Mixed market today, with the Dow off 50 points but NASDAQ up two. So is that good news, bad news or no news at all?

Most of the time, a mixed day in the stock market is of little to no significance. This time, however, "no news" is actually good news.

We've had to ride through a lot of volatility lately, much of it on the downside (painful). Quiet sessions like today show that investors are gradually regaining their composure -- an important prerequisite for the bull market to resume.

I'm not suggesting there won't be any sharp daily moves from now on. There surely will be. But my 20-day moving average of the daily percent change in the S&P 500 index, having peaked August 17, now appears to be in a major retreat.

Given enough time (weeks, not months), calmer markets nearly always seek higher ground. I continue to expect a powerful stock rally during the fourth quarter, probably spilling over into the early months of 2008.