The markets traded upward strongly today on increased volume. But reasoning why is tough. We are still in the midst of this Syria military action debate (during my lifetime, the "spin" of language has hit its stride - it is no longer "going to war" or "killing people"; it is "military action"). The question of tapering of Fed stimulus is still very much up in the air and that won't be resolved until September 18 (maybe). In the midst of all of this uncertainty, SPX tacked on $13 to close at $1653. It remains ten dollars below the 50 dma, so don't uncork the champagne just yet. RUT followed suit with a nine dollar increase to $1026. RUT's 50 dma is at $1029. Both charts seem to have hammered out solid support at $1630 and $1010, respectively. Is it reasonable to think of those levels as the lows if the Syria action is approved? Maybe, but rational reasoning may be dangerous in this market.

Trading volume bumped upward today with 2.3 billion shares of the S&P 500 stocks trading (2.1B is the 50 dma). Trading was down 10% on the NYSE but up 12% on NASDAQ. Volatility pulled back almost one full point to 15.9% (as measured by the VIX). Volatility remains relatively high, so don't take a nap.

There were no significant economic data reports today. Unemployment claims, the ADP private employment numbers, and the ISM Services index all report tomorrow, with the Nonfarm Payrolls Report, aka, the jobs report, to be released  Friday morning before the market opens. We could see a big move in the markets Friday.