Thursday, August 09, 2007
The Dow got clobbered today, down 387 points. The volume looks incredibly heavy as it was a couple of weeks ago. Advance/declines were 3 to 1 negative. We are heading down to test the lows and at this rate, they won't hold. But we'll see. The question is, who is going to want to hold stocks over the weekend? Just how long will this go on? Don't know. The McClellan oscillator almost made it positive yesterday but it didn't. So the summation index remains downward. Tomorrow will be interesting. Gold was down $13 as it was liquidated to cover losses elsewhere. The XAU was off 4 1/4. NEM was off almost a buck but ABX was only down around 30 cents. ABX was off almost a dollar at one point and came all the way back. The relative strength is back with ABX and that is a place to look. GE lost about a buck and a half on heavy volume. It's still far from the target I'm looking at to get long. Mentally I'm feeling OK with a good nights sleep. The volatility is getting extreme. That is just the type of market it is at the moment. I had an idea for the puts yesterday but wasn't filled. I'll be looking for calls at some point if a good signal occurs. There is no rush to do anything and next week is expiration. Until tomorrow...
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