The markets continue to show their resilience this week. After the shakeup of leading tech stocks last week the markets have begun their bounce to attempt to erase those declines. The S&P 500 (SPY  ) near all time highs yet again and in complete control of its uptrend at this point. For the year the impressive march higher continues with over an 8% gain.

The Nasdaq 100 (QQQ  ) has been the major focus of late due to the rapid declines in the F.A.A.N.G. stocks. So far this week the volatility has continued, but the movement has been higher. There is still a ways to go before all of last week's declines are erased but so far the bulls seem determined to give it a shot. Volume remains above average and with the Federal Reserve interest rate decision looming its likely to stay that way.

Oil and Gas exploration (XOP  ) has been rather strong this week so far. There have been bounces like this along the way and investors will be cautious to assume they have found a bottom. The reason is that the XOP has been in a downtrend since December 2016 and every bounce has been sold off to new lows. With tech stocks looking more uncertain it has been speculated that money is rotating into oil and gas. The undervalued sector continues to find buyers as evidenced by the above average volume.

The VIX (VXX  ) is probably the most talked about product in the markets these days. Each day that goes by leads to a new low for the VXX and leaves traders confused about the need for such a product. Many traders and analysts continue to caution that you do not want to be short volatility at these levels. If there were a decline in the S&P similar to what we saw in the Nasdaq, the VXX would likely see a percentage spike well over double digits.

The Federal Reserve interest rate decision along with their press conference will likely leave the markets, and traders adjusting through the rest of the week. It is still summertime and lighter volume can be expected once this passes.