Thursday, April 09, 2009
The Dow closed the week with a huge gain of 246 points on good volume. Advance/declines were over 6 to 1 positive. Banks led the way and that is a positive for the market. We should see some follow through on Monday. I have no OEX trades in mind but if it sets up properly, I'll try the puts next week. We'll see. Gold lost a couple bucks and the XAU dropped 1/2. ABX, GG and NEM were all down fractionally with GG leading the way. We are oversold here on a daily basis but there is no interest in the gold shares. Volume was weak again today. I will probably try the May calls here anyway if we have any weakness next week. Why? The technicals point to it. However there is also the possibility that we simply break down from here on the gold shares and that is the risk you take in this trade. I'll think about it over the weekend. Mentally I'm feeling OK. Expiration week is the next event and it looks like it could be strong early and then we'll see what happens. That's a guess. It's a long weekend so perhaps I'll relax for a couple of days before I try to come up with some type of game plan for next week. I'll take a closer look at the charts and go from there. For now it's time for a break.
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