Friday, April 28, 2017
Some selling to close out the month of April as the Dow fell 40 points on average volume. the advance/declines were negative. The summation index is still moving up. GDP was just a bit light of expectations. We did open higher and close lower once again. I don't think that we're running out of steam here, just moving sideways after the huge run up. I did cancel my open order for the SPY May calls to get out before the weekend. I'll be placing that trade again next week. I still expect a break higher to new all time highs sooner rather than later. GE was lower by a dime but the volume was pretty light. Gold was up a few bucks and the US dollar was a bit lower but did come off of its lows for the session. The XAU added 2 points, while GDX gained 3/8. Volume was average. Mentally I'm feeling OK. Short term overbought for all the major stock indices with the exception of the TRAN. RUT had a weak session but we'll have to see if that was just the end of the month squaring. The small stocks continue to lead the way but perhaps they need a sideways rest as well. May sometimes isn't the best month for stocks, so I'll have to tread carefully if I do attempt a trade for the SPY calls. I'd prefer to see weakness in the beginning of the week and that would set me up for a long trade. But as you know the market rarely cooperates. I'm in a better mental state of mind now so perhaps I'll be able to make the proper decisions. Plenty of work to do over the weekend to be ready for a fresh trading week. For now it's Friday afternoon and time for a rest.