Tuesday, May 16, 2017
Back to hanging around as the Dow lost 2 points on average volume. The advance/declines were negative. The summation index is heading sideways. The NASDAQ continues to out perform as it remains very overbought. I'm still looking for higher prices here in the short term. What we really need to see is a high volume breakout one way or the other to get things going. With the small stocks doing so well there really isn't a reason to be bearish here. The economy seems to be plugging along and the market with it. GE lost another 1/8 and the volume was average. Gold was up $7 on the futures as the US dollar dropped again. The XAU and GDX had slight fractional gains on very light volume. Still no love for the gold shares. Mentally I'm feeling OK. It doesn't appear as though I'll be getting in a trade for the May option cycle. We'll have to look out to June. There really isn't a clear signal at the moment as the SPY call opportunity has passed for this week in my opinion. So patience will be the strategy for the time being. I certainly don't want to press the issue or start to get into a guessing game. So the sidelines are where I'll be for now. Europe and Asia were generally higher overnight but no big moves. We'll see what tomorrow brings.