Thursday, January 28, 2016
Back and forth we go as the Dow gained 125 points on average volume. The advance/declines were 2 to 1 positive. The summation index is still trying to turn around here and I do believe that it will. The short term technical indicators are now mid-range for the major stock averages. I'm hoping for some weakness to get the SPY February calls but the market isn't cooperating at the moment. It may simply be too late for this trade. GDP tomorrow should provide the excuse for some movement. The small stocks are acting better here and that's a positive. GE was up about 1/4 on average volume. Basically sideways for three weeks for GE. Gold was off a couple bucks on the futures and the US dollar was lower yet again. The XAU was off a point and GDX shed 1/3. Volume was average. Gold itself is now short term overbought. Mentally I'm feeling OK. I'm still trying to get long here but the market just isn't helping me out. It has been a whipsaw kind of week so far. We do have the end of the month tomorrow, which could make things even more interesting. It could go either way. It looks like I'll have to wait until next week to put on a position regardless of what happens tomorrow. There really isn't a clear signal at the moment. I am sticking with the theory that things will work out to the upside though. Asia was mixed and the European markets were lower last night. Oil has made a slight comeback this week. We'll keep an eye on things overnight and finish off the week and month tomorrow.