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Monday, October 04, 2004

The Dow was up over 20 points on good volume for a monday. Advance/declines were positive. We are getting overbought here and I expect a pullback. I'd like to try the OEX puts again if I can figure out the proper timing. If we rally into fridays employment report, then I'll get short ahead of the report. If not I guess I'll be on the sidelines. Gold got clobbered today, down 5 and a half dollars. The XAU was only off a little more than a point. ABX was somehow unchanged. ABX is holding up well in the face of bad news. This thing has got to go down one of these days. It would actually be better if it did to work off some of the overbought condition. It's at the top of its Bollinger bands on the daily and weekly charts. Volume was solid again today. Money continues to come into this issue. I have know idea why. I'm staying with it for now but it is a tricky call. It is acting very good though, I can't deny that. NEM was only down around 30 cents here today. GE didn't move much. I'll be looking for a spot to buy those OEX puts again but I know I have to be very careful. We'll see what happens.

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