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Friday, January 13, 2012

It was a down Friday the 13th today but it could have been worse. The Dow fell 49 points today on light volume. The advance/declines were almost 2 to 1 negative. We were down over 150 points this morning but came back. Worries about Europe surfaced once again. However this market is resilient. It does not want to go lower in my opinion. It will continue to grind higher next week is my thinking at the moment. It had every reason to sell off hard today but it did not. GE was off a touch on light volume. Maybe I will try the January calls before the earnings in a week. The strike price at 19 might work. Gold was lower today, off about $15 in the futures. We made a comeback here as well in the aftermarket even with a stronger US dollar. The XAU fell 2 1/4 but was even lower early. ABX, GG and NEM were all down 1/2 or so on light volume. I'll have to go out to the February option cycle for the gold share calls if that is what I decide for the next trade. It's possible today was the day to do that. Mentally I'm feeling OK. Still overbought on the stock indexes here but I don't see any big downside anytime soon. Expiration week should have its usual positive bias. I could be wrong depending on what transpires over the long holiday weekend. I'll check the charts and try to come up with some type of game plan for next week.

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