Yep, it was just a buying frenzy this afternoon.  Or was it?  Bids rose quite fast on low volume, then some volume came in with uncommitted shorts covering.  OK, you don’t have to agree, but that is what I saw on the tape and the charts.  We told you we would test resistance levels and we are.  It is getting a little irksome that we are doing these “tests” in record fashion, but you play what you get!  Plenty of selling into this rally, so be careful.

Earnings reports have left NTGR (Netgear) down after hours, and NTAP (Network Appliance) and VCLK (Valueclick) have guided lower.  Most of the reports are unremarkable or inline with low expectations.  BIDU earnings are out and they are good enough: Q4 $.87 v $.72 expected, revenue $78.3M.  They guided Q1 lower to $73.1M-$75.1M versus the $77.1M expected.  So far after hours trading seems to favor the upside, but it’s touch and go.

Some major shareholders are upset about the Countrywide/Bank of America (CFC/BAC) deal.  They don’t think Bank of America is paying enough for CFC.  I think they’ve already paid too much and the deal isn’t anywhere close to being closed.  But, nobody asked me.

I’m really tired of hearing how the market will climb the “wall of worry”.  I’m sure there was plenty of worry from 1929 to 1932, so check out how well that climb went.  Maybe the market just didn’t have the best belayer!  It remains to be seen if we have one now.