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Friday, September 03, 2010

The Dow continued higher as we closed the week with a gain of 127 points on light volume. Advance/declines were over 3 to 1 positive. Summation index moving higher. I dumped the OEX puts for an 80% loss. The employment report was weak but not as weak as expected. That was a horrible trade. It had no stop loss provision which was my own fault. I also had a gut feeling when it was filled that it wasn't the right trade to put on at the time. But I didn't listen to my gut and I paid the price. There are no excuses though. You've got to live with the losses and with the gains. It's been a bad year so far. I doubt that I'll be able to recover to break even. Gold lost a couple of bucks and the XAU gained 3/8 after selling off early. ABX was flat, GG lost a buck and NEM fell 2/3. Volume was light. These issues also were lower earlier in the session. I'm tempted to get some ABX calls here because the daily chart looks like it wants to turn back to the upside. But there is no buy sign from the Gold/XAU ratio. Not to mention that my confidence is shot once again. The dollar was weaker today but gold didn't manage a rally either. Mentally I'm feeling down after another loss. It could have been mitigated with the proper tactics. It wasn't and there is no one to blame but myself. Not the way that I'd like to start a long holiday weekend. It's basically back to the drawing board. The market found support and is now going to challenge the overhead resistance. Perhaps we are still in a trading range. I'll have to check things out over the next few days. For now it's Friday afternoon at the end of summer. Time for a break.

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