Tuesday, March 22, 2016
Slight downside today as the Dow fell 41 points on light volume. The advance/declines were negative but not in a big way. The overall market was stronger than the Dow. Considering there was another terrorist attack in Europe, the market held up rather well. Usually a market that doesn't decline on bad news wants to go higher. It seems as though we are in a holiday week as the volume is slow. I'm now thinking of postponing the SPY April put trade until next week. However if the S&P gets to 2060 I will have to rethink this. We remain overbought on both the short and medium term. GE barely moved and the volume was light. Perhaps we can look for clues here as GE is about to make a new yearly high. Would the overall market follow? Gold was up a few bucks today but finished well off of its highs. The US dollar was higher as well. The XAU and GDX were little changed on light volume. There was no flight to safety for gold today. Mentally I'm feeling OK. We are still long overdue for some decline in stocks but there aren't any sellers out there at the moment. There's only a couple of trading days left this week and it appears that we are in holiday mode. Perhaps patience is required. I suppose there is no point in trying to make something happen as the market seems to just be biding its time right now. I'm still a believer in the SPY April puts at some point in time. Europe came back from early losses overnight despite the bombing in Brussels. Asia was mixed. We'll keep an eye on what transpires tonight.