Friday 07/29: Gap down, buy the dip?

The day started with a rather big gap down, and half an hour in the session, big buyers came in. We went higher fast on big volume, but yesterdays close was a resistance are that held for most indices. In the afternoon the selling began an most indices ended flat or only a little higher compared to the opening. 

So still a rather bearish day, but together with the big volume after several down days, this may indicate a reversal is near. One thing is for sure, we are way oversold here. The McClellan Oscillator is now at -84, almost the lowest point of the year (03/16, Fukushima/tsunami-level).