2 day rally, maybe they will make it a 4 day rally and bring it to a 5 day rally when we get back in 2007.
I might as well update my train of thought since it's running. http://img207.imageshack.us/img207/2929/ensigndec292006yl2.png
The upper channel of the wedge was challenged again today without success and didn't quite hit the low end on today's low. If the VIX can stay above 12 for the next 2 days, and NDX keeps dragging the rest of the market down, it looks like the chances of a downside breakout is quite significant.
Chart update. Nothing significant to note except for the lower channel challenge. Having tested the upper and the lower ends three times each, the Dow is looking more and more like a textbook example (other indices are not so clean). Perhaps tomorrow's jobs report will trigger a break out (I say down but I can't rule out upside vertical surprise when the market has been this resilient and NDX seems to be given a new life despite the fact that it's been downtrending)