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Monday, November 10, 2025

A nice rally to begin the week as the Dow gained 381 points on good volume. The advance/declines were 2 to 1 positive. The summation index is trying to turn up once again. The NASDAQ led the way and was up over 500 points. The S&P 500 gained over 100 points. The short term indicators for the S&P have turned back up with plenty of room to go. This looks like the beginning of a rally that will take us back to new all time highs. It looks like we are too late for the SPY November calls but we'll see. The US government shut down is about to end and that is the excuse for buying. I'd like to get some kind of trade in before option expiration but we'll see. Gold was up over $100 on the futures as money came back into this space. The US dollar and interest rates finished flat. The XAU jumped almost 13 points, while GDX added 3 3/8. Volume was good to the upside. The short term indicators for GDX are moving up. GDX is now above its 50 day moving average. Although GDX traded below that level it managed to hang around in that area before moving higher. We missed the GDX November call trade however I am not as sure that the gold shares will be heading to new all time highs here right away. But I could be wrong. Mentally I'm feeling OK. The VIX was lower today which fits an up market. The short term indicators here are mostly heading lower. This fits with our idea of new all time highs for the stock market sooner rather than later. Europe and Asia were up as money is being put back in stocks around the world. Tomorrow is Veterans Day and a partial holiday in the US. The stock market will be open but banks and Federal offices will be closed. We'll keep an eye on any overnight developments.

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