Friday, December 20, 2013
The Dow gained 42 points today on option expiration heavy volume. The advance/declines were 3 to 1 positive. The summation index is now heading higher. There is no overhead resistance. Look for higher prices heading into the new year. The Santa Claus rally lives on. Look to buy calls before the start of 2014. GE was up around 1/8 and the volume here continues to be heavy. January calls are in order if we get some pullback. Gold was up 10 bucks on the futures as it tries to stabilize. The US dollar was a bit weaker on the session despite a higher GDP revision. The XAU was flat. ABX, GG and NEM had slight fractional moves one way or the other on average volume. I'll be looking to try the gold share calls before the end of the year. I think we'll see some money go into this group at the start of the new year. Mentally I'm doing OK. Another great opportunity was missed this week with respect to the OEX calls. But that has been the story of my trading year. Too little, too late and terrible trading was the theme for me this year. I'll try and get things right going forward. I'm looking to get some calls before year end for the anticipated rally to begin 2014. Gold remains unloved and it broke the $1200 level this week. There is a chance that we could just keep going lower here. The fundamentals for gold remain bearish. Next week should be a light volume, little movement affair. Most of the major players will be off. I may try and purchase some calls towards the end of the week. I'll be checking the charts over the weekend. For now it's Friday afternoon and time for a break.
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