Thursday, November 02, 2017
The market just keeps on going as the Dow gained 81 points on heavy volume. The advance/declines were barely negative. The summation index is still heading lower but for some reason that hasn't mattered. Overbought again and staying that way. It appears that there is nothing that will stop the rally. The new Fed chief was announced and we got the first details of the new tax plan. We rally no matter what the news. We'll get the jobs numbers tomorrow. The overall market was weaker than the Dow but that doesn't mean much lately as well. It is a curious market indeed. GE was off a few cents but did come off of the lows of the session. It closed below $20 today Gold and the US dollar were little changed. Perhaps waiting for the employment report. The XAU and GDX were little changed as well. Mentally I'm feeling OK. After tomorrows payroll announcement I just don't know what's left to inspire the market. Overbought readings on the indicators, the summation index traveling lower and still we don't even see any sustained decline. It's as if it's a teflon market and has been for quite some time. I'm remaining on the sidelines for now. When the indicators don't work anymore, it's the best I can do. I'm still considering the longer term GE calls once they cut the dividend. That could occur on the 13th at the shareholders meeting. I'll be keeping an eye on it. Asia was mixed and Europe mostly lower last night. We'll get the market reaction to the jobs report and finished up the week tomorrow.
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