Thursday, July 16, 2009
The rally continues as the Dow gained 95 points on light volume. Advance/declines were over 2 to 1 positive. Summation index heading higher. It really has been an incredible move to the upside this week. The reported earnings are better than expected, which happens when the expectations are low. We are overbought here so I would expect some type of pullback soon. Where we go after that is anybodies guess. We are at 440 on the OEX and resistance is at 450. So we'll see. Gold was down $4 but the XAU followed the overall market higher, up over a buck. ABX, GG and NEM all had fractional gains on light volume. The gold shares have moved back to outperforming the metal itself and that's usually bullish. The dollar was weaker today. Perhaps I'll look at the gold share calls again on any weakness. However there is an extra week in the August option cycle which will keep the premiums high. Mentally I'm tired and I did sleep pretty good. I'm not in a good spot mentally really. No confidence and just missed an excellent opportunity this past week. I can't dwell on it and I'll try not to but it's tough. You've just gotta keep moving along in the game. That's what makes it tough but as usual the battle is always with oneself. On to expiration Friday.
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