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Wednesday, October 25, 2006

The Dow was up 6 points on heavy volume. Advance/declines were almost 2 to 1 positive. Nothing seems to be able to keep this market down. The Fed left rates unchanged. My prognosis was wrong. There was no hawkish statement. Still overbought and staying there. It just goes on and on. There is nothing else to do but watch. Gold was up around 3 bucks and the XAU rose almost 4 points. There is no pullback. I have an open order for some NEM calls but it probably won't get filled. I might try and just get something before the earnings next week because the volume says this move is for real. Gold moves dramatically sometimes and in both directions. I expect the earnings to be good but I haven't been right about anything in quite some time. We'll see what happens. Probably should have been buying calls on Monday. It is always easy to look back. Mentally what can I say? It is no fun being wrong all the time. The heavy losses I sustained before have now caused me to it on my hands when I should have been trading. That is the problem. You get gun shy and end up not doing anything when you should be trading. That's why losses are killers. You lose your confidence. And there is no place to go. You have to somehow forget about your past mistakes and move on. It isn't easy. Discipline is not to be taken for granted. The markets are unrelenting. If it was easy, everybody would be successful. Tough game.

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