Pageviews past week

Friday, June 22, 2012

We didn't see any follow through to the downside today as the Dow gained 67 points on good volume.  The advance/declines were 2 to 1 positive.  The summation index continues higher.  I'd have to say that whoever wanted to sell did so yesterday.  If this was the start of a bigger decline, I think we would have seen more liquidation today.  I could be wrong.  I'm not exactly sure what to expect next week but I'm still a believer that declines can be bought.  We may chop around here for a while but I think that the summer rally is still alive.  GE was up 1/4 on average volume.  Perhaps I should have bought the July calls yesterday.  We still need to break the resistance at around 20.25 on good volume for the all clear sign.  I'll look this over again during the weekend.  Gold didn't do much in the futures market but rose around $5 in the aftermarket.  The US dollar was quiet today as well.  The XAU dropped 3/4.  ABX, GG and NEM moved fractionally one way or the other on light volume.  We're not completely oversold technically on the gold shares just yet but I'm considering the August and October calls.  This is another area that I'll have to study over the weekend.  Mentally I'm doing OK.  So we had the huge drop in the stock indices yesterday and today not much of anything.  I don't exactly know what to make of it.  Gold got clobbered yesterday as well and no follow through downside today either.  We're still at the mercy of the next headline coming out of Europe.  Or perhaps when the Supreme court rules on health care we'll get some more volatility.  Plenty of economic data out next week as well.  There's still 4 weeks to go in the July option cycle.  The first week of July could be slow due to the holiday in the middle of the week.  There are many things to consider before taking on the next trade.  But for now it's a sunny summer Friday afternoon and time for a break. 

No comments: