Tuesday, January 19, 2010
We start the shortened week with a gain of 115 on the Dow, reversing Fridays price action. Volume was light to average and the advance/declines were 3 to 1 positive. We still haven't broken through the longer term downtrend line convincingly but that could change this week. No OEX trades for now but I have noticed that the premiums on the puts are relatively higher than the calls. I'm leaning to the downside here. We'll see. Gold was up $5 and a bit more in the aftermarket. The XAU rose a point or so. ABX was off a bit on the day, while GG gained 1/2 and NEM 3/4. Volume was light. The dollar had a good day and gold was higher anyway. Perhaps due to the worldly unrest over the weekend. Whatever the reason, we are right at the uptrend line in place since last July on the gold shares. Will it hold? That is the question. It would be a good place to get long, if it does hold. I'm not so sure though, so I'm staying out for now. Mentally I'm doing OK, slept good. 5 weeks on the February options, so there is no rush to do anything. Another meeting tomorrow so I won't be in the usual market mode. This could just be a wait and see week for me. No solid market themes that I can detect here but that certainly doesn't mean that there aren't any. I'll check things overnight and go from there.
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