Thursday, September 14, 2006
The Dow was down 16 points on lighter volume. Advance/declines were negative. The put options I own didn't do much. We are overbought and could stay there. But I feel this is a trade that will work. Inflation data tomorrow and option expiration. Could skew the markets. We'll see. The action today really had no conviction one way or the other. I saw a lot of volume in some OEX out of the money call options. Only one day left. Gold lost a couple bucks but the gold stocks fell hard, down another 5 points. There is no let up in selling there. I'll look to buy some calls eventually. Mentally I'm doing OK for now. I've continued my reading and I'm doing the work required to be successful at this point. I'm a bit worried that I have bought the puts too soon but even so I think they will be winners. There is an extra week on the October options. Early next week should be a wait and see pattern for the Fed on Wednesday. That's it for today.
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