Wednesday, October 15, 2008
Back to the downside and that is to be expected. The Dow dropped 733 points on heavy volume. Advance/declines were about 9 to 1 negative. We are going to retest the lows. Whether or not they hold is the question. I think they will and I'm sticking with that forecast. However anything can happen in an environment such as this. It is options expiration week and that intensifies the moves both up and down. I'm a believer that the lows of last Friday will hold. Gold was flat but is rallying in the aftermarket. The XAU got clobbered again, down 12 points. ABX, GG and NEM were all off about 2 points on average volume. I'd love to get some gold share calls here but an looking elsewhere at the moment. GE lost over 1 1/2 on heavy volume. This is where I'm looking. I'm in no hurry but I am leaving in an overnight order for December calls. It will take a big decline to hit the price I've put in so we'll see. I'm not expecting the market to crash. It already has in my opinion. Mentally I'm doing as good as I can. Still not feeling well and that clouds things for now. It has been quite a month so far and no one knows what the future will bring. So we'll see what happens.
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