Cooler Heads May Prevail in Market

This column was originally published on RealMoney on March 5 at 11:09 a.m. EST. It's being republished as a bonus for TheStreet.com readers. For more information about subscribing to RealMoney, please click here.

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So Europe simply catches up with Friday's Dow action and no more that that. So typical.

Meanwhile, we trade down to 12,045, right where we hit Thursday's low on the Dow, give or take 10 points -- well, take 10 points -- and we can regard that as a successful retest.

Plus, we are now in a mode where we have buybacks working, we have a major reversal in the banks, and we have a remarkable tech rally.

All of this is enough -- third test of the level, buybacks in force, stocks bucking downgrades -- that you are getting levels where people are very interested.

Here's a thought: The traders freaked out, but other, cooler heads, looked at things over the weekend and liked what they saw.

Not bad for a morning's work.

Random musings: Watch the dot-coms. I am convinced that Yahoo! (YHOO Quote) will have an upside surprise.