Tuesday, April 30, 2013
A late move to the upside led the Dow to a 21 point gain today on average volume. The advance/declines were 2 to 1 positive. The overall market was stronger than the Dow which is bullish going forward. Todays action doesn't bode well for my OEX puts. A strong upside follow through tomorrow will probably doom them. Hasn't happened yet. We'll get the Fed and the market reaction to the announcement tomorrow. It's also the beginning of a new month so we should see some positive money flows. So we'll see. Most foreign stock exchanges will be closed tomorrow. GE was flat on the day and the volume was light. No trades in mind for GE at the moment. Gold was up only $4 on the futures as the US dollar took a decent drop today. Gold will not go up in a straight line forever. I would expect some type of backing and filling soon. The XAU gained 1 1/2. ABX up 1/2, GG gained 3/4 and NEM fell 1 2/3 on its earnings report. Volume in the gold shares was good. My October ABX calls are still in the black. Mentally I'm feeling OK. Positive action for stocks today as we push on to new highs for some of the indices. My idea for the OEX puts here could be the wrong one. Tomorrow will tell a lot about that. Overbought on the short term technicals though so all hope is not lost yet for that trade. Gold is not completely overbought here but a pause in the up move is overdue since the crash of a couple of weeks ago. The gold share technicals are neutral at the moment. Perhaps the worst is over there for now. We'll see what tomorrow brings.
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