Wednesday, July 13, 2016
Not much to speak of today as the Dow rose 24 points on light volume. The advance/declines were slightly negative. The summation index continues to the upside. The small stocks were relatively weaker along with the overall market. It felt like a summer trading day. Overbought on all accounts now and extremely in some areas. Some type of pause would be expected. I'll be waiting patiently before trying the next trade. GE was up a dime on average volume. Gold bounced back 8 bucks and the US dollar was a bit weaker. The XAU gained 3 1/4, while GDX added a point. Volume was lighter than yesterday. Mentally I'm feeling OK. Not much to report on the market front. It was another new all time high for the Dow but we are barely hearing a peep from the mainstream media. That probably means that this rally has room to go. When everyone starts talking about the market, then you know we are at a meaningful top. We are overbought all the way around on the technical indicators but that doesn't necessarily mean that a decline is imminent. Perhaps some sideways chugging before we move higher. That's a guess as usual. We are going to let option expiration week pass and go from there. Asia was slightly higher and Europe generally mixed overnight. We'll keep an eye on things tonight and take it from there.