Wednesday, March 20, 2013
Back to the upside today as the Dow gained 55 points on light volume. The advance/declines were about 3 to 1 positive. The Fed came and went without any changes in policy. We will have to wait and see how the stock indices finish out the week. I still say that we are building a top here. But I've been wrong before. We're still waiting on the next move in Cyprus. GE was up 1/8 on average volume after being higher earlier. Waiting to see if the overall market will begin to take its cues from GE. Gold was off around $4 in the futures and a couple of bucks more in the aftermarket. The US dollar fell a bit today. The XAU was off 1/4. ABX, GG and NEM didn't close the day much different from yesterday. Volume was light. The gold shares continue to do nothing. My April ABX calls remain losers. Mentally I'm feeling OK. We've gotten the Fed out of the way and now await the next market catalyst. Perhaps it will come from Europe but that's a guess as usual. Maybe we are simply in a quiet digestion period, considering the gains so far this year. That sometimes happens in the April option cycle with the focus shifting to the tax deadline. I'm still calling for some kind of top and a decline from around here for the stock indexes. Gold is dead money with only a slight move higher here so far on the Cyprus crisis. We'll see what tomorrow brings.
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