Friday, May 29, 2026
The Dow led things higher today as it climbed 363 points on end of the month extremely heavy volume. The advance/declines were negative. The summation index is still trying to move higher. New all time closing highs once again for the Dow, NASDAQ and S&P 500. The short term indicators for the S&P 500 remain overbought with the potential negative RSI divergence there barely still in place. More upside on Monday would put an end to that. My open order for the SPY June puts was not going to get filled so I adjusted it higher a couple of times during the session. It finally did get filled in the final hour. It is about where I purchased it when the market closed. We are still getting a sell signal from one of our indicators, however the last time that happened with this particular signal the market simply kept going up. So we'll see how this trade ends up as the management of it will be the key. I do expect weakness at the beginning of next week but markets go where they want. Gold was up $42 on the futures. The US dollar was a bit lower and interest rates finished flat. The XAU was up 7 1/2 and GDX added 2 1/4. Volume was average. Some of the short term indicators for GDX have started to move higher. There is a short term down trend line still in effect there though. It comes in around the 93 level. Mentally I'm feeling OK. The VIX was lower today and that fits with an up market. The short term indicators here are now very oversold. That is another reason to give the SPY June puts here a try for a short term trade. The caveat being that during rallies the VIX stays oversold for an extended period of time. But this is a trade that we wanted to take so we'll see how it goes. I'll be checking the charts as usual over the weekend. Asia and Europe were mixed to finish the week. It's Friday afternoon and time for a break.
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