Thursday, May 17, 2007
The Dow lost 10 points on average volume. Advance/declines were negative. I really think we are forming a top here. There have been many divergences with momentum. The overall market has been weaker than the headline Dow. Option expiration perhaps has propped us up for this week. Time will tell. Gold lost around $4 and the XAU shed another point or so. Gold looks like it is breaking down here. I think the recent rise in interest rates is perhaps making the dollar look attractive again and that is not good for the price of gold. NEM was down again on heavy volume. The volume was high for the gold ETF also. People are getting out of gold. That will change at some point and I hope to be aboard for that next run. It will happen at some point this year. Mentally I'm a bit tired again. I've been quite busy lately away from the market. I haven't made any stupid trades this week so that's a plus. Next week, who knows?
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