Wednesday, March 26, 2008
The Dow fell back today, off 110 points on lighter volume. Advance/declines were negative but not drastically. This action is to be expected for an up to sideways market. Volume is lighter on the declines. But that could change as we all know. But for now the prognosis remains the same. A waiting game until we reach the weekly down trend line. It could take a few weeks. Unless there is a decent signal before then. Gold continued to snap back, up $15. The XAU rose another 5 points. ABX outperformed today, up 1 3/4 on good volume. GG and NEM managed just around 1/2 each. I would expect these issues to fall back some from here but I could be wrong. The dollar got clobbered again today. GDP report out tomorrow and weakness may send the dollar even lower. But that's a guess. Bottom line here is that the bounce trade was missed. GE was off 1/4 on average volume. Considering the strong up move there we certainly are not seeing any weakness in GE. That could bode well for the overall market. Mentally I'm doing OK. Still thinking about what is going on in gold at the moment. Really disappointed in missing the bounce trade but I can't let it bother me going forward. The whole idea is really to identify opportunities and be able to take advantage of them. That's it in a nutshell. You do that and you'll do fine. You're gonna be wrong sometimes and you'll miss some but you've got to keep on moving ahead. Persistence doesn't hurt and neither does courage. But for now perhaps patience isn't a bad trait either.