I don't have anything original to say about yesterday's 187-point explosion in the Dow but will refer anyone who's interested to a great summary on "The dk Report" blog.

What I do want to post however is an update on the TLT chart. In a previous post , I mentioned the 82 area as a possible target for this down move. TLT did reach 82.20 2 days ago before strongly rebounding yesterday all the way up to 83.76. But now I'm not so sure that was the end of it. TLT got so thoroughly and rapidly destroyed the last few days (and Treasury bond rates in reverse, of course) that one cannot be faulted for thinking this just the initial (impulsive, to use Elliott Wave terminology) move of a much greater (higher degree in Elliott Wave speak) down move. I realize this somewhat contradicts another previous blog entry about how a broken downtrend line in the 10-year rates does not necessarily translate into an imminent uptrend, but I just want to stay open to the possibilities.

Oh yeah, and don't forget to CLICK ON THE CHARTS to enlarge them and have any kind of idea of what I'm babbling about. A black background for charts is not that great when they're in reduced size but I believe them to be the best in original size. Anyhow, that's the template I use for trading.