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Wednesday, June 23, 2004

Doldrums over. Let the summer rally begin. Market rallied in the final hour again today with the Dow up 84 points. Volume was better than usual as was yesterday which I noticed after the close. We have broken out of trading range from the last couple of weeks to the upside. New highs in the offing? Time will tell. Gold didn't move much today and neither did the XAU, which was up a tad. NEM was down a touch. I would still like to put on a long gold trade before the Fed announcement. How to trade the rally? I see that GE has already moved up and is in a solid uptrend. I'll have to check the weeklies there. OEX perhaps? There is resistance on a weekly basis around 10 points from here. That will be the key. If we can somehow break through that, it's up, up and away. The options still have alot of time premium in them since we are in the first week post expiration. Also one less day on them with the July 4th holiday. So decisions must be made. But not today and for me probably not this week.

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