When you look at an old fashion pendulum clock you know that it swings from one extreme to the next. Each time it reaches an extreme it moves back down to normality (the bottom center of the swing) and then overshoots it until the next extreme.

The pendulum extremes are like being above or below the upper and lower Bollinger Band levels. The Center line in middle of a Bollinger Band is like the normality level over time.

So, like a pendulum extreme, when a tick falls well below a lower Bollinger Band like yesterday, it is an extreme level where it comes under pressure to move back into the Bollinger Band area. Sometimes, it takes a couple of ticks below the lower Bollinger Band to find its true extreme level, but the fear index (the VIX) often gives you a clue about when the extreme has been reached.

In any case, this morning's gap up opening was a normal reaction to an overextended tick on the lower Bollinger Band. At 10:07, the $NYBR (New York Stock Exchange Breadth) was at 2131 ... a strong positive level. If it falls below 700 today, it could get into trouble ... but for now, it is nice and strong.