Wednesday, July 30, 2014
It was interesting as promised as the Dow fell 31 points on good volume. The advance/declines were negative. We opened up over 70 points on a better than expected GDP number. The market then lost its steam and preceded to fall down over 70 points. The Fed announcement came and we rallied back up to get positive once again. But then we rolled over again to finish the day in the red. Once again the overall market was stronger than the Dow. The small stocks are acting better here and that's bullish. Tomorrow should be a holding pattern waiting on Fridays employment report. GE was up almost 20 cents. Volume was nothing special. No trading ideas here for now. Gold bounced around a little at the open but finished with a loss of three bucks. The $1290 level is still holding for now. The US dollar was higher again and hit the 81.50 level. Important points in both the gold and dollar market right now. The XAU was off about a point. ABX and GG had fractional losses, while NEM was flat on its earnings report. Volume was summer light. ABX reports after the bell and GGs numbers will come out in the morning. I did purchase some ABX October calls on morning weakness today. So we'll see what happens. Mentally I'm feeling tired, did not sleep well. The summation index continues lower. We have yet to see a significant decline yet in the major stock averages. However the fact that we haven't been able to get above the zero line in the McClellan oscillator for the past couple of weeks is a concern. Getting oversold on the Dow short term technicals but not there yet. Gold held up OK today despite what could have been viewed as bad news. The gold shares are mid-range the technicals and could go either way here. We'll see how ABX and GG react to their earnings and take it from there. As always we'll keep an eye on the overnight action as well. I'd expect a quiet Thursday on tap.
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