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Wednesday, October 06, 2010

The Dow closed up 23 points on average volume. Advance/declines were negative. The overall market was weaker than the Dow. I still have the OEX puts but they're dead. Should be dumped this week. The employment report is the next catalyst on Friday. We'll see what happens. Gold gained another $10 today and the XAU was up 4. ABX, GG and NEM all rose a buck or more on average volume. The US dollar went to fresh lows. I canceled the open order for the ABX calls. Way too late for the gold shares at this point I believe. Overbought and staying there and that won't last forever. There will be a time for the gold shares again. Perhaps when they return to the breakout area. Gold has been the place to be. Mentally I'm feeling OK. 7 days in the October option cycle. I think that the prudent thing to do here is to let the October cycle end and go from there. For now it's a waiting game for Friday.

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