Stocks Rebounding into Final Hour on Short-Covering, Bargain-Hunting, Reversal Lower in Oil

BOTTOM LINE: The Portfolio is higher into the final hour on gains in my Internet longs, Computer longs and Biotech longs. I added to my QQQQ/IWM hedges and then covered all of them today, thus leaving the Portfolio 100% net long. The overall tone of the market is neutral today as the advance/decline line is lower, sector performance is mostly positive and volume is heavy. Investor anxiety is high again. Today’s overall market action is bullish. This is the type of action I would expect to see at the very least at a tradable bottom. The (XLF) has turned higher on the day and market leading stocks are gaining significant upside traction. It has become way too easy to make money on the short side, which also usually indicates a vigorous move higher is close at hand. I expect US stocks to trade higher into the close from current levels on short-covering, lower energy prices, diminishing credit angst and bargain hunting.