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Tuesday, January 13, 2009

Settling out on the day with the Dow down around 25 points on average volume. Advance/declines are just about even. 3 days until expiration and I think OEX calls are in the mix. Any weakness tomorrow can be used to take a position. We are short term oversold and will bounce between now and the close on Friday. That is my scenario going forward. I have tried to be patient here and I hope it pays off by taking a position tomorrow. We'll see. Gold was flat today but the XAU rose 2 3/4. ABX led the way up 1 3/4, while GG and NEM had fractional gains. Volume was good as demand for the gold shares remains. The dollar was stronger today as well but it didn't stop those issues from gaining ground. It's something to keep an eye on. GE dropped about a buck on heavy volume. Some type of analyst downgrade in the news. Is it a precursor for the overall market? Time will tell. Retail sales data out tomorrow and inflation news the following 2 days. Mentally I'm doing OK. I've put the GE loss behind me and am ready to move on to this OEX trade. If we see some weakness tomorrow I'm going to give it a shot. The best chance will be staying close to being in the money so that is what I will attempt to do. Stay tuned.

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