Thursday, October 08, 2009
The Dow gained 61 points today on average volume. Advance/declines were almost 3 to 1 positive. We are getting short term overbought but that doesn't mean we can't stay there. However, I did purchase some OEX puts today. I believe that the volume so far this week has been light and we will roll over to the downside. The summation index did move back to the upside today and that could be a caveat. So we'll see what happens. The ideal scenario would be to hold these puts until expiration. Gold had another good day and continues to make record highs. It was up over $10. The XAU gained 2 1/2 points. ABX, GG and NEM all had fractional gains on average volume. I would have thought that these issues would have done better considering the move in gold. The dollar hit a fresh new low for this downside leg in the index. That looks like it was the trade to be in really. But what can you do? Gotta keep moving on. There will be other opportunities there. Mentally I'm feeling pretty tired. Did not sleep enough. Well, now I'm in another trade and hopefully I'll manage it better than the last one. The market will do what it wants. 6 days on the October option cycle. We'll see how it goes.
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