I am increasingly skeptical of anyone who tells me he understands these markets. The incredible bullishness of the past two sessions continued today, even on a holiday with an early market closing. SPX closed at $1374, up $9. RUT is trading even more aggressively, closing up $11 at $818. Trading volume was mixed, but still higher than one might expect before a holiday. Volume was up 42% on the NYSE. On the other hand, trading volume was down 3% on NASDAQ.

There wasn't any new economic data today to explain the strong rally on Wall Street. ADP's payroll report will come out Thursday and then we get the jobs report on Friday. Many will be watching the jobs report closely for evidence of more economic softening. Much of the recent data appears to be pointing to a slowing of the economy at best and perhaps a new recession at worst. That is what perplexes me about the strength of the market over the past three sessions.

My July condor is feeling the pressure of this market run with a P/L of +$1,360 with delta = -$92 and theta = +$125. The 850 call remains one standard deviation OTM, but the relentless push higher is being felt. The Aug condor stands at a P/L of -$1,980 with delta = -$50 and theta = +$51. It doesn't seem possible that this rally can continue, but maybe that is precisely what we are in for - hard to predict these things.

Enjoy your mid-week holiday. Remember to be thankful for your prosperity and your freedom. Those benefits are inextricably linked.