just part of the information we gather to make decisions.

Today it looks like have a chance to post higher volume in a couple of the averages. As for price volume relationships, which I can only bring you after I update after the close, Price Down and Volume up (if the relationship is dominant) is often a short term bottom on capitulation. Even better would be Close Up/ Volume Up. The average itself doesn't need to post that, but a majority of the components do need to have a dominant P/V relationship. That also would be bullish for Monday.

If the BASEL rumor is not refuted, banks should continue to rally although lowering the rate from 3% to 2 or 2,5% as reported would put the banks in a very serious situation if we enter another 2008 scenario which is very possible. Why the Fed would be doing this is beyond me. Apparently Jamie Dimon from JPM had a lot to say to Bernanke about hiking the rate, maybe he made a good argument?

In any case, keep an eye on volume for a hint of what's to come Monday. Any nice candlestick patterns like a hammer would also be a good thing. I'll let you know if I see anything relevant before the close.