Monday, April 15, 2019
The market tried to sell off today but could not as the Dow fell 27 points on light volume. The advance/declines were slightly negative. The summation index is grinding higher. I still think that we're going higher here and may be tempted to try a very short term SPY April call trade if we get some weakness tomorrow. Overbought, staying that way and we've seen this all before. A short, holiday driven options expiration week. I think much of the action will take place in the next two days and then the traders will hit the road on Thursday. It's the beginning of earnings season and the numbers have been reduced so much that whatever is reported will probably look good. We'll see. GE lost a couple cents on average volume. Gold lost a few bucks and the US dollar was flat. The XAU and GDX climbed off of their lows back to about break even for the day. Volume was light. Not completely oversold here yet but I'm thinking of placing the order for the May GDX calls anyway. Mentally I'm a bit distracted as I have medical issues to deal with again. Nothing serious like the last time but a distraction none the less. The VIX is oversold but shows no signs of wanting to move higher. The small stocks have been overbought since the beginning of April but I don't see any let up there either. News due out of Washington on Thursday but I'm not sure if it will affect stocks. There's a case to made to sitting on the sidelines until next week as well. I'll figure out what I want to do tonight. Asia was mixed and Europe higher in last nights trade. We'll keep an eye on the overnight developments.
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