It was a day of nothing much as the Dow rose 18 points on average volume.  The advance/declines were positive.  The summation index is still heading lower.  No direction today to close out the month of September.  The big cap short term indicators are trying to turn around.  The small caps remain slightly overbought with the exception of RUT which is oversold.  I cancelled my open order for the SPY October puts.  No need to have it out there over the weekend.  At the rate we're going I may switch over to the SPY calls.  Next week will feature the employment report but that's not until Friday.  I'm thinking that perhaps we'll see some beginning of the month money flows early.  GE was off 1/4 and the volume remains good.  Gold gained $8 and the US dollar was a bit higher too.  The XAU and GDX had slight fractional gains on average volume.  Mentally I'm feeling OK.  The summation index has been heading lower but we really haven't seen much of a decline.  The last time this happened it set the market up for a short term rally.  Could that be the case this time as well?  That's the question here really but I certainly don't have an answer.  At this point I'm in the camp that things could go either way.  I will look things over this weekend and try to make up my mind as of what to do next.  There is still plenty of time in the October option cycle to attempt a trade.  The VIX remains below its 50 day moving average and is in a zone where we should see a rally but that has happened either.  Like I said, I'll have to look at the charts this weekend and try to determine the next course of action here.  Asia was generally higher as was Europe in overnight trade.  It's Friday afternoon and time for a break.

Stumbling around here or so it seems as the Dow gained 54 points on light volume.  The advance/declines were positive.  The summation index continues lower.  The market once again could not hold on to the early gains that it made intra-session.  This certainly isn't positive price action but we haven't completely broken down yet.  The VIX made it back below its 50 day moving average but it doesn't feel like it will stay there.  We'll get the end of the month tomorrow with squaring of positions.  I would not be surprised to see more selling to lock in gains.  But that's a guess as usual.  To me this seems like a grind lower and that isn't the worst thing in the world.  I am leaving my open order for the SPY October puts out there but I doubt that it will be filled.  GE was up another 1/8 and the volume remains heavy.  Gold dropped a dozen as the US dollar rallied.  The XAU and GDX had slight fractional losses on average volume.  the gold shares are now out performing the metal itself and that is a good sign for the bulls.  I'm keeping an eye out on the GDX January calls again.  Mentally I'm feeling OK.  The triple Q's and the NDX are just about to reach new all time highs.  The RUT remains below its 50 day moving average.  Big cap indices are stalling below their records.  It is quite a mixed picture.  So much so that it's easy to really make a case for either way here.  But with the summation index trending down we have to respect that.  Once again I'll say that the breadth has been weak lately and that is not a plus.  So I will just have to keep watching and waiting for now.  I suppose we'll let tomorrow pass and take it from there.  Asia was lower and Europe slightly higher overnight.  We'll close out the week tomorrow.

Volatility returned today as the Dow fell 106 points on about average volume.  The advance/declines were almost 2 to 1 negative.  The summation index is heading down.  The Fed came out, we got a rally and then fell apart in the final hour.  My open order for the SPY October puts did not get filled and it is too late now.  The VIX jumped and it closed above the 50 day moving average.  RUT finally closed below its 50 day moving average.  There is little doubt in my mind that we're heading lower.  The short term technical indicators for the big caps have all rolled over now.  The small stocks have bearish dojis on the daily candlestick charts.  GE was actually up 1/8 on heavy volume.  Gold was off $6 on the futures as the US dollar was a bit higher.  The XAU shed 1 3/4, while GDX lost 3/8.  Volume was heavy.  The gold shares look like they are starting to roll over here.  Mentally I'm feeling a bit frustrated.  I suppose I should have adjusted my open order when we started to rally but hindsight is never wrong.  You have to be able to make the adjustments in the moment.  I wasn't able to do that.  I don't think that I'll get another opportunity for this trade now.  We will probably just head lower from here.  The price action today was a one day reversal to the downside.  With RUT breaking support, unless we see a dramatic turnaround back to the upside tomorrow, this market is finally going to get some weakness that to me is long overdue.  This will occur despite a drop in interest rates but that drop could be due to a flight to safety.  So where do we go from here?  I guess I'll just have to wait for the next signal to show up but that could take a while.  Asia was mixed and Europe higher in last nights trade.  We'll see how it goes tomorrow.

A mixed bag again today as the Dow fell about 70 points on light volume.  The advance/declines were negative.  The summation index is still heading lower.  The overall market was not as weak as the Dow, with the NASDAQ in the plus.  The VIX remains under its 50 day moving average but is oversold and could turn back up at any time.  Today was a waiting game as expected, with the real moves coming tomorrow after the Fed.  I do have my open order for the SPY October puts still out there but at this rate it won't get filled.  The time to try this idea may have already passed if we simply continue lower from here.  Overbought on the big caps with the short term technical indicators rolling over.  I think that we're going to head lower.  GE dropped 1/2 on extremely heavy volume.  This issue used to be a leader but it isn't anymore.  At least it hasn't been lately.  Not even a member of the Dow anymore and that doesn't help.  Not exactly sure what it means but the old industrial stocks just ain't what they used to be.  Gold and the US dollar both didn't do much today.  Same for the XAU and GDX.  Volume here was a bit lighter.  Mentally I'm feeling OK.  All eyes and ears will be on the Fed tomorrow.  It appears that a rate hike of 1/4 point is coming.  Everybody is aware of that.  I guess we'll move off of what chairman Powell says in his speech afterwards.  Which way is the question.  I'm going to leave my open order out there and adjust as we move forward.  Rates have risen lately but the market doesn't seem to be affected.  Once we get tomorrows news perhaps we'll see some relief buying.  Or not.  It's all just a guess from me.  The technical indicators remain overbought for the most part but we haven't been able to rise above the zero line in the McClellan oscillator.  The TRAN has gone down in the short term along with the Dow.  RUT remains above its 50 day moving average and is more oversold than overbought.  There really is no clear picture or signal as to what happens next.  Asia was mixed and Europe higher overnight.  We'll see how the market reacts to the Fed tomorrow.

We begin the last week of September on a downer as the Dow fell 181 points on about average volume.  The advance/declines were 2 to 1 negative.  This moves the summation index back down.  We also didn't make it through the zero line on the McClellan oscillator.  The McClellan oscillator did give off a signal for a big move within the next two days on Friday.  Today fulfills that signal.  The overall market was stronger than the Dow though with the NASDAQ posting a small gain.  I still have my open order for the SPY October puts out there.  I may have to adjust it again though.  We should be on a waiting game until the Fed announcement on Wednesday from here.  GE was off 3/8 and the volume was extremely heavy.  We've broken down below the recent lows here.  Gold was slightly higher and the US dollar finished little changed.  The XAU and GDX had slight moves on average volume.  A positive report on gold and the gold shares this weekend in Barrons provided a pop early but it faded as the day went on.  Mentally I'm feeling OK.  The VIX made it to its 50 day moving average but was turned away.  Still short term oversold here.  The short term indicators for the S&P 500 have rolled over but I'm hoping for one more run at new all time highs to establish the SPY put position.  That could just be wishful thinking on my part.  We could easily just keep heading lower here.  RUT remains above its 50 day moving average and the short term technicals here are oversold.  With RUT usually being a leader, I'm keeping a close eye on what happens here.  1700 is the level to watch in my view.  Is it possible the market starts to rally from here?  Anything is possible in this game.  It might be a good idea to wait for the Fed before establishing any new positions.  So we'll see.  The Asian markets that were open finished lower.  Europe lost some ground as well.  We'll keep an eye on the overnight developments.

A mixed bag on expiration Friday but eh Dow did gain 86 points on triple witching very heavy volume.  The advance/declines were just about even.  The summation index has started to move sideways.  I adjusted my open order for the SPY October puts again.  The big caps are overbought on the short term technical indicators.  The small stocks are not.  They have been lagging lately and that is one of my concerns.  The McClellan oscillator has made it to the zero line.  What happens here is important.  If we break through to the upside, we could see some decent move higher for stocks.  If we're turned back here, perhaps the market isn't so ready to move forward.  The VIX remains under 12 but it is oversold.  I'm sticking with my plan for the SPY puts for now.  GE was off almost 1/3 on heavy volume.  It looks like it wants to challenge the recent lows.  Gold dropped $7 on the futures as the US dollar bounced back.  The XAU and GDX had fractional losses on average volume.  The gold shares are holding up rather well lately and that is a plus.  It appears that the opportunity to try the longer term calls here has passed.  Short term overbought here for the gold shares.  Mentally I'm feeling OK.  We'll get some economic data in the coming week but the focus will be on the Fed announcement on Wednesday.  Rates are expected to go up but all will be listening for other clues in the chairmans statement.  We'll just keep to the technical indicators and go from there.  A positive session on Monday will have another of my indicators at the overbought level.  Now the market can stay overbought for quite a while when it is in rally mode.  Hitting new all time highs is bullish as well.  I'm still concerned about the breadth because it has been awful lately.  I'm going to watch what happens with the McClellan oscillator and take my cues from there as well.  A burst higher there will cause me to cancel my open order for the SPY puts.  So it's watch and wait time once again.  Europe and Asia were higher on Friday and both finished with their best week in months.  Is money pouring back into stocks there or was it a dead cat bounce.  Time will tell on that.  I'll be going over the charts as usual this weekend.  For now it's Friday afternoon and time for a break.  

New all time highs in the Dow today as the most watched index soared 251 points on almost average volume.  The advance/declines were 2 to 1 positive.  This could turn the summation index around.  Perhaps the run up that I didn't think was going to happen really is about to occur.  The VIX remains below 12 and the RUT had a pretty good day as well.  I'm not exactly convinced though, so I adjusted my SPY October put order to a higher strike price.  Some of my TRIN numbers are showing a very overbought condition.  But I can't rule out a melt up like we saw in January either.  I'll be keeping a very close eye on things going forward.  We are at least seeing a positive expiration week which is according to plan.  GE was down 40 cents on good volume.  Don't know what the story is there.  Gold was only up a few bucks despite a decent drop in the US dollar.  The XAU and GDX were little changed on OK volume.  Mentally I'm feeling OK.  Is this the start of a new leg up is the question.  It seems the McClellan oscillator is saying so.  Especially if we see good breadth tomorrow and a high positive reading.  So maybe the market has digested the tariff tiff and is ready to move forward.  Or maybe we're just getting some triple expiration maneuvering.  Whatever the case, I should probably just let tomorrow pass and get ready for next week.  Europe and Asia were both higher overnight as well.  We'll see how the trading goes tonight. 

The rally lives on for the Dow as it rose 158 points on light volume.  The advance/declines were negative.  Obviously the overall market was much weaker than the Dow, with the NASDAQ in the red.  The summation index is still moving lower.  The small stocks are not leaders here with the RUT already oversold.  A Dow up over 150 with negative breadth isn't a strong sign for the bulls.  I did place another open order for the SPY October puts.  Again, it will take some rally to see this order get filled.  GE was up twenty cents on OK volume.  Gold rose $5 as the US dollar finished little changed.  The XAU rose 1 1/4, while GDX gained 1/3 on better than average volume.  It appears that gold has found a bottom here.  I am still looking at the GDX January calls on a pullback.  Mentally I'm feeling a bit tired, did not sleep well.  The leadership of the Dow here is usually a late cycle event for a rally.  Bad breadth and lack of the usual leadership is also a clue that the end of this up trend could be at hand.  There's also the possibility that we'll see the market break out to the upside with a decent move if the small stocks generate a turnaround here from the oversold short term technical condition.  I do not favor that scenario.  The breadth weakness and the lack of overall volume tells me different.  We should be able to hold up here during option expiration week.  But after that, who knows.  Overseas market are starting to act better, with both Asia and Europe higher last night.  The Dow still needs to do a little more work to hit a new all time high but it is in range with a couple hundred or more points.  The VIX is back below 12.  I really think that something has to give here sooner or later.  We'll keep an eye on the overnight trading.

Back to the upside as the Dow gained 184 points on light volume.  The advance/declines were positive.  The summation index is still heading lower though.  Todays price action does fit the parameters for the move telegraphed by the McClellan oscillator on Friday.  It is also options expiration week and in normal times that means a positive bias.  These are relatively normal times for the market.  We did finish well off of the highs for the session.  The broader market didn't fare as well as the Dow.  I canceled my open order for the SPY October puts.  I still like the idea but perhaps from higher levels.  GE dropped a few cents and the volume was light.  Gold dropped a couple bucks as the US dollar was slightly higher.  The XAU and GDX had slight factional gains on average volume.  The gold shares have been acting better lately.  Mentally I'm feeling OK.  So on it goes.  No really good or bad news to trade off of.  The market seems to simply keep going up.  I am keeping an eye on the small stocks here because they are not leading us up this time around.  I'm also trying to remain patient because there is plenty of time left in the October option cycle.  The short term technical indicators are more overbought than oversold but not extremely so.  So for now it's watch and wait.  Europe and Asia were generally higher overnight.  We'll see what tomorrow brings.

Lower to begin the week as the Dow fell 92 points on light volume.  The advance/declines were negative.  The summation index is still moving down.  We were short term overbought on one of my indicators but today will turn that around.  The other short term indicators have now rolled over as well.  The overall market was weaker than the Dow.  I did place an open order for the SPY October puts but we'll need to see some upside for the order to be filled.  I'm not exactly sure that this is the right idea but I'll leave the order out there for now.  The McClellan oscillator did give a signal on Friday for a decent move and perhaps today qualifies.  GE was up a couple cents on average volume.  Gold rose a few bucks as the US dollar was lower.  The XAU added 1 1/2, while GDX gained 1/3.  Volume was better than average.  It appears that gold and the gold shares have found a bottom.  Mentally I'm feeling a bit tired, not a good nights sleep.  The small stocks are back at their 50 day moving averages that have held all the recent declines.  There is also support off of the tops that were made during June through August.  So we should hold things here but if we don't, then you'll know we're in for a decent drop in equities.  It is option expiration week though and that usually means a positive bias.  But the market usually doesn't wait around when it wants to drop so the next couple of sessions should tell the story.  It may already be too late for the SPY puts.  There may still be time for the GDX calls going out into the future though.  The bounce here may just be starting.  Europe and Asia were lower overnight.  We'll keep an eye on the overnight developments.

A day of hanging around as the Dow added 8 points on light volume.  The advance/declines were slightly positive.  The summation index is trying to turn back up.  The VIX is back in oversold territory.  The TRAN set a new all time high.  Will the Dow follow?  Not completely overbought for stocks yet but we're getting there.  Options expiration week is straight ahead.  I'm not exactly sure what the next trade is but if we rally early in the week I'll probably try the SPY October puts.  But I'll look things over again on the weekend to be sure.  GE was up a few cents and volume picked up as well.  Gold fell ten bucks on the futures as the US dollar rallied.  The XAU and GDX had slight fractional losses on light volume.  That's a plus or maybe these stocks are just sold out.  Mentally I'm feeling a bit tired.  Buyers and sellers were about even today as retail sales were a bit weaker than expected.  We'll get some housing data next week but not much else.  If the McClellan oscillator can get back above the zero line next week perhaps this rally has legs.  If not maybe the sellers will try and take charge again.  Let me repeat that the breadth hasn't been all that good lately and the volume remains weak.  There's only five days left in the September option cycle, so any trading idea there has added risk.  I am looking at the longer term gold share calls as well but the fundamentals there only point to shorter time frame trades on the long side.  Higher rates are not conducive to rallies in gold.  I'm keeping an eye on RUT because it hasn't been acting good lately.  Breaking to a new all time high there would change that.  Otherwise I'll check the charts over the weekend and go from there.  Asia was higher again and Europe finished on the plus side as well.  It's Friday afternoon and time for a break.

We got the expected upside today as the Dow gained 147 points on light volume.  The advance/declines were positive.  The summation index is still moving down.  I'm not exactly sure of what to make of things here.  RUT was lower and it's usually a leader.  The breadth on this slight rise hasn't been good.  Volume is anemic.  I am leaning towards trying the SPY October puts.  The short term technical indicators for the major averages have turned back up but they aren't in the overbought zone just yet.  I suppose that I'll let Friday pass and figure out what to do over the weekend.  GE was up a dime and volume was a little better.  Gold was off a few bucks and the US dollar was slightly lower.  The XAU and GDX had fractional losses on average volume.  Mentally I'm feeling a bit tired, not sleeping well lately.  The inflation data was a bit less than expected but it didn't really affect the market.  Retail sales due out tomorrow.  We're at an interesting juncture here for the market and there is no clear cut case on which way things are going to go in my view.  The TRAN failed to follow through on its positive start to the week.  The small stocks are not exactly leading the way up here.  The VIX is back below its 50 day moving average.  Once again I'm not really a believer in this current move higher.  It certainly does not have the feel of the previous rallies.  However I will wait until next week to establish the next trade.  Asia rallied for a change but Europe was lower overnight.  We'll close out the week tomorrow.

Another mixed bag today as the Dow added 27 points on almost average volume.  the advance/declines were positive.  The summation index continues lower.  Both the NASDAQ and RUT were negative today as the small stocks underperformed.  The market action has been sloppy lately.  However I do think that we will still see some short term upside here at the least.  There are some technical indicator levels that we've reached that have contained previous weakness in stocks.  It appears that they will hold once again but there are no guarantees of course in the game.  The beige book was a non event today.  GE was up over 1/4 but the volume was light.  Gold found buyers as the futures gained $8.  The US dollar was slightly lower.  The gold shares finally had some rally.  The XAU gained 2 1/4, while GDX added 1/2.  Volume was good.  Perhaps this is the bottom for the gold shares.  I'm still looking at the GDX January calls but it may already be too late.  Mentally I'm feeling OK.  Overseas markets have been dropping for a while and the US never did fall that much.  I think if we see any attempt at a rally in the Asian or emerging markets, it could help the bullish cause here.  That's a guess as usual.  The summation index is still moving lower and that must be respected.  The short term technical indicators for the major stock averages have turned around.  So perhaps another run at new all time highs is in the cards.  But it certainly doesn't feel like a sustained rally is at hand.  We will have option expiration week upon us soon and the usual positive bias may lift us higher.  But the breadth lately hasn't been all that good and I'm thinking another run at the highs may set up another SPY put trade.  We'll see.  Asia was lower and Europe higher overseas last night.  I'm expecting an upside day tomorrow.

Getting an expected bounce as the Dow gained 113 points on light volume.  The advance/declines were slightly positive.  The summation index is still heading down.  I certainly don't think that this is the start of some kind of extended rally.  Volume is light and the breadth is weak.  I was stopped out of my SPY September put trade for about a 40% loss.  I'm now debating on where to get back in.  I may give things another day or so but I do think that we are going to head lower.  I might go out to the SPY October puts but they are rather pricey.  The short term technical indicators on the major averages are trying to turn back up.  I'm not exactly sure if attempting the September puts again is the right choice.  GE lost 18 cents on light volume.  Gold was little changed as was the US dollar.  The XAU and GDX finished the day little changed as well.  I am looking at the GDX January calls.  The gold shares are blown out to the downside.  Mentally I'm feeling OK despite another trading loss.  I simply stayed in that trade too long.  The market indicators are in the area that has held things up for the past few months.  Perhaps things will be steady through expiration before another downside move takes place.  That is simply a guess.  It's also possible that we just head back down from here because the volume says there is really no interest in stocks right now.  So perhaps the best course of action is inaction.  We'll see how the market reacts to the upcoming economic data and go from there.  We've got the beige book tomorrow as well.  Asia was mixed and Europe lower overnight.  We'll keep an eye on the overnight developments.    

The Dow closed lower today s it fell 59 points on pretty light volume.  The advance/declines were positive.  The summation index is still moving lower.  The overall market was higher from the get go, with both the NASDAQ and S&P 500 higher.  The TRAN had a very strong day and hit a new high.  The small stocks were up but it wasn't a move that inspires confidence.  I think we'll move higher tomorrow but after that I'm not so sure.  We are still more oversold than overbought on the short term technical indicators.  My SPY September puts are now showing a loss and will probably be stopped out tomorrow at this rate.  I'm considering going out to the SPY October puts as the next trade.  There wan no chance today to exit the current trade at a profit since we had a gap higher open.  GE was up 1/8 and the volume was light.  Gold finished barely changed and the US dollar was slightly lower.  The XAU fell 1 1/8, while GDX shed 1/4 on average volume.  The gold shares have been decimated.  Mentally I'm feeling OK.  The VIX closed back below its 200 day moving average and the technical indicators rolled back down.  This implies some more upside to come.  Today the McClellan oscillator bounced off of a pretty negative reading as it should have.  But I am noticing the volume lately has been very weak, a sign that players are not in a hurry to establish positions.  But the minor decline that we've seen here says that full scale selling hasn't occurred yet either.  Nine days left in the September option cycle.  We'll get inflation data, retail sales and the beige book out this week.  So there will be things to trade off of.  Right now I'm a believer that whatever bounce we see early this week won't hold up.  It is just a matter of if I get stopped out of the current trade or not.  We'll see how it goes.  Asia continues lower but Europe rose in last nights trading.  We'll see how it goes tomorrow.

Another interesting session today as the Dow fell 79 points on light volume.  The advance/declines were 2 to 1 negative.  the summation index is moving lower.  Once again the market opened much lower only to find its way higher for the rest of the session.  the jobs numbers were better than expected but the tariff headlines continues to dominate the ongoing market theme.  The short term technical indicators for the S&P along with the small stocks have rolled over.  We aren't completely oversold yet and the decline has been orderly for now.  We could completely reverse next week because some kind of upside is overdue.  My SPY September puts are showing a small gain.  I may have to dump them early next week and then try and buy them back cheaper.  The daily VIX is getting overbought but we did manage to close above the 200 day moving average for a change.  The underlying market has been weaker than the Dow lately and that is not a positive sign.  However the point decline hasn't been much for stocks and I'm not exactly sure just what that means.  GE was off 1/8 on average volume.  Gold dropped a couple bucks on the futures as the US dollar was higher along with US interest rates.  The XAU and GDX had very slight fractional gains on average volume.  Perhaps some safe haven buying there today because the economic data wasn't positive for the precious metal.  Mentally I'm feeling OK.  Most major stock indices declined this week but we haven't seen anything go over a cliff.  With the summation index heading down the trend is lower.  There's still two weeks to go in the September option cycle, so there's plenty of time for the index puts to work.  The small stock indexes are getting near their 50 day moving averages, which have held the most recent previous declines.  I'm keeping a close eye on what happens there because it will have meaning for the rest of the marketplace.  I may be wrong about an extended decline here because all attempts so far for a big drop in stocks has been met with buying.  We'll see if that holds up next week as well and it just might.  It depends on what kind of news pops up this weekend.  Regardless of that most stock index charts have short term down trends on them now.  But like I said before, there hasn't been any panic yet and buyers have showed up when needed.  Next week should be interesting as well.  Europe and Asia were mixed overnight as they try to put a halt to the recent declines.  It's Friday afternoon and time for a break.

A repeat of yesterday as the Dow was higher and the overall market lower.  The Dow was up 20 points on light volume.  The advance/declines were negative.  The summation index is still moving lower.  The NASDAQ and the S&P 500 were both much lower than the Dow.  Once again we tried to sell off hard but the market hung in there all day.  Whatever bounce that I have been anticipating isn't showing up.  Perhaps we're seeing a change in the tone of the market.  But buyers are coming in when we drop and we finish off of the lows for the session each time.  We'll see what we get with the employment report tomorrow.  The short term technical indicators have rolled over for the major averages but not the Dow.  My SPY September puts are now showing a small profit.  GE was off a nickel on light volume.  Gold was up a few bucks and the US dollar was little changed.  The XAU and GDX had slight fractional moves lower on better than average volume.  The gold shares are blown out to the downside.  Mentally I'm feeling OK.  The small stocks are heading lower here and that is not a positive.  We are at near term support for the small issues along with getting close to the 50 day moving average.  So perhaps things can hold up here for stocks.  The 200 day moving average is proving to be resistance for the VIX and it closed right there.  So perhaps tomorrow will be a pivotal day for stocks.  One of my indicators is pretty oversold, so a bounce would not be out of the question.  But the underlying tone of selling from the broader market could mean that maybe we will finally be getting a substantial decline.  Hasn't happened yet but the possibility is there.  RUT looks like it is rolling over as well and it usually is a leader for the market.  Of course things could all change tomorrow or with the next headline as well.  We'll see how the market reacts to the jobs numbers and go from there.  Europe and Asia were down again as the emerging market sell off shows no signs of letting up yet.  We'll keep an eye on the overnight developments.   

A mixed bag today as the Dow was up with the broader market down.  The most watched index gained 22 points on light volume.  The advance/declines were slightly negative.  The summation index is now moving lower but not with any conviction yet.  Once again the signal from the McClellan oscillator did not materialize.  The NASDAQ and the S&P 500 showed relative weakness.  This is a change from what we saw in August when it was just the opposite.  I still think we're going to see some rally soon but I could be wrong.  I'm also still holding on to my SPY September puts and they are still showing a slight loss despite the recent downside that we've seen.  GE was off 1/8 and volume picked up a bit.  Gold was up a few bucks as the US dollar was lower.  The XAU and GDX had fractional losses on average volume.  There is a potential positive divergence on he daily RSI for the gold shares here.  Potential being the key word there.  We are overblown to the downside here but we also stayed oversold here for weeks.  I'm not inclined to attempt a trade here at the moment.  Mentally I'm feeling OK.  The stock market has tried to sell off for about three days in a row here to no avail.  I'm not sure exactly what to expect tomorrow but I would think we would tread lightly ahead of Fridays jobs report.  There have been rumblings from the emerging markets overseas having some kind of trouble again.  But the early selling in the US has always been met with buyers during the session so far.  As long as that continues we really won't see any significant downside for US equities.  The VIX has had opportunities to expand but has kept below its 200 day moving average.  The potential for a drop still probably exists but until it actually happens it may just be wishful thinking on my part because I own the index puts.  However the overall market weakness vs. the Dow gives that trade a chance for now.  Europe and Asia were lower overnight.  We'll see what tomorrow brings.

Slightly lower on the Dow today as it shed 12 points on light volume.  The advance/declines were almost 2 to 1 negative.  The overall market was weaker than the Dow for a change.  We did get a signal on the McClellan oscillator last Friday for a big move in the next two sessions.  We'll see if it shows up tomorrow.  Still short term overbought on the major stock indices and it still has a feel of a market that wants to go higher.  It did try to sell off early today as we were down over 100 points but buyers steeped up and we came all the way back.  My SPY September puts are still showing a loss.  One day of rally might them stopped out.  GE lost 1/4 on light volume.  Gold fell eight bucks on the futures as the US dollar rose.  Interest rates went up as well.  The XAU lost 2 3/4, while GDX dropped 1/2.  Volume was heavy.  We've reached fresh lows for the gold share indices.  If ever there was seasonal pattern that didn't show up, this year for gold and the gold shares is an example.  As much as I'd like to attempt the longer term calls here again, I'm going to simply stay away from trading there for now.  Mentally I'm feeling OK.  The VIX climbed today but then came all the way back.  That says to me that there's a chance for things to get back going to the upside soon.  Like I said, we had a chance to sell off today but made it all the way back.  We're still at the mercy of headline risk but all selling has been met with buyers for the past few weeks.  We do have some tech companies being grilled by Congress tomorrow.  However I think the main event will be the employment report on Friday.  So we'll see.  Asia was mixed and Europe lower overnight.  We'll see how it goes in the evening trading tonight.