Another gap and run day. Last Monday started off the same way and the gap got filled by Thursday. So sure, we could see the market float around for a few days and even grind higher especially with the holiday shortened week which is prone to light trading but with the VIX hovering near 20, Rydex indicators still in bearish territory and today's very low put/call ratio, the sentiment backdrop is piss poor in the ST and it's highly likely today's gap will get filled in the not too distant future. The market as usual, ain't going to make it easy for the bears to capitalize because in bull markets the path of least resistance is to the upside.
I'll say this again...bearish signals in a bull market have less bite and are either ignored or resisted for a while before finally showing results whereas bullish signals have plenty of bite and often result in instant gratification. As an example, I've been seeing bearish signals since mid November and here we are right about at the same levels.
Be patient and picks your spots.
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