Wednesday, January 15, 2020
New all time highs just keep on coming as the Dow gained 91 points on good volume. The advance/declines were slightly positive. The summation index is trying to move higher but it is sideways in my view. The overall market was weaker than the Dow. The US/China trade deal was signed but nobody really cared since it was announced weeks ago. I'm still holding on to my losing SPY January put trade. I should have just taken the loss early this morning and been done with it. It appears that the market will hold on here for expiration week. After that, who knows. No overhead resistance for stocks but I'm still looking for a decent decline here soon. GE was off over 1/8 and the volume was light. Gold rallied around $10 on the futures as the US dollar was slightly lower. The XAU added two points, while GDX gained 1/2. Volume was average. I did sell my GDX January calls in the morning for a small 40% profit. I could have doubled that if I had held them longer into the session. However that was a trade that I mismanaged all the way through except for the lucky entry point that I had. The profits there could have been so much better but I just wasn't up to the task. I do like the February calls there for the next trade as the weekly up trend line is still intact. If we get back to that line in the next couple of weeks, I'll try the calls there again. Mentally I'm feeling a bit tired, up early and lousy trading tactics. Unfortunately the market did not cooperate with what I needed to happen today. With only a couple days to go in the January option cycle, I'll need some early selling tomorrow to cut the loss on the SPY trade. The VIX remains oversold as volatility has taken a vacation. This condition won't last forever. Earnings aren't providing much emphasis one way or the other so far. Looks like I'll simply have to book the SPY loss tomorrow and go from there. Asia and Europe were generally lower overnight. We'll keep an eye on the headlines in tonights trading and see how things open tomorrow.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment