Wednesday, September 30, 2009
The market is trying to make up its mind here as the Dow lost about 30 points on end of the month good volume. Advance/declines were negative. The market dropped hard early and then came all the way back. That isn't really negative action. Summation index still heading lower. I'm in a bit of a quandary as to what exactly to do here. I'm still leaning to the downside but I may wait until the employment report actually comes out before I make a trade. We'll see. Gold had a good day, up $15 on the futures. However the XAU only managed a 2 point gain. ABX, GG and NEM all had fractional gains on average volume. The dollar was weaker and oil had a good day. So what should I do with the gold shares? If my downside scenario proves correct, there will be a cheaper entry point for a long side trade. If not, it looks like I'll miss it again. Mentally I'm a bit confused as to what to do here but I'll be giving it a lot of thought tonight and tomorrow. Could this just be another sideways consolidation before we move higher again? Or is it really going to be a correction? These questions have to be answered. Staying on the sidelines is also an option but the least desirable. There's absolutely no money to be made doing nothing. Of course you don't lose anything either. More tomorrow.
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