Thursday, July 10, 2008
No follow through to the downside as the Dow rose 81 points on heavy volume. Advance/declines were positive but not by much. We came back in the last hour instead of selling off as we did yesterday. So what happens next? My thinking is that we have to turn the summation index around at some point. It may as well be now. But who knows? We've stayed negative for quite some time. There is no reason it just won't continue until expiration. So we'll see. Gold was up 13 bucks today and the XAU gained 5 points. It was a choppy session though for the gold shares and they finished well off the highs again. ABX up 2, GG and NEM up about 1 1/2. Volume was high on all of them. Moving higher here and still the buy signal remains intact. Interesting. The GG calls are back in the black but now it seems as though ABX has taken the lead in price movement. Perhaps I'll dump them tomorrow. GE rose 40 cents on heavy volume. It was all over the place. Short covering perhaps ahead of the earnings tomorrow? The calls are showing a slight profit again. That could all change tomorrow at the open. Regardless, I will be selling these things tomorrow. Mentally I'm feeling OK. Trying to make sense of what is going on here but I haven't in quite a while. GE earnings premium to be taken out tomorrow so that has to be taken into consideration. The gold shares aren't keeping up with the metal and that is worrisome. There's always questions without clear answers in this game.