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Thursday, October 28, 2021

Back to the upside as the Dow gained 239 points on average volume. The advance/declines were better than 2 to 1 positive. The summation index is moving higher. Earnings continue to pave the way up as the rally continues. New all time highs for some of the major stock indices and there is no overhead resistance. Money is flowing into stocks. Gold was only slightly higher as the US dollar had a decent drop. Yields were up marginally. The XAU fell 1 2/3, while GDX lost 1/2. Volume was light. The gold shares are starting to underperform now so perhaps my open order for the GDX January calls has a chance to get filled eventually. The short term technical indicators for GDX have started to roll over. Mentally I'm feeling OK. The VIX was lower today and that fits an up market. The pause in prices yesterday was just a temporary stop in the advance according to what I'm looking at. The market is in rally mode on earnings and I don't see that stopping anytime soon. End of the month tomorrow and we might get some swings on adjustments. But the trend is up until further notice and will probably go on longer than you think. That's my opinion at the moment. Asia was lower and Europe mixed overnight. We'll close out the trading for October tomorrow.

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