Pageviews past week

Monday, November 07, 2016

An oversold bounce and then some.  The Dow soared 371 points on good volume.  The advance/declines were about 5 to 1 positive.  I don't think the summation index will be turned around after todays market move but it is on the way to doing so.  Extremely oversold is where we were and we're not overbought yet.  Short covering and some new money came into play today.  My SPY November calls have moved all the way back into the black.  I think that this is the start of a move higher and I think that I'll hold these calls until Wednesday.  Of course I could change my mind.  I certainly did not expect a 46 point move up in one day for the S&P 500.  GE was up 7/8 on good volume.  Over the weekend I considered buying some January calls here but it is probably too late for that.  I still may if we get a pullback but I don't see that happening in the near future.  Gold got whacked as the flight to safety ended.  The precious metal futures fell over $20 as the US dollar was higher.  The XAU fell 2 1/3, while GDX lost a point.  Volume was good.  I'd expect gold and the gold shares to be lower to sideways until after the next Fed meeting.  Mentally I'm feeling OK.  We gained all that we lost last week in a day.  That wasn't expected by anyone.  Small stocks had huge moves today and the TRAN broke out above overhead resistance.  I think that the move higher has legs.  The advance/decline volume was almost 10 to 1 positive as well.  We'll have to see how the rest of the week plays out but if the gains hold, the medium term picture will turn bullish as well.  So we'll see.  Europe and Asia were higher overnight as well.  The market may be on hold tomorrow to get the election out of the way but I do think that we'll be moving higher.  New all time highs before the year is out?  As we've recently seen, anything is possible.

1 comment:

pranjali upadhyay said...

Bharat Forge Q2 net profit down 26% (YoY).
Capitalstars