Not much happening today as the Dow gained 15 points on light volume. Advance/declines were positive. Today was classic summertime lack of activity. We're overbought, staying there and are really due for some type of pullback. I'd like to make a trade but don't see anything worth doing at the moment. Gold was pretty much flat and the XAU lost 1/2. ABX, GG and NEM had fractional losses on light volume. Earnings out on Thursday. I could try a play before then but I'm not sure. The dollar lost some ground today but it didn't do anything for gold. No gold trades for now but that could change. Mentally I'm feeling OK, slept well enough. So here we are at the end of July following a huge rally. Where do we go from here? Summation index still heading higher. The trend is up. As overbought as I can remember. I'm on the sidelines until further notice.

Can nothing stop this market? The Dow picked up another 24 points today on light volume. Advance/declines were positive. The Dow has been up 9 of the last 10 days. You can't fight that. Summation index heading up. Very overbought and staying there. There are still 4 weeks to go on the August options. I gave the puts a try and failed. I suppose it's the sidelines for a while now. But we'll see. Gold lost a couple bucks and the XAU was flat. ABX, GG and NEM all had fractional gains on light volume. I haven't liked the volume all the way up on this rise for the gold shares. Earnings next week for ABX and GG. I may try the puts after the earnings announcement. After earnings, what is left to move these stocks higher? I'll think about it over the weekend. The dollar was lower today but it didn't do much for gold. Mentally I'm a bit tired, have not been sleeping well lately. There haven't been any summer doldrums this year so far. I was wrong on that call. It looks like that we have broken through resistance with volume this week. That fact cannot be ignored. The market will be looking to go higher. I'm going to have to look things over this weekend and go from there. I have been in quite a slump though. Perhaps I'll have to take the rest of the summer off. Probably not though. It's a summertime weekend and time for a rest.

We broke out to the upside today as the Dow gained 188 points on heavier volume. Advance/declines were 5 to 1 positive. It's hard for me to believe how overbought we are. And staying there. It's the exact opposite of when we tanked last year by staying oversold beyond comprehension. So it goes. I dumped the OEX puts for a 50% loss. Now tomorrow we will probably get the down move I have been waiting for. MSFT just missed on its earnings and could set the tone for tomorrow. Gold was up a buck and the XAU gained about a buck. ABX and GG had fractional gains on good volume for lately. NEM lost 1/4 on bad earnings. Volume was nothing special. The dollar was flat today. Overbought on the gold shares and I'm on the sidelines. Mentally I'm doing OK. The OEX trade I just did was really stupid. My trading thus far this year is ridiculous. I've got to somehow right the ship, turn things around and get my act together. When I didn't take the buy signal last week, we soared. When I took the sell signal this week, we just continued higher. It's the toughest game in the world sometimes. I'm going to have to work harder and keep at it though.

A slight breather today as the Dow lost 34 points on what passes for average volume these days. Advance/declines were positive. It was a mixed market for sure. My OEX puts are still losers and I am looking to dump them before the end of the week. Still overbought here. Gold was up $6 and the XAU was flat. ABX, GG and NEM all had fractional losses. Earnings are out next week. Perhaps I'll get some calls before then. It's been a light volume rally in the gold shares and I don't really trust it. But we'll see what happens. Mentally I had to leave halfway through todays session which doesn't usually happen. This was another day off that I took, a partial day. But the market doesn't care. I still believe that we are up against resistance and that there has to be a decent down day now. We'll see.

The rally will never end at this rate as the Dow gained another 68 points today. Volume was average and the advance/declines were positive. We sold off during the day and came all the back and then some. The OEX puts I bought yesterday are in the red. We are so overbought now that I can't imagine going that much higher here without some type of pullback but the market will do whatever it takes to make the majority wrong. Am I in the majority? Maybe. Gold was off a touch and the XAU fell about a point. ABX, GG and NEM were little changed on average volume. I guess I'll call it average for now because it has been light all the way on this up move and that could be the new average. I don't know. The gold shares tried to sell off today as well and came back too. Mentally I'm doing OK, finally got a good nights sleep. It looks like I'm in another losing trade here. Now really, what was I thinking? An extra week in the August option cycle and I'm buying them right in the beginning. The signal was there and it isn't working yet. We are way overbought and at long term resistance. I cannot believe that we are not about to get some type of drop here. So we'll see what happens.

The rally continues as the Dow gained 104 points on average volume. Advance/declines were 3 to 1 positive. We are short term overbought and will be medium term also after tomorrow. I bought some OEX puts near the close today. I'm expecting a pull back here and it could be pretty good but it's a one to two day trade with potential of 20% to 30%. When I got a signal last week on the upside I didn't do anything. Now there is an opposite signal and I'm going for it. I hopefully have the discipline to get out. We'll see. Gold had another good day as the dollar weakened and was up $11. ABX, GG and NEM were all a buck higher on light volume. The gold shares are looking good, no doubt about that. The only fly in the ointment has been the volume but it is summer. You cannot deny the price action though and it has been substantial. I still regret missing the move but if we get a pullback, who knows? Mentally I am extremely tired, have not been sleeping well and very busy outside of the markets. It is summer and I really need to get back into the swing of things. The doldrums I had been anticipating are not happening. I hope todays trade wasn't some kind of dumb idea just because I've been hanging around with a hedge fund manager all weekend. Not to mention I'm overly tired. So we'll see what happens.

A relatively quiet expiration as the Dow gained 31 points. Volume was average for lately and the advance/declines were negative. It was a very good week but we are now overbought and I would expect weakness at the beginning of next week. We'll have to see what happens after that. Longer term resistance is approaching. Gold was up a couple bucks and the XAU gained 2. ABX, GG and NEM were all higher by 1/4-3/4. The volume was very light though. I expect we'll pull back here as well next week. Mentally I'm feeling tired, did not sleep well. Short post today as I have appointments this afternoon. Summertime. I would like to add that the action next week will tell if this was just an expiration week wonder or something more significant. Stay tuned.

The rally continues as the Dow gained 95 points on light volume. Advance/declines were over 2 to 1 positive. Summation index heading higher. It really has been an incredible move to the upside this week. The reported earnings are better than expected, which happens when the expectations are low. We are overbought here so I would expect some type of pullback soon. Where we go after that is anybodies guess. We are at 440 on the OEX and resistance is at 450. So we'll see. Gold was down $4 but the XAU followed the overall market higher, up over a buck. ABX, GG and NEM all had fractional gains on light volume. The gold shares have moved back to outperforming the metal itself and that's usually bullish. The dollar was weaker today. Perhaps I'll look at the gold share calls again on any weakness. However there is an extra week in the August option cycle which will keep the premiums high. Mentally I'm tired and I did sleep pretty good. I'm not in a good spot mentally really. No confidence and just missed an excellent opportunity this past week. I can't dwell on it and I'll try not to but it's tough. You've just gotta keep moving along in the game. That's what makes it tough but as usual the battle is always with oneself. On to expiration Friday.

The rally continues and it appears to be for real as the Dow gained 256 points. Advance/declines look to be about 8 to 1 and the volume was better than it has been. No sellers, only buyers. The summation index is back to the upside. Quite an expiration week so far. We closed near the highs again. Now this is a summer rally but we've come pretty far, pretty fast. Overbought on the short term now but it may not mean anything. We'll see. Gold had a real good day as well, up $16 as the dollar got weaker. The XAU rose 6 1/4. ABX, GG and NEM were all up over a buck with GG leading the way. Volume picked up a bit from lately as well. The weekly USD chart could be beginning the final leg down of a five wave pattern. If so, gold should have a decent multi-week rally here. So the gold shares could be a buy for me on weakness. Or it might be too late. Time will tell. Mentally I'm feeling OK considering I've missed this move. Slept pretty good. You've always got to keep moving along in the game. Frustration is part of it and like I said yesterday confidence is very important. Being able to take advantage of opportunities is key. I haven't been able to do that thus far this year. I'll need to work harder and pay better attention. Getting some confidence back wouldn't hurt either.

We started out a bit lower and closed higher again. The Dow was up 27 points on light volume. Advance/declines were 2 to 1 positive. We also closed at the high of the day. Todays action should turn the summation index back to the upside. Perhaps the worst is over in the stock market for now. We'll see. Obviously buying calls on Monday continues to look good. Gold was little changed on the day but the XAU rose 2 1/2. ABX was up 7/8, GG and NEM gained 2/3. Volume was light. The dollar didn't do much today. I'll be getting long the gold shares eventually. Mentally I'm doing OK, a bit tired. Tomorrow looks like it could open higher since INTC just reported better than expected earnings. But that remains to be seen. Expiration week as well and so far there has been a positive bias. Not much else to say here, it's just a summer Tuesday.

It was a good day for the market as the Dow gained 185 points on light volume. Advance/declines were 4 to 1 positive. It was a one day reversal to the upside as we opened lower and closed higher. It looks as though the 880 level on the S&P 500 will hold for now. We broke through and did not collapse. Now we are comfortably back above that level. This morning would have been a good time to purchase some OEX calls. But my mind was in summer mode. Another opportunity missed. Gold was up $10 on the futures. The XAU was higher by 2 1/4. ABX, GG and NEM all had fractional gains to the upside and closed near their highs. Volume was average for lately. On day reversals here as well as the gold shares were much lower early and came all the way back. Probably would have been a good day to get some calls here too. But who knows? The gold shares could have done better with a $10 move in gold. I'm going to wait for the September calls to come out. Mentally I'm a bit tired as I did not sleep well. So we had a good day to the upside today and there are plenty of earnings to contend with this week. I wasn't properly prepared for todays action and I think it was a result of having such a bad first half of the year. Confidence is everything. Mine is lacking at the moment. We'll have to see where we go into the expiration. I don't think this is the beginning of another long term rally but I could be wrong and often am.

Kind of a lackluster day as the Dow lost 36 points on light volume. Advance/declines were negative. A summer Friday. The NASDAQ was in positive territory and we are very oversold both short and medium term. I would be surprised if Monday was not an upside day. But the market will go where it wants and I've been pretty wrong about things for half the year. Gold lost $3 and the XAU was off 1/3. ABX, GG and NEM all had fractional moves on light volume. The dollar was a bit stronger. We are oversold on the gold shares but I'm still in a waiting mode for a position there. Mentally I'm feeling OK, slept well enough. So it's the weekend and time to catch up on the charts. Option expiration is next week and I have no plans for a trade at the moment. Summation index still pointing down. My scenario would be for higher prices early in the week and then selling off from there. But that's a guess. So we'll see what happens. Friday afternoon and time for a break.

Up and down today as the market tries to make up its mind what to do. We ended with a gain of 4 points on the Dow. Advance/declines were positive and the volume went back to being light. I get the feeling that the market is doing what it can to just hold on here. We are oversold though. However the summation index continues to the downside. I guess I'm trying to make up my mind as well. No OEX trades for now. Option expiration is next week. Gold bounced back $7 today and the XAU rose a point. ABX, GG and NEM all had fractional gains on light volume. Oversold here as well but I'm in no hurry to get long after yesterdays action. The dollar got pounded today as well and gold didn't move that much. It isn't a bullish sign. I'm going to have to be patient here and as I've said before that isn't the easiest thing to do. Mentally I'm feeling tired after yesterdays mini vacation. It is summer and things tend to be slow down. So it's sit and wait for now.

Well we managed a gain of 14 points today on the Dow. Volume picked up. Advance/declines were 2 to 1 negative. We were lower for most of the day and made a last hour comeback. The market is oversold here and due for some upside but I don't think it will be much. But I could be wrong. We did breach the 880 level on the S&P 500 but have already snapped all the way back. No OEX trades for now but I'd be cautious one way or the other. Gold got rocked today, down $20. The XAU lost 4 1/4. ABX lost 1 1/4, GG a buck and NEM almost 1 1/2. Volume picked up a bit to the downside. That's not a good sign for the bullish case. The $920 support level for gold broke down. We are getting oversold on the gold shares though and I would like to own some calls at some point. But I think I'll wait for now. Mentally I'm feeling pretty good. I actually took a day off today and got out of town. It was a nice break in the action. It is summertime. I'll have another day off in 2 weeks. Looking at todays action the market had every reason to head lower and it didn't. Perhaps because of the oversold condition but in the past if we were really going to head lower it wouldn't matter. So perhaps a near term rally is in the offing. As I said earlier though, I can't see it going very far. But it's all a guess. We'll see what happens tomorrow.

No summer doldrums today as the Dow lost 161 points on average volume. Advance/declines were around 4 to 1 negative. We are at the moment of truth here with the S&P 500 trying to hold what I consider key support at 880. The summation index is pointing down. Tomorrow could be interesting. I don't think that I'll be putting on any OEX trades but who knows? Gold was up $4 but sold off a bit in the aftermarket. The XAU lost 3/4, which wasn't too bad considering the negative day in equities. ABX was off 1/3, while GG and NEM were little changed. Volume was light. I would like to wait for the September options to come on board but that is a week and a half away. Just about oversold in the gold shares though. Sometimes patience is the hardest thing to do. Mentally I'm feeling alright, could have slept more. I'm going to try and not do anything stupid here but you never know. If we don't hold up here at 880 on the S&P, we will be going much lower in my opinion. But it hasn't broken down yet. So I'll watch and wait.

The Dow gained 44 points on this summer Monday. Volume was light and the advance/declines were negative. The overall market was weaker than the Dow. It was a positive one day reversal as we opened lower and closed higher. Not a lot of data out this week so it should be pretty slow. But you never know when it comes to the market. No OEX trades for now. Gold lost $8 and the XAU dropped 5 3/4. The gold shares continue to under perform the price of gold. ABX off a buck, GG down 1 3/4 and NEM dipped 3/4. Volume summer light as has been the case. Gold was down and the dollar didn't really do much. However oil was weaker and that could be the root of the cause. Commodities in general are being sold at the moment. So I'm going to try and be patient with the gold shares here. Mentally I'm a bit tired, did not sleep well. And so it goes. The long weekend is over and we are in summer doldrums mode. Not the best of trading environments. If and when there is a decent signal, I'll try and act on it. Until then it's a game of watching and waiting.

We ended the short week on a down note as the Dow lost 223 points on light volume. Advance/declines were over 4 to 1 negative. The employment report came in worse than expected. We are getting to short term oversold. However the volume lately has been non existent. There are no buyers. I can't see anything changing that over the summer unless earnings are much better than expected. But it is the market and anything can happen. Summation index with no clear direction at the moment. Gold lost $10 and the XAU shed 4 1/2. ABX and GG lost around 3/4, while NEM dropped 2. Volume light here as well. The dollar was higher even though the jobs situation got worse. More of a flight to safety for the dollar with todays market drop. What it all means for gold going forward is anybodies guess. I still like the gold shares going out to August or September. The next buy signal I see there I will try and take advantage of. The indicators are not oversold as of yet. So it's a waiting game. Mentally I'm a bit tired did not sleep as much. The holiday weekend has arrived and it's time to take it easy for a while. We need to hold at around 880 on the S&P 500 or I fear that the decline will be more than what we've seen so far. Not sure if we will hold up or not. Doesn't feel like it after a day like today. The lack of volume doesn't help things for the bullish cause either. But for now it's time to relax and take a break.

The Dow gained 57 points today on the cusp of the employment report. Volume was light and the advance/declines were over 2 to 1 positive. We were up over 100 at one point. The breadth here is encouraging but the volume isn't. It is summer though. The summation index is starting to move sideways here as well as the market. So we'll see what happens tomorrow. I really don't know what to expect. Gold had a good day, up the $13 we lost yesterday. The XAU gained over 5 points. ABX, GG and NEM were all back up around 1 1/2. Volume was light though. The dollar did lose some ground. One of my thoughts is that the employment report comes out weaker than expected and the dollar gets hit thus supporting gold. Then the dollar gets sold off even more with the holiday here in the US on Friday. That's all just a guess. I also thought that yesterdays sell-off in the gold shares was just end of the month activity and that may prove to be correct. But I didn't act on it. It's tough for me to take a stand here with the volume so anemic. So there's no rush to do anything at the moment but that could be wrong. Mentally I'm feeling OK, slept well enough. We'll wrap up the week tomorrow and then take a long weekend. It seems as though the market has really slowed down here and that is expected for the summer. But summer has just begun and at this rate it could be a long one.

We ended the month, quarter and first half of the year on a down note today as the Dow lost 82 points. Volume was average and the advance/declines were negative. July begins tomorrow and I would expect some positive money flows into the market. The employment report comes out on Thursday. We'll have to see what happens. We worked off some of the short term overbought conditions today. If the recent activity or lack there of is any indication of what we have to look forward to this summer, it will be slower than slow. Not a great trading environment. Gold took a hit today and was off $13. The XAU lost 4 1/2 points. ABX, GG and NEM were all off around 1 1/2 on light volume. So is this an opportunity to get long the gold shares again? That is the question. The dollar was a bit stronger today. It's a tough call. If I do something here I should probably go out to the August option contracts. But again, it could just be a slow and boring summer trading season. It would be hard to make any money in that type of scenario. Mentally I'm feeling OK, slept well enough. I'll be keeping an eye on the gold shares and the overall market going forward. But as of now it will take a pretty good set up or signal for me to take a stand.

The Dow gained 91 points on light volume. Advance/declines were about 2 to 1 positive. Today had summer written all over it. No volume and even though it was a good up day, it may not mean anything. Short week and the employment report on Thursday due to the holiday. We are overbought on the short term here but not medium term as yet. No trades in the OEX here for me. Gold was flat and so were the gold shares with the XAU barely changed. ABX, GG and NEM had fractional moves one way or the other on light volume. The dollar didn't do much either. Yes, I'd like to go long the gold shares if they pull back. But it is summer and huge moves are not expected, really. My thinking is that perhaps just sitting on the sidelines might be the prudent thing to do. We'll see. Mentally I'm a bit tired did not sleep well. So here we are and the best course of action may be to do nothing for a while. That isn't always easy to do. I suppose I will simply wait and see what happens. You don't lose any money but you don't make any either. I don't have a sense of urgency to do anything though. And even when I have had a sense of urgency I haven't been able to pull through on it lately.

The Dow lost 34 points on average volume. Advance/declines were almost 2 to 1 positive. Market breadth is telegraphing higher prices going forward. The overall market is stronger than the Dow. Let me say this about volume. It's light but that is expected for the summer. So what passes for average volume is really lighter than usual. And if it is light, it is really light. End of the month and quarter next week. Also a holiday week. I doubt that I'll be looking to take a position on but you never know. Gold was up a buck or so and the XAU lost 2 1/3. ABX, GG and NEM all had fractional losses on light volume. The dollar was weaker and it didn't do anything for gold. However the gold shares had a great week so we'll see if there is any follow through to the upside next week. Mentally I'm feeling pretty good for a change. Got a decent nights sleep. It's a summer weekend on the horizon. I'll go over the charts this weekend and go from there. For now it's time for a break.

Finally we saw a decent up move today. The Dow rose 172 points on average volume. Advance/declines were around 4 to 1 positive. This is what I was expecting a couple of days ago. There had to be a good positive move to the upside since we were so oversold. It took longer than I thought. The key is where we go from here. Perhaps it is the beginning of the summer rally. We'll have to see what the summation index reads later tonight. It's possible that the recent decline has ended. Gold was up $5 and the XAU rose 5 3/4 points. ABX and GG were both up about 1 1/2, while NEM gained a buck. Volume was light but you can't argue with price. I've missed yet another opportunity in the gold shares. It is beginning to sound like a broken record. I did have an order to buy in Monday night but it wasn't to be. The gold shares are leading gold here and I think this rally is for real despite the light volume. Perhaps the Monday decline was the downside blow off. It is frustrating to miss out on profits but you have to keep moving. Mentally I'm doing OK, slept well enough. So where do I go from here? End of the month coming up next week and it's a short week too. I suppose that I'll just wait it out on the sidelines for now. It is the toughest game in the world and I've been playing it very poorly. Confidence is one of the keys and mine is shot right now. And on it goes. We'll see if there is follow through to the upside tomorrow.

We got the Fed out of the way as the Dow lost 23 points on average volume. Advance/declines were over 2 to 1 positive. The overall market was much stronger than the Dow. I am surprised that we haven't seen a big up move from these oversold levels. It's worrisome I think. If we can't get a decent move to the upside when we are very oversold it could mean trouble. But I could be wrong. It's interesting to say the least. We'll see what happens. Gold was up $10 today and the XAU rose 4 points. ABX up 1/2, GG up a buck and NEM up 3/4. Volume was average for lately. I canceled my open order for the ABX August calls. I'll perhaps try again in the future. The gold shares have begun to outperform gold again and that is positive for them going forward. GG seems to be giving the most bang for the buck as of now. The dollar was a bit stronger today and gold rose anyway. I'll keep an eye on things. Mentally I'm feeling OK, slept well. I'm wary of where we go from here. Summation index still pointing down. Not much data coming out for the rest of this week, so I suspect things may slow down from here. It's summertime. On to tomorrow.

It's a waiting game as the Dow lost 16 points on average volume. Advance/declines were about even. All eyes are on the Fed announcement tomorrow. I don't know what will be said but we are oversold and I expect a decent bounce as I said yesterday. I would be very surprised if we were not up pretty good tomorrow. But hey, it's the market and anything can happen. Gold was up about $3 and the XAU rose 5 1/3. The gold shares outperformed. Perhaps it's a sign of things to come. Or not. ABX, GG and NEM were all up around 1 1/2 on light volume. My order for ABX calls wasn't filled and I'm leaving it open for now. The dollar got whacked today and I would have liked to have seen a better move in gold itself. That could mean that a rise in gold is in the future and not something imminent. But that's a guess. It is the summer too and a slowdown in everything can be expected. Mentally I'm a bit tired, did not sleep well. So it's the Fed tomorrow and after that there isn't anything else to move things this week. Next week is short with the end of the month and quarter followed by the July 4th holiday. So perhaps it's a time to just sit on your hands and wait for a good signal. The problem is that I think we are getting one for the gold shares at the moment. So we'll see.

An interesting Monday as the Dow got clobbered and lost 200 points. Volume was average and the advance/declines were 6 to 1 negative. We are now very oversold here. I would expect a decent bounce in the next couple of days. Summation index still pointing down though. Fed announcement on Wednesday and that will most likely be a market mover. The S&P 500 needs to hold 880 or this will be a big decline. That's my outlook at the moment. Gold was off about $15 and the XAU followed, off 10 1/2. ABX, GG and NEM were all down over $2. Volume was light. The dollar was a bit stronger. I placed an overnight order for some ABX August calls. ABX is oversold and could be at the end of 5 wave down move. We are also just about at an important Gold/XAU ratio number. I could be wrong. A lot depends on the wording of the Fed. That's part of the play here as well. So we'll see. Mentally I'm feeling good after a nice weekend. Plenty of rest and now it's back to the game. Sometimes the market acts strange the Monday after expiration. That could explain today as well. So we'll see where we go from here but a bounce is expected.

A mild expiration Friday as the Dow lost 16 points on average volume. Advance/declines were positive. Now it's a waiting game for the Fed rate announcement on Wednesday. Summation index still pointing down. I'll be on the sidelines as far as I can tell for now. Gold was up a buck but the XAU rose 4 points. Perhaps now we have reached the end of the move down in the gold shares. But that's just a guess and my guesses have been pretty poor lately. ABX was up 3/4, GG up over a buck and NEM added 1/2. Volume was light. Technically the gold shares are oversold on a daily basis, neutral on a weekly basis. There is unrest in Iran and the dollar was weaker today but gold itself didn't do anything. I will try the gold shares again at some point. Mentally I'm feeling OK, slept enough for a change. Losses are part of the game. You have to brush yourself off and keep on going. That's what I'm going to do. The first 6 months this year have been horrendous for me but there is still half the year left. I don't have any trades on the horizon at the moment. I'll check the charts over the weekend and go from there. Summer is upon us and the markets have a tendency to slow down. The first 2 weeks of June were like that. I'll try and keep that in mind going forward. It's a summer weekend and time to relax.

Well we did have a positive day as the Dow rose 58 points on light volume. Advance/declines were positive. I was really expecting something like a 100 point up day. But we didn't get it. Perhaps it means that the market is weaker than I thought. Summation index pointing down and you can't fight that at the moment. Expiration tomorrow and I suppose anything can happen. We haven't had a lot of volatility though. Gold was off a couple bucks and the XAU lost 2 1/4. ABX, GG and NEM all had fractional losses on light volume. The shares were higher early in the day but sold off. I dumped the GG calls for about an 80% loss. Not a lot of money in that trade thankfully. It was break even for about 30 seconds in the morning and then dropped fast. I blew it once again. Perhaps I was a bit too tired but whatever the excuse my trading has failed lately. The dollar was stronger today but gold itself didn't sell off that much. We'll have to see what that means going forward. Mentally I'm still in a funk. It's been a tough first half of the year and I need to regroup. The markets won't wait for me though. Summer is here and the trading could get pretty slow. I suppose it will give me a chance to get it together for the second half of the year. It won't be easy but it can be done.

A back and forth type of day as the Dow lost 7 points on better volume. Advance/declines were negative. We are oversold and I would have to say that tomorrow will be positive. I would be surprised if we did not end up for the day. That said, the summation index is pointing down. 2 days to go before expiration so perhaps we'll get some volatility. Gold was up $3 but the XAU lost 3/4. The gold shares were down for most of the day and ended up little changed. Volume was light. The gold shares tracked the overall market. The dollar was weaker and it didn't move things to the upside. That is troublesome. I've still got the GG calls that are losers. They are out of the money and I'm lucky they even have a bid really. It's going to take a big move in gold just to have a small loss here. I'm only holding them at this point because I expect strength in the stock market tomorrow. It just wasn't a good trade but it could have been. I've seen crazy things happen in gold though so we'll see. But it's dead. Mentally I'm tired once again as it has been a get up early type of week. I don't see any trades on the horizon when I'm through with this one and it may be time to step back and take a break. It is summer after all. We'll see.

Another downer as the Dow opened higher and closed lower. The index lost 107 points on light volume again. Advance/declines were 2 to 1 negative. The trend appears to have changed. The summation index has rolled over. We will be short and medium term oversold if we are lower again tomorrow. I expect a decent move to the upside within the next 2 days. It will be just a bounce if it occurs. I don't think I'll try and play it but perhaps. Gold was up $5 today but the XAU only gained 2/3. We were much higher early on in the day which gave me a chance to sell the GG calls at a profit but I held on. It was foolish to be sure. ABX was up 1/2, GG up 3/4 and NEM barely managed a gain. They were all higher early as we got the bounce that I anticipated. But I didn't sell the calls when I should have. It is a repeat of the previous trade where I knew that action on my part was required and I couldn't pull it off. My trading is definitely in a funk. Back to gold, the dollar was weaker today despite good economic news. Inflation data out again tomorrow. Mentally I'm tired, not enough sleep again. Very disappointed in my performance today. I think that the short term trades just aren't my style at the moment. You really have to be sharp and right now I am dull. I should probably stick with the position trades because they don't move as fast. Especially right now when my trading is horrible as I've stated before. This year has been tough on me for sure as we approach the halfway mark. 3 days left on the options and I don't have a good feeling about how this GG trade is going to end.

Finally some movement in the averages as the Dow dropped 187 points on average volume. Advance/declines were 6 to 1 negative. I've been waiting for this downdraft for 2 weeks and it has finally arrived. I don't think we are going to just head straight down from here but you never know. Of course now I don't own the OEX puts. But what can you do? Gold lost over $13 and the XAU shed 5 1/4. ABX, GG and NEM were all down a bit over a buck. Volume was nothing special. I bought some GG calls for this week. We are oversold on most of the technical indicators and at the lower Bollinger band. The 50 day moving average has just about been reached as well. This is strictly a short term trade. I'm out tomorrow if it can get into the black. Inflation data Tuesday and Wednesday. The dollar was very strong today and that along with the overall market weakness affected the gold shares. We'll see what happens. Mentally I'm feeling tired. Up early today and not enough sleep. Perhaps I should have just stayed on the sidelines but I think this trade has a chance. I could be wrong and have been often this year. So we'll see how things open tomorrow and go from there.

It was another lackluster day as the Dow gained 28 points on average volume. Advance/declines were negative. It seems as if the summer doldrums are upon us. It's been a sideways affair for a while now. No the best of trading times to be sure. I suppose the best strategy here would be to stay on the sidelines. Expiration week coming up and loads of data to boot. Perhaps we'll get some movement then. I'm thinking of doing something next week. We'll see. Gold took another hit today as the dollar rallied. The precious metal was down $20. The XAU fell 4 1/2. ABX was off 2/3 while GG and NEM each dropped more than a buck. Volume was light. I might try the gold shares next week as we are oversold and inflation news will be coming out. The trouble is that if inflation is higher than expected it could support the dollar and negate the positive influence on gold. It's just a guess. I'll have to mull things over the weekend. Mentally I'm doing OK. Yesterdays loss is history and it is back to the drawing board. I think we'll be heading higher on Monday but after that , who knows? I'll be checking things over the weekend. The risk will be in focus more so next week since it is the expiration. But perhaps I can find something to take advantage of. It's Friday afternoon and time for a rest.

The Dow rose 32 points on average volume. Advance/declines were 2 to 1 positive. We were up 125 at one point but sold off in the last hour. I dumped the OEX puts for a 75% loss. I couldn't hold them any longer and should have just gotten out yesterday as I said before. It's always a battle with myself and it shouldn't be. It was the biggest dollar loss of the year so far. I would not be surprised if we go lower from here but the puts were too far out of the money with 6 days left. I might try again next week depending on what happens between now and then. A better strategy may be to just hit the sidelines. Gold was up $6 as the dollar took a pretty good hit. It was interesting that we didn't rise further. The XAU lost around 1/2. ABX and NEM were down 1/3 while GG gained that much. Volume was light as it has been lately. The dollar was down sharply and gold did not rally as it has lately. That says to me that gold is not about to start an up move here but I could be wrong. And have been a lot this year. Mentally I'm feeling OK even with taking the loss today. Expiration is next week and the risk is getting higher for the June cycle. We are almost through he first half of the year and my results have been terrible. I'll have to do better from here. We'll see about tomorrow and go from there.

The Dow lost 24 points today on better volume. Advance/declines were negative. A late day comeback occurred as we were down over 100 at one point. I put in a late limit order to sell the OEX puts but it doesn't look like it will get filled. I probably should have just bailed out at the market. We have basically been in a sideways going nowhere market. Puts or calls won't do well in such an environment. I can't wait forever on this trade and I'll have to bail out tomorrow. Gold was flat today and the XAU lost a point. ABX was off a buck while GG and NEM had fractional losses. Volume was good for ABX but light on the others. No gold trades for now but the gold shares are getting oversold. Mentally I'm feeling OK. Not happy with my reactions today as it looks like the market will just not sell off. Perhaps there is so much liquidity that has been pumped into the system that it has to go somewhere. I don't know what is keeping the market up at this point. Sideways is how we've been moving and perhaps that is the trend for the summer. Retail sales out tomorrow and that should be a mover. Unless we get a huge drop I'll be banking a loss.

Another day of indecision as the Dow lost a point on light volume. Advance/declines were positive. The overall market was stronger than the Dow. It appears the summer doldrums are upon us. The volume is lackluster at best. The lack of movement has killed my OEX puts. I should say lack of movement to the downside. I'm giving them until tomorrow and if we don't see something after the Fed minutes then I'm out for a loss. Gold was up a couple bucks and the XAU was flat. The dollar had a bad day but gold didn't move which could signal a change in perceptions here. ABX and GG were off about 1/2 while NEM was up 1/3. Volume light here as well. Nothing doing for gold for me now. I'm going to wait a while. I still like the gold shares again at some point. Mentally I'm doing OK. Could have slept more. Had computer issues today and that didn't help. Website specific problems. So it looks like another losing trade here and that's just the way it goes. 8 days until expiration and if I get out of this trade perhaps I'll try another. Loads of data out next week. Of course the risk ramps up as well. We'll see what happens tomorrow and take it from there.

We opened lower, were down over 100 points, came back in the last hour to be up 50 and closed the day up a point. Volume was light and the advance/declines were negative. We are basically moving sideways here and it's killing my OEX puts. They are now solidly in the red. An exit strategy is now in play. I would like to wait for the Fed minutes on Wednesday if possible. The negative RSI divergence is still in play but it hasn't meant anything yet. Gold was down again, off $10. The gold shares did not follow with the XAU up 1/2. The gold shares were much lower early in the day and came all the way back. ABX was up 1/2, GG and NEM were down but off their lows. Volume was light. Perhaps today was the day to try the calls there. The dollar was a bit higher today. Mentally I'm feeling OK. So what to do now? I certainly can't sit in this trade forever. Tomorrows action should be interesting unless it is just another light volume sideways affair. We'll see. No real news coming out. Volume is slowing for now. So we'll see where it goes.

We were up, we were down and we ended up about where we started. The Dow gained 12 points today on average volume. Advance/declines were slightly negative. The employment report showed more job losses but not as much as expected. The market couldn't make up its mind what to do. My OEX puts are showing a loss and now the time factor is coming into play since they are so far out of the money. The RSI is still showing the negative divergence and I'm a believer in that. I'll ponder things over the weekend. Gold took another hit as the dollar had a good day on the job numbers. The precious metal lost $20 and the XAU dropped 6 3/4. ABX and GG lost 1 1/2, while NEM fell 2 1/2. Volume was average. The weekly charts for the gold shares will turn bearish for now. I'm still a believer in the gold shares but will stay on the sidelines until we get oversold. Perhaps the August or September options. Mentally I'm a bit tired did not sleep enough. I would have liked to have seen a sell off in the market today but it continues to hang on. The volume wasn't anything that great though. The overall market was weaker than the Dow. The problem is that things could slow down and my OEX puts will wither away. I'll check to see what reports are coming out next week to be potential market movers and go from there. The weekend has arrived and it's time for a break.

Back to the upside as the Dow gained 75 points. Volume looks to be about the same as yesterday. Advance/declines were over 2 to 1 positive. It's beginning to look more like tomorrow could be an up day as there was no follow through to the downside today. My OEX puts are slightly in the red. I'm getting the feeling that this trade isn't going to work but we'll have to see what happens tomorrow. Still a negative divergence on the RSI as I explained yesterday. But that could change with another strong up day. Gold came back as well, up over $15. ABX, GG and NEM were all back up a buck or so. Volume was lighter however. That doesn't mean we can't go higher here but perhaps we are finally running out of steam. That's a guess and we'll just have to wait and see. Mentally I'm feeling OK. Nothing left to do but wait for the employment report. We'll have to see the markets reaction. My puts are well out of the money so unless we see a drop in the market, it could be time to just dump them. 2 weeks to go after tomorrow. We'll see what Friday brings.

The Dow lost 65 points today on lighter volume. Advance/declines were 3 to 1 negative. We were down twice as much but came back in the last hour. The market is showing a lot of resilience here and perhaps the case for being short is the wrong one. I'm still going to wait for the employment report on Friday. My OEX puts are in the black but not by much. To far out of the money I suppose. It's possible that there is a negative divergence on the S&P 500 RSI and if that is the case then the puts will work. We'll know within the next couple of days. Gold finally took a breather today as the dollar had a snap back. Gold lost almost $20 and the XAU fell 8 2/3. ABX down 1 1/2, GG lost 2 1/2 and NEM dropped 2. Volume was average. I'm going to keep an eye on gold as usual but I don't think I'll play it here. That could change of course. It's still very overbought even with todays action. Mentally I'm still not 100% as I'm fighting a slight cold or something. It's simply a waiting game for Friday at this point. That will be the key in my opinion. If we close higher for the week the uptrend will remain intact. If we close lower it sets up an interesting weekly chart and we could be in for a sustained drop. That's my guess at this point.

A day to consolidate the gains as the Dow gained 19 points on average volume. Advance/declines were higher. My overnight order for the OEX puts was filled in the morning. They are at about break even. Another up day tomorrow and we will be short term overbought. It is a risky trade but then again they all are. I'm going to wait for the employment report on Friday regardless. So we'll see what happens. Gold was up $4 today and the XAU gained 3 1/2. ABX was uo 1, GG up 2 and NEM up 1/2. Volume was heavy to the upside after yesterdays drop. The dollar lost ground again. The gold trade continues to work. The money continues to flow there. Perhaps I should have stepped up yesterday but if my idea of a drop in the stock market here is correct, the gold shares will initially follow I presume. Not to mention we are very overbought with respect to the gold shares and have been for a while. This won't last forever. Mentally I'm a bit tired. Did not sleep well and was woken up early. So a new trade has begun. Unless we get an upside breakout from here, which I doubt, I'll be waiting for Friday morning. We'll see how it goes.

Another week that starts off with a bang as the Dow gained 221 points on average volume. Advance/declines were over 4 to 1 positive. We have broken out to the upside from the consolidation of the past few weeks. Summation index to the upside. It's hard to argue with any of that. We are about at resistance though from the 200 day moving averages on some of the indices. I have an open order in for some OEX puts but it's a risky trade. I'd like to be short ahead of the employment report. We'll be short term overbought by Wednesday if this type of market action keeps up. Gold was flat and the XAU dropped 2 1/3. ABX and NEM were both off about a buck and GG lost over 2 1/2. Volume was pretty good to the downside. Perhaps the run up in the gold shares is finally coming to a close. Too early to know for sure. I'd like to perhaps still play them in the June cycle if they get oversold. Mentally I'm doing OK, slept well enough. Where do we go from here? It was a nice upside breakout today and I'd expect to see some follow through tomorrow. It really doesn't look like a market that you want to be short. However that could all change by the end of the week. We'll see what happens tomorrow.

We closed the month with a positive bias as the Dow gained 96 points on average volume. Advance/declines were over 2 to 1 positive. Most of the gain came in the last hour and last few minutes. I canceled my order for the OEX puts. I might try again next week but it looks like we've moved sideways and are poised to head higher. I could be wrong. We haven't broken the channel we're in just yet. I'll need to go over everything this weekend. Gold continues in a straight line up, gaining $17. The XAU was up almost 5. ABX up a buck, GG rose 3/4 and NEM up 1 1/2. Volume was good. North Korea is threatening to blow up the world again. When the news hit early in the week gold didn't move. It did today. The dollar got whacked again and continues in free fall for now. We are at $980 for gold and $1000 seems inevitable. Do we blast through there? I don't know. Very overbought in gold here. I'll try and wait for a pullback. Mentally I'm feeling OK, slept well. We are about at the top of the recent channel in the S&P. It looks like we are about to break out to the upside. I could make a case to go either way here but the upside seems to be the way the market wants to go. There will be lots to think about over the weekend. For now it's time for a break.

Back and forth we go as the market decides which way to go. The Dow gained 104 points on average volume. Advance/declines were positive. We are still stuck in a trading range. I'm leaving in my open order for OEX puts but I'm not as sure about it as I was. We could be consolidating before we move to new recovery highs. That is certainly a possibility. I'll keep an eye on things and adjust my view accordingly. Gold is still moving higher, up $8 and now over 960. The XAU gained 6 1/3. ABX and GG were up over a buck and NEM rose 1 1/2. Volume was average. The dollar continues lower to support gold. It has been an incredible move and I'm not taking part. I think it's too late at this point but who knows? Mentally I'm doing OK, slept better last night. So where do we go from here? The market has held up better here than I expected. I'm getting the feeling that we are going to move higher. But that's a guess. The technicals are mixed at this point. End of the month tomorrow. I'm not sure how that may affect things. Missing the gold move here was a mistake. It has lasted longer than I expected. I certainly don't want to short gold here but I can't chase it now. I'm leaving in my order for the OEX puts for now and will decide what to do with it before the weekend.

Back to the downside as the Dow lost 173 points on average volume. Advance/declines were over 2 to 1 negative. My overnight order for the OEX puts wasn't filled and perhaps it is too late. We'll see. Todays action will probably send the summation index lower again. I'm still leaning bearish. I'm leaving the OEX put order out there. We haven't broken 880 on the S&P 500. If we get there and fall through I will have to just buy some puts because then we will know that we are heading lower. Not there yet but I think it will happen. Gold was flat on the day but the XAU fell 2 1/2. ABX off 3/4, GG was flat and NEM lost 1 1/4. Volume was average. I'd like to try the gold shares if we fall further before the June expiration. The dollar showed a bit of strength. Overbought on gold and the gold shares. It is time for a rest but the momentum and money continue to go there. I am hopefully not going to chase things there. Mentally I'm feeling OK, could have slept more. End of the month coming up. It looks like today was the day to buy some index puts. I may not get another chance. I suppose I should have adjusted my order but hindsight is always correct. I'll keep an eye on things and will try to be mentally ready for a break of 880 if that occurs.

We started the week off with a bang to the upside as the Dow gained 196 points on average volume. Advance/declines were 4 to 1 positive. Are we on our way to new recovery highs? Could be. There is a chance that we have just seen a consolidation here and are going to test the 200 day moving average lines for the S&P. It's possible. We'll know pretty soon I think. Regardless, I put in an overnight order for some OEX puts. I'm sticking with a down scenario for the June option cycle until proven otherwise. I could be wrong and the market will let me know I'm sure. Gold lost $5 and the XAU was flat. GG and NEM gained a touch while ABX lost a buck. Volume was average. Is ABX telling us something here? Who knows? It did lead on the way up here after NEM. The dollar was slightly higher today and is very oversold on a daily basis. The trend is up for the gold shares though and they sold off hard early before coming back strong. I may try the June calls if we get some weakness that is more than temporary. Mentally I'm feeling OK after a nice long weekend. Plenty of questions here as todays action probably brought the summation index back to the upside. I'll need to check the numbers tonight. I'm still leaning towards the bearish side but if we break the recent highs on strong volume I will have to review my strategy. Let's see if we get some follow through tomorrow.

We were higher for most of the day but dropped in the last hour for a loss of 15 points on the Dow. Advance/declines were slightly positive and the volume was light before the long weekend. I still would like to get some OEX puts here but we are oversold and due for a bounce in the beginning of next week. The other scenario would be that we drop from the open on Tuesday and take out 880 on the S&P 500. I'll hope for a bounce but the market will go where it wants. Gold was up another $7 today and had a great week. The XAU rose 1 1/2. ABX was up over a buck while GG and NEM each tacked on about 1/2. Volume was pretty good considering it was a get away Friday. The gold shares just continue to move higher as the dollar moves lower. I like them on a pullback but there hasn't been any. I'll have to think about chasing them over the weekend. Mentally I'm a bit tired, could have slept more. So where do we go from here? I'm still leaning towards the bearish case. I don't think 880 will hold on the S&P 500. I would like to get some index puts before that happens. The ideal purchase time may have already passed. But I still feel there is money to be made. I could be wrong though. However the summation index is moving down. As for gold it is on a tear but overbought. So that's a tougher call for me. I'll probably try the calls if it ever pulls back. The money has flowed there. But it can flow out just as fast as well. I'll have 3 days to ponder things. It's time for a rest though.

Continuing lower as the Dow lost 130 points on average volume. Advance/declines were about 3 to 1 negative. A late day comeback mitigated the damage done. Getting short term oversold here. The support at around 880 on the S&P 500 has held for now. I still like the OEX puts if we get a bounce here. But the market may not wait to head lower. Summation index will be back to pointing down here. Plenty of time in the June option cycle but I would have liked to be positioned already. I'm leaving in the OEX put open order. Gold was up $14 and continues higher in the aftermarket. The money is flowing there and you have to respect that. The XAU could only manage 2 points to the upside. ABX up 2/3, GG up 1/4 and NEM gained over a buck. Volume was good again but you have to think these issues need a rest. But who knows? The dollar continues lower, oversold and staying there. I don't think that it's too late for the gold shares but they are extended here. Tough call. Mentally I'm trying not to beat myself up over missing gold again and not getting short yesterday. You do what you can really. I just haven't been quick enough here. I'm working on it. Long weekend approaching so the trading might be light tomorrow. We'll see.

It was a one day reversal to the downside as we opened higher and closed lower. The Dow lost 52 points on better volume. Advance/declines were positive. It could be that I've missed the opportune time for the OEX puts but the jury is still out on that. The overall market wasn't as weak however volume did expand on the down move. I've got an open order in for some OEX puts but it may be too late. My ideal day to purchase them would be Monday if things hold up here. Gold had a good day, up over 10 bucks. The XAU climbed 7 1/4 points. ABX up 2 1/2, GG up 2 1/2 and NEM up 1 3/4. Volume expanded to the upside. I should have bought the calls on Monday. Thought about it but didn't do it. The dollar is in a free fall it seems here. That said the XAU looks like it has put in a 5-wave up move and could be due for a rest. That would coincide with my downside scenario that I'm looking for here. The gold shares are breaking out here on good volume so if there is a pullback to the breakout point, I'm getting some calls. It's all just a guess at this point but the gold shares are showing relative strength. Mentally I'm feeling so-so. Did not sleep solidly. So now what? Where do we go from here? I think we have or are building a top here. I want to own some stock index puts. A long holiday weekend coming up in 2 days. Trading should be thin after tomorrow and there is no new data after tomorrow either. We'll see what happens.

A slight pullback today as the Dow lost 29 points. The overall market fared a bit better. Advance/declines were positive and volume was average. I'm still leaning towards the OEX puts. I'd like to see some negative divergence with the McClellan oscillator at some point this week. But that may just be wishful thinking. I may try and let this week pass, we'll see. Gold was up $5 and the XAU rose 3 1/3. We were higher than that but sold off in the last hour along with the overall market. ABX up 1/2, GG up 2/3 and NEM up over a buck. Volume was light but better than yesterday. The dollar lost ground again. If we get a drop in the overall market it will probably take the gold shares along with it. Again, I'm going to try and wait for a pullback here before trying the calls. Mentally I'm a bit tired, did not sleep well. So we'll have to see what happens from here. Perhaps today was the day to get the OEX puts, I don't know. I'm trying to stay patient with so much time left on the options. But the market certainly won't wait for me. On to Wednesday.

A very good Monday as the Dow gained 235 points on average volume. Advance/declines were 6 to 1 positive. Often times the Monday after expiration does the opposite of the expiration. I believe that this is what we saw today. As long as the volume doesn't pick up to the upside, I'm going to get some OEX puts on a retest of the recent highs. We'll have to see how the next couple of days plays out. We also have a long weekend coming up with the Memorial day holiday. And it's early in the option cycle. Plenty to ponder. Gold lost about $10 today but the XAU was up 1/2. ABX and GG were little changed but down early. NEM lost 1/4. Volume was extremely light. The dollar was weaker today yet gold fell anyway. Working off the overbought short term condition in the gold shares. If the overall market drops as I presume, the gold shares will fall with it in the beginning. I'm in no rush to make a trade here but when we get oversold I'll be more interested. Of course that could all change tomorrow. Mentally I'm feeling OK. Questions loom over exactly what we have going on here. I'll have to check the volume when things settle out tonight. You can't argue with price though. I may have to be patient here as well but who knows?

The Dow closed the week down 62 points on average volume. Advance/declines were negative. It was a downer week for the stock market. The summation index has turned down. I think the upside is limited from here. Again, I'd like to see a light volume retest of the recent highs and then get some OEX puts. But the market will do what it wants. Option expiration today was relatively mild. On to the June cycle and it's a week longer than usual. Gold was up a couple bucks today and the XAU dropped 2 points. ABX and GG had fractional losses, while NEM lost a buck. Volume was light. The dollar was stronger today. We'll have to see how the dollar and gold do next week. Gold is overbought and the dollar is oversold. I still like the gold shares and may purchase some calls on a pullback. Mentally I'm feeling good. I didn't do anything stupid this week and it's time for the weekend. I think the overall market moves sideways to down here but that's a guess. I've stated the optimal scenario for buying the OEX puts for June and we'll have to wait and see how it unfolds. I'll check the charts over the weekend and go from there. The extra week on the option cycle keeps the premiums high and that will have to be taken into consideration. So it's a couple of days to rest and back at it on Monday.

A slight bounce back as the Dow rose 46 points on average volume. Advance/declines were over 2 to 1 positive. The overall market was stronger than the Dow. Expiration tomorrow and then we'll go from there. Next week should be positive in my view and that may be a chance to get some OEX puts. Perhaps I'll give the market some time to build a top. The summation index won't be going much higher, if at all. We'll have to see how things play out here but I'm leaning to the downside for the June cycle. Gold was up a couple of bucks and the XAU gained a point. ABX lost 1/4 while GG was up 1/2. NEM gained 3/4. Volume was lackluster. The gold shares sold off hard early but came all the way back and then some. I still like them on a pullback. Overbought and have stayed that way for a while. The dollar was weaker again today. Conditions seem to be favoring gold at the moment. But I need to see the technicals come off the overbought condition before a trade is made. Mentally I'm a bit tired, could have slept more. An extra week on the June cycle and it's basically a waiting game for me at this point. It's all I can do. I've got some ideas going forward but we'll have to wait and see what the market tells us.

Continuing lower as the Dow lost 184 points on average volume. Advance/declines were 6 to 1 negative. The summation index will be turning down today. Is the rally over? Probably. I'd like to see a light volume retest of the highs to get some OEX puts for the June cycle. But that's a best case scenario. The market will go where it wants. No trades for this week. I'll have to let the options expire and look to do something for June. Gold was up a couple of bucks but the XAU fell 4 points. ABX and GG lost 3/4, while NEM dropped 1 1/2. We are overbought here and a pullback would not be a surprise. I'm not going to chase things here but I still like the gold shares. However if we get a drop in the overall market the gold shares could fall in sympathy. The dollar was higher today and if we fall enough to raise the fear level again, money will flow into the dollar. So I think we are in a possible transition here but I don't know for sure. It's my guess at the moment. Mentally I'm feeling OK, slept well enough. Inflation data in the next couple of days and I don't expect anything out of the ordinary. I think the surprise will be in the June data but I could be wrong. So for now it's time to sit tight for a while I suppose. Never easy but sometimes necessary.

The Dow gained 50 points today on average volume. Advance/declines were slightly negative. The overall market was weaker. We were lower but made somewhat of a comeback. Only 3 days left for this option cycle. Will I try the OEX puts? Only if we get a bounce that cheapens the puts. But it's risky. I still might do it though. Gold gained $10 today as the dollar was weaker. The XAU gained almost 5 points. The HUI has broken out above 340. ABX, GG and NEM were all higher by more than 1 1/2. The volume was average but the gold shares outperformed. Obviously I should have held the GG calls a bit longer. I would have tried the gold shares if we got some weakness in them early today but it didn't happen. So on it goes. Mentally I'm feeling OK. So where do we go from here? I think that we will be heading lower for the June option cycle. We've had a nice run but we are starting to see signs technically that we're running out of steam. The NASDAQ is not leading us higher anymore and has stalled at its 200 day moving average. If it could somehow break through there on heavy volume, I would change my mind. I still like gold and the gold shares too, even if we have a drop in the overall market. If we get a pullback there, I'll be looking to get long. We'll see what tomorrow brings.

The Dow took a hit today as it lost 155 points on light volume. Advance/declines were over 2 to 1 negative. It is options expiration week. It's probably too late for the OEX puts now but I can't rule anything out. Not a lot of time here though and the risk is high. Lots of divergences with the McClellan oscillator and we are just about at the top of the summation indexes range. I think we're there. That doesn't mean we can't move higher or go sideways but I think it does mean that the bulk of this rally is behind us. How to trade it is another matter. Gold didn't do much today, off a buck. the XAU was off about 1 1/2. ABX and GG off 1/2 and NEM lost a point. The volume was light. We were lower but made up a lot of ground in a hurry during the last 5 minutes. I don't know what it means but I may try the gold shares again this week. With only 4 days left? And overbought as we are? I might do it but again the risk is higher. The shorter term technicals will be the key. Gold isn't selling off here and I don't see any rally in the US dollar either. But that could all change tomorrow. Mentally I'm feeling OK. Kind of itchy to make a trade here and that isn't the usual scenario during expiration week. However if I feel that something has a chance to work I'm going to try it. Leaning more towards gold since we have already fallen pretty good with regards to the Dow. So we'll see. I could also just sit tight here and roll on to the June cycle. An extra week in that particular cycle so the premiums will be expensive. Let's see what Tuesday brings.

Back to the upside as the Dow gained 165 points on good volume. Advance/declines were 5 to 1 positive. The employment report really didn't matter. Unemployment continues to rise but so does the market. How long will it go on? Perhaps into the expiration. I'm still going to probably try the OEX puts at some point next week. But we'll have to wait and see on that. Gold moved both up and down but was little changed at the close. The XAU continues to outperform the metal as it rose 4 1/2 points. ABX and GG were up over 1 1/4, while NEM gained a buck. Volume was average. The dollar lost ground today but is oversold. Sure I would have liked to have held on to the GG calls but they're gone now. I still like the gold shares for the June cycle if we get a pullback. Mentally I'm doing OK. Not as tired. Of course I'm disappointed that I didn't make as much on the GG trade. It was declared dead at one point though and it was profitable. But I certainly could have done better. The question now is just how high will the stock market go here? Nobody knows. I'm going to check things out over the weekend and take it from there. We've already come a long way in a short time so my longer term view is that this is a bear market rally. But I could be wrong. It's Friday, the weekend is here and time for a break.

We headed lower today ahead of the so called "stress tests". The Dow lost 102 points on good volume. Advance/declines were almost 2 to 1 negative. It was a one day reversal as we opened higher and closed lower. I'm still going to consider the OEX puts if we test the recent highs on lighter volume. But it might be too late. Employment report tomorrow. Gold was up another $6 but sold off in the aftermarket. The XAU lost 1 3/4. NEM and ABX were flat, while GG gained 7/8. All the gold shares were much higher early. Volume picked up a bit. I dumped the GG calls for a 70% gain. It should have been more but I can't complain too much since they were dead a week ago. The earnings were good and if the market hadn't been so weak I'm pretty sure GG would have done better. I still like the gold shares here and might try another trade before expiration. Mentally I'm pretty tired, did not sleep enough and was up early. I should have been better prepared mentally for the trade. It's always easy to see the mistakes looking back. I entered the trade too early and exited today too late. Not usually a winning combination. The power going down at the office halfway through the trading day didn't help things either. So on to tomorrow and I'll have to come up with something from here.

Powering higher as the Dow gained 101 points on good volume. Advance/declines were over 2 to 1 positive. A melt up? Who knows but you just can't short it here, can you? The summation index still has a bit of room to move to the upside after checking things yesterday. Overbought and staying there. It seems like the market will move higher regardless of the news. I'm still going to try the OEX puts at some point before expiration. Might wait until next week though. Gold was up $7 and the XAU rose 7 points. Finally gold and the gold shares are moving together. ABX, GG and NEM were all up about 1 1/2. The volume wasn't anything to write home about though. We are overbought here as well. But it looks like we are breaking out here on the XAU. GG earnings tomorrow morning and the calls are back where I bought them. The prudent thing would be to sell on any up move, if there is one, in the morning. The dollar was weaker today and that helped gold. Mentally I'm doing OK. What to do with the GG trade is the question. I'm considering myself lucky that it has any life left at all. The stochastic is at the top of the channel and that is the signal to get out really. We'll have to see how it opens tomorrow. However gold has broken its down trend line and the XAU has broken through resistance. It's never easy.

The market remains strong as it tried to sell off today and came back late. The Dow did lose 16 points on average volume. Advance/declines were slightly negative. I would like to get some OEX puts here but probably won't. But you never know. Overbought now and we could stay there for a couple of days. Perhaps if we hold up for the rest of the week I'll give it a shot before the employment report. But the trend is up and you must respect that. Gold did little today and the XAU was up 2/3. Volume was light once again as ABX gained 2/3, GG lost 1/2 and NEM was up 1/4. The GG calls are still in trouble and the only hope at this point are the earnings out on Thursday. When it gets down to hope the odds are that the trade is dead. Mentally I'm a bit tired, did not sleep as good as could be. Power outage here on Thursday and that is a factor. The market is strong here regardless of the data lately it seems. However the summation index is getting to the top of where it can go. That doesn't mean a big sell off per se but it does mean that the upside from here will not be as dramatic as it has been, in my opinion. But I could be wrong.

It was a good Monday for the bulls as the Dow rose 214 points. Advance/declines were 5 to 1 positive and the volume was decent. Price and volume moving higher and you can't argue with that. Summation index still moving higher. We are overbought and if tomorrow is positive there will be a short term sell signal for the OEX. We are at resistance for the OEX here at just over 420. I may have to buy some puts but this market seems to just keep going up. It won't last forever though and there is plenty of data later in the week. We'll see. Gold was up $14 today and the XAU finally joined in, up 7 1/2. ABX was 1 3/4 higher, GG up 1 2/3 and NEM added 2 1/4. However the volume was missing as has been the case lately. My GG calls showed some life but they're still losers. Earnings on Thursday morning and I suppose I'll wait for that now. This could just be more sideways action for the gold shares but we'll have to see. Nothing says that it's otherwise at this point. The dollar was weaker today and that helped things along. Mentally I'm doing OK, slept pretty good. It's an important week and there's a problem here at the office. The power is going out halfway through the trading day on Thursday for some maintenance. There is no getting around it. So my data feed will be gone along with the ability to trade. I'll try and take care of things in the morning with contingent orders. But it isn't something that I'm pleased about. It also could keep me out of trading the OEX. So we'll see. I'll run the numbers tonight and come up with a plan for tomorrow.

We ended the week on a positive note as the Dow gained 44 points on average volume. Advance/declines were positive. Beginning of the month money flows probably helped things here. We are getting near a possible sell signal but it isn't quite clear just yet. I think that we will see some weakness in the beginning of next week but I'm not sure if it will last or if it's trade worthy. I'll check things out this weekend. Gold lost around $5 today while the XAU was up 1/3. ABX and GG were flat while NEM lost around 1 1/2. Volume was the usual light. NEM has been the leader and I don't like the fact it was down so much. I suppose I may as well wait for the GG earnings at this point. Regardless, the GG call trade will be a loser. Mentally I'm feeling OK. Lots of info next week with the bank stress tests and the employment report. I'll check the charts over the weekend and go from there. For now, time for a break.

We opened higher and closed lower today for a one day reversal to the downside as the Dow lost 17 points. We were up over 100 at one point. Volume was average while the advance/declines were positive. So we are hanging around waiting for the next catalyst. We're overbought at this point so I think the next sustained move will be down. That doesn't mean we can't wander up into the May expiration. What it does mean is that it might be a tough game to trade the index options going into that. We'll see. Gold lost $10 today and the XAU dropped 2 1/2. ABX and NEM lost 1/2 while GG dropped over 3/4. Volume was light as usual. The GG calls are fading fast. Oversold though but will the bounce, if we get one here, be enough? No reason to own gold now really. NEM earnings were OK but no rally in the stock. So why bother to wait for GGs earnings? So it could be time to cut the loss and focus my attention elsewhere. Mentally I'm doing OK. Not enjoying sitting in a losing trade but what can you do? We'll see how it goes tomorrow and take it from there.

Back to the upside as the Dow gained 168 points on average volume. Advance/declines were 4 to 1 positive. Summation index is still to the upside. GDP worse than expected and the market shrugs it off. Fed announcement, nothing new. You cannot argue with price and volume. So perhaps we will run up into the May expiration. But you know, tomorrows another story. Gold gained $7 today but the XAU could only manage 3 1/4 points. ABX, GG and NEM all up around 1/2. Volume light as usual. ABX missed on its earnings but it was a non event. The gold shares are overbought now and they haven't moved enough to make the GG calls profitable. Still in the red there and this sideways movement is sucking out the time premium. I'm going to have to think about where to take the loss at this point. NEM earnings tomorrow. Will they lift the gold shares? There just isn't any volume here. I certainly don't want to wait for the GG earnings next week if we don't see any upside by the end of this week. It is never easy but this trade looks dead. Mentally I'm a bit tired. Did not sleep as long as I would have preferred. So we got through with the Fed and what is next? Waiting for the employment report in over a week? I don't see any catalysts from here one way or the other. On we go.

The market is in a holding pattern as the Dow lost 8 points on light volume. Advance/declines were even. I guess we're waiting for the GDP report tomorrow and the Fed. I don't know which way we are going to go. No clear signal for the OEX so it's the sidelines for me with regards to the OEX. Gold took a hit today, down $15. The XAU dropped 4 1/4. ABX off 1 1/3, GG down a buck and NEM lost 1 2/3. Volume was light as it has been lately. My GG calls are back in the red. So back and forth we go here on this trade. The dollar lost ground today and that didn't help gold. That is not a positive going forward. I suppose I will see how the week closes out unless we simply drop in the gold shares from here. ABX earnings tomorrow and NEM on Thursday. I think tomorrow could be the key with all the news coming out. But that's a guess. We'll just have to see how it goes. Mentally I'm a bit tired, didn't sleep all that well. So here we are having moved sideways for the most part lately with regards to the overall market. We will break out sooner or later. Which way is the question. It feels as though the market wants to go higher. The technicals are mixed though. So we'll see where we go from here.

A meandering Monday as the Dow lost 51 points on lighter volume. Advance/declines were 2 to 1 negative. We opened lower, came back and wandered off again. Swine flu is grabbing the headlines. A lot of data out this week including a Fed meeting so I think swine flu will be in the background rather soon. But who knows? No clear signal for the OEX here so it's a wait and see mode for now. Gold lost $6 and the XAU dropped 2 points. ABX and GG were off 2/3 to 3/4, while NEM managed a gain of 1/3. Volume was light as there wasn't a lot of interest here even with the pandemic scare. My GG calls are back where I bought them. I'll be holding on for now. Gold companies earnings are out the next 3 days, including ABX and NEM. So I would expect some movement but certainly don't know which way it will be. So it should be an interesting week. Mentally I'm doing OK. The dollar was much stronger today and that would be a negative for gold going forward. We get 1st quarter GDP this week and that should move the dollar. Not to mention the Fed announcement on Wednesday. Housing data tomorrow. So there will be plenty to digest as the week moves forward. I'm holding the GG calls until the stochastic gets overbought and it isn't there yet. The only problem would be if it rolls over and never gets there. Anythings possible.

Another gain for the Dow as we were higher by 119 points on average volume. Advance/declines were 4 to 1 positive. It's as if Mondays almost 300 points loss is an afterthought. You can't argue with price though. The so called bank stress test wasn't received badly. The truth is nobody really knows what it means. If we get to overbought next week, I may get some OEX puts. That remains to be seen. Gold was up $7 and the XAU rose 6 1/2. Finally the gold shares have started to act better than the metal itself. ABX up 1 1/4, GG rose 1 1/2 and NEM tacked on 2 and change. The only caveat was the volume, which was nothing special once again. The dollar got whacked and if that continues it could supply a bid for gold. My GG calls are back in the black. The weekly chart here could be turning positive and that would bode well for the future. Lots of gold company earnings next week and perhaps that will be a catalyst for the upside. Or not. GG doesn't report until May 7th. I will dump the calls when we reach overbought on the stochastic hopefully. Time will tell. Mentally I'm feeling OK. Still kind of lamenting the fact that I bought the GG calls too early but it really doesn't matter now. And dwelling on that fact won't change things. So I've got to go from here. I'm not sure just how much rally is left in gold here since the volume isn't there. I'm thinking perhaps I can sell my calls and then buy them back cheaper again while still in the May option cycle. But who knows? The overall stock market continues higher and I don't want to fight that fact with the OEX. Well, it is the weekend. I'll go over the charts and try and come up with some type of game plan for next week. For now it's time for a rest.

A late day rally carried the Dow to a gain of 70 points on average volume. Advance/declines were positive. Seems like we are just hanging around here this week after the sell off on Monday. I still don't have a clear signal to trade the OEX at the moment. Perhaps sideways for a while now, I don't really know. We are supposed to get some news on the government stress tests for the banks tomorrow and that could be a mover. We'll see. Gold had another good day, up $14 and now back over $900. However the gold shares remain subdued. The XAU managed a gain of 3 points. ABX and GG each up a buck and NEM up 1/3. Volume was nothing special. My GG calls are still in the red. Now we are seeing an updraft in gold itself but the gold shares just don't want to follow. Earnings are out on a lot of gold companies next week but GG isn't one of them. So the dilemma is what to do now? We are nowhere near overbought on the technicals for GG. However we are overbought on gold. The trading is never easy. Mentally I'm feeling OK. It looks like I should have traded ABX instead of GG, since it has performed better here. It had shown a bit better relative strength. But you can always look back regretfully. Going forward is what matters now. We'll see how the week closes out.

A late day sell off led the Dow to a loss of 83 points. Advance/declines were positive and the volume was average. This seems like a market that wants to go higher even with todays sell off. No clear OEX signal at the moment. We are working off the overbought condition. Perhaps we will have a run up for the May expiration as we did for April. Too early to tell. Gold was up almost $10 and the gold shares did nothing. The XAU was higher during the day and closed flat. ABX and GG didn't do much and the recent leader NEM was off 1/2. Volume was light again as there isn't any interest here. My GG calls are losers for now and even though it's early in the options cycle, this trade doesn't look good. If the gold shares can't rally when gold is going up then they are destined to fall. Even the dollar lost ground today but it didn't help. We'll see where we go from here but it isn't looking good for the long side. Mentally I'm feeling OK, slept well enough. So I'm stuck in a losing trade with plenty of time left on the options. Not a good place to be really. I'll have to see how we close the week and take it from there. That's it for today.

Bouncing back today as the Dow gained 127 points on average volume. Advance/declines were 3 to 1 positive. So was yesterday just an expiration related decline? Time will tell. We'll have to see how the week ends up. Nothing doing in the OEX trade arena for me at the moment. Gold lost $5 today and the XAU dropped 1 3/4. The daily charts don't look good for the upside here. ABX off 3/4, GG down about 1 1/4 and NEM off 1/4. The volume was light again. No follow through to yesterday. GG is weaker than the rest and my calls there are back under water. The gold shares are acting worse than the metal itself and that isn't a bullish sign. I'm holding on for now. Not much else going on for me at the moment. Mentally I'm doing OK. Debating on whether to just take the GG loss this week or give it some more time to work. Still oversold but it's staying there and that isn't good. However it won't stay oversold forever. I think I'll give it until Friday at least unless there's a sharp break down. We'll see what tomorrow brings.

A downer Monday as the Dow lost 290 points on average volume. Advance/declines were 8 to 1 negative. No buyers today as we begin the May option cycle. Is it the beginning of something big on the downside? I don't know. Sometimes the Monday after expiration gets skewed for whatever reasons so we'll have to see how things play out from here. Too early for an OEX trade as there is no solid signal and the options are pricey. Gold was up almost $20 on the safe haven theory however the XAU only gained 2 3/4. ABX was up 1 1/2, GG up 1 1/4 and NEM up a buck. Volume was nothing special. My GG calls are back where I bought them. I would have liked to see more upside and volume in the gold shares today but it didn't happen. The dollar had a pretty good day as well. Plenty of time for the GG trade to work out and we are still oversold there. At this point it looks like ABX would have been the better issue to trade. Hindsight never fails. So I will have to determine if I'm going to dump the GG calls early here and try and buy them back cheaper or just hold on. Mentally I'm feeling OK. The gold shares stopped going down for a day but that doesn't necessarily mean that they will be taking off to the upside. We'll see what happens in the next couple of days. Plus we have the earnings factor in the May cycle. So it will be interesting but it remains to be seen if it will be profitable.

We ended expiration with a slight gain of 6 points for the Dow on good volume. Advance/declines were 2 to 1 positive. The trend is up and it seems as though there is no stopping things at this point. Summation index still moving higher. It has been quite a rally off the lows. No OEX trades on the horizon. Gold lost $12 today and the XAU shed almost 4. ABX down 3/4, GG off 1 1/3 and NEM fell 1 3/4. All on good volume. My GG calls got filled. I think that I'm early here. This already has the feel of a trade that won't work out. In the red a touch and the weekly charts don't look good. Oversold on a daily basis so I may be able to exit on a bounce. I think I needed a little more patience here. Earnings are out in the May cycle. The dollar had a good day and that isn't helping gold. We moved sideways in the gold shares and then broke to the downside on increased volume. That's hardly a bullish scenario. So we'll see what happens. Time is on my side but that's about it at this point. Mentally I'm feeling good, slept well enough. The weekend is here so it's time for a brief rest from the game. I'll look at the charts and go from there. But first a break.

A new recovery high today as the Dow gained 95 points on average volume. Advance/declines were about 4 to 1 positive. Summation index still pointing higher. Expiration tomorrow and I had no OEX trades in this option cycle. We continue higher but there is a lot of overhead resistance coming up at around 420 on the OEX. We'll see what happens. Gold lost over $13 today and the XAU fell over 6 points. ABX was off 1/2, while GG and NEM both lost over $2. Volume increased on the downside and that isn't a bullish sign. We are oversold here but the weekly charts don't look good for the upside. I still have in an order for GG calls though. I may cancel it but I do think when nobody wants something it is time to take a closer look. I think this trade has a chance to work so I'm sticking with it for now. If gold continues to break down here that would change things. Mentally I'm doing OK, slept well enough. The rally continues and you have to wonder how far it will go. We've been overbought on the OEX for a while now as well. We'll close out the week tomorrow and take a look at things over the weekend. Perhaps there will be follow through to the downside on gold tomorrow and my order will be filled for the GG calls. On to expiration.

A late day rally took the Dow up 109 points today on average volume. Advance/declines were 2 to 1 positive. Just looking to finish the week at this point for me. There won't be any OEX trades in this option cycle. It's no fun to wait around for a decent signal but you don't lose any money either. So patience is the key and here I sit. Gold was up a bit over a buck and the XAU rose 1 1/3. ABX, GG and NEM were all up around 1/2 on light volume. Nothing happening here as well. I'm leaving in my open order for GG calls but GG has been acting worse than the others lately. Not to worry, it will take a good drop to get filled. It's more sideways action here and there isn't much you can do about it. I'm still going to look for the May option cycle to do something with the gold shares. We'll see. Mentally I'm doing OK. I'm keeping an eye on things but I don't see anything trade worthy at the moment. I'll try and not do anything stupid in the next couple of days before expiration. Sometimes you have to be patient and this seems to me to be one of those times. Perhaps we'll be going sideways for some time but that's a guess. We'll see what tomorrow brings.

We lost some ground today as the Dow fell 137 points on better volume. Advance/declines were 2 to 1 negative. No sense of panic here or much else of anything. We are meandering around here. It looks like I won't have any OEX trades this week at this point. 3 days to go in the April option cycle. We've been working our way higher in a trading range for a few weeks. I don't see any great shakes but I could be wrong. Gold lost a few bucks and the XAU fell a point. Kind of the same story here as well. Moving sideways for the last week and a half. ABX and GG slightly higher with NEM slightly lower. Volume slow once again. I'm leaving in an open order for GG May calls. It may take a while but I think the May gold share calls are the next trade. So we'll see. There hasn't been a lot of interest in gold lately but I'm willing to give it a shot. Mentally I'm a bit tired, did not sleep all that well. Expiration week continues and we haven't seen a lot of volatility. Sometimes you just have to be patient. It isn't easy. So I'm on the sidelines and waiting. And we'll go from there.

The Dow lost 25 points today on average volume. Advance/declines were positive. The overall market was stronger than the Dow. If we can hold up into Wednesday, then I might try the OEX puts. Otherwise I will probably have to sit it out. So we'll see where it goes. 4 days left in the April cycle so the risk is high. Gold was up $12 today and the XAU rose 2. ABX, GG and NEM all had fractional gains on light volume. I do want some May gold calls but I'm going to wait for lower prices if possible. The volume pattern here has gotten pretty lousy. There just isn't much interest and that won't help move these issues much higher. Also gold itself is acting better than the gold shares. That isn't a good sign going forward. We are oversold on the gold shares though. You want to own them when nobody else does. It's never easy. Mentally I'm doing OK, slept well enough. So the idea for this week is to get some OEX puts if we have strength into Wednesday. If that occurs we'll have a short term sell signal and I'll give it a go. If the gold shares drop then perhaps I'll get some May calls. That's it for today.

The Dow closed the week with a huge gain of 246 points on good volume. Advance/declines were over 6 to 1 positive. Banks led the way and that is a positive for the market. We should see some follow through on Monday. I have no OEX trades in mind but if it sets up properly, I'll try the puts next week. We'll see. Gold lost a couple bucks and the XAU dropped 1/2. ABX, GG and NEM were all down fractionally with GG leading the way. We are oversold here on a daily basis but there is no interest in the gold shares. Volume was weak again today. I will probably try the May calls here anyway if we have any weakness next week. Why? The technicals point to it. However there is also the possibility that we simply break down from here on the gold shares and that is the risk you take in this trade. I'll think about it over the weekend. Mentally I'm feeling OK. Expiration week is the next event and it looks like it could be strong early and then we'll see what happens. That's a guess. It's a long weekend so perhaps I'll relax for a couple of days before I try to come up with some type of game plan for next week. I'll take a closer look at the charts and go from there. For now it's time for a break.

The Dow gained 47 points today on the recent light volume we've seen. It is a holiday week. Advance/declines were over 2 to 1 positive. Not exactly sure where we're going here as it is a sideways affair. I suppose that I'll wait until next week for the OEX. Gold gained a couple bucks while the XAU lost about a half. Fractional losses for ABX, GG and NEM in lackluster trade. I'm looking at the May calls for the gold shares. I don't know if it will work but that is my focus at the moment. Interest in gold has waned which could be a problem for the long side. But we are getting oversold on a daily basis and I will probably do something next week. Mentally I'm feeling OK. Finish up the short week tomorrow and take it from there. No need to press things here because there really isn't much going on. The market is kind of acting like it can in the April cycle. Sideways with not really any great trading opportunities as yet. So it's the sidelines as it has been. I'll keep an eye on things and remain patient.

No buyers today as the Dow lost 186 points. Advance/declines were over 3 to 1 negative and the volume was light. It looks like the OEX put trade will be put on hold because we have already worked our way lower for now. Perhaps it will set up for the calls next week. Hard to say. We could get sideways action which is sometimes typical for this time of year. So it's a time to be patient and wait for the proper set up. Gold gained $10 today and the XAU managed to gain 2/3 of a point. Not encouraging for the long side. ABX, GG and NEM had fractional moves both ways on light volume. No interest in gold at the moment. I do think that I'll try the May calls there when the stochastic reaches the bottom of its range. Could be soon. However the weekly charts don't look promising for the long side. So it is a tough situation to trade for now. I'll try and remain patient. Mentally I'm feeling OK. Only 2 trading days left for this week, with a long weekend approaching. Not a time to be too bold I think. I would like to do some type of trade for the April cycle but nothing is looking clear at the moment. As time goes by the risk increases. So it's the sidelines for now and I'll keep an eye on things going forward.

Weakness for Monday as the Dow lost 41 points on average volume. Advance/declines were negative. We were getting to overbought so a pullback wasn't out of the question. I don't think it's anything major. I'm looking for the market to continue higher into early next week and then a better drop. That's what I'm hoping I guess because the next trade will be OEX puts before April expiration. If it sets up properly. So we'll see. Gold lost another $25 today and the XAU fell 4 1/4. We were lower than that but came back. ABX lost 1 1/2, GG off 3/4 and NEM down a buck. Volume was light. GG and NEM finished well off their lows so perhaps we'll bounce tomorrow. ABX was at its low so the picture is mixed. I'm going to wait until the technicals get oversold on the gold shares before the next attempt at the calls. The dollar was stronger today as well. As the market rallies the safe haven play of gold loses its luster. I still like the gold shares from the long side longer term but for now it doesn't look like the place to be. I could be wrong and often am. Mentally I'm doing OK. I have somewhat of a game plan going forward but it will have to set up right. We could just bounce around here as well considering it is April. A short week here as well, the market will be closed on Friday. So I'm going to try and be patient for the OEX puts. We'll see what happens.

The Dow closed the week with a gain of 39 points on average volume. Advance/declines were positive. The employment report was terrible as expected but we continued higher. The trend remains up. You can't argue with the market. Summation index pointing higher. There is a lot of resistance coming up so I don't expect some huge upside move but you never know. The next signal looks like it will be a sell. However no OEX trades for now. Gold dropped another $10 and the XAU lost almost 7. ABX down 1 7/8, GG off 1 2/3, NEM shed 2 1/3. The volume was better than lately. Getting oversold here but we have broken down. I'm going to have to give the gold shares some time to find a bottom. Perhaps getting long the May option cycle. We'll see. Mentally I'm a bit tired. It's the end of the week and the weekend is upon us. Next week is a short week with a Friday holiday. It could be a sideways affair here for a while too. No need to press the issue here. If something looks like it has a chance to succeed, I'll give it a shot. Otherwise I'll have to remain on the sidelines. Time for a break before a check of the charts over the weekend.

The Dow climbed 216 points today on good volume. Advance/declines were 6 to 1 positive. We were up over 300 at one point. But profits were taken ahead of tomorrow employment report. The trend is up even if we sell off tomorrow. I don't expect the employment report to have any good news really. However the markets will go wherever they want. No OEX trades for now. Gold lost almost $20 and the XAU dropped 6 and change. Volume increased to the downside and that's a negative. ABX off 1 1/2, GG down 2 and NEM fell over a buck. The dollar was weaker today as well but it didn't help the gold market. Oil was higher and gold fell anyway. So perhaps the flight to safety trade in gold is now unwinding. That's a guess. However price and volume is what I try to follow and today wasn't positive for the gold shares. It could all change tomorrow but I'm going to stay on the sidelines for now. Mentally I'm feeling OK, slept well enough. Thankful that I didn't chase the gold shares here but it isn't easy trying to be patient. I'm going to have to wait for a decent signal to trade the OEX as well. Trin readings still support higher prices but some other indicators are overbought. So it's a waiting game for me at the moment.

Continuing higher as we sold off early and roared back with the Dow gaining 152 points on average volume. Advance/declines were 3 to 1 positive. The market is refusing to sell off at this point even with Mondays action. The trend is up for now and should stay that way for the April option cycle. You can't argue with price. Gold was only up a couple bucks but the XAU rose 6 points. Beginning of the month and quarter money perhaps? ABX and GG were up 1 1/2 while NEM continues to lead, up 2 1/2. The only thing lacking was the volume which wasn't that great. But nobody was selling the gold shares here either. So it looks like I missed it again for GG. We are overbought and staying there. I am going to try not to chase the gold shares here but you never know. It is frustrating but you've gotta move on. At this point I suppose I'll just wait for the employment report on Friday. Mentally I'm tired, did not sleep well or enough. I'd like to make some money here but nothing is happening for me at the moment. I will try not to press things here. So what can you do? I'll try and be patient and not do something stupid. But you never know.