Wednesday, July 07, 2004
The Dow managed to go up 20 points today. Was up around 45 points and then pulled back. Volume was nothing special and the advance/declines were solidly positive. I'd like to get some calls here and almost bought some today. If we're down tomorrow I just might. Gold rallied strongly, up almost 10 bucks. I guess the lack of sell-off in the gold stocks yesterday was for real. The XAU was up 3 1/2 points and NEM was up 1 3/4. Both my positions are now in the black. Even the poor timing, chased move NEM August calls are now making money. Volume was heavy. We have broken out above $40 on NEM. The next stop is $42.5, where if I have any brain in my head, that will be the target to get out of these trades. That is the idea at this point. We should see resistance there and then I will buy back the August NEM calls at a better price. Sounds good in theory anyway. A couple of earnings announcement tonight but otherwise not much news coming out. I'll look to get some OEX calls tomorrow on weakness. However this is a confusing market that is not rallying even with the good internals. As I said before if the internals start to go negative we could be in for real trouble on the downside. Don't know, just guessing as usual...
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