Normally, traders would be euphoric after a bullish day like today, but the nervousness still overhangs the market. In my own accounts, I closed some bullish trades for nice gains that should, in more rational times, be expected to continue on for more profits, but I decided to take my money off the table and wait and see what tomorrow brings. On the other hand, in my delta neutral trading, I sold the June 710/720 call spreads today to complete the June 590/600 and 710/720 iron condor on RUT and also established my July 520/530 and 750/760 iron condor on RUT before the holiday weekend. June's greeks stand at a position delta of -$68 and theta = +$135 while the freshly minted July position stands at a delta of -$38 and theta = +$80.

Today's strong open and steady gains throughout the day began with China denying the rumors from yesterday about reconsidering their Euro debt holdings. This fueled increases in the European markets,  strengthened the Euro and set the stage for the US markets. Initial unemployment claims declined by 14k to 460k and continuing claims dropped almost 30k to 4.607 million. GDP grew 3% in the first quarter and while this was less than the 5.6% growth in the fourth quarter, analysts regarded this as more good news supporting an economic recovery, albeit a slow one. RUT ran up $28 to close at $671 and the SPX closed at $1103, up $35. Both indexes closed at their highs for the day - a rather bullish indicator. After the recent volatility, one might have expected some profit taking after such a strong move upward, but it didn't happen. Trading volume declined with a drop of 23% on NYSE and a 3% increase on NASDAQ. Trading in the S&P 500 stocks dropped below the 50 day moving average to about 4.5 billion shares.

So, now what? Will traders take money off the table before the holiday weekend? We'll see. As yesterday demonstrated, it only takes a rumor to bring this market down in a hurry.