Friday, March 17, 2017
The price movement was muted for the option expiration today as the Dow fell 20 points on expiration heavy volume. The advance/declines were positive. The summation index is still trying to turn around. We were up and down today but without a lot of volatility. I'm not sure exactly where we are going from here. A case can be made for both directions. The short term technical indicators for the S&P 500 are now mid-range. The medium term picture remains overbought. There isn't a clear signal for a set up right now. There's plenty of time in the April option cycle and we will wait for a valid opportunity if one presents itself. GE was up 1/8 and the volume was pretty good. Gold was slightly higher as was the US dollar. The XAU and GDX had fractional losses again on light volume. Mentally I'm feeling OK. Where we go from here is the question and at the moment I don't have an answer. Patience is required in the game and now is one of those times. I'll try and listen to what the market is saying. I'm still leaning towards the bullish side here and am looking for new all time highs. I could be wrong. Once again, there is no rush here to put on a position. The option premiums are high since we just rolled into the next cycle. I'll continue to check the charts over the weekend to try and clarify what I should be doing here. Asia was mixed and Europe higher overnight. However the price closes were slight once again. It's Friday afternoon and time for a break.
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