Stocks Higher into Final Hour, Led by Tech Shares

BOTTOM LINE: The Portfolio is higher into the final hour on gains in my Medical longs, Biotech longs and Computer longs. I covered my (QQQQ) and (IWM) hedges this morning and then added them back today, thus leaving the Portfolio 75% net long. The tone of the market is positive as the advance/decline line is higher, most sectors are rising and volume is average. Given the large percentage of market participants that are bears and weak bulls, I suspect this is the beginning of another push higher in the major averages. While the employment report Friday could result in a "pause" in the rally, I expect investors to react most positively to the Fed's announcement next week. I expect US stocks to trade mixed into the close from current levels as short-covering, lower long-term rates and bargain-hunting offsets worries over tomorrow’s retail sales reports.