Friday, October 30, 2015
Some selling to finish off trading in the month of October as the Dow lost 93 points on good volume. The advance/declines were positive though. We're still overbought for the major stock indices. If we see some decline next week, I'll probably try the SPY November calls. However the market just seems to want to go higher despite the noise around it. The summation index is moving sideways. GE was down 3/8 on good volume. If GE is a precursor for the overall market again, then maybe we'll get the decline needed to set up the SPY call trade. I'm also now looking to go out to the January GE calls as well. Gold continued lower as the futures fell $5. The US dollar was lower as well. The XAU and GDX had fractional losses on light volume. It was a rough week for the precious metal complex. Mentally I'm feeling OK. Another week to the upside for the major stock indexes but the gain was small. Plenty of data out next week with Fridays employment report the key element. I don't know what to expect there. There should be some beginning of the month money flows coming early in the week. The game plan for me remains the same. If we get oversold, then purchase the SPY November calls. Otherwise it continues to be a waiting game for me. I'll be checking the charts out over the weekend as usual. For now it's Friday afternoon and time for a rest.