The bounce after Fridays comeback did not happen as the Dow lost 103 points on average volume. Advance/declines were negative. This type of action doesn't bode well for the near term as the path of least resistance remains to the downside. The summation index is still pointing down. We will be short term oversold on any negative action tomorrow however. I'm not sure that it is worth an OEX call trade though. Perhaps later in the week. Gold was up $13 on the futures but it was catch up from the late aftermarket gains of Friday. The XAU lost almost 5 points. ABX and GG lost more than a buck and NEM dropped almost 2. Volume was average. The dollar was little changed. I have an order in for some ABX calls again. I'm going to have to look at things tonight to see if I'll leave it open tomorrow. If the market continues to drop, the dollar will probably find more strength and that would not be helpful for gold. However gold is oversold and there is a positive divergence with the RSI indicator. More to ponder. Mentally I'm feeling fine, slept well. It's an interesting market at the moment. 8 days remain in the February option cycle. Risk is high and so is volatility. It also means that money can be made or lost quickly. I have an idea for the gold share calls but it hasn't been working lately. We also did not see any follow through to the overall markets comeback on Friday. So it's a tough call as usual. Oversold and staying there is a recipe for lower prices. I'll have to think about things tonight. For those keeping score this is the 1500th entry to Jimmybees Stock Market Trading Blog. I hope it's been helpful for you.