Today was a sideways affair as the Dow fell 140 points on light volume. The advance/declines were positive. The summation index continues lower. Both the NASDAQ and S&P 500 posted gains on the session with the NASDAQ leading the way. The short term indicators for the S&P 500 are beginning to stall so perhaps we'll see some more upside tomorrow. Also some of our shorter term indicators have gotten oversold pretty fast so a bounce is possible. I'm still wary of the market here though as the short term up trend line for the S&P was recently broken on an intraday basis. However things have held up for now and we cannot rule out new all time highs as a possibility either. So I'm back on the sidelines with regards to the SPY options for now. Gold bounced back twenty bucks on the futures. The US dollar was lower and interest rates were slightly down. The XAU fell three points and GDX dropped 1 1/8. Volume was good to the downside. Both GDX and the XAU came up from the worst levels on the day. The gold shares were influenced by the poor earnings report from NEM which drove the gold share complex lower. NEM lost about 15% of it value today. Hopefully that is not a sign of things to come for the gold shares. The short term indicators for GDX have rolled over. Mentally I'm feeling OK. The VIX was lower today as the Bollinger bands continue to tighten. Still below the 20 level here and above the 50 day moving average. I'm not sure where the VIX goes from here. Hence we'll wait until next week to decide what kind of position to take with regards to the SPY options. Asia was lower and Europe slightly higher in last nights trade. We'll close out the trading week tomorrow.

Another gap down to begin the trading day except this time the selling continued. The Dow fell 410 points on light volume. The advance/declines were around 3 to 1 negative. The summation index is heading down. The NASDAQ led the way lower and that is not a good sign for the bulls. One day does not make a trend though. The market came back in the last couple of hours or it would have been worse. The S&P 500 did break the up trend line at 5800 but bounced back to finish close that level. The short term indicators for the S&P have rolled over with plenty of room to go. I'm looking at the SPY November puts now but the premiums are pretty high. We'll see if there is any follow through selling tomorrow. Gold took a breather and dropped $30 on the futures. The US dollar was higher again and interest rates were up slightly. The XAU fell 3 1/3, while GDX was off 7/8. Volume was average. GDX remains short term overbought. No trades in mind here for GDX right now as we will wait for it to return to short term oversold before trying the calls there. Mentally I'm feeling OK. The VIX was higher today which fits a down market. Still short term oversold on the VIX. The Bollinger bands here are beginning to contract which would imply that a big move is coming for the VIX. It remains above its 50 day moving average. I think that I'll let this week go by before committing to the next trade. Perhaps premiums on the options will come down a bit depending on the rest of this weeks volatility. We'll see. Asia was mixed and Europe lower overnight. I'll keep an eye on tonights headlines.

We had a big gap lower to begin the session and spent the rest of the day trying to make it all back. The Dow finished down 6 points on light volume. The advance/declines were negative. The summation index is moving lower. The NASDAQ had a small gain and the S&P 500 was barely lower once again. Sideways for a little over a week now on the S&P. It remains short term overbought. The breadth remains negative here as the market is deciding where to go next. It could be another consolidation before new all time highs. The up trend line from the beginning of this rally that began in August comes in at 5800. As long as that holds the trend is up. Gold continues to shine as the futures rose over twenty bucks. The US dollar was slightly higher and interest rates were steady. The XAU gained 3 1/2 and GDX was up 7/8. Volume was average. Going straight up now on the gold shares. This cannot last forever. GDX remains short term overbought and reaching extremes. Markets can stay overbought longer than you think though. I won't be chasing it here. Mentally I'm feeling OK. The VIX was lower today. Above its 50 day moving average and below the 20 level. Still short term oversold and I'm still not sure what to expect next here. I'm looking for some kind of trade here but do not have any decent signals as of yet. Some economic data out this week but nothing major. Earnings continue to be reported. We are in a holding pattern for the time being. Asia and Europe were generally lower last night. We'll see what tomorrow brings.

Selling to start the week as the Dow fell 344 points on light volume. The advance/declines were 4 to 1 negative. This should move the summation index lower. We got a signal from the McClellan oscillator on Friday for a big move within the next two sessions. Today would qualify for the Dow but not the overall market. The S&P 500 only had a slight decline, while the NASDAQ posted a small gain. So we'll see if we get more of an outsized move tomorrow. The technical condition for the S&P remains the same. Short and medium term overbought and staying that way. The rally from the beginnning of August continues and my ideas for some type of decline remain incorrect. I'm on the sidelines for now with regards to the SPY options. Gold was up five bucks on the futures. The US dollar was higher along with interest rates. The XAU had a fractional gain and GDX was barely higher. They both finished well off of the highs for the day. Volume was average. GDX is short term overbought and I'll wait for it to get to oversold before thinking about the calls there again. Mentally I'm feeling OK. The VIX was higher today. It remains above the 50 day moving average. The short term indicators are in oversold territory but not completely so. Not exactly sure what's next for the VIX. I'm in a holding pattern for now when it comes to the next trade as we have just moved into the November option cycle and the premiums are high. Still waiting on the NASDAQ to hit a new all time high and it is getting very close. Europe and Asia were lower overnight. We'll keep an eye on tonights developments.

A relatively quiet expiration Friday as the Dow rose 36 points on light volume. The advance/declines were positive. The summation index is in a general sideways trend. The NASDAQ was the leader to the upside today and that's a plus for the bulls. I've been looking for some type of decline here and it hasn't happened. The market has simply stayed overbought. The volume has been pretty low though and I cannot think that the rally can go on much longer. But who knows? There is not overhead resistance as new all time highs are happening on a regular basis. Still waiting on the NASDAQ to confirm though. The S&P 500 remains short term overbought as it drifts higher. Rolling into the November option cycle on Monday. Gold was up over twenty five bucks on the futures as new all time highs there continue. Silver had a big day moving higher. The US dollar was lower and interest rates were steady. The XAU jumped 7 2/3, while GDX climbed 1 2/3. Volume was good to the upside. GDX is now short term overbought. GDX is now both short and medium term overbought but nothing seems to be in the way of this rally. We will wait again for GDX to get back to oversold on the short term before trying the calls there again. Perhaps this time when that occurs I'll have the good sense to give them a try. We'll see. Mentally I'm feeling OK. The VIX dropped and landed on its 50 day moving average. The short term indicators are heading lower with room to go. Movement on the VIX suggests higher stock prices to come in the near term. It seems like there is no stopping this market from moving up at this point. I'll be checking out the charts over the weekend to try and figure out the next move. Asia and Europe were higher to finish the week. It's Friday afternoon and time for a break.

A mixed bag today as the Dow rose 161 points on light volume to another record close. The advance/declines were negative. The summation index is back to heading sideways. The NASDAQ barely posted a gain and the S&P 500 was off a point. The S&P remains short term overbought. I remain convinced that it needs to take a pause. Expiration Friday tomorrow, not sure what that will bring. Gold was up $15 on the futures. The US dollar was higher along with interest rates. The XAU gained 1 1/2 and GDX was up another 1/2. Volume was average. The GDX calls would have worked in the October option cycle and that was a trade that I missed. Mentally I'm feeling OK. The VIX was lower today. The short term indicators here are still at the mid-range level but appear to be picking up steam heading down. This would imply lower VIX readings and still yet higher stock prices going forward. Still waiting for the TRAN and The NASDAQ to confirm the new all time highs for the Dow and they are almost there but not yet. Confirmation would change my idea about a drop for stocks in the near term. It is something worth keeping an eye on in my view. Europe higher and Asia lower overnight. We'll see how expiration Friday goes tomorrow.

Back to the upside as the Dow gained 337 points on light volume. Another record close there. The advance/declines were 3 to 1 positive. This should move the summation index higher. The Dow led the way today and that is not the most bullish scenario. Both the NASDAQ and S&P 500 were higher but not as much as the Dow. The short term indicators for the S&P remain overbought and heading sideways. I sold my SPY October puts for an 85% loss. This was one of those trades that was a failure from the beginning and never showed any profit. My timing was off early which can't happen on short term trades. I might have to simply skip the short term ideas going forward because my track record there isn't all that good. I do still think that things will head lower from here however I can't wait around for the market to cooperate. I could be wrong. Gold was up $11 on the futures. The US dollar continues higher and interest rates finished flat. The XAU was up 1 1/2, while GDX added 1/3. Volume was average. Both finished off of their highs for the session and have bearish evening stars on their daily candlestick charts. The short term indicators for GDX are still rising though. Mentally I'm feeling OK. The VIX was lower today and is back below the 20 level. The short term indicators here have turned back down but still with no conviction. Getting to mid-range on the indicators for the VIX. Some economic data out tomorrow with retail sales being the most watched. More earnings due as well. I'll be on the sidelines for now. Asia and Europe were mostly lower last night. We'll keep an eye on the overnight developments.

Some sellers showed up today as the Dow fell 324 points on light volume. The advance/declines were about even. The summation index is beginning to move sideways. No real reason for todays decline but the market has been short term overbought for an extended period of time. The NASDAQ led the way lower. The short term indicators for the S&P 500 have turned lower but remain in overbought territory. I'm still a believer in some type of decline from here but it probably won't be in time to save my SPY October put trade. It remains a big loser with only three days to go. I was a day early on this trade and timing is everything when there isn't much left of it in an option cycle. Gold was up a dozen on the futures. The US dollar finished flat and interest rates dropped. The XAU rose 1 1/3, while GDX gained 1/2. Volume was light. The short term indicators are moving up from mid-range for GDX which implies more gains here in the near term. We'll see. Mentally I'm feeling OK. The VIX was higher today which fits the down market. Back above the 20 level. The short term indicators here are trying to turn back up. If successful it should lead to more selling in the near term. We'll see. Asia and Europe were lower with the exception of Japan. We'll see how it goes tomorrow.

Continuing to the upside on a partial holiday Monday as the Dow added 201 points on pretty light volume. The advance/declines were positive. The summation index is beginning to stall. The NASDAQ led the way higher and that's a plus for the bulls. The S&P 500 remains short term overbought as it has been for quite a while. My SPY October puts got crushed today and this trade will end up being a loser unless a sell off appears out of the blue. I'm too far out of the money with only four days to go before option expiration. Shorts got squeezed along with index put owners. I still cannot believe that the market continues higher with such light volume but price is the ultimate judge and jury. No overhead resistance so I'm not sure how long this goes on. Gold was off $7. The US dollar was higher and the bond market was closed. The XAU and GDX had slight fractional moves in either direction on extremely light volume. The short term indicators for GDX are now mid-range. Mentally I'm feeling OK. The VIX was lower today which fits the upside for stocks. The short term indicators here continue to drift lower with no conviction. Back below the 20 level now on the VIX. Not much economic data due out this week but we will have earnings reports to deal with. Europe and Asia were generally higher to start the week. We'll keep an eye on tonights headlines.

The inflation data was a touch lighter than expected and the market took off to the upside. The Dow climbed 409 points on light volume. The advance/declines were just shy of 4 to 1 positive. The summation index is still trending lower but not as rapid. The Dow was the leader and that isn't the most bullish scenario but we cannot argue with price. The S&P 500 had a decent gain and is now at its upper Bollinger band. It remains short term overbought. My open order for the SPY October puts was filled this morning and is showing a loss as my timing was early. Had I waited until later in the session I could have gotten a better entry point. However we'll trade it from where it is. I'm still a believer in this idea but we'll need to see some weakness early next week for the trade to work. Monday is a partial holiday as the bond market will be closed. Gold jumped $34 today on the futures. The US dollar finished flat again and interest rates were just a bit lower. The XAU and GDX had fractional gains on light volume. A nice move for gold but the gold shares lagging isn't a bullish sign. Especially when the overall martket had such a positive day. Not sure what to make of it. Mentally I'm feeling OK. The VIX was lower today which fits an up market. The short term indicators are rolling over but it isn't steep or decisive just yet. Still above the 20 level on the VIX. The light volume rally continues but I do not think that it will end well as we never trust moves without volume. Perhaps it can stay together next week with the usual positive options expiration bias. But we'll see. I'm in the next trade now and the focus will be there. We'll check the charts over the weekend as usual. Europe higher and Asia mixed to close out the week. It's Friday afternoon and time for a break.

We had a gap down at the open as the inflation data was just a bit hotter than expected. The rest of the day was spent in a sideways trading range as the Dow lost 58 points on light volume. The advance/declines were negative. The summation index continues lower. The market had reasons to sell off today but it didn't. So it turned into a day of hanging around. The S&P 500 remains short term overbought. My open order for the SPY October puts is still out there but we are running out of time. Also time premium is beginning to get sucked out of the options so the price on the puts dropped today despite a drop in the S&P. So this trade may not still be the best idea. I'll see if it gets filled heading into the weekend but if not it will be canceled and maybe for good. Gold was up twenty bucks on the futures. The US dollar finished flat as did interest rates. The gold shares found buyers as the XAU gained 4 1/3 and GDX was up over a buck. Volume was average. The technical case for the gold share calls was there but I did not take advantage of it. Concentrating on the SPY probably cost me the opportunity here. The short term indicators for GDX have now turned up from oversold and should have more room to go on the upside. One day doesn't make a trend but GDX has also bounced off of its short term up trend line. Mentally I'm feeling OK. The VIX was just a touch higher today. The short term indicators here are trying to roll over. If successful there should be new all time highs for the S&P in the near future. We'll have to see how the market reacts to the PPI tomorrow. Asia was up and Europe slightly lower overnight. We'll see how things go on Friday.

A new all time closing high for the Dow as it gained 431 points on light volume. The advance/declines were positive. The summation index is still moving lower though. The breadth on this advance is lacking but you cannnot argue with price. The S&P 500 closed at a new all time high as well. Still short term overbought on the indicators here but not completely. The market isn't waiting for the inflation data as it continues higher. The volume is light though and I don't trust light volume rallies. I have once again adjusted my open order for the SPY puts to a higher strike price as I am still in the camp that the October puts will work at some point. But I could be wrong. There is no overhead resistance now for the S&P. However the daily candlestick chart has the look of a rising wedge which would be bearish if correct. Gold was off $7 on the futures. The US dollar was higher along with interest rates. The XAU and GDX had fractional losses on light volume. Once again they came up off of the lows for the session. GDX is short term overbought and at its 50 day moving average. The GDX November calls are still a bit too pricey for me but you can certainly make the case to buy the gold share calls here. Mentally I'm feeling OK. The VIX was lower today and remains short term overbought. Not sure what's happening with the VIX as it usually doesn't stay overbought for long. Still above the 20 level here. Not sure how the market will react to the inflation data in the morning. We were up a lot today so even if the data is benign I'm not sure what the effect will be. My guess is that the PPI will come in hotter than the CPI so I might just get some of the SPY October puts tomorrow if my adjusted order isn't filled. But that's a decision for tomorrow. Asia was mixed and Europe higher in last nights trade. We'll watch tonights headlines and check the reaction to the inflation report on Thursday.

Back to the upside today as the Dow gained 126 points on light volume. The advance/declines were slightly positive. The summation index continues lower. The NASDAQ clearly led the way today and that is a plus. So now the S&P 500 remains in a sideways channel and I am not sure where it goes next. The short term indicators have turned back up for the S&P and it can probably go either way here. You can again make the case for an upside breakout. You can also find technical reasons for stocks to move lower here as well. When in doubt stay out is usually good advice. We are running out of time in the October option cycle. I did adjust the price lower on my open order for the SPY October puts but this may not be the right idea if we continue higher. The inflation data on Thursday and Friday could spark big moves either way. The data is supposed be coming in light. I suppose that I'll see how things go tomorrow and take it from there. Gold was off $24 on the futures. The US dollar finished flat again and interest rates were little changed. The XAU lost 1 1/8 and GDX finished flat. Both were up from the lows on the day. Volume was light. Both the XAU and GDX hit their 50 day moving averages today. They are also both short term oversold. You can make the case that the GDX calls should be purchased here and I would not argue with that. I did look out to the November option cycle here but the premiums are still a bit high for me. Gold down and the gold shares holding up rather well is bullish for GDX. Mentally I'm feeling OK. The VIX was lower today which fits the upside in stocks. Still short term overbought here which makes me think that we'll see more near term upside for the market. It is another reason to reconsider the SPY puts here. Asia was mixed and Europe lower overnight. We'll see what tomorrow brings.

Selling to start the week as the Dow fell 398 points on light volume. The advance/declines were around 3 to 1 negative. The summation index is now moving lower. We were lower from the start and just kept on going. The NASDAQ led the way down and that is not a plus. The S&P 500 is still in a sideways channel but appears to be ready to break to the downside. Whatever I thought about the S&P going on to making new all time highs here has changed. The short term techncial indicators on the S&P have rolled back over. It appears that I am too late for the SPY October puts but my open order remains out there. Fridays price action now looks like the final bounce before we head south. Premiums on the SPY puts have increased. Gold was off $4 on the futures. The US dollar finished flat and interest rates continued to rise. The XAU dropped 2 1/8, while GDX was off 1/2. Volume was light. GDX has now reached short term oversold but not completely. Do we switch ideas here and try the GDX October calls? Not sure as all the recent declines for GDX have made it below its 50 day moving average and we are not there yet. But perhaps we can start to look at the Novermber calls there. Mentally I'm feeling OK. The VIX was up today and now is firmly above the important level of 20. The VIX is also now short term overbought and it usually doesn't stay that way for long. It is above the upper Bollinger band as well. So it is hard to make a case for chasing the SPY puts here unless the VIX at least turns around from these levels. But the more likely scenario is that I've missed this opportunity for the October puts. Inflation data out later this week on Thursday and Friday. That should provide a catalyst for more price movement one way or the other. Asia was up with the exception of India and Europe was generally higher. We'll keep an eye on the overnight developments.

The jobs report came in better than expected and the market liked what it saw. The Dow climbed 341 points on light volume. The advance/declines were positive. The summation index is back to tracking sideways. The NASDAQ led the way today and that's a plus. We were due for some kind of positive move and it showed up. The next question is are we on our way to new all time closing highs for the S&P 500 to follow the Dow? It appears that may be the case. The recent negative price action now looks like a consolidation on the way to higher prices. But one day doesn't make a trend as they say. However the short term indicators on the S&P have now turned back up and I would not rule out new all time highs there early next week. I could be wrong. My open order for the SPY October puts remains in place. Another day like today would certainly get the order filled and I'll have to decide over the weekend what to do. Perhaps move to another strike price or maybe forget about this idea altogether. Gold was off $7 on the futures. The US dollar was higher along with interest rates for the third day in a row. The XAU had a fractional loss and GDX finished flat. Volume was light. Middle East tensions are keeping a bid in the gold shares. Normally a stronger dollar and higher interest rates would be negative for the gold shares. Still not completely short term oversold for GDX. Mentally I'm feeling OK. The VIX was lower and that fits the upside that we saw in stocks today. Still short term overbought here so the VIX implies that we'll see higher equity prices going forward. It is another reason to reconsider the SPY puts here. There will be plenty of time to figure out the path when going over the charts this weekend. Asia and Europe were mostly higher to finish the week. It's Friday afternoon and time for a break.

Waiting on the employment data as the Dow dropped 189 points on light volume. The advance/declines were around 2 to 1 negative. The summation index is trying to move lower now. The Dow led the way down and that isn't the most bearish scenario. Some of our work says that at least some kind of bounce is due now. Whether or not it happens tomorrow remains to be seen. We also have the backdrop of the constant headlines out of the Middle East as the world tries to contemplate the possiblity of all out war. We stick with the technicals as the short term indicators for the S&P 500 have rolled over with plenty of room to move lower. That doesn't mean that we can't go higher tomorrow but any upside could be short lived. Or the market continues to drop and in that case we will have missed the SPY October puts idea. My open order for the puts is still out there but nowhere near to be getting filled. Probably will have to adjust it going forward. Gold rose $8 on the futures. The US dollar was higher along with interest rates again. The gold shares followed the overall market lower with the XAU off 2 3/4 and GDX shedding 3/4. Volume was on the light side. The short term indicators for GDX are not yet oversold. Perhaps there will be a chance at the GDX calls in the October option cycle but it would be strictly a short term trade. Mentally I'm feeling OK. The VIX was up today and closed above the 20 level. Getting to short term overbought on the indicators here. This is why it could be tough to try the puts here because the VIX usually doesn't stay overbought for long. This also why tomorrows price action is important. If the market falls then trying the SPY October puts might be out of the question. If the market rises then trying the puts will make more sense as there will be some breathing room to go higher on the VIX next week. As always there are many moving parts to the option trades that must be taken into consideration. Europe was lower and Asia mixed in last nights trade. We'll see what the market reaction is to the jobs report tomorrow.

A one day reversal to the upside today as the market opened lower and finished higher. The Dow rose 39 points on light volume. The advance/declines were negative. The summation index is still moving sideways. The NASDAQ and S&P 500 posted very slight gains. The short term indicators for the S&P have rolled over but might be beginning to stall. I did place an order for the SPY October puts overnight. It will take some gains to be filled and I'm leaving the order out there. Waiting on the jobs data Friday so I'm not sure what to expect out of tomorrows session. Gold dipped $11 on the futures. The US dollar was higher along with interest rates. The XAU and GDX had slight fractional moves one way or the other on pretty light volume. The short term indicators for GDX are still moving lower and are now at mid-range. Still waiting for GDX to reach short term oversold before thinking about the calls there. Mentally I'm feeling OK. The VIX was lower today and the short term indicators are beginning to stall here as well. Still above the 50 day moving average. Ideal scenario here would be the VIX moves lower and stocks move higher to fill my SPY put order. But then again if the market moves to new all time highs and keeps going the puts are not the place to be. For now I'm sticking with trying the SPY October puts. Asia was somewhat lower and Europe mixed overnight. We'll see what tomorrow brings.

October begins with some selling as the Dow fell 173 points on average volume. The advance/declines were negative. The summation index is still in a sideways configuration. Middle East tension and a huge dock strike in the US was the background for today. Are we too late for the SPY October puts? Hopefully not. The NASDAQ led the way down and that is not a plus for the bulls. The S&P 500 shed more than fifty points. The short term indicators there have turned down although they remain in overbought territory. I'm looking for some upside by Thursday but I could be wrong. Then there's the jobs report and market reaction on Friday to deal with. I am a believer that the SPY puts are the way to go here but now the premiums have moved up and they were already high with still over two weeks to go in the October option cycle. I'm going to be looking at probably buying some this week though. Gold was up $23 on the futures. The US dollar was higher and interest rates dipped. It looks like the flight to safety trades were popular today. The XAU rose 2 1/2, while GDX added 2/3. Volume was average. The short term indicators are now stalling for GDX so perhaps they won't make it back down to oversold. We'll see. I'll continue on the sidelines with regards to GDX for now. Mentally I'm feeling OK. The VIX popped up today and at one point was above the 20 level. The short term indicators are moving higher and now imply more near term selling. This is why we may be too late on the index puts as the VIX is not going to wait around for us. It also closed back above its 50 day moving average. Never any easy trades in this game. Asia and Europe were mixed in last nights trade. We'll see how things go tomorrow.

It was a quiet session for much of the last day in September but volatility picked up in the final two hours. The Dow inched up by 17 points on good volume. The advance/declines were slightly positive. The summation index is tracking sideways. The overall market was stronger than the Dow with both the NASDAQ and S&P 500 posting gains. The Fed chairman was giving a speech today and we'll blame the market movements on that. The overbought technical condition for the S&P remains the same. I'm convinced that the SPY October puts will be my next trade. The timing remains the question for now. Might see some beginning of the month money flows into stocks when October begins tomorrow. Fridays jobs report should be a market mover. Gold was off $15 on the futures. The US dollar was up along with interest rates. The XAU dipped 3 1/2 and GDX lost over 1/2. Volume was average. The short term indicators for GDX have rolled over and thay have room to go lower. GDX did finish up from the lows of the session though. I'm trying not to consider the GDX calls until it gets back to short term oversold. Mentally I'm feeling OK. The VIX was a bit lower today which fits with an overall positive market at the close. The short term indicators are beginning to stall from their pop higher on Friday. Still short term oversold for the VIX but not completely so. If the VIX cooperates with our plans it will head lower as the market moves higher in the next few days so we can purchase the SPY October puts. Markets rarely cooperate with our best laid plans. Europe was lower and Asia mixed to start the week. China will be on holiday beginning tonight. We'll see how October starts out tomorrow.

A mixed bag to close out the week as the Dow gained 137 points on average volume. The advance/declines were positive. The summation index is moving sideways. Both the NASDAQ and the S&P 500 posted small losses. The inflation data came in where expected. We were higher early in the morning and sold off for the rest of the day. The techncial condition of the S&P hasn't changed. Short term overbought and staying that way for now. I'm still in the camp of trying the SPY October puts at some point in this option cycle. Gold was off twenty bucks on the futures. The US dollar was a bit lower along with interest rates. The gold shares took a breather. The XAU fell 5 1/8, while GDX dropped 1 1/4. Volume was average. The weekly candlestick chart for GDX now has a bearish shooting star on it. Perhaps the gold shares will now take a much needed rest. But as always markets go where they want. Mentally I'm feeling OK. The VIX was higher today as the 200 day average seems to have held once again on the daily chart. Turning up from short term oversold on the indicators which implies higher VIX readings coming. That would not bode well for stocks. It also means that perhaps I've missed the best time to try the SPY October puts as well. But we'll wait and see what happens next week before coming to any conclusions about that idea. One day does not make a trend. I'll be checking the charts as usual over the weekend. Europe and Asia were higher with the exception of India to finish the week overseas. It's Friday afternoon and time for a break.

The day began with a huge gap to the upside but then sellers took over for most of the session. The Dow finished with a gain of 260 points on good volume. The advance/declines were positive. The summation index is trying to move back up. The S&P 500 closed at a new all time high. It remains short term overbought and has stayed that way during rally mode. Waiting on the inflation data out tomorrow which should not pose a problem. I'm on the sidelines for now regarding the SPY options but am still interested at the October puts at some point. Gold was up $11 on the futures. The US dollar was lower and interest rates were a bit higher. The XAU was up 2 1/3, while GDX added 1/3. Volume was about average. The gold share rally continues and GDX remains short term overbought. Once again I am not going to chase it here but that has been the wrong strategy lately. However for me it it too late to try the call options there now. Mentally I'm feeling OK. The VIX finished basically unchanged. Still short term oversold and still above its 200 day moving average. Not sure what's next here on the VIX. Just waiting on Fridays inflation data and getting this trading week in the books. Europe and Asia were higher overnight. We'll close out the week tomorrow.

Some selling today as the Dow fell 293 points on light volume. The advance/declines were better than 2 to 1 negative. This should stall the summation index. The Dow was the leader heading lower and that isn't the most bearish scenario. The S&P 500 had a small loss and the NASDAQ eeked out a tiny gain. The S&P has traveled sideways for a week and remains short term overbought. We'll get some economic data out tomorrow and a lot of Fed speak with numerous speeches. I still favor the SPY October puts at some point. Gold was up another seven bucks on the futures. The US dollar was higher along with interest rates. The XAU and GDX had slight fractional losses on light volume. They both finished off of their highs for the session. GDX remains short term overbought and I will not chase it here. Mentally I'm feeling OK. The VIX finished about unchanged. Still short term oversold and staying that way. Waiting to see if it can move below the 200 day moving average. It appears that I am just biding my time this week. The inflation data on Friday should be benign and that should be a plus for the market. Any surprises would change the picture. Patience for now and then we'll see about getting some of those SPY puts. Asia was mixed and Europe slightly lower overnight. We'll keep an eye on the overnight developments.

Just another day of hanging around as the Dow gained 83 points on light volume. The advance/declines were positive. The summation index continues higher. The NASDAQ led the way today and that's a positive. But we didn't have any sort of real rally to the upside. We are grinding our way higher for now. The S&P 500 remains overbought on the indicators for all timeframes. I'm still considering the SPY October puts and am waiting for what I believe to be the right time to purchase them. Trying to remain patient for now. Gold continues to rise as the futures jumped $34. The US dollar was lower and interest rates dipped slightly. The XAU climbed 4 3/4, while GDX added a point. Volume was a bit above average. The gold shares remain overbought but the fear of an all out war in the Middle East had taken over. I still think that the gold shares are due for some selling but the markets certainly don't listen to me. I won't chase the GDX calls here but of course they can go higher in this kind of environment. Mentally I'm feeling OK. The VIX moved lower and is still short term oversold. Waiting to see what happens at the 200 day moving average and we are almost there. Asia was generally higher and Europe up overnight. We'll see how it goes tomorrow.

A mundane Monday session as the Dow rose 61 points on light volume. The advance/declines were positive. The summation index is heading higher. Slight gains for most of the major averages in a sideways trading day. The S&P 500 remains short and medium term overbought. I've kind of decided that I will try the SPY October puts at some point during the October option cycle. Perhaps ahead of Thursdays and Fridays economic reports. September is bucking the negative seasonality trend and I doubt that will last for another month. I do not know what the downside catalyst will be but I'm pretty sure that it's coming. I could be wrong. Gold was up $4 on the futures. The US dollar was a bit higher and interest rates ticked up. The XAU and GDX had slight fractional losses on about average volume. The gold shares are due for a rest. Middle East tension is now a daily occurence and the lower rate news has already happened. What more good news for gold is out there at the moment? GDX is also both short and medium term overbought but the rally sometimes goes on longer than you think. I'm on the sidelines here for now. Mentally I'm feeling OK. The VIX was lower today and that fits an up market. Short term oversold here. Still above the 200 day moving average on the daily chart. A break below there would probably change my mind about trying the SPY October puts. Asia and Europe were higher to start the week. I'll keep an eye on tonights headlines.

It was a pretty quiet Friday as the Dow was up 38 points on expiration heavy volume. The advance/declines were around 2 to 1 negative. The summation index continues higher. The overall market was weaker than the Dow. The S&P 500 posted a small loss and remains short term overbought. Medium term overbought as well here. No overhead resistance for the S&P but I'm not sure how much further we have to the upside for now. All the good news seems to be out. The NASDAQ did not follow the Dow and S&P to new all time highs this week. The TRAN got clobbered today and that is not a positive going forward. So we'll have to wait and see how things unfold heading into the October option cycle. Gold continues to shine as the futures climbed $32 to a new all time high. The US dollar was slightly higher and interest rates a touch lower. The XAU added 2 1/3 and GDX was up 3/4. Volume was good. Above the 40 level now for GDX and that's a positive. I don't want to chase GDX here but it certainly has room to go higher. Short term overbought but not at extremes. The near term calls are pricey though as we are just moving into the October option cycle. Mentally I'm feeling OK. The VIX was lower today which doesn't fit with an overall lower marketplace. Short term oversold but not completely so on the short term indicators. I'm still not sure what's in store next for the VIX. Plenty of work to do over the weekend as I try and come up with a game plan going forward. The recent losing trade does not help on the confidence factor but it will be forgotten shortly. I'll be going over the charts as usual. Option premiums will be high rolling into a new cycle. I'm not completely sold on this rally but markets as always go where they want. Asia was higher and Europe lower to complete the trading week overseas. It's Friday afternoon and time for a break.

The stock market exploded to the upside on the open with a huge gap higher as the Dow finished with a gain of 522 points on average volume. The advance/declines were better than 3 to 1 positive. The summation index is moving up. The NASDAQ led the way higher and was up around 2 1/2%. The McClellan oscillator signal a couple of days ago was valid with todays price action. Was today a delayed reaction to yesterdays rate cut, overnight foreign money pouring into the US futures or something option expiration week related? Doesn't matter as price is the ultimate judge. New all time highs in the Dow and the S&P. The S&P 500 remains short term overbought and will be medium term overbought as well after tomorrow. My SPY September puts went from a gain to a loss overnight. I sold them early this morning for a 65% loss. Yesterday it appeared that this trade had things going for it. Overnight it was destroyed. That is the nature of the game sometimes and you have to simply take the loss and move on. Gold was up $14 on the futures. The US dollar was little changed and interst rates finished mixed. The XAU was up 2 1/8, while GDX added back 2/3. Volume was average. The short term indicators for GDX are trying to turn back up. GDX is up against the resistance at the 40 level. My guess is that a pause is due before attempting to clear that area again. Mentally I'm feeling disappointed at yet another losing trade. The short term trades are some of the toughest ones to try but that won't stop us. The VIX was lower and is back below the 50 day moving average. The short term indicators have rolled back over to the downside with room to go. The VIX implies higher stock prices yet to come. Expiration Friday on tap and I'll be looking at the October option cycle for the next trade. Asia and Europe had nice gains overnight as money is finding a home in stocks. We'll close out the trading week tomorrow.

Quite a session today on Wall street as the Fed went with a half point cut in rates. This was met with euphoria as the market rallied to a new high. However it then turned into a fight between the bulls and the bears for the final two hours. The Dow finished lower by 103 points on light volume. Looks like it was a sell the news event. The advance/declines were slightly negative. The summation index is moving higher. Most of the major averages also had reversals to finish lower on the day. We did receive a signal from the McClellan oscillator last night for a big move in the next two sessions. Not sure if today qualifies but it might. We'll see how things go tomorrow. The NASDAQ led the way down but it wasn't big drop. I did place an order for the SPY September puts overnight. It did get filled on the run up in prices after the Fed announcement. It is somehow showing a small profit but with only two days left in the September option cycle holding on longer than tomorrow would be extremely risky. In fact it could turn into a loser overnight as the volatility in both directions was pretty quick today. The S&P 500 remains short term overbought but the indicators appear to be rolling over. Gold had a dramatic one day downside reversal after being up big after the Fed announcement The precious metal futures finished lower by $15. The US dollar was up slightly while interest rates closed higher despite a cut in rates from the Fed. The gold shares had incredible turnarounds as well after being higher during the day. The XAU lost 1 7/8 and GDX shed 3/8. Volume was very heavy on the sell off. The short term indicators are now moving down for GDX and the daily candlestick chart looks bearish. Mentally I'm feeling tired as the short term trading is a drain on the brain. The VIX was up today which fits a volatile session. The short term indicators are moving higher but not at a steep rate. I'm still not sure what the VIX has in store for us next. I'm in the next trade with two days to go so I'll have my work cut out for me to try and have a profitable outcome. We were overdue for some selling but there's always the chance that today was it and we move higher from here. I'll have to keep an extra eye on the S&P futures overnight. Asia up and Europe down in last nights trade. We'll see what tomorrow brings.

A gap higher to start the day but then sellers took over and the Dow fell 16 points on light volume. The advance/declines were positive. The summation index is moving up. Waiting on the Fed at this point in time. I did place an overnight order for the SPY September puts but it was not filled. Now it gets even trickier as time is running out and we have to gauge the market reaction to the Fed announcement. We'll stick with the technicals as usual and the S&P 500 remains short term overbought. Both it and the NASDAQ posted small gains today. I may try another overnight order for the SPY puts but the time premium in them is getting sucked out at a rapid rate. That's why the timing will be crucial to getting the trade right. There's also a chance that I will simply pass on this idea as I am usually not that successful with the very short term trades. Gold was off $13 on the futures. The US dollar and interest rates were a bit higher. The XAU lost 1 1/8, while GDX shed about 1/3. Volume was light. Still short term overbought for the gold shares but they can remain that way during up trends. Mentally I'm feeling OK. The VIX was up a bit again today and closed at the 50 day moving average. I'm not sure what the VIX will do next. Three days left in the September option cycle. I'll take another look at things tonight and go from there. Asia was mixed and Europe higher overnight. All eyes and ears on the Fed tomorrow.

A mixed picture while waiting on the Fed as the Dow gained 228 points on light volume. The advance/declines were better than 2 to 1 positive. The summation index is moving up. The NASDAQ posted a small loss while most of the other major averages were higher. The S&P 500 had a slight gain and remains short term overbought. I am still considering the SPY September puts for this week. I will buy them perhaps tomorrow if we see more upside. A risky trade to be sure as the timing has to be right. The S&P is stalling at the overhead resistance at around 5650. However if we break through there on good volume, new highs will be the story. I would like to try the puts at some point this week though. Gold was flat on the session. The US dollar was lower and interest rates were slightly down. The XAU and GDX had fractional losses on pretty light volume. Today looked like a pause before we go higher for the gold shares but time will tell on that. Mentally I'm feeling OK. The VIX was up a bit which doesn't fit with the positive tone of the overall market today. Not sure where it is headed next. Not yet completely short term oversold there. Retail sales out tomorrow and that might provide a reason for market movement. Europe was mostly lower and what was open in Asia finished mixed. We'll keep an eye on any overnight developments.

Still drifting higher as the Dow climbed 297 points on light volume. The advance/declines were 5 to 1 positive. This will have the summation index moving back up. The Dow and the S&P 500 are on the cusp of new all time highs. We are getting a short term sell signal from one of our indicators but this hasn't been that reliable lately. It says any strength on Monday can be shorted. Perhaps I'll try the SPY September puts there but the breadth was very good today and the short etrm trend is obviously up. The short term indicators for the S&P are not yet overbought either. However I do not trust light volume rallies. I'll consider what to do over the weekend. Gold added another $30 on the futures as there is no overhead resistance. The US dollar was a little lower along with interest rates. The XAU was up 3 3/4, while GDX gained 7/8. Volume was good as GDX hit a new recent high just above the 40 level. The short term indicators here are not yet overbought. I'm still thinking that the gold shares will run up into next weeks option expiration before taking a break. Mentally I'm feeling OK. The VIX was lower today which fits an up day for stocks. Still not short term oversold yet on the VIX. Plus it still implies higher prices for the market in the near term. Which makes trying the SPY September puts difficult. Not to mention with only a week to go in the September option cycle the timing of any trade next week has to be spot on. The Dow, S&P 500 and the NASDAQ are all right up against their near term overhead resistance. If it holds, the puts will be worth the effort. If it doesn't, new all time highs will be coming and who knows how much higher the market will go? So that is where we are at in a nutshell. I'll go over the charts this weekend to try and determine what to do. But I can tell you right now that you can make the case either way. Hopefully things will become clearer over the next couple of days of research. Europe was higher and Asia mixed to finish the week. It's Friday afternoon and time for a break.

Inflation data came in where expected and the markets continued higher as the Dow gained 235 points on light volume. The advance/declines were better than 3 to 1 positive. The summation index is trying to turn back up. The NASDAQ continues to lead that way higher and that's a positive. The S&P 500 continues to climb. Its short term indicators are moving up with room to go before hitting overbought. It really looks like new all time highs are coming up in the next few days. I might have to forget about trying the SPY September puts for that idea is at least on hold until next week. Yesterdays upside reversal looks like it was for real. Gold climbed $44 on the futures to a new all time high. The US dollar was lower and interest rates ticked up. The gold shares rallied with the XAU up 8 points and GDX gaining 1 3/4. Volume was heavy to the upside. The short term indicators for GDX are moving higher with plenty of room to go. Another missed trade here as the option premiums never got down to what I was willing to pay for this opportunity. It's possible that GDX will run up into next weeks option expiration. They say that missed money is better than lost money but it never feels that way when you miss it. Mentally I'm feeling OK. The VIX was lower and is now below its 50 day moving average. The short term indicators are moving down with room to go before hitting oversold. The VIX still implies higher prices in the near term. Six days to go in the September option cycle. Still time for a potential trade but the ideal time has passed on the GDX calls and the SPY put idea may have to fade away. If we continue higher into early next week the put trade might be possible on a sell the news event with the Fed on Wednesday. But that is a long way from here. Asia and Europe were higher overnight. We'll close out the week tomorrow.

We saw an incredible one day upside reversal today as the market opened and dropped lower only to turn around and finish decidedly higher on the session. The Dow, which was off over 700 points early, made it all the way back and finished with a gain of 124 points on light volume. The advance/declines were positive. The summation index is trying to trend sideways. The inflation data came in where expected but stocks sold off hard early on. The comeback was led by the NASDAQ which added over 2% for the day. The S&P 500 finished up almost sixty points after being down around ninety. The short term indicators there are now at mid-range or above. My SPY September put idea will have to be put on hold for now. We now have to ask if new all time highs are back in the picture. One day does not make a trend but it was pretty impressive. Gold was off a couple bucks on the futures. The US dollar finished a little higher along with interest rates. The XAU was up 1 1/3, while GDX rose a bit over 1/8. Volume was light as the gold shares did not follow the overall markets good gains. The short term indicators here have turned up. I'll try the calls here if they roll back over and the premium is what I'm willing to pay. Running out of time now in the September option cycle. Mentally I'm feeling OK. The VIX was lower but remains above its 50 day moving average. The short term indicators are now below mid-range and pointing lower. This implies more near term gains for stocks. Perhaps the inflation data tomorrow will be benign as well. Asia and Europe were generally lower in last nights trade. We'll see what tomorrow brings.

The overall market was higher but the Dow posted a loss of 92 points on light volume. The advance/declines were slightly positive. The summation index is still moving down. The NASDAQ outperformed today and that is a plus. The S&P 500 is still below its 50 day moving average but the short term indicators are moving up from oversold levels. As long as we continue higher on light volume, I'm still looking at the SPY September puts. Perhaps later this week if the market cooperates. It is entirely possible that we just move higher from here as well but I'm not as sure on that scenario. We'll see what the reaction is to the inflation data and go from there. Gold was up $13 on the futures. The US dollar finished little changed and interest rates continue to drop. The XAU was up a couple points and GDX added almsot 1/2. Volume was light. I did not get any GDX calls today as the premium on the option that I was considering did not drop to the price that I wanted. GDX remains short term oversold on some of the indicators and is right at its 50 day moving average. It may have been a mistake on my part in not getting the calls today but we'll see how it plays out going forward. I think that I'm more sold on the SPY put idea for this option cycle but we'll see. Mentally I'm feeling OK. The VIX was lower today and that fits with the overall market rise. The short term indicators are now mid-range and give the appearance that they could go either way. I'm pretty sure we will see some kind of movement tomorrow morning after the inflation report. Which way is always the question. The data is forecast to be mild. There is also a presidential debate tonight but I don't know how much that will affect the markets. Asia was generally higher and Europe lower overnight. We'll keep an eye on tonights developments.

Trying to bounce as the week begins and the Dow gained 484 points on light volume. The advance/declines were 2 to 1 positive. The summation index is still trending down. The Dow barely led the way today and that isn't the most bullish scenario. The S&P 500 is still short term oversold but the indicators have turned up for now. I'm still considering the SPY September puts but want to see a move higher before purchase. Ideally a light volume move towards 555 on the SPY would build that case for those puts. Inflation data this Wednesday and Thursday should be mild. I will watch and wait for now. Gold was up $10 on the futures. The US dollar was higher and interest rates finished flat. The XAU was up over 1 1/2, while GDX added 3/8. Volume was light. GDX remains short term oversold. I am thinking about perhaps getting the GDX September calls tomorrow ahead of the inflation data. The premiums are still pricey in my opinion. I'll consider things overnight. Mentally I'm feeling a bit tired. The VIX was lower today and the short term indicators have turned down with plenty of room to go lower. The VIX is back below 20. Not sure what to expect next here but a lower VIX and higher stock prices are not out of the question. That could fit with a move towards 555 on the SPY and set us up for the SPY puts for option expiration week. But we'll have to see what actually the market has in store for us. Europe was higher and Asia lower with the exception of India overnight. We'll see how things go tomorrow.

More selling to end the short trading week as the Dow fell 410 points on light volume. The advance/declines were 3 to 1 negative. The summation index is now moving lower. Once again the NASDAQ has led the way down, off 2 1/2% today. That is not a plus. The jobs report came in about where expected as there were no surprises. But traders used it as an excuse to sell. The S&P 500 dropped below its 50 day moving average as it was down 95 points. The short term indicators here are oversold for the most part. I would expect some kind of bounce next week but it will probably be not more than that. That may give us a chance for the SPY September puts. Premiums for the puts are much higher now but I do not see a test of the recent all time highs anytime soon. I could be wrong. Gold was off $17 on the futures. The US dollar finished barely higher and interest rates were down slightly. The gold shares followed the overall market lower. The XAU dropped 4 points, while GDX lost a point. Volume was average. GDX is now short term oversold and I'm willing to give the September calls there a chance next week. I will probably put an order in on Sunday night but we'll see how things look after the weekend. This would have to be a short term trade because I think the overall market still has more room to go on the downside before option expiration. The gold shares have followed the overall market recently and that will probably remain the same. Mentally I'm feeling OK. The VIX was up today and that fits with lower prices. Not yet completely overbought here but getting there. Still above the 20 level which implies more volatility to come. September is generally a negative month for stocks and so far it has lived up to that. There's still a couple of weeks to go in the September option cycle with inflation data and a Fed meeting yet to come. Hopefully I'll be up to the challenge. We'll check the charts over the weekend and be ready to go on Monday. Asia and Europe were lower overnight as players are heading for the exits. It's Friday afternoon and time for a break.

Generally lower today although the NASDAQ managed to post a small gain. The Dow fell 219 points on light volume. The advance/declines were negative. The summation index is moving sideways. The S&P 500 was down and closed on its 50 day moving average. Getting to short term oversold here but not all the way there yet. Just waiting on the reaction to tomorrows jobs report at this point. Not sure what to expect there. Still waiting on some kind of signal or set up for the next SPY option trade. Gold was up $18 on the futures. The US dollar was lower and interest rates were slightly down. The XAU gained 1 1/4, while GDX added 3/8. Volume was light. GDX is short term oversold on some of the indicators. I'll be looking to maybe attempt the September calls there if we continue lower into next week. There hasn't been much interest in the gold shares lately. Mentally I'm feeling OK. The VIX was lower today and that doesn't fit with a down market. Some of the short term indicators here are rolling over. Barely below the 20 level after today. I'm not sure what's next for the VIX. Still two weeks left in the September option cycle and I hope to put on some type of trade in that time span. Can't force things though as markets go where they want. We'll see what transpires tomorrow and go from there. Asia and Europe were lower in last nights trade. We'll close out the week on employment report Friday.

It was a day of stabilization as the Dow rose 38 points on light volume. The advance/declines were slightly positive. The summation index is trending sideways. A back and forth seesion for the most part as volatility cooled off for a day. The overall market was slightly weaker. The S&P 500 was a bit lower but remains above its 50 day moving average. The short term indicators are still pointing down. Not sure what to expect tomorrow ahead of the jobs report on Friday but I would not expect a lot of buying unless a short squeeze takes place. The daily candlestick chart here looks bearish. Gold finished flat on the day. The US dollar was lower and interest rates dipped. The XAU and GDX had fractional losses on light volume. GDX remains at its 50 day moving average. The short term indicators are not yet at oversold levels. Staying patient for now when it comes to the GDX September calls. Mentally I'm feeling OK. The VIX was up a bit today and remains above the 20 level. The picture of the daily candlestick chart here implies that the VIX will move lower from here. We'll see if that happens. Europe and Asia were lower with Japan leading the way. We'll see what tomorrow brings.

Stocks got clobbered to begin the month of September as the Dow fell 626 points on light volume. The advance/declines were 3 to 1 negative. The summation index is beginning to stall. The NASDAQ led the way lower, off 3 1/4%. I was looking for the S&P 500 to set new all time highs this week but that appears to be the wrong prognosis. The short term indicators for the S&P have now rolled over with plenty of room to move lower. Might be too late for the SPY September puts but we'll see. The bigger picture could be a double top on the S&P which would measure much much lower from todays levels. But we'll have to wait and see where we go from here. Perhaps the bearish seasonality factor is kicking in. Looks like everybody returned to their desks ready to sell. Gold was off a few bucks on the futures. The US dollar was slightly higher and interest rates dropped. The gold shares followed the overall market down. The XAU lost 6 3/9 and GDX fell 1 1/3. Volume was good to the downside. The short term indicators for GDX are moving down but not yet completely oversold. GDX did manage to finish above its 50 day moving average. I'm still considering the September calls here if and when GDX gets short term oversold. Mentally I'm feeling OK. The VIX shot higher today which fits the downside price action in stocks. It is now slightly above the important 20 level. The short term indicators are pointing up and most are not close to being overbought. We'll see if today was a one day wonder or the beginning of something sustainable to the downside as we move forward. I'm not sure exactly what to think here so caution on my part is advised. There's still plenty of time to trade in the September option cycle. The jobs report on Friday will be the highlight of the data out this week. Asia and Europe were lower overnight. We'll keep an eye on tonights headlines.

Higher to close out the month of August as the Dow rallied 228 points on average volume. The advance/declines were positive. The summation index continues higher. The NASDAQ was back to leading the way up. The inflation data came in where expected. The S&P 500 is just shy of new all time highs. It remains short term overbought. My guess is that we'll probably hit new all time highs on the S&P after the long holiday weekend. One of the concerns here is the lagging of the NASDAQ, which isn't close to a new all time high. But we'll worry about that next week. Gold fell $25 on the futures. The US dollar was higher and interest rates were up just a bit. The XAU dropped a point and GDX shed 1/4. Volume was light. The short term indicators for GDX are heading lower but it isn't a sharp drop. I'm still considering the September calls there if we make it down to oversold. Mentally I'm feeling a bit tired. The VIX was lower and is still short term oversold. We are expecting the VIX to move lower as the market moves higher in the beginning of next week. It is still above its 200 day moving average which will be a key area to watch. If the VIX heads below there any rally will have legs. All the players should be back on Tuesday so we will begin to have a more complete picture of things. Still remaining patient for now. Asia was up and Europe slightly lower to finish the week and month. I'll have an extra day to go over the charts this weekend. It's Friday afternoon and time for a break.

An interesting session as what was once a broad based rally turned into a mixed picture by the close. The Dow gained 243 points on light volume. It was up well over 400 at one point. The advance/declines were 2 to 1 positive. The summation index is moving higher. After being higher the NASDAQ finished with a loss on the day. The S&P 500 finished flat after being much higher earlier on. It still remains overbought on the short term indicators. Waiting on tomorrows inflation data. It is also the end of the month before a long holiday weekend. My guess is whatever is going to happen will be early in the day and then traders will be leaving early. Gold rose $17 on the futures. The US dollar was higher and interest rates nudged up. The XAU was up 1 3/4 and GDX was up 1/2. Volume was light. The short term indicators on GDX are trying to turn back up. I'll keep an eye on golds reaction to the inflation numbers tomorrow. Mentally I'm feeling OK. The VIX was lower today and remains short term oversold. Not sure what to expect next here. Just waiting on the month of August to come to a close and we'll be looking for a trade in September. Europe was higher and Asia mixed in last nights trade. We'll close out the week and the month tomorrow.

Selling in the middle of the week as the Dow fell 159 points on light volume. The advance/declines were negative. The summation index is still trending higher. Once again the NASDAQ led the way lower and that is not a plus. Waiting on NVDA earnings after the close. The S&P 500 remains in the same technical condition. Short term overbought and staying that way. Seems like we are just waiting for this week to go by and then all the players should be back. No SPY trades for now. Gold dropped ten bucks on the futures. The US dollar was higher and interest rates remained flat. The XAU fell 3 3/4, while GDX shed around 7/8. Volume was light. The short term indicators for GDX have now rolled over. We'll see if thay keep going. Waiting for GDX to return to short term oversold before trying the calls here again. Mentally I'm feeling OK. The VIX was up today which fits a down market. Back above the 50 day moving average. The short term indicators here have turned back up but remain oversold. Just a couple of trading days left in the month of August. Unless something out of the ordinary happens I'll be on the sidelines until after Labor day. Plenty of time left to trade in the September option cycle. Sometimes you have to be patient. Asia was mixed and Europe higher overnight. We'll keep an eye on tonights headlines.

Today we opened lower and closed higher but the Dow only managed a gain of 10 points on light volume. The advance/declines were negative. The summation index is moving up. It appears that we are in a wait and see mode for now. The volume is very low as we wait for a catalyst to get things moving up or down. It's the last week of August before Labor day weekend and trders have taken off. The S&P 500 remains short term overbought and staying that way. I'm still in the camp for new all time highs soon. Perhaps the inflation data or NVDA earnings can get us there later in the week. Gold rose $5 on the futures. The US dollar was lower and interest rates held steady. The XAU had a slight fractional loss, while GDX was unchanged. They both came up from the lows of the session. Volume was very light once again. It appears that the summer doldrums arrived late this year. Mentally I'm feeling OK. The VIX was lower today and remains short term oversold. Back below the 50 day moving average now. I'm still not sure what's next for the VIX. Remaining patient for now when it comes to the next trade. A new all time high close for the Dow today but the NASDAQ is lagging. I'm expecting the S&P 500 to move to new highs as well soon but this isn't a broad upside breakout for now. Plus we are in a negative seasonal period for stocks so I would not want to get too bullish at the moment. The anemic volume is another thing to keep an eye on. Europe and Asia were generally higher overnight. We'll see how things go tomorrow.

Another open higher and closing lower day for the S&P 500 but the Dow managed a gain of 65 points on pretty light volume. The advance/declines were positive. The summation index continues higher. Most of the indices were lower today, with the NASDAQ losing over 150. It is the final week in August before the unofficial end of summer after Labor day next Monday. It's possible that some traders will be away from their desks. Some economic data due this week with inflation news on Friday. The S&P 500 remains short term overbought while we wait and see if new all time highs are coming. Our guess is that yes, we'll see new highs for the S&P sooner rather than later. Gold was up $7 on the futures. The US dollar was a bit higher along with interest rates. The XAU and GDX were barely lower on extremely light volume. We had some geo-political tension over the weekend and the gold shares did not react. Still short term overbought on GDX and waiting on a pullback to try the calls there again. Mentally I'm feeling a bit tired. The VIX was up slightly and is hugging its 50 day moving average. Short term oversodl and remaining that way. Not sure what's next for the VIX. Might be on hold for the next trade until the jobs report in a week and a half but we'll see. Asia was higher except for Japan while Europe ended mixed. I'll keep an eye on the overnight developments.

The Fed chairman said that it is time to lower interest rates and that is all the market needed to hear as the Dow gained 462 points on light volume. The advance/declines were 8 to 1 positive. The summation index is moving up. The NASDAQ led the way and the small cap Russell 2000 was up over 3%. The S&P 500 was higher and remains short term overbought. At this rate new all time highs for the S&P are probably in the cards for next week. The NYSE Composite is already there. Gold was up $30 on the futures. The US dollar was lower along with interest rates. The XAU gained a couple of points and GDX added 1/2. Volume was light. Still waiting for a GDX pullback but it may not appear when we want it. Markets rarely cooperate. Mentally I'm feeling a bit tired. The VIX was lower today and is right at the 50 day moving average. Remaining short term oversold here and it looks like that could last a while. So it looks like all systems are go for higher prices going forward. When there is plenty of money to drive even the smaller issues higher, liquidity is not a problem. The promise of lower interest rates creates a positive backdrop. The best time to jump on board has passed and I will wait for the next signal or some kind of set up. I'll read the charts over the weekend as usual. Europe and Asia were higher to close out the week. It's Friday afternoon and time for a break.

Sellers finally showed up today as the Dow dropped 177 points on light volume. It was another one day downside reversal as we opened higher and closed lower. The advance/declines were 2 to 1 negative. The summation index is moving up. The NASDAQ led the way down and that's a negative. Despite the drop the S&P 500 remains short term overbought. We'll wait and see what the Fed chairman has to say tomorrow and how the market deals with that. Gold lost about thirty bucks on the futures. The US dollar was higher along with interest rates. The XAU fell 3 2/3, while GDX lost a point. Volume was average. The short term indicators on GDX have rolled over but thay are still overbought. I'm still in a wait and see mode here. Mentally I'm feeling OK. The VIX was higher which fits the down move in stocks. Back above the 50 day moving average on the VIX. It is still very short term oversold though. Not sure what comes next here. Remaining patient for now when it comes to the next trade. I'll see how the week closes out and take it from there. Asia and Europe were generally higher overnight. We'll see what tomorrow brings.

Some back and forth today but mainly just hanging around as the Dow was up 55 points on light volume. The advance/declines were around 3 to 1 higher. The summation index conitnues to the upside. The NASDAQ continues to lead and that's a plus. The techncial condition of the S&P 500 remains the same. Short term overbought and staying that way. There is a V bottom in place as we approach the previous all time highs. Either a huge double top is forming or we will simply plow on higher past the near term resistance. At this point it looks like moving higher will be the most likely. Gold finished flat on the day. The US dollar continues to fall and interest rates were slightly lower. The XAU was up almost a point and GDX rose 1/4. Volume was light. GDX remains short term overbought as well. Waiting on a pullback here. Mentally I'm feeling OK. The VIX was up today which doesn't fit with todays market direction. The last time this happened we had a drop the following day. Still short term oversold and staying that way on the VIX. Looking for a trade but we will not force the issue. Waiting on some type of set up for now. Plenty of time in the September option cycle. Might even wait until all the players are back after Labor day if necessary. Patience for now. Asia was mixed once again and Europe higher overnight. We'll keep an eye on tonights headlines.

A one day reversal to the downside today as the market opened higher and closed lower. The Dow fell 61 points on light volume. The advance/declines were 2 to 1 negative. The summation index is moving up. Not much damage done today as the major indices were just off fractionally. Not a lot of data due this week as we wait for the Fed chairman to speak at the Jackson Hole conference on Friday. That speech could get things moving. The S&P 500 remains short term overbought. We are in a wait and see mode when it comes to the next SPY option trade. Leaning towards the puts but on the sidelines for now. Gold was up a dozen on the futures. The US dollar was lower along with interest rates. The XAU was higher by 1 1/4 and GDX added 1/4. Volume remains average here. Short term overbought on the gold shares as well. Waiting for a pullback before attempting the September calls here. Mentally I'm feeling OK. The VIX was up today as we saw some selling in the market. Still short term oversold here. Not sure what to expect next on the VIX. It closed at its 50 day moving average. Remaining patient here in the short term as perhaps this will be a quiet week for a change. At least until Friday. Asia was mixed again with Europe lower overnight. We'll see how it goes tomorrow.

Nothing but buyers as the market just keeps going up in a straight line. The Dow gained 236 points on light volume. The advance/declines were 3 to 1 positive. The summation index is moving up. The NASDAQ led the way again to the upside and that's a plus. The S&P 500 is short term overbought. The sell signal that we got last week did not work. However the longer things go straight up, the more likely that they will not have a happy ending. It was quick V bottom in stocks and we'll have to see if we bust out to new all time highs soon. Gold was up a few bucks on the futures. The US dollar was lower and interest rates were slightly lower. The gold shares followed the overall market today. The XAU rose 3 1/8, while GDX gained 3/4. Volume was average. GDX is now short term overbought as well. We'll wait for some kind of pullback before trying the calls there. Plenty of time in the September option cycle but there is also the fact that I might have missed this move for GDX as well. Mentally I'm feeling tired. The VIX is still heading lower and remains short term oversold. It can stay oversold for an extended time during rallies and that is what we are seeing now. I'll be patient for now. Asia was mixed and Europe higher to begin the week. We'll keep an eye on the overnight developments.

It was pretty much a sideways expiration Friday as the Dow was up 96 points on light volume. The advance/declines were positive. The summation index is moving higher. The S&P 500 is getting to short term overbought. Obviously we are extended to the upside here for the S&P and some kind of retreat is overdue. I would be surprised if we didn't see some selling on Monday. It has been a straight line up for stocks for a couple of weeks. These kind of moves usually don't end well. However the volatility and declines that we saw seem to have been a bit overdone. Moving into the September option cycle which has an extra week on it. Premiums are high and there is no rush right now for a trade in the SPY. Gold took off to the upside for a new record as the futures climbed $54. The US dollar was lower and interest rates had a small dip. The XAU gained 3 3/4, while GDX was up 1 1/8. Volume was good to the upside. The short term indicators for GDX are moving back up and are not yet overbought. It appears that I'm late on the September GDX calls but we'll see what happens as we move forward. This could be a move worth chasing. Mentally I'm feeling tired. The VIX is still moving lower and remains short term oversold. It was a great week for stocks and at this rate new all time highs are not out of the question. But we are in a seasonally weak period for stocks so nothing can be ruled out for now either way. I'll be checking the charts as usual over the weekend. Europe and Asia were higher to finish the trading week with the exception of the FTSE. It's Friday afternoon and time for a break.

The data came out and the market liked what it saw as the Dow climbed 554 points on light volume. The advance/declines were 3 to 1 positive. The summation index is now moving higher. The NASDAQ led the way and was up over 400 points. The S&P 500 is now solidly above the short term down trend line and it is no longer in effect. The short term indicators here are moving up with still some room to go. I suppose I got lucky yesterday when my order for the SPY August puts wasn't filled. The sell signal from one of our indicators is still in effect but it obviously did not work today. It is a reminder that we deal in probabilities and not certainties in this game. The technical evidence weighed in the direction of some kind of pause or sell off but the market just kept going up. I can't say that I have a good handle on things as I ceratinly did not expect the market to move in a straight line up from nine trading days ago. But as always markets move where they want. Gold was up $13 on the futures. The US dollar was higher along with interest rates. The XAU rose 1 1/3, while GDX added over 1/8. Volume was light. The gold shares didn't really follow the overall market much higher today. The short term indicators continue to stall here on GDX. Mentally I'm feeling OK. The VIX continues lower and is now below its 50 day moving average. The short term indicators are very oversold for the VIX but that stay that way during rallies. The markets practically straight line up since August 5th certainly qualifies as a rally. However I would be very surprised if we didn't see some kind of selling either tomorrow or Monday. If we don't the overbought condition for the S&P 500 would be extreme. I'm going to let expiration Friday pass and take things from there. Europe and Asia were up overnight. We'll close out the trading week tomorrow.

The Dow led the way today as it gained 242 points on light volume. The advance/declines were positive. The summation index is tracking sideways. The inflation data came in where expected. The NASDAQ was the laggard today as it was only up 5 points. The S&P 500 continued higher closing just above the 5450 level. The short term indicators here are trending higher with room to go. I did place an order for the S&P August puts but it wasn't filled. We are getting a sell signal on one of our indicators for the S&P but there are only two days left in the August option cycle. I'm not sure if I will try the puts here again tomorrow but this is the spot to give them a try. Gold was off $20 on the futures. The US dollar finished flat and interest rates were mixed. The XAU and GDX had fractional losses on light volume. They both came up from their lows of the session. The short term indicators for GDX are beginning to stall but are not yet overbought. I'll begin to look at the GDX September calls here. Mentally I'm feeling a bit tired. The VIX contiues to drop and is just about at its 50 day moving average. Comfortably below the 20 level now. The short term indicators are oversold for the most part. Not sure what is going to happen next here on the VIX. Plenty of economic data out tomorrow with retail sales probably being the key. If we open higher I might take the chance on the August SPY puts. If we open lower it most likely will already be too late. I maybe should have adjusted my order at the end of the day to get filled but I did not. We'll see how it goes tomorrow. Europe and Asia were generally higher overnight. We'll keep an eye on tonights developments.

Produces prices came in about where expected and that was enough for the market as the Dow climbed 408 points on light volume. The advance/declines were 4 to 1 positive. The summation index is back to moving sideways. The overall market did much better thant the Dow with the NASDAQ leading the way. It was up almost 2 1/2%. The S&P 500 gained ninety points and is now almost at the 5450 level. The short term indicators on the S&P are now at mid-range or better and moving up with plenty of room to go. I may have to rethink the SPY August put idea at this rate. A decent CPI report tomorrow morning could blow us threw the short term resistance. Or the opposite could happen on a negative report in which case it would be too late for the SPY puts. 454 is the level on the SPY where the short term down trend lies and it is also close to the 50 day moving average. I'll have to decide what to do tomorrow morning. Gold was up a couple bucks on the futures. The US dollar was lower along with interest rates. The XAU was up 2 1/4, while GDX gained 1/2. Volume was light as the gold shares followed the market higher. GDX closed above the short term down trend line today but the volume was pretty light. We have to respect price though for now. I sold my GDX August calls in the morning and should have held them longer. This was a trade with a lousy entry price and the exit could and should have been a lot better as well. I did however want to sell them today as we are running out of time in the August option cycle. A strong CPI report tomorrow would probably send the gold shares lower. The gain on this trade was 75%. Mentally I'm feeling OK. The VIX was lower today and that fits with the good day for stocks. Short term oversold here on the indicators with just a little room to go before being completely oversold. This indicator is another reason that I am hesitating on buying the SPY puts with only 3 days to go in the August option cycle. It too could simply become more oversold as the market heads higher. I will have to look all the things over again tonight and decide what to do. Not to mention that the short term trades are not usually my best efforts. Europe and Asia were higher with the exception of India. We'll see what tomorrow brings.

Waiting on inflation data as the Dow fell 140 points on light volume. The advance/declines were 2 to 1 negative. The summation index is beginning to roll back over. We got a signal from the McClellan oscillator on Friday for a big move within the next two sessions. We'll see if that happens tomorrow. The NASDAQ had a minor gain today and the S&P 500 finished flat. The short term indicators on the S&P are beginning to stall. Producer prices out tomorrow should provide excuses to buy or sell. Still looking at the 5450 level as the spot to try the SPY August puts but we may not get there this week. Also running out of time for the August option cycle. Gold rallied today as the futures were up $37 on geo-political fears. The US dollar finished flat and interest rates were a bit lower. The XAU climbed 4 2/3, while GDX was up around a point. Volume was average. GDX is getting closer to the short term down trend line at 37.25. A break of that line on good volume would be bullish for the gold shares. My GDX August calls have somehow made it back into the black. The short term indicators for GDX are moving up and have room to go. Perhaps this trade will work out after all. However with only 4 days left in the August option cycle the risk of staying in the trade inceases as the week goes on. I'm thinking the the PPI data tomorrow won't be an upside surprise and perhaps there will some positive follow through for the gold shares. Mentally I'm feeling a bit tired. The VIX was up slightly today as it hangs around the 20 level. Some of the short term indicators here are oversold. Not sure what's next here for the VIX. I suppose we'll just have to wait and see what the market reaction is to the inflation data tomorrow morning and go from there. Asia and Europe were mixed to begin the week. I'll keep an eye on the overnight developments.

It seemed much like a day of hanging around as the Dow rose 51 points on light volume. The advance/declines were slightly positive. The summation index is now tracking sideways. Considering the recent price action, todays lack of volatility was somewhat of a surprise to me. None of the major averages finished with big moves. The S&P 500 continues to climb up from the lows on Monday. The short term indicators here are approaching mid-range. What they do there will tell the story. If they keep moving up is looks like a V bottom will be in place. If they roll back over a retest of the lows may be in order. Plenty of economic data due out next week including inflation numbers. Not to mention that it's option expiration week. So things will get interesting. Gold was up $4 on the futures. The US dollar finished little changed as did most interest rates. The XAU was up 1 1/4 and GDX added a little over 1/4. Volume was extremely light as there is no interest one way or the other for the gold shares at the moment. My GDX August calls are somehow almost back to break even. I though long and hard about just selling them today and taking the loss. But I decided to let the weekend play out and we'll see how thngs open up on Monday. No signal one way or the other with the short term indicators for GDX right now. Unless we see gold rally next week this trade isn't going anywhere. Plus with it still being out of the money the odds for a profit are lower. Mentally I'm feeling OK. The VIX continued to fall and is now back to the 20 level. What happens here will say a lot about the market as well. If the VIX bounces off of 20 we'll see more selling and move volatility. If the VIX continues to fall through the 20 level, the V bottom scenario has more credibility. Some of the short term indicators on the VIX are oversold but not completely so. Quite a week it was but the market didn't fall apart as it looked like it was going to on Monday. There is a down trend line that coincides with the 50 day moving average for the S&P at the 5450 level. If we somehow make it back to there next week, that would be the time to try the SPY August puts for a short term trade. But we'll go over the charts this weekend just to be sure. Asia and Europe were higher to close out the week. It's Friday afternoon and time for a break.

Another bounce today as the Dow gained 683 points on average volume. The advance/declines were 4 to 1 positive. The summation index is still heading lower. The NASDAQ led the way today and that's a positive but the volume was less than it has been recently. The S&P 500 was up 120 points and the short term indicators here have turned back up. I'm not thinking that the market is just going to continue to rally here but who knows? Yesterdays price action was pretty negative and todays is very positive. Probably some short covering in there today. I'm not sure where it goes from here. On the sidelines with regards to the SPY options for now. Gold soared out of nowhere as the futures gained thirty bucks. It did come off of the highs for the session. The US dollar finished about unchanged and interest rates ticked up. The XAU rose 3 points, while GDX was up almost 7/8. Volume was light here as there still isn't much interest in the gold shares at the moment. My GDX August calls are still in the red but did make up some ground. Perhaps should have just taken the loss today but hope springs eternal. Another day like today would bring tham back but that's asking an awful lot of this market. Mentally I'm feeling OK. The VIX was lower today which fits the good day for stocks. The short term indicators are moving back down and are not yet completely oversold. So perhaps we can squeeze another positive day out of the market. I do not expect the volatility to just disappear though. Asia and Europe were generally lower to mixed in last nights trade. We'll close out the week tomorrow.

A one day reversal to the downside as stocks gapped open higher and closed lower near the lows for the day. The Dow fell 234 points on good volume. The advance/declines were negative. The summation index is moving down. The NASDAQ led the way lower. The S&P 500 remains short term oversold and it looks like we are heading down for a retest of the recent lows after todays price action. I'm not sure what exactly is going on right now but volatility is in charge. I have no SPY trades in mind right now because the technicals are blown out as we are not in the normal market atmosphere. I could change my mind going forward but the risks here might outweigh the rewards. You've got to be quick and you've got to be nimble and those are not my strong suits. Gold dropped $4 on the futures. The US dollar was a little higher along with interest rates. The XAU fell 4 1/4, while GDX shed 7/8. Volume was light. The gold shares are following the overall market. My GDX August calls are now solid losers as I had my chances to get out with a small profit but did not take them. The gold shares had a one day downside reversal as well. The daily candlestick chart for GDX looks very bearish after todays price action. This trade is now in the cut the loss mode unless GDX has some kind of rally in the next two days. Not likely but who knows in the current volatile marketplace. Mentally I'm feeling a bit down after mismanaging yet another trade. But the market certainly doesn't care and you've just got to keep moving in this game. The VIX moved back up after being lower early on. The short term indicators have stalled and if they turn back up here we'll see more downside in a hurry. Hasn't happened yet though. Seven days to go in the August option cycle. Europe and Asia were both up overnight. We'll keep an eye on tonights developments.

We had a nice bounce going today but the market stumbled in the final hour as the Dow gained 294 points on good volume. The advance/declines were 3 to 1 positive. The summation index is still moving down. Stocks finished well off of their highs for the session and that is not a plus. Still short term oversold on the S&P. I can't say that I know what's next here. A retest of the lows? A continued move higher? Not much economic data out this week and most of the major earnings have already been reported. Technical damage has been done though so a period of sideways price action or indecision would not be out of the question. Gold dropped $16 on the futures. The US dollar was slightly higher and interest rates were up as well. The XAU was up 1 3/4, while GDX added around 1/4. Volume was light. The gold shares followed the overall market today. More oversold than overbought for GDX but not completely so. My GDX August calls are still showing a very small profit. This is probably a trade that needs to be sold sooner rather than later. But we'll see. Mentally I'm feeling OK. The VIX was lower today but came up from the lows with the last hour sell off in stocks. The short term indicators here are now pointing down with plenty of room to go. That implies more near term gains for stocks but in this current environment anything goes. Certainly no summer doldrums is about all that can be promised at this point. Asia was mostly higher and Europe finished flat in last nights trade. Japan came back 10% after losing a bit more than that on Monday. We'll see what tomorrow has in store for us.

Sellers took center stage as we had a huge gap down on the open, saw an anemic bounce and went sideways for the rest of the day. The Dow got crushed as did all the major stock indices as it fell over a thousand points on heavy volume. The advance/declines were 13 to 1 negative. The summation index is moving lower. The NASDAQ continues to lead the way lower as big tech stocks have fallen out of favor. The S&P 500 lost almost 3%. Still short term oversold on the indicators here. Gapping lower on the daily chart and it looks like it's headed to the 200 day moving average at 5000. I'm not sure what is going on here but the markets always know more than we do. Sell the rallies will probably be the case for a while now. Hard to say when we'll see the bounce I was looking for and todays slight rise might have been it. Maybe today was a short term wash out for stocks. But if we do get a bounce I would not expect it to last. Gold was off twenty bucks on the futures. The US dollar continued lower and interst rates finished flat after being lower early on. The gold shares followed the market lower but did finished up from the lows on the day. The XAU fell 5 1/8, while GDX lost 1 1/8. Volume was good to the downside. I adjusted my open order for the GDX August calls overnight and it did get filled first thing in the morning. It was a lousy entry as the gold shares dropped much more than I expected. GDX also broke the up trend line that began back in March on the daily chart. Then why try the calls here? On days like this I like to think that things get out of hand in some markets. It presents opportunity if you are able to keep your wits about you. The gold shares dropped much more than gold today and that doesn't add up in my book. Unless gold is simply headed straight down from here. Even with the poor entry the trade is showing a small profit. I'll see if I can manage it properly from here. GDX did finish below its 50 day moving average though. Mentally I'm feeling tired. The VIX soared to 65 this morning. Moves that high are very rare and point to one thing. Panic. It closed at 38 and now is comfortably above the 20 level so volatility will rule here for a while. Some of the short term indicators are overbought now on the VIX and some aren't. Not sure what that means or where the VIX is headed next. The only certain thing here is the uncertainty. But there is money to be made in this August option cycle, that's for sure. It was worldwide carnage for stock markets as buyers have fled the scene. Japan crashed and was down over 10% in a day. Interesting times and I'll be keeping an eye on things overnight.

The jobs report came in weaker than expected and stocks got whacked as the Dow fell 610 points on heavy volume. At one point it was down almost 1000. The advance/declines were 3 to 1 negative. This will have the summation index heading back down. The damage could have been worse but the S&P 500 bounced up from the 5300 level. The S&P 500 remains short term oversold and I would not be surprised if we see a bounce early next week. However important up trend lines have been broken and the trend is now down. The indicators on the S&P weekly chart still have room to go lower. Plus the summation index has yet to really start to drop. Support comes in where we bounced today at 5300 and also at 5200 for the S&P. The 200 day moving average is at 5000. Worst case scenario is the longer term up trend line at 4600 but that level is pretty far off. We still think that rallies can be sold for now. It is also a seasonally weak time period for stocks the next couple of months. So there is no hurry to invest longer term money at the moment. I did miss out on the SPY puts this time around but that idea should work again here in the not too distant future. Gold ended up little changed on the session after being both higher and lower. The US dollar got clobbered on the employment news and interest rates continue to fall. The XAU lost almost 4 points and GDX shed 3/4. Volume was good to the downside. GDX is now at the up trend line that began in March. I did place an order for the GDX August calls and I'm leaving it out there over the weekend. I may decide to cancel it by Monday. The short term indicators for GDX are not yet completely oversold. Mentally I'm feeling OK. The VIX soared today but came off of its highest levels. It did close above the important level of 20 and at one point was at almost 30. Now that is some volatility. The VIX remains short term overbought and it is rare for it to stay that way for long. I expect the VIX to drop next week and that would fit with a bounce for stocks. But I could be wrong as the markets go where they want. Quite a week it was as there are no summer doldrums in 2024. Plenty to ponder over the weekend and I'll be checking the charts as usual. Foreign stocks got pounded to close out the week. It's Friday afternoon and time for a rest.

Back down again today as volatility remains in control. The Dow fell 494 points on good volume. The advance/declines were 2 to 1 negative. The summation index is beginning to stall. It could have been worse but there was a late comeback in the final hour. The NASDAQ led the way lower and that is not a plus. I did place an order overnight for the SPY August puts but it wasn't filled. I have since canceled it as we are already heading lower. The S&P 500 is still managing to close at its 50 day moving average. It remains short term oversold but not extremely so. A break of 5400 would imply that we are heading much lower. Tomorrows employment report should provide the key to which way Friday will go. It appears for now that rallies are being sold and the summation index hasn't even turned down yet. Markets always know more than we do. Gold was up $13 on the futures. The US dollar was higher and interest rates were lower. The XAU fell 2 7/8, while GDX lost 2/3. Volume was light. The gold shares did finish up from their lows on the session. I may place an order overnight for the GDX August calls again. The short term indicators for GDX are hanging around the mid-range area. So it could go either way. Mentally I'm feeling OK. The VIX was higher today and that fits the downside day for stocks. The short term indicators here remain overbought. The VIX doesn't usually stay overbought and it is a warning sign that caution here is the best course of action or inaction. Asia was mixed and Europe down overnight. We'll close out the trading week tomorrow.