Tuesday, November 18, 2008
We ended the day up 151 points on the Dow. Advance/declines were negative though. Volume picked up a bit from yesterday. We were off over 150 at one point but came back late in the day. I did want to pick up those OEX calls but didn't. I still might give it a shot but we are running out of time and the risk is high. May not stop me though. Still forming a bottom here in my opinion or at least moving sideways. The longer it takes to form, the better the rally should be if we get one. Gold lost $9 today and the XAU dropped 1/2. ABX, GG and NEM all were little changed on lighter than lately volume. No trades right now but I'm still looking out to January there. GE was little changed after being lower earlier. Volume was heavy. I may try the December calls here. Technically looks OK to do it but like I said yesterday, the trades look more like they are in a feel mode than anything else. What does that mean? We're in a very different market period with extreme volatility. It affects the way things operate. Credit markets are still frozen. There is no velocity of money. Until that changes it will be even more difficult than usual to trade. Mentally I'm doing OK, slept well. Trying not to do anything stupid here yet I'd like to make some money. Next week will be a wash with the holiday. 3 days until expiration. We'll see.
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