Monday, November 05, 2012
A bit higher on Monday as the Dow gained 19 points on very light volume. The advance/declines were about even. It's a waiting game on the election at this point. Perhaps we'll see a rally when that unknown has passed. The technicals are still more oversold than overbought on the stock indices. At this juncture, things could go either way. If I had any real conviction, I'd try something here but I don't. GE was up 1/8 after opening lower. Volume was light. The technicals appear to be turning up here. Gold bounced back a little, up $8 on the futures. The US dollar was higher today as well. The XAU fell over a point though. No love for the gold shares. ABX off 1/4, GG up 1/4 and NEM shed 1/3. Volume looks to be about average for the gold shares. I'm still considering the gold share calls for January. It may take a while to build a base though. Mentally I'm feeling OK. It is simply a time of wait and see for the stock indexes here. Wednesday will be an interesting session. Regardless of who wins the election the markets will move on. Nobody wants the gold shares here. That should tell us something. It's usually the time to buy unless we simply continue the recent free fall. Obviously I have no conviction one way or the other there. That said, I'll be trying the gold share calls again at some point. I'll be away from my desk for the next few days due to a previous commitment. I may or may not be able to post remotely. Tomorrow should be slow again and then we will key off of the markets reaction to the election results. I'm expecting Obama to win and we'll see how much of that is factored into prices already. However I could be wrong and have been a lot this year.
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