Tuesday, May 25, 2004
Huge rally today. Dow up 150 points with 20 minutes to go. Volume better than lately. XAU and NEM up decent also. Advance/declines solidly positive. And so it goes. The decline is over. Is this the beginning of the next leg up in a bull market or are we just going to the top of the trading range? And where are the profitable trades from here? It's never easy. I'll have to wait for the OEX to get to the downtrend line and decide from there. We are getting short-term overbought now. NEM is another story. I'd like to see some type of pullback before taking a position but that may not happen. I suppose I'll be on the sidelines for now. Not much else I can do. The markets will always go where they want and do what they want. They say the market is always right. I think that the markets simply exist. They are there for those good enough to take profits out of them, either long or short. You have got to learn how to listen to them and you've got to know when to act. It's an ongoing education...
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