The Dow lost 13 points on average volume. Advance/declines were about even. We started out up 100 then sold off in the last hour to down 100 and came back to finish where we did. It was the end of the month and end of the quarter gyrations. I think we are getting to an intermediate term oversold condition. I'll check things over the weekend but that is my thought at the moment. However the summation index is still pointing down. Gold didn't do much today but the XAU rose a point. ABX was up a quarter. I had an order in for the August calls and it wasn't filled. I am hoping for some type of pull back in this issue next week. We did sell off in ABX in the last hour but the options barely moved. It moved with the market which got a little crazy in the final hour. My feeling is that this trade will work if I can enter at a reasonable price. GE continues higher. No trade there for me at the moment. Mentally I'm a little tired, did not sleep well last night. It's the weekend and I'm a little frustrated about not getting the ABX calls earlier this week. But I've got to move on and go from here. Perhaps I'll get a chance next week or maybe I will just have to pay more for them. We'll see. I would expect next week to be pretty quiet but who knows? I think July 4th usually has a positive bias. For now I'll take a break and check the charts over the weekend...

The Dow ended down 5 points today on average volume. Advance/declines were positive. When it was all said and done we really didn't resolve anything today. We were up 60 points but couldn't hold on. That's not a good sign. End of the month tomorrow. We'll see if the volume picks up. Next week is a holiday week so I would expect things to remain light on the volume front. Gold was up over $5 today but the XAU was flat. ABX was up about a dime on good volume. I canceled my open order for calls there. If it heads back down I'll probably try again. GE was flat on average volume. I'm looking at the calls before the earnings report due in early July. However there is a lot of premium in the options so this is a trade that will have to set up perfectly for me to take a risk there. Mentally I'm still a bit tentative about what the market is going to do here. The summation index is still pointing down but the McClellan oscillator has turned up. Perhaps we are just going to move sideways and remain in a trading range. That's a guess. Earnings season will begin soon however I have no idea what that will bring. So I'm kind of in a spot where things aren't so clear for me at the moment. I'll just have to remain patient and wait for a decent signal one way or the other. It's all part of the game...

The Dow rose 90 points today on heavy volume. Advance/declines were 3 to 1 positive. The Fed announcement is actually tomorrow. It's not usually on Thursday. We have broken the downtrend line that has ruled the indices today. Tomorrow is important. If we follow through to the upside , then I think the downtrend is over. The double top theory will be wrong. But if we head back down strongly, the double top theory probably will work. That's my guess at this point. Gold was little changed but the XAU rose over 2 points today. ABX was up about a half on good volume. It, along with the other gold shares, opened lower and finished higher for a one day reversal. I did have an order in for some ABX August calls but it wasn't filled. I'm leaving it open in hopes of getting filled. I'm looking for a bottom to form here in ABX and hopefully that will take a few days and it will move sideways. Perhaps the low was put in today. Time will tell but this is a trade that I'd like to try. GE was lower all day and closed about unchanged. I might try the July calls here if we test $37.50. We almost got there today but didn't. There is still a lot of premium in these option for July, probably because the earnings will be announced during this cycle. I'm keeping an eye on it. Mentally I did not get a great nights sleep but I'm feeling OK. We are at what I think is an important juncture right now. If the market holds here, then I will be back in the camp that we hit new highs this summer. If we roll over again now then I'll be a double top believer. We'll see...

The Dow lost 14 points today on heavy volume. Advance/declines were about 2 to 1 negative. We were higher again today but could not hold the gains. There is liquidation going on. The overall market was weaker than the Dow again. We might get a buy signal in a couple days if the weakness continues. We will have to get through the Fed announcement tomorrow first. Gold got hammered, down almost 10 bucks today. The XAU dropped another 3 1/2 points. ABX was down again on heavy volume. I suppose I'm glad I held off on the July calls but I am about to try and buy the August calls. When nobody else wants something, that's when I want to buy it. I'm going to put in a limit order. GE is still holding around $38 but the calls are still expensive. I'll keep an eye on them. Mentally I'm a bit tired, not a good nights sleep. The market is acting different here also and that weighs on my mind. Another thing that troubles me is that gold could really be breaking down now and then buying any of the calls won't work. But you have to take some risk to make some gain sometimes. The technicals there are oversold also. So we'll see what happens...

Just 5 minutes to go in todays volatile session. We are down about 15 points on what looks like good volume. Advance/declines are 2 to 1 negative. We were up around 130 points and down around 40. There is something going on here but I don't know what. I suspect some hedge fund trouble. I'm on the sidelines until a decent signal appears or I can figure things out. Like I said before it is possible that a double top has formed on the indices. Gold was down a couple bucks today and the XAU dropped 3 points. ABX was down 80 cents and led the gold shares lower. I am still thinking about getting the calls here but might wait to go out to August. We'll see. GE got down to the target of 38 but the calls were just too expensive for me to bite at. It will be interesting to see if GE can hold here. It might possibly be a clue to the overall market. However at this juncture, with the summation index pointing down, the trend is down. The Dow ended down 8 points with the overall market weaker than that. Mentally I'm feeling good with a lot of sleep last night. However the markets are very unpredictable at the moment. Toss in a Fed announcement on Wednesday and the end of the month on Friday. So things are very difficult to figure for me at this time. I do think I will try a trade in here at some point. I just don't know what...

The Dow lost 185 points on very heavy volume. Advance/declines were 3 to 1 negative. The summation index has rolled over and the trend is down. I have no reasons for the decline but my belief is that we are going to set up for a summer rally. But I'm not so sure as I was before. There is a possibility that we have put in a double top in the indices. The measuring objective for the OEX would be 660. Time will tell and I'm really not sure as I haven't been able to figure things out lately. Gold was up over $2 but the XAU fell 3/4. ABX continues to rise despite the market. It was up slightly today on good volume in a down market. I get the feeling that something is going on here but I certainly don't know what. The relative strength stands out and I do want to get the calls if it ever pulls back. Perhaps I will get a chance next week. GE was down today and the volume was pretty good there. It is almost back to the breakout point at 38. I would like to get the calls there but the overall market action has me worried. None the less, I am probably going to give it a try. Mentally I'm feeling fine with a good nights sleep. I am a little frustrated with ABX since I don't own the calls and it keeps moving higher. But there is nothing I can do about that at the moment. Like I said we'll see about it next week. The market action has me concerned because I did not expect such volatility at the beginning of summer. It is normally a slower time. So we'll see what happens. Fed meeting next week and I'm sure we will move off of that. For now it's the weekend and I will try and relax for a couple of days...

The Dow rose 56 points on good volume. Advance/declines were positive. There was no follow through to the downside and that is constructive going forward. There is some volatility here which is surprising to me. I don't have a good handle on what is going on right now but I am looking for higher prices down the road. GE was pretty much unchanged and I'm hoping it returns to the breakout point. Gold was down over $5 today but the XAU rose 1 1/2. This, I cannot figure out. Perhaps it is still following the overall market. The dollar was higher too. When things don't follow their usual patterns I tend to pull back. ABX was higher and I would really like to get the calls there. But I'm confused as to what is going on here. I think that I will wait until next week to attempt any kind of trade. Mentally I feel fine and got a good nights sleep. I would expect tomorrow to be a slow get away Friday in the summer. But who knows? Trading can be frustrating at times and that is the spot I'm in at the moment. Without a clear idea of what's going on, it's best to step aside. I do want to make a trade for the July cycle but I need a decent signal to get involved. So at this point it's a waiting game...

The Dow lost 146 points on heavy volume. Advance/declines were 3 to 1 negative. I must say I was expecting weakness but not like this. The summation index has probably rolled over again. I don't know exactly quite what to make of it. Bond yields rose and there was some negative Bear Stearns chatter. But I'm not sure what is going on yet. I don't expect some big decline here but I could be wrong. Time will tell. GE lost ground on good volume today. If it falls back to the breakout point, I will consider getting the calls for July. Gold lost almost $5 today. The XAU shed over 2 1//2. ABX held up rather well, only down around a quarter. I guess I'm not in a hurry to buy the calls here. I'm thinking at this point that I will go out to August. But I'm not completely sure. Mentally I'm doing OK but I am surprised by todays very negative action. There is perhaps a bigger double top forming in the indices. It's just too early to call at this point. I'm really looking for prices to hit new highs this summer. But I could be wrong and usually am. We'll have to see what kind of follow through we get tomorrow. And here I thought the summer doldrums had started...

The Dow was up 22 points on average volume. Advance/declines were positive. GE was the story of the day as it rose over a buck on very heavy volume. So it looks like I've missed that but you never know. The volume was extremely heavy in the out of the money nearest call. Perhaps that will be the play but it is overextended at this point. Trading can and is sometimes very frustrating. Gold was up $5 and the XAU rose a point. ABX was up on good volume as well as it gained a half. I would like to see ABX pull back a bit but it looks like the money is starting to come back into this issue as well. I don't want to chase it. Getting back to the overall market, I think we could be in for a pause soon. We are short term overbought. I don't think it's worth trying to buy puts for. Perhaps it will give a chance to purchase some OEX calls but there are so much time left on the July options that I feel the sidelines are best for now in the OEX. I could be wrong and often am. I think I will focus on ABX for now and see if I can get some calls there. We'll see. Mentally I'm feeling OK I guess. I would have liked to have gotten those GE calls, I can tell you that. But you have to just keep going in the game. It certainly won't wait around for you...

20 minutes to go in todays session. I am posting early due to after market commitments. We're down about 20 points on the Dow. Advance/declines are about even and the volume is light. Summer doesn't officially start until Thursday but it's begun on Wall Street. We've been in a tight range all day and things are really going nowhere today. The stocks that I'm looking to trade, GE and ABX aren't moving much at all. There are 5 weeks in this option cycle, so there is no rush by anyone to do anything at the moment. So you have to take that into consideration when forming ideas to trade. Gold was up around a buck today but it is really a ho-hum session. The dollar was lower. Mentally I'm feeling fine and am looking to trade something this cycle. But I can't push things. I do want to get some calls for GE and for ABX if the situation warrants it. I think at some point it will. I also have a feeling that we might see 14000 on the Dow perhaps this summer. That's just a guess. There is some housing data being released tomorrow but it is a light week for economic reports. Still down around 20 with 10 minutes to go...

The Dow was up 85 points on good volume. Advance/declines were 3 to 1 positive. The CPI was viewed as benign. The June option cycle has ended. The market just seems like it wants to go higher here. GE had a good day and the volume was heavy. I do want to own some July calls there but will wait for a pull back. Hopefully that will occur but it may not. Gold was up a couple bucks today and the XAU rose over 2 points. I believe that this is just following the overall market. I haven't gotten the solid buy signal for gold that I usually see. ABX rose almost 75 cents today on good volume. I would like to get some calls here also but it just isn't as strong a buy without the gold signal. The dollar was weaker today which probably helped the gold shares but it didn't do much for the metal itself. So there are mixed signals here and I will have to check things over the weekend. The dollar has stalled at 83 which was the original target for the end of the so called rally. We'll see what happens. Mentally I'm feeling fine. Summer officially starts next week and I expect things to slow down in the market. There will be money to be made however there will most likely be a lot of days where nothing happens. It is a time for vacations and relaxation. This has to be taken into consideration when trading options. It will not be easy. So for now it's time to take a break on the weekend...

The rally continued today with the Dow up 71 points. Advance/declines were about 2 to 1 positive but the volume was light. Producer prices came in a bit higher then expected but it didn't faze the market. Consumer prices tomorrow. I did want to get some OEX puts for the CPI tomorrow but the risk is way too much. I will just have to be patient and wait for a decent signal. I had my chances this cycle, just did not exploit them. Gold was up $3 and the XAU rose a point and three quarters. Again, mainly due to FCX. The dollar didn't do much today. There isn't a buy signal on the gold shares and it looks like it could be a while before there is one. Mentally I'm feeling good. Even though I didn't make any trades this option cycle, my thinking was in the right direction. I have to continue doing the work and keeping an eye on things. I feel good going forward. My next trade that I'm thinking about will be GE calls for July. I think the overall market is going to head higher and GE will go along for the ride. I do feel the market will take a rest next week and perhaps I will be able to purchase the calls then. We'll see. It also looks right now that we will hit new highs for the indices over the summer. The summation index has not turned around yet but I believe it will shortly. Also interest rates have spiked higher here lately and that is not sustainable. So as rates come down a touch the market will begin its summer rally. That is my guess today, as always subject to change as market events unfold.

The Dow soared 187 points today on good volume. Advance/declines were 4 to 1 positive. It was an up day from the start. I didn't get any OEX calls since there was not any weakness early or after the Fed minutes. The Fed said all the right things in its release and the market took off. Producer prices tomorrow and I would expect the market to continue higher. It's the consumer prices that I'm not sure about. I doubt that I will be making any trades with just 2 days left in the cycle. I will say that I think the decline is over for now. We may drift lower next week but that's my idea at the moment. The McClellan oscillator got way oversold again yesterday and we are bouncing. We also stopped at the 50 day moving average. We'll see. Gold was little changed but the XAU gained almost 2 points, mainly due to FCX. No trades there for now. The US dollar got to 83 today and that was my target. It is right at a multi-week down trend line that has been in effect a long time. There is a chance we could go to 84 but that would be it. With bonds very oversold here it would not be a surprise for the dollar to stall here. But that is just a guess. Mentally I'm a bit tired. But I'm feeling good about what the market is doing here and I think I'm kind of getting a handle on it. I'm now looking to July calls for the next trade. Perhaps GE but I will look things over this weekend. That could all change if we get some high inflation numbers in the next 2 days. I'm guessing Friday, if at all. We'll see if we get some follow through to todays big move...

The Dow lost 130 points on good volume. Advance/declines were 7 to 1 negative. The market headed lower from the beginning. I had an overnight order in for some OEX puts but it wasn't filled so I canceled it. We were actually up about 20 points on the Dow at one point today. But the market soon started to decline and never looked back. The puts I wanted didn't get cheap enough for me but I suppose I just wasn't quick enough to buy them. We are near the lower end of the Bollinger band for the OEX and the 50 day moving average. I might try some OEX calls tomorrow if it sets up for me. But the risk is very high here now with only 3 days to go and important data coming out. Perhaps the sidelines would be the more prudent route. Gold lost 6 bucks today and the XAU dropped a point and a half. Really no interest here lately but I must say the gold shares have held up better then the metal itself. No trades here for now. Mentally I'm feeling good. I do think we are getting overdone here on the downside. That doesn't mean that we can't head lower but I think we will see a good pop to the upside in the indices before the week is out. I could be wrong. The summation index is still heading down and that isn't a bullish sign. However I do think that we are setting up here for a summer rally. It will take a while for a bottom to form but I am thinking right now that some July calls will be in order. I'll be taking another look at GE in that regard. So the Fed minutes will be released tomorrow and I think it will be a mover to the downside. If and when that occurs I will be looking at the OEX calls for a snap back on the PPI release Thursday morning. I do not think the producer prices went up that much last month. That is what my indicators show. But who knows?

The Dow ended up pretty much unchanged today on light volume. Advance/declines were about even. We were up about 40 points and down about 40 points during the day. However we sold off in the last hour and that's never really a good sign. I was looking at some OEX puts and would like to buy some. This will have to be a quick trade since we are in the expiration week and there are 4 days left. We have done a Fibonacci 62% retracement of the recent decline and started lower. My hope is that tomorrow we build in a little more of a short term top and then head down from there. That's just a guess. If we just head down from here then I'll look to get long near the end of the week. I would like to get in a trade this week. Gold bounced back 8 bucks today and the XAU gained a point. It didn't seem all that convincing to me but at least the decline has stopped for now. I haven't gotten the solid buy signal there yet and I don't know exactly when that will happen. It doesn't look like it's in the offing near term. The US dollar hasn't reached my target of 83 yet but it's close. There is a lot of talk about higher US interest rates lately which could support the dollar. However whenever something is widely known it has usually already been discounted in the market. If that's the case here then gold might be getting close to being interesting again. We'll see. Mentally I'm feeling fine, got a pretty good nights sleep. I'm getting somewhat anxious to make a trade here and I need to keep that in mind. The market will do what it does. I can't force myself upon it. However I think I've got a feel for what will happen here. If the market remains positive tomorrow, I'm going to short it. It won't be a long trade, time wise. We have inflation data out on Thursday and Friday. I think the Fed minutes release on Wednesday is going to be a mover as well. But the market isn't going to wait for me. The rollover today could already be the beginning of the retest of the low last week. It never is easy. There are many questions to answer this week. However there is money to be made.

Got a nice bounce in the Dow today, up 157 points on good volume. Advance/declines were 2 to 1 positive. I was sick last night and had to sleep in so I didn't buy any OEX calls. They didn't get a cheap as I would have liked but the trade was there. Where we go from here is the question. I think we will have to test the low. At least that is my thinking at the moment. There is a lot of data coming out next week so it could get volatile. I'm going to have to play it as it comes. It won't be easy. Gold got slammed today, down over $12. However the XAU managed to gain almost a point in sympathy with the overall rise today. It was either that or short covering. I don't see any trade there anytime soon. However the US dollar was higher today and we are getting close to my target of 83. Perhaps we will just blow through that and turn the overall trend in the dollar higher. That's just a guess. Mentally I'm really tired as I didn't sleep well due to something wrong with my stomach. This hasn't happened before but you need to be at your best to trade successfully. I think it was something I ate. The plan was to get up early and buy calls on weakness but I couldn't do it. Expiration week is coming up and I am sure it will be interesting. For now it's the weekend and I need to rest and get ready for Monday.

The Dow got clobbered to day, down almost 200 points. Advance/declines were 10 to 1 negative and the volume was heavy. Interesting. Declining volume was 10 to 1 over advancing volume also. There are no buyers all of a sudden. We are oversold and there will be a bounce. I may try and play it and I am looking at OEX calls here. We are just about at the 50 day moving average line and that should provide some type of short term support. So I might get some calls tomorrow but it is risky. Gold lost 10 bucks today and the XAU lost 4 and three quarters. The dollar was a bit stronger as US interest rates have gone higher recently. I don't have the signal for getting long gold just yet. It is also possible that we are not going to see it for a while if we break $650 on gold. The level I'm looking for on the US dollar is 83. That is where long term resistance from the weekly down trend line is. That will be the moment of truth for the dollar and hence, gold also in my opinion. Mentally I'm a but tired. Obviously it is a bit more taxing when the market is moving like it has this week but these are the times that can create opportunities. I'm not looking at GE calls anymore, the chart just doesn't look that promising. I do think the overall market will bounce here and that will be the next chance for a trade. Expiration week is coming and that usually has a positive bias. However that doesn't mean that it happens all the time. Today had good volume and perhaps it was a washout of sorts. I do think this decline is setting us up for a summer rally so I will be looking at July calls in some issues now. Also July has an extra week on the options which could bolster the call case. Or not. That's what makes the game such a challenge and difficult to say the least.

There is an hour to go today and we are down 150 points on the Dow. I have early afternoon commitments again and have to post early. Advance/declines are about 5 to 1 negative at the moment. The summation index has rolled over and is giving a sell signal. Needless to say the OEX puts would have worked out nicely. Gold didn't do much today but the XAU is down a point and a half right now. Needless to say it will be interesting to see how the markets close today. One of the reasons I did not put on a position early this week is because I knew I couldn't stay until the end of the trading day today. There is still time to make some money before the expiration next week. However the risk will be rising with each passing day. More tomorrow...

The Dow shed 80 points on average volume. Advance/declines were 3 to 1 negative. Big Ben had some kind of speech about interest rates that moved the markets. We were overbought so it wasn't a surprise. I did not get any OEX puts and it would have had to be a quick trade which isn't my strong suit. I am looking at getting long some GE calls but the chart doesn't look all that great. Perhaps OEX calls will be the play. I'll need to check the charts overnight. Gold was down around a buck and the XAU lost a point and a half. I can't really see gold doing anything here if interest rates aren't going down. But you never know. Mentally I'm feeling OK. I don't have any real firm ideas about what to do here but I'm leaning towards the long side for expiration week. After that, who knows? I think patience and prudence are the qualities that are needed here. I don't want to do anything just for the sake of having a trade on. However I would like to make some money. I've been a bit gun shy since the year hasn't been going too well so far. But I can't let that stop me from taking reasonable risk when the time arrives. My guess is tomorrow will be a sideways day, there just isn't a lot of news coming out.

About 20 minutes to go in todays session. The post is early due to after market commitments. Right now we're up 10 points on the Dow. Advance/declines are positive and the volume is light. I might try some OEX puts here but I'm not looking for some big type of down move. China sold off again overnight and it didn't affect things here, again. That said we are overbought and staying there but not in a decisive manner. It's possible that I will place an overnight order and see what happens. Gold was little changed today although the dollar was weaker. The XAU is currently down over a point. I'm staying away from there for now. Mentally I'm tired and haven't slept well lately. I cannot use that as an excuse for trading though. There are no excuses. I'm looking to do something here before expiration. At the moment, I'm thinking OEX puts for a short move. 10 minutes to go and we're up 14 points on the Dow. More tomorrow...

The Dow was up 40 points on average volume. Advance/declines were almost 2 to 1 positive. So on we go from new high to new high. Nothing seems to be able to stop this market. The trend is up and there is nothing to change that. We are short term overbought. I am thinking of getting some puts on any strength Monday for a short term trade. If we get a light volume rally I will most likely give it a try. Gold followed through big-time with a $10 rise today. The XAU was up over 2 and a 1/2 points. ABX and NEM rose on good volume. I will maybe try and get some gold calls on a pullback next week. I'm not sure. The dollar didn't do much today but there was some news about the European central bank capping gold sales. So I need to check things over the weekend and take it from there. I did not see the usual good gold buy signal in this move, so I'm a little leery of it. The economic data today also was a bit stronger than expected so there's not much chance of a rate cut anytime soon which would weaken the dollar. Mentally I'm trying not to feel bad about missing the gold move. I had been looking at it but the signal just wasn't there. Otherwise it's the weekend so I'll try and relax a little. GE was down a touch today and the calls don't look cheap enough for me yet. So it's on to checking the charts and perhaps some OEX puts on Monday or Tuesday...