Friday, September 08, 2006
The Dow rose 60 points on light volume. Advance/declines were positive. I now have to decide when to buy some OEX puts. The market has told its story. The decline that has begun is for real. It's option expiration week coming up and that could give me a chance to purchase. But the timing will be difficult. There is an outside chance that we could set a new high for the year. There is also a chance that we could just start to fall. It isn't easy. I am thinking now that the day to buy puts for October will be Wednesday. But that could change. I'll need to check the economic calendar for next week. But the next trade is set. It's just a matter of when. Gold was down 7 bucks today and the XAU fell over 4 points. The volume was good on the gold shares. I need to find the long term uptrend line there and look to get long when it gets there. I don't know what the recent metals weakness is signaling. Dollar strength or perhaps economic weakness? Not sure but I'm concentrating on the overall market here. Mentally I'm trying not to get too excited over the upcoming trade. I really think that this will be one of the better opportunities this year. I am probably going to risk more than usual because of that. I need to work over the charts this weekend, establish targets and then develop the gameplan. The time is near...
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