Friday, December 21, 2007
Better late then never for the Santa Claus rally as the Dow gained 205 points. Advance/declines were about 3 to 1 positive and the volume was good. The OEX call trade would have worked if you waited until late in the week to buy them. Hindsight is always correct. Gold had a good day up $12. The XAU rallied over 6 points. Both ABX and NEM were up over a buck on good volume. Perhaps this was the week to buy the gold share calls. We'll see. GE even was higher by 66 cents and at one point was above 37.50. It sold off at the end of the day though. The volume was extremely heavy. We broke a daily down trend line. That's a positive. I'm still holding the calls, ever the optimist. But I still feel that in reality this trade is going to be a loser. I'm just trying to cut the loss to as small as possible. Mentally I'm a bit tired, did not sleep well. My thinking is that next week will be slow. I'll be taking it easy over the weekend and see where we go from here.