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Wednesday, February 08, 2012

A minor attempt at a sell off this morning but the Dow came back and ended the day with a gain of 5 points. The advance/declines were positive and the volume was average. The overall market was stronger than the Dow. No signs of a pullback although the short term technical picture is very overbought. The trend is up until further notice. GE had a fractional gain on light volume. No trades there for now. I'm still considering the March calls. Gold was down $17 on the futures but came back by $5 in the aftermarket. The US dollar was basically flat. The XAU fell 1/3. ABX, GG and NEM had fractional losses on light volume. I'm still leaving in the open order for the February ABX calls. Running out of time here and I usually don't do well with the short term trades. We'll see if the order gets filled tomorrow and go from there. Only 7 days left in the February option cycle. Mentally I'm feeling OK. Not a lot of data out this week and not a lot of news so far. There is really nothing new to report. The rally continues to have legs and there is nothing to stop it just yet. But we are very overbought and that condition won't last forever.

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