Editor's Note:

The stock market's bearish reversal from Wednesday stalled as investors wait for the jobs report for May and the ISM Services report. A month ago the jobs report came in at +244,000 jobs. Tomorrow economists are expecting +165,000 jobs but many analysts have downgraded their estimates into the 100K-150K range. There is a chance that stocks could see a relief rally, even on a bad jobs number, merely because it could have been worse.

A rally on Friday morning may not be a great entry point for bullish positions. A lot of analysts are turning increasingly bearish on the month of June. A few market pundits are suggesting traders sell into strength and use rallies as a new entry point for shorts (puts).

Tomorrow could be volatile as markets react to new data. I am not adding any new candidates tonight.

- James