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Tuesday, January 23, 2007

The Dow rose 56 points on good volume. Advance/declines were almost 2 to 1 positive. Tech earnings are out after the bell and that should get things started tomorrow. No OEX trades for now. Gold moved up $11 today as the dollar was a bit weaker. ABX was up almost a dollar and my calls are in the black. Volume was heavy in the gold shares as the XAU had its best day in quite a while, up almost 6 points. Perhaps the money is flowing back into commodities as oil had a good day too. Or it could be just a bounce. Of course I now wish I had bought more calls and went out to March but I'll take what I've got. Timing is everything sometimes. Getting out will be the challenge now. However longer term the gold shares were oversold so this could be the beginning of a longer term move. The dollar was pushed back from the weekly downtrend line also for now. It could just be a consolidation or it may be the start of a new leg down. Time will tell. Mentally I'm fine for now but I can't be feeling too good. Trading is very fickle. I need to keep an eye on things and hopefully do this trade right. It's a process. I can't forget that. Otherwise I think the stock market will rally into the end of January and then we'll see what happens after that. Perhaps February OEX puts will be the play.

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