Friday, December 31, 2010
We went out with a whimper as the Dow gained 7 points on very light volume. Advance/declines were positive. The overall market was weaker than the Dow despite the positive advance/decline line. I don't think we can make much of what went on this week due to the lack of volume. Next week should provide a better idea of the market picture. GE was up a dime on light volume. I will really have to think hard about dumping the January calls I have there in the beginning of next week. Still very overbought on the technicals there. I did have a specific price target in mind but it looks a bit unrealistic at the moment. We'll see. Gold was up $15 as we approach another all time high. The XAU gained 2 1/3. ABX, GG and NEM all had fractional gains on light volume and that is worrisome. The gold shares are lagging here and that isn't a positive. We'll see what happens Monday morning for a change in this situation hopefully. The dollar was down again today and that is supporting the price of gold for now. My GG calls gained some ground today but not much. Mentally I'm doing good, slept well. The 2010 trading year is behind me. I'm looking forward to a much better 2011. There is a lot to ponder over the weekend regarding the 2 trades that I'm currently holding. We'll see if my new money flow scenario pans out. But for now it's New Years eve and time for a break. Good Luck to everyone in the new trading year!
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