Wednesday, February 10, 2021
A mixed bag today as the Dow gained 62 points on average volume. The advance/declines were about even. The summation index continues higher. The NASDAQ and the S&P 500 posted small losses. The market remains short term overbought as it digests the recent gains. I'm still thinking lower to sideways for the remainder of this week. No huge drop in store for now. We did have quite a dip intra-session after a move up early in the day. I did not attempt the SPY February puts. Running out of time for this idea and I'm pretty sure that I'm just going to let it pass. GE was off 1/8 and the volume remains light. Gold was up a few bucks on the futures, while the US dollar finished little changed. The XAU and GDX had slight fractional moves one way or the other on very light volume. Gold itself is holding up here but it's not really moving. The gold shares are finding little interest for now. My GDX February calls are still in the black but this trade has the feeling of getting long in the tooth. Six trading days left for it with the major gold companies earnings reports five trading days out. The short term technical indicators are still about mid-range. Holding on for now. Mentally I'm feeling OK. The VIX bounced around today and finshed a bit higher. Still oversold here though. I'll continue to look for weakness or sideways price action for the market until next week. No real news to speak of today with earnings still coming in. There is the second impeachment trail underway but the market doesn't seem interested in that. Asia higher and Europe lower last night. We'll see what tomorrow brings.
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