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Wednesday, September 13, 2017

Another day of hanging around as the Dow gained 39 points on light volume.  The advance/declines were slightly positive.  The summation index is heading higher.  We hung around for most of the day and got a slight pop in the final half hour.  No overhead resistance and the expiration week positive bias remains in effect.  I'm going to let this week pass and then try the SPY October puts early next week if the market cooperates.  GE rose 20 cents on good volume.  Gold dipped another $5 on the futures as the US dollar was higher.  Has the dollar put in some kind of bottom here?  Time will tell on that.  The XAU dropped 1 3/4, while GDX shed almost 1/2.  Volume was light.  Gold is at the uptrend line that started in the beginning of July so we're at a short term moment of truth.  The short term technical indicators here have rolled over.  Mentally I'm feeling a bit tired, did not sleep well.  Not much new to report.  The major stock indices are still short term overbought and staying that way.  What I would like to see is a negative RSI divergence for the S&P that would set up the put trade.  But something like that would take time to develop and it is no sure thing that it would happen at all.  I will wait until next week to try something as the October options have an extra week in them anyway.  Premiums are high.  Plus as I already said before, we could get a speculative upside blow off.  That would be hard to try and trade.  Asia was mixed and Europe higher overnight.  We'll see what tomorrow brings.

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