Friday, December 05, 2008
It was a Friday turnaround as the Dow gained 260 points on average volume. We were down almost 200 early but came all the way back and then some. Advance/declines were 2 to 1 positive. The employment number was bleak with the most job losses in 30 years or so. The market shrugged it off and moved higher. A market that moves up in the face of bad news is going to go higher. I looked at calls to purchase but did not find anything cheap. I will keep looking. Gold lost $13 but the XAU was flat. ABX, GG and NEM all had fractional losses on average volume. The gold shares did sell off early as well. I had an order in for GG calls but was not filled. I'd still like to go out to January there so we'll see. But that doesn't mean that I won't try a December play. GE is overbought and staying there, up another 35 cents on average volume. I would like to buy the calls back there as well but will not chase it here. If we get a pullback and get down to oversold, then I'll do it. Mentally I'm a bit tired, did not sleep well. I expected some weakness, we got it but the trading opportunities didn't look worth it in my opinion. The market appears to be stronger then I anticipated here. I'll have to make the adjustment. 2 weeks in the December cycle left to go. It's the weekend and time to check the charts and take a break.
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