Can Market Build On Yesterday's Solid Action

Yesterday was a solid day, a Turnaround Tuesday if you will. The market was very weak at the open, but shook off the selling pressure to finish strong.

The market is up a bit at the open today, and we will have to see if it can build on yesterday's reversal. I would especially like to see the Nasdaq lead the way, since it lagged yesterday.

There isn't much in the way of economic news today. Bond yields are steady with the 10-year at 4.60%. Oil is roughly flat at $63.70. But if you look at the chart for oil and view it like a stock, you would conclude that it is basing and poised to move higher. I hope I'm wrong.

ERIC announced last night that it was buying Redback Networks (RBAK) for $25, a nice 18% premium. You know I have been long RBAK, so this is good news. I just wish I had bought more when it was lower.

In other news and notes:

• Has anyone out there used Google Checkout? (lemme know)
• Asian markets strong overnight
• FOXH reduces Q4 revenue guidance
• Pres. Bush speaking right now
• Thomas Weisel makes bullish comments on RVBD
• Stifel Nic starts HANS with Buy ($42 tgt)
• NMX profiled in IBD New America
• FDX beats estimates, lowers guidance; stock down
• CLZR files patent lawsuit against PMTI
• VOL announces 3-2 stock split (remember when people used to trade off this?)
• RBC lowers estimates for YHOO
• New iPod Shuffle sales approx. double from last year

long AAPL, RBAK, RVBD