Thursday, December 26, 2013
Up, up and away we go as the Dow soared another 122 points on light volume. The advance/declines were slightly positive. Overbought and staying there. The summation index continues to the upside. There are no sellers in sight. I'm not sure how far this can go but the volume is light and that is not a good sign despite it being a holiday week. The advance/declines today do not support a plus 100 points upside move. There remains no overhead resistance but this has the look of an upside blow off. GE was up 1/4 on light volume. The short term technicals and the medium term technicals are overbought for GE. I'm probably not going to try the calls here for January. Gold rose $9 on the futures as the US dollar was a bit weaker. The XAU was up 1/2. ABX, GG and NEM were little changed on the session. I'd still like to try the gold share calls for January if we drop a bit from here. Mentally I'm feeling OK. It's a holiday for many of the world markets today. So the overall trading is skewed. You can't argue with higher prices but some kind of rest is due for the stock indices. If we continue to simply go up it won't end well. Gold is holding the $1200 level for now. Three days to go in the trading year. I'd expect a lot more of the major players to return next week. Sometimes it's a waiting game and patience is required. Now seems to be one of those times. We'll finish off the week tomorrow.
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