We saw some actual selling today as the Dow fell 816 points on heavy volume. The advance/declines were 9 to 1 negative. The summation index is beginning to stall. Things were moving along smoothly until near the end of lunch hour when the market started to tank. The Dow led the way down so I'm not inclined to think that a sustained move lower is coming. If the NASDAQ takes the lead that would change my view. The short term indicators for the S&P 500 have started to roll over but it remains overbought. The S&P remains above both the 50 and 200 day moving averages. Gold added another $37 on the futures. The US dollar was lower and interest rates were higher. The XAU was up over 2 points while GDX rose 2/3. Volume was a bit above average. GDX made it past its short term down trend line. The indicators here are moving higher with room to go before hitting overbought. I'm still in the camp of getting the June calls here if we see some pullback but it is probably too late. Mentally I'm feeling OK. The VIX was higher today which fits a down market. It is now back above the 20 level and its 200 day moving average. The short term indicators are finally moving up from the oversold region. Tomorrow will be important to see if today was just a one day wonder or maybe something that will last a bit longer. The VIX did break above the near term down trend line today. Today was the first decent sign of selling in about a month. The short term up trend line for the S&P 500 comes in around 5800 and another day like today would take us through there. So much for a quiet week ahead of the holiday weekend. Asia and Europe were generally higher overnight. Tomorrow will probably tell us a lot about where we are going. We'll keep an eye on the overnight headlines.

A pause in the party today as the Dow fell 114 points on average volume. The advance/declines were negative. The summation index is still moving up. Not a huge decline or broad based as it looks like some profit taking for now. The S&P 500 remains short term overbought. This could be a week of hanging around before a holiday weekend in the US but we'll have to wait and see how it plays out. No SPY trades in mind at the moment. Gold rallied again with the futures up $63. The US dollar was lower and interest rates finished flat with the exception of the 30 year. The XAU was up 5 1/3, while GDX tacked on 1 3/8. Volume was above average for the gold shares. It appears that I've missed the call trade here again. I canceled my open order for the GDX June calls as it was not going to get close to getting filled. GDX is now at the short term down trend line on the daily chart. The longer term up trend line currently lies at 44.5. Some of the short term indicators here are mid-range and pointing up. Mentally I'm feeling OK. The VIX finished basically flat and is still short term oversold. Below the 20 level and its 200 day moving average. Don't know what to expect next here but more sideways movement would not be a surprise. That would be a plus for stocks in the near term. Europe and Asia were higher with the exception of India. I'll keep an eye on the overnight developments.

It was a one day upside reversal for most of the major indices including the Dow. The most watched index gained 137 points on light volume. The advance/declines were negative. The summation index is moving up. We had a huge gap lower to begin the day but then climbed back out of it over the rest of the session. Buyers and liquidity don't seem to be a problem at the moment. The S&P 500 had a sharp turn around as well. It remains short term overbought. Not sure how much longer the overbought condtion can go on. It has been over-extended for a while already. We cannot argue with price though. Gold was up $47 dollars on the futures. The US dollar was lower and interest rates finished mixed. The XAU was up 3 1/2, while GDX gained a point. Volume was average. I did place an order overnight for the GDX June calls. GDX would have to see a drop down to the 44 level for this order to have a chance at being filled. I'm leaving the order out there but it's possible that I'm too late here as the short term indicators for GDX have already started to turn higher. Mentally I'm feeling OK. The VIX was higher today but off of the best levels for the session. It still remains short term oversold. I don't have a good idea of what's next for this indicator. Earnings season is winding down and there's not a lot of econmic data due out this week. Could be a time for watching and waiting. Europe was generally higher and Asia lower to start the trading week. We'll see how things go tomorrow.

Still moving higher today as the Dow gained 331 points on heavy volume. The advance/declines were better than 2 to 1 positive. The summation indx is moving up. The Dow was the leader today and that isn't the most positive aspect but you can't argue with higher prices. The S&P 500 remains short term overbought and that condition has lasted longer than usual. Overdue for a rest. Moving into the June option cycle next week. Gold dropped $33 on the futures. The US dollar was higher and interest rates finished mixed. The XAU and GDX had slight fractional losses on light volume. They both came up off of the lows for the session. The gold shares did better than gold itself and that's a plus. I'm considering the GDX June calls as the next trade attempt if it can get down to the up trend line at 44. The short term indicators for GDX are trying to turn up from oversold territory. I'll take another look here over the weekend. Mentally I'm feeling OK. The VIX continued lower which fits an up market. It is now below the up trend line from the end of last year on the daily chart. Still short term oversold as it has been for almost a month. The bulls are firmly in charge and it is now a matter of whether or not we soon reach new all time highs for the S&P. I wouldn't think so but the market goes where it wants. I'll be going over the charts this weekend as usual. Asia was generally lower and Europe higher to close out the week. It's Friday afternoon and time for a break.

We had somewhat of a mixed bag today as most of the major indices posted gains except for the NASDAQ. There were mostly one day upside reversals as stocks opened lower and closed higher. The Dow gained 271 points on heavy volume. The advance/declines were around 2 to 1 positive. The summation index is moving higher. Retail sales came in where expected and the inflation data was mixed. The NASDAQ was the laggard today as it had a small loss. The S&P 500 had a small gap lower at the open but then turned around and had a positive close. My idea of the SPY puts with only two days to go would probably not of worked as I would have had to exit the position in the first half hour of trading to show a small profit. I most likely would have had to book another loser. That was luckily avoided this time around. The S&P remains short term overbought and has been for the past few weeks on some of the indicators. This condition will not go on much longer in my view. Rolling into the June option cycle now that has an extra week baked into it. Premiums are high. Gold jumped $45 on the futures. The US dollar was lower along with interest rates. The XAU was up 3 1/8, while GDX added 7/8. Volume was a bit above average. The short term indicators for GDX are trying to turn back up from oversold territory. I'm still in the camp of waiting for GDX to return to the up trend line that started in the beginning of the year before attempting the calls here again. That would be in the 44 area. Mentally I'm feeling a bit mixed as the latest SPY trade idea did not pan out. At the rate things are going the market may reach up to new all time highs soon. I certainly did not see that coming. Hasn't happened yet. The VIX was lower today and is about to crack the up trend line that started at the end of last year. Short term oversold and staying that way. Not sure how much longer that condition can go on but it is obviously more than I considered. Option expiration on tap for Friday. Asia mostly lower and Europe higher overnight. We'll keep an eye on tonights headlines.

Another day of sideways trading as the Dow fell 89 points on heavy volume. The advance/declines were 2 to 1 negative. The summation index continues higher. The NASDAQ continues to lead the way with another gain today. The S&P 500 was barely higher. We got a signal last night from the McClellan oscillator for a big move within the next two trading sessions. We'll see if that comes to fruition tomorrow. I did place a couple of orders for the SPY May puts but they weren't filled. The S&P remains short term overbought. The risk of taking on a trade here with two days left in the May option cycle is pretty high. Considering that the short term trades are not my best endeavors it is probably better that my orders didn't get filled. I set the price that I was willing to pay but the market never got there. Sure I'll be disappointed if the market falls tomorrow but we'll just move on the the June option cycle and go from there. Gold was off $64 on the futures. The US dollar was slightly higher and interest rates rose. The XAU fell four points and GDX was down a point. Volume was above average. Remaining short term oversold for GDX and heading to the up trend line at 44. Perhaps try the GDX June calls there? We'll see. Mentally I'm feeling OK. The VIX was up slightly today which doesn't fit the overall market being flat to higher. Still short term oversold here. The up trend line on the VIX daily chart that began late last year remains intact. Retail sales and inflation data out tomorrow morning. Also the Fed chairman will be making a speech. So we should see some market movement and my expexctation is that we'll see selling. I could be wrong. Asia was generally higher and Europe lower in last nights trade. We'll keep an eye on the overnight developments.

A mixed bag today as the overall market was higher but the Dow lower. The most watched index fell 269 points on heavy volume. The advance/declines were positive. The summation index is moving up. The inflation data came in where expected. The NASDAQ led the way higher again and that's a plus. Both the NASDAQ and S&P 500 had decent gains. The S&P remains short term overbought. With only 3 days to go in the May option cycle and trade taken on here has expanded risk. That said, I'm still considering some SPY May puts if we see some strength tomorrow. One of our indicators will be giving a short term sell signal if tomorrow is up again. However both the entry and the exit would have to be pretty good since the time constraint will be a huge factor for success. I'll consider this idea overnight. Gold was up $27 on the futures. The US dollar was lower and interest rates ended the day flat. The XAU and GDX had slight fractional moves one way or the other on average volume. GDX is at its 50 day moving average and the short term indicators appear to be trying to turn back up. We will still wait and see if it can make it down to the up trend line that comes in at 44. Mentally I'm feeling OK. The VIX was just a bit lower today. It is right at an up trend line from the end of last year and remains short term oversold. We could be at the moment of truth for this indicator to bounce back up and volatility make a short term comeback. Or not. Perhaps the VIX will continue to drift lower and remain oversold as the market continues higher. What happens here will influence any short term trade that is taken on. Asia finished mixed and Europe was higher overnight. We'll see what tomorrow brings.

The market exploded to the upside on the heels of a weekend trade agreement between the US and China. Headline risk works both ways. The Dow gained 1160 points on pretty heavy volume. The advance/declines were slightly better than 3 to 1 positive. The summation index is moving up. The NASDAQ led the way and that's a plus. The S&P 500 jumped over 180 points. It remains short term overbought and staying that way. Inflation data due out tomorrow but the bulls have taken charge. If we continue higher into Wednesday I could make a technical case to try the SPY puts there. But the risk with only a couple of days left in the May option cycle may not be worth it. Gold got clobbered as a trade deal and lower geo-political risk took hold. The precious metal futures dropped $105. The US dollar was higher along with interest rates. The XAU tanked 13 1/3, while GDX sank 3 3/4. Volume was heavy to the downside. There's an up trend line on GDX at 44 and it looks like we are headed there. The short term indicators for GDX have rolled back down. The weekly indicators for GDX have plenty of room to move lower. Mentally I'm feeling OK. The VIX had a gap lower and closed below the important level of 20. The near term up trend line was broken and the next up trend line is about to be breached as well. My idea to try the SPY puts at the up trend line was off. The VIX now lies on its lower Bollinger band and its 200 day moving average. The short term indicators remain oversold. Not sure what comes next here on the VIX. Markets were up around the globe in a sigh of relief. We'll see if there is any reaction to the inflation data tomorrow.

A waiting game took place today as the Dow fell 119 points on good volume. The advance/declines were positive. The summation index is moving up. After a bounce around in the first hour it was sideways for the rest of the day. The market is currently being held hostage by the US/China trade talks over the weekend. Monday morning should prove interesting on the reaction to whatever that brings. The other major indices basically finished flat. The S&P 500 is still short term overbought. One week to go in the May option cycle. Not sure If I'm going to attempt a short term trade but we'll see what happens on Monday. The problem here is that we are more at risk of headline events than in the normal course of business. It can work for or against you but there is no way to make a rational prediction of just what will occur. Trading is tough enough without that angle thrown in. Gold was up $27 on the futures. The US dollar was lower and interest rates finished flat. The XAU rose 6 3/8, while GDX added 1 1/2. Volume was average. The gold shares finally outperformed gold and that is a plus for them. The short term indicators for GDX have turned back up. Mentally I'm feeling a bit tired. The VIX was lower today and remains short term oversold. If it does get down to the 20 level next week I may try the SPY May puts for a short term trade. That is my current idea for next week. However I'll be going over all the charts this weekend and perhaps I'll come up with something else. There is also the choice of simply remaining on the sidelines. Europe was higher and Asia mixed again to close out the week. It's Friday afternoon and time for a break.

Stocks moved higher today on the back of a US trade deal with England and the Dow rose 254 points on heavy volume. The advance/declines were around 2 to 1 positive. The summation index is moving higher. Stocks did back off from their best levels on the session with a drop in the final hour. The Dow was up 650 at one point. This has been the trend lately with late selling in the market day. It is not a positive. The S&P 500 got turned away from its 200 day moving average. It still remains short term overbought. I'm considering trying the SPY May puts again before option expiration next week but the entry timing would have to be spot on. The NASDAQ did lead the way today and that's a plus for the bulls. But it feels like this rally from the lows in April is beginning to stall. Gold dropped $79 on the futures. The US dollar was higher along with interest rates. The XAU fell 3 1/4, while GDX lost around a point. Volume was average. The short term indicators for GDX are rolling over. Not sure what comes next here. Mentally I'm feeling OK. The VIX was lower today which fits an up market. It remains short term oversold. Still above the 20 level with an up trend line in place that comes in at that point. If the VIX can make it down there before option expiration that would be the technical basis to try the SPY puts again. Not sure if that will happen but it would be one of the next set ups we're looking for. Europe was generally higher and Asia mixed overnight. We'll close out the week tomorrow.

Volatility returned after the Fed announcement today as the market bounced back and forth. The Dow finihed with a gain of 284 points on heavy volume. The advance/declines were positive. The summation index is moving up. The Dow once again was the leader. Both the NASDAQ and the S&P 500 posted gains but not a much as the Dow. The S&P remains short term overbought. I sold my SPY May puts for a 70% loss as I dumped them at the worst possible time when the market jumped in the final hour. I basically got the low price on the day. This trade would expire worthless if I continued to hang on to it. A lousy entry and worst possible exit add up to a losing trade. Seven days now left in the May option cycle, not sure if I'll try another trade in it. The S&P remains overbought but I'm not sure if I can get the timing right for a short term trade. Probably will have to remain on the sidelines. Gold dropped $44 on the futures. The US dollar was higher and interest rates a bit lower. The XAU lost 2 3/8 and GDX shed around a point. Volume was average. The gold shares held up pretty well considering the drop in gold. The short term indicators for GDX are beginning to stall though. Mentally I'm frustrated as another losing trade is booked. The market doesn't care. You've got to keep on going in this game and that is what I'll try to do. The ideas haven't been that bad recently but the execution on the trading is lacking. I suppose I'll just have to wait for the next signal and see what I can do with it. The VIX was lower today and is still short term oversold. It looks like the VIX wants to move sideways here but we'll see. Perhaps remaining oversold as the market trends higher will be the case here. But we are still at the mercy of the next headline. Asia was mostly higher and Europe lower in last nights trade. We'll see how things go tomorrow.

Todays price action was a repeat of yesterday. We opened with a gap down, made it all the way back to fill the gap and then rolled over again with weakness in the final half hour. The Dow fell 389 points on good volume. The advance/declines were negative. The summation index is still moving higher. The Dow led things lower and that isn't the most bearish thing. The S&P 500 remains short term overbought on some of its indicators. The short term up trend line in effect comes in at 5500. I would expect that to hold if we even do make it down there. If for some reason it wouldn't hold then we are heading lower. My SPY May puts are still solid losers and I will seriously have to consider taking the loss tomorrow with the Fed meeting on board. We should get some market movement from that tomorrow. Gold was up over a hundred again today on the futures. The US dollar was lower along with interest rates. The XAU jumped 7 1/3, while GDX was up two points. Volume was good to the upside. The short term indicators for GDX are now moving up. I cannot believe that I missed this trade again. GDX got to short term oversold a couple of days ago and I did not buy the calls. I just didn't think this trade was going to work again but it did. In the meantime I was taking on a bad entry to the SPY put trade that I'm in now. I guess gold knows something that we don't. Mentally I'm feeling a bit tired. The VIX was up today which fits a down market. It does remain short term oversold though. Still below the 50 day moving average here. We are either on the cusp of the short term indicators moving higher on the VIX and volatility picking up or the indicators will roll back down and the market move higher. Asia was generally higher and Europe lower overnight. All eyes and ears on the Fed tomorrow and the market reaction to it.

A slight pause in the recent rally today as the Dow dipped 98 points on average volume. The advance/declines were 2 to 1 negative. The NASDAQ led the way lower but it certainly wasn't anything dramatic. We opened with a gap lower, turned around and made it all the way back only to drop again in the final hour and a half. The S&P 500 remains short term overbought but the nine day winning streak was snapped. My SPY May puts are still solid losers but I suppose I'll wait to see what happens with the Fed on Wednesday before taking the loss. Probably should have just dumped them on the drop this morning but hope springs eternal. Unfortunately hope is not a trading strategy. I can make a case for some weakness here but it probably won't be enough to save this trade. Gold jumped $100 today as geo-political tensions and bombings occurred over the weekend. The US dollar was lower and interest rates finished mixed. The XAU was up five points and GDX climbed 1 2/3. Volume was average. The short term indicators for GDX are starting to turn higher and the very short term down trend line has been broken. Could I have missed the call trade here again? We'll see. Mentally I'm feeling OK. The VIX was up just a bit today and remains short term oversold. Not sure exactly what to expect here from the VIX. My guess is that tomorrow will be a waiting game on the Fed. Most of the foreign markets were closed for holiday but what was open finished mixed. I'll keep an eye on any overnight developments.

The rally continues as it was fueled today by a report last night that the US and China are starting to talk about tariff relief. The Dow gained 564 points on good volume. The advance/declines were better than 4 to 1 positive. The summation index is moving up. The jobs report came in better than expected. Both the NASDAQ and the S&P 500 led the charge today. The S&P remains short term overbought and has been higher for nine days in a row. I can't recall the last time that happened. Needless to say my SPY May puts got crushed today. I probably should have just dumped them today as this trade is going to be a loser barring some type of market catastrophe. But I figured I'd hold them over the weekend and sell them most likely on Monday. I could technically make the argument for purchasing them yesterday but technical analysis doesn't always work out as an overnight headline caused the stock price movement today. Headline risk goes both ways. I'll regroup over the weekend and go from there. Gold was up twenty bucks on the futures. The US dollar was lower and interest rates were higher. The XAU lost 1 1/3 and GDX dipped 1/8. Volume was light. Gold up and the gold shares down isn't bullish. GDX is not yet completely short term oversold. Waiting for it to get to the 50 day moving average at 45 or the up trend line at 43 before looking at the calls there. However with stocks moving higher and a thaw in the US/China tariff turmoil the appeal of gold loses some luster. Mentally I'm feeling a bit frustrated as another losing trade is on the menu. The VIX was lower and remains short term oversold. Its 200 day moving average is on its way to lining up with the important level of 20 which is also where an up trend line exists on the daily chart. If it makes it there that would be the next time to possibly attempt the SPY puts. I'll be checking the charts over the weekend as usual. We've got the Fed next week and that should provide excuses for market movement although no surprises are expected. Asia and Europe were higher to close out the week. It's Friday afternoon and time for a break.

Another day, another gain as the Dow rose 83 points on good volume. The advance/declines were positive. The summation index is moving higher. The NASDAQ led the way up and that's a plus for the bulls. We had a gap at the open and the gain would have been a lot more if not for a last ten minute bout of selling. The S&P 500 managed to close above its 50 day moving average. It remains short term overbought. I adjusted my order for the SPY May puts overnight but it still did not get filled. I did however decide that I would buy them so I did. My entry was not that good. I should have been more patient and the lousy entry will mean either more of a loss or less profit on this outcome. Technically this trade seems to make sense in the short term. We'll see. Gold got clobbered and slid $81 on the futures. As previously stated, when things go straight up the ending isn't pretty. However if the gold shares get short term oversold I'm willing to try the calls. The US dollar was higher along with interest rates. The XAU lost 6 3/4, while GDX fell 1 7/8. Volume was above average. The short term indicators for GDX are getting to oversold but not completely there yet. The 50 day moving average lies at 45 which could be an entry point for the calls there. Mentally I'm feeling OK. The VIX finished flat on the session. It remains short term oversold and above the 20 level. Not sure what comes next for the VIX. In the next trade now and not sure for how long. Might hold it over the weekend or not. Depends on the price movement tomorrow. Asia finished mixed and most of Europe was on a holiday. All eyes on tomorrows jobs report and the market reaction to it.

Volatility returned today as the market made an incredible one day upside reversal. The Dow gained 141 points after being down almost 800 early on. The advance/declines were negative and volume was heavy. The summation index is moving up. GDP came in less than expected but the inflation data was on target. The Dow led the way with the NASDAQ being the laggard posting a small loss. The S&P 500 had a huge gap lower at the open and made it all the way back and then some. It remains short term overbought. My order for the SPY May puts remains out there however it really seems like this market wants to go higher. However technically we have reasons to be looking at the puts here for a short term trade. Perhaps I'll have to adjust my open order again but we'll see what happens overnight. Employment data out on Friday. Gold was off $28 on the futures. The US dollar was higher and interest rates dipped slightly. The XAU was up 2 1/8, while GDX added 1/2. Volume was light again. The gold shares did outperform the metal itself and that's a plus. The short term indicators for GDX have gotten to mid-range but we'd still like to see them get all the way to oversold before trying the calls there. Mentally I'm feeling OK. The VIX had only a slight gain and finished well below its best levels on the day. It remains short term oversold. The daily candlestick chart looks like it wants to go lower which would be supportive for the stock market. We still have earnings to contend with. Beginning of the month of May tomorrow. Plenty to think about tonight. Asia and Europe were generally higher overnight. I'll keep watch for any overnight developments.

Moving higher ahead of tomorrows economic data as the Dow gained 300 points on good volume. The advance/declines were around 2 to 1 positive. The summation index is moving up. The Dow led the way today and that isn't the most bullish scenario. The S&P 500 remains short term overbought and can stay that way during rallies as we are in at the moment. I adjusted my open order for the SPY May puts but it still has not been filled. I'm looking for the S&P to get back to the 50 day moving average just above the 5600 level for this order to have a chance. If the market doesn't stop there then we'll know that this idea isn't going to work. Plenty of important earnings reports in the next couple of days so things should get moving one way or the other. Gold dipped $18 on the futures. The US dollar was slightly higher and interest rates a bit lower. The XAU dropped 2 1/3 and GDX shed 7/8. Volume was light. The short term indicators for GDX are trying to roll over. Patience on buying the calls there for now. Mentally I'm feeling OK. The VIX was lower today and that fits an up market. Below the 50 day moving average here now and still short term oversold. The VIX does stay short term oversold during rallies but that condition doesn't last forever. Ideally I'll get filled on the SPY May puts tomorrow and things will then start to head back down. Markets rarely cooperate. With the summation index moving higher any put trade has to be short in time length because you are bucking the overall trend. Europe and Asia were generally higher overnight. We'll see how it goes tomorrow.

An interesting session today as the market opened higher, sold off then managed to make it all the way back. The Dow gained 114 points on average volume. The advance/declines were positive. The summation index is moving up. It was a mixed bag as the NASDAQ posted a small loss and the S&P 500 was little changed. Short term overbought now on the S&P and this is the spot to try the SPY May puts. My open order remains out there but it may have to be adjusted in order to get a fill. Inflation data, the employment report and plenty of earnings due out this week. It will also be the end of the month and the start of May. I think that any strength tomorrow can be sold and I will try to buy the SPY May puts at some point. However it is possible that I'm early on this idea and that has to be factored in as well. Gold jumped $64 on the futures today. The US dollar was lower along with interest rates. The XAU was up 1 3/4, while GDX added 1/2. Volume was light. The gold shares didn't move up as much as the price of gold would imply. It seems like traders have backed off of this idea for now. The short term indicators for GDX are trending sideways. I'll still try and wait for GDX to reach short term oversold before trying the calls there. Mentally I'm feeling a bit tired. The VIX was up slightly today. It is hanging around its 50 day moving average and remains short term oversold. It can stay oversold during rallies and you could make that case now. I'll consider what action to take tonight with regards to the SPY May put idea. Europe was slightly higher and Asia generally positive to start the week. I'll keep an eye on the overnight headlines.

Buyers remain in charge as the Dow inched up 20 points on average volume. The advance/declines were slightly positive. The summation index continues higher. The overall market was much higher than the Dow with the NASDAQ continuing to lead the way. The S&P 500 closed above the daily down trend line that came in at 5500. This would be a logical spot for stocks to take a rest. But with the summation index in high gear we are probably going to make it to the 50 day moving average on the S&P. Some of the short term indicators for the S&P are now overbought. I still have my open order out there for the SPY May puts. I think at some point next week I'll be buying some of those puts. Plenty of time left in the May option cycle. Gold was off $30 on the futures. The US dollar was a bit higher and interest rates a bit lower. The XAU dipped 3 1/3, while GDX was down about a buck. Volume was average. The short term indicators on GDX are now trending sideways. Staying patient with regards to purchasing some GDX calls for now. Mentally I'm feeling OK. The VIX was lower today and closed on its 50 day moving average. It is now short term oversold. In my view things are pointing in the direction to try the SPY puts next week at some time. Trying to figure out where that point may be is the question. I'll be going over all the charts this weekend to try and figure out the answer. Europe and Asia finished Friday higher with the exception of India. It's Friday afternoon and time for a break.

Continuing higher as the Dow climbed 486 points on good volume. The advance/declines were 5 to 1 positive. The summation index is moving up. The NASDAQ continues to lead the way and that is a plus. The S&P 500 is about to attack the daily down trend line and another day like today will slice right through it. The short term indicators for the S&P are moving up and not yet completely overbought. I'm leaving my order for the SPY May puts out there. However I've priced them to attempt to be filled at the 50 day moving average instead of the down trend line given the recent strength that we've witnessed. Even that may not be the right idea as the daily down trend line could hold and a decline would start rather soon. However the upside in the summation index cannot be ignored. Plus the blowout readings in the medium term indicators meant that we had to see some kind of move higher that we are seeing right now. Gold bounced back $63 on the futures today. The US dollar was lower along with interest rates. The XAU was up 3 1/3 and GDX gained a point. Volume was average. The short term indicators for GDX are beginning to stall. My guess is that we need to see more of a correction for gold here but we'll see. I'd like to see GDX make it back to its 50 day moving average before trying the calls there but markets rarely cooperate. Mentally I'm feeling OK. The VIX was lower again today. In oversold territory now but not completely so. Almost back to the 50 day moving average on the VIX and still above the 20 level. Not sure what's coming next here. Would like to see it continue lower as stocks go higher to set up the May puts. Europe finished slightly higher and Asia was mixed overnight. We'll close out the last full trading week for April tomorrow.

We had a huge gap higher at the open but spent the rest of the day sideways to lower. The Dow gained 419 points on heavy volume. The advance/declines were around 3 to 1 positive. The summation index is moving up. The NASDAQ led the way higher and that's a plus. The S&P 500 came within thirty points of the down trend line at 5500 but backed off. I canceled my open order for the SPY May calls. The short term signals for the S&P are barely turning up with room to go. I will try and project the option premiums if the S&P makes it to 5500 and place an order tomorrow for the SPY May puts. However with the summation index now moving higher it is entirely possible that the S&P 500 will exceed the down trend line and head for the 50 or 200 day moving averages. The trading is never easy. Gold got clobbered today with the futures off over a hundred bucks. The US dollar was higher and interest rates ended mixed. The XAU dropped 3 3/4 and GDX lost 1 3/8. They did finish up from their worse levels on the day though. Volume was good to the downside once again. The short term indicators for GDX still have a ways to go before getting to oversold. We will be patient on trying the May calls there for now. The near term up trend line for GDX is all the way back at 42. I'm not sure we will get there. There is support at 46 and the 50 day moving average comes in at 44. Mentally I'm feeling a bit tired. The VIX was lower today. The short term indicators here are heading down but are not yet oversold. Ideally the VIX will continue lower and the S&P will get to 5500. Then I will have to make a decision about taking on the next trade. Volatility is still the rule as we saw with todays intra-day swings. Asia and Europe were higher overnight. We'll keep an eye on this evenings developments.

Back to the upside as the Dow roared ahead by 1016 points on good volume. The advance/declines were 10 to 1 positive. The summation index is trying to turn up again. It looks like my idea of stocks retesting the recent lows isn't going to happen soon as I had planned. My open order for the SPY May calls is still out there but another session like today and I'll most likely cancel it. The short term indicators for the S&P are mid-range and trying to turn up. Maybe we will make it back to the daily down trend line on the S&P. It's going to have to happen sooner or later. Gold had quite a reversal today as it zoomed up past $3500 overnight only to reverse and close lower. The futures lost $37. The US dollar was higher and interest rates ended mixed. The XAU dropped 3 1/3, while GDX shed 1 3/8. Volume was good on the decline. The short term indicators for GDX are starting to roll over but it's still overbought. I'd like to try the calls for GDX if it gets short term oversold again or falls to areas of support. There is not hurry as gold went parabolic and that usually does not end well. Mentally I'm feeling OK. The VIX was lower today and that fits with an up market. The short term indicators are mid-range or lower but not oversold yet. The VIX is hanging on the Bollinger band mid-range line. A break below would be a positive for stocks. Asia and Europe were generally higher overnight. We'll see what tomorrow brings.

Sellers took over to begin the week as the Dow fell 971 points on average volume. The advance/declines were around 6 to 1 negative. The summation index is in a sideways pattern. Once again a last hour push higher kept things from being worse. Both the Dow and NASDAQ led the way down. The short term indicators for the S&P 500 have rolled over with room to go. Plenty of earnings due this week and of course the ongoing tariff headlines along with Trump tirades. So there will be excuses for price movement. I still like the idea of the SPY puts if we ever make it back to the daily down trend line there. But that might require an unknown waiting period. At the rate things are going it could be a while. I'm now considering the SPY calls on a test of the recent lows around 4850 on the S&P. I did place an open order for some SPY May calls today, projecting what they may cost if we get a drop that far. I'm leaving the order out there. Not sure how this idea will pan out but we'll have to see how the rest of the week goes. Gold was up over a hundred bucks to day to a new all time high. The US dollar continues to drop and interest rates finished mixed. The XAU gained 1 1/2 and GDX added about 3/4. Volume was good for the gold shares but you would expect more of a price pop considering the move in gold. Gold itself has gone parabolic and certainly won't go straight up forever. Trying to predict the top is a guessing game though. Mentally I'm feeling OK. The VIX was higher today but not a much as you would expect. Perhaps the market is getting used to huge swings one way or the other. The short term indicators here are trying to turn back up. Still above the 30 level on the VIX as volatility is the rule. Tough trading environment. Asia was higher with the exception of Japan and Europe was mainly closed to start the week. I'll keep an eye on the overnight headlines.

It was a pretty uneventful option expiration day though the Dow did lose 519 points on good volume. The advance/declines were around 3 to 1 positive. This should turn the summation index higher. The overall market did much better than the Dow, with the S&P 500 posting a slight gain and the NASDAQ showing a slight loss. Much of teh Dow loss was due to a drop in UNH. The short term indicators for the S&P are still hanging around the mid-range level heading into a long weekend. I'm still in the camp of waiting for a good technical signal before trying the next trade. I also still like the idea of trying the SPY puts if and when the S&P makes it back to the daily down trend line. We'll be rolling into the May option cycle so premiums will be high. Gold was off a dozen or so on the futures. The US dollar finished flat and interest rates ticked up. The XAU lost about 3 3/4, while GDX shed almost a point. Volume was a bit above average. GDX remains short term overbought. Let me emphasize that gold and the gold shares have gone straight up recently and that condition cannot last. A pullback or sideways consolidation are long overdue. Gold itself is overbought on whatever time frame you choose. GDX is very far from its 50 day moving average, much more than usual. I do like the gold shares calls but not until they at least return to oversold levels. Not sure when that will happen but it will. Mentally I'm feeling OK. The VIX was lower today and the short term indicators are trying to trend down. I'm not sure where the VIX heads from here. The markets will be at the mercy of whatever news pops up during the three day weekend. I will take that time to go over the charts and try to figure out what trade to take on next. Asia up and Europe down overnight. It's Thursday afternoon and time for some rest.

The market rolled back over today as the Dow fell 699 points on good volume. The advance/declines were negative. The summation index is in a sideways trend. It would have been worse but we got a last half hour bounce, perhaps option expiration related. We are at the mercy of the next announcement of tariffs or trading barriers. That makes for an even tougher trading environment. The NASDAQ led the way down and that is not a plus. The S&P 500 opened with a gap lower and never looked back. The short term indicators here are starting to roll over. We are heading into a long weekend and I doubt we'll see a lot of buying tomorrow with all the uncertainty around. I could be wrong. I'll try and wait for at least some kind of decent technical signal before attempting the next trade. Gold soared up over $100 on the futures. The US dollar was lower and interest rates wandered higher. The XAU was up 4 1/3 and GDX gained 1 1/3. Volume was good as gold and the gold shares continue to attract capital. However they are both short term overbought and heading higher in a staight line. I'll do my best not to chase this rally for now. Mentally I'm feeling OK. The VIX was higher today which fits a down market. The short term indicators here are trying to turn back up. If successful it will mean lower stock prices in the near term. At this point we'll get through tomorrow and take it from there. Asia was mixed and Europe generally higher overnight. We'll close out the trading week tomorrow.

Sideways was the theme for the day as the Dow fell 155 points on average volume. The advance/declines were positive. The summation index is beginning to track sideways. The Dow was the leader to the downside as both the NASDAQ and S&P 500 posted small losses. The short term indicators for the S&P remain at mid-range. For me at this point it's a waiting game as I would like to try the SPY puts on a return to the down trend line. Whether or not the market makes it back there is the question. If the S&P forms a decent bottom on the daily chart that down trend line might not hold prices. There is no reason to attmept a trade this week with only two days left in the April option cycle. Gold was up $18 on the futures. The US dollar was higher and interest rates finished flat. The XAU added 1 1/4 and GDX was up 1/2. Volume was light for a change here. GDX is short term overbought. We are in a wait and see mode here. Mentally I'm feeling a bit tired. The VIX was a bit lower today which doesn't fit with a weaker market. The short term indicators on the VIX are trying to trend lower. Ideally the VIX would continue down and stocks continue up to the daily chart down trend line and we try the SPY puts. Markets rarely cooperate. Europe and Asia were up overnight. We'll see what tomorrow brings.

The short trading week started on an upbeat note as the Dow gained 312 points on good volume. The advance/declines were 4 to 1 positive. This should stall the summation index. The market did finish off of the highs for the day. The S&P 500 was the leader. The short term indicators there are mid-range so things could go either way from here. I'm waiting to see if we can make it back to the down trend line at 5600 in order to try the SPY puts. Don't think that we'll get there this week. Doubt I'll be trying anything here with only three days left in the April option cycle but you never know. Gold dropped $16 on the futures. The US dollar continues to fall and interest rates dipped. The XAU rose 1 3/4 and GDX added 1/4. Volume was average. GDX is short term overbought. I'll wait for a pullback here as GDX is both short and medium term overbought. There seems to be no shortage of money that wants to be in gold though. Mentally I'm feeling OK. The VIX was lower today which fits an up market. The short term indicators here are pointing down at the mid-range level. The VIX is still above 30. I'd expect it to move lower as stocks move higher in the near term. However we are at the mercy of the next tariff headline and that makes for tough trading. Perhaps the most we can hope for is some sideways price action before the next trend gets going. Europe and Asia were higher to begin the week as well. We'll keep an eye on the overnight trading activity.

Moving higher to end the week as the Dow gained 619 points on heavy volume. The advance/declines were better than 2 to 1 positive. The summation index is still moving lower. The NASDAQ led the way higher. The short term indicators for the S&P 500 remain mid-range. I expect that the recent lows on the S&P will hold for a while. It will take time for the medium term indicators to work their way up from blown out oversold levels. However there is a down trend line in effect at 5600 for the S&P. If we can get back to that, I'll try the SPY puts. Option expiration week is on tap and it is a day less with a holiday next Friday. So with only four days left in the April option cycle the risk is probably more than I want to endure. Gold continued its great week as the futures added another seventy bucks to a new all time high. The US dollar was lower and interest rates were higher. The XAU gained 10 3/4 and GDX was up 2 1/2. Volume continued on the heavy side for the gold shares. Gold and the gold shares are moving straight up now and are pretty far from their 50 day moving averages. I do still like the idea of the gold share calls but will have to wait for some kind of rest or pullback before attempting the May calls there. GDX just went up over 20% in a week and that isn't something that usually occurs. We cannot project that type of performance out into the future. When things go straight up thay can also go straight down so we don't want to be long if that happens. However money has poured into gold and it's entirely possible that will continue given the geo-political backdrop. Mentally I'm feeling OK. The VIX was lower today and that fits with an up market. The short term indicators here are mid-range with some moving sideways. Not sure what's next for the VIX but it remains elevated so volatility should continue. We are also in a headline risk atmosphere more than usual that goes both ways. Being nimble and taking no big chances are still some of the ideas to remember. I'll be going over the charts as usual this weekend but probably not planning any short term trades for next week. Asia was mixed and Europe generally lower to close out the week overseas. It's Friday afternoon and time for a break.

Sellers returned today and that wasn't unexpected as the Dow fell 1014 points on very heavy volume. The advance/declines were 8 to 1 negative. The summation index continues lower. A lighter than expected inflation report didn't matter as we had a gap down at the open. The NASDAQ led the way lower. The short term indicators for the S&P are starting to roll over. I did place an order for some April SPY puts overnight but it wasn't filled. I canceled the ticket this morning. The S&P did not make it back to the down trend line in place but yesterdays huge jump was out of the ordinary and more selling was to be expected. I do not think we will be taking out the recent lows here as the medium term indicators are blown out to the downside. Sideways would be a step in the right direction but if we do make it back to the down trend line for the S&P I'll try the puts there. Volatility is the rule for now and option premiums are expensive. Gold jumped over $100 on the futures today. The US dollar was lower and interest rates finished mixed. The XAU gained 6 1/4 and GDX was up over 2 1/8. Volume remains heavy for the gold shares as money contiues to flow here. I canceled my open order for the GDX May calls because GDX has moved over 10% in two days and the order has no chance of being filled. I still like the gold shares despite the recent jump and will try for the May calls here again on a pullback. The short term indicators for GDX are moving up and still have room to go. GDX is medium term overbought as well but we cannot deny the interest in this sector. Mentally I'm feeling OK. The VIX bounced around today. It made it up to almost 55 before dropping back and finishing around the 40 level. The short term indicators on the VIX are stalling near the mid-range level. I'm not sure what's next for the VIX. Anything goes in this level of volatility. Pay attention, be nimble and don't risk a lot at this moment in time. Europe and Asia were higher overnight with the exception of India. We'll cose out a wild week on Wall street tomorrow.

An explosive rally took place today as the Dow took off halfway through the session when it was announced that tariffs would be put on hold for some countries for ninety days. So we can all do this again in three months? The most watched index gained an unprecedented 2962 points on extremely heavy volume. The advance/declines were 15 to 1 positive. The summation index is still heading lower. The NASDAQ gained 12% in one day. The S&P 500 was up almost 10%. Plenty of buying and short covering to be sure. The short term indicators for the S&P turned back up and made it to mid-range in a day. It looks like the longer term up trend line that came in at 5000 is going to hold for now. Medium term indicators on the market had gotten blown out to the downside, so some kind of turnaround was due. But all in one day? It is a volatile environment so don't be surprised if the S&P is down a couple hundred points again in the near future. The down trend line for the S&P is at 5600 and if we get there I'd certainly think about trying the SPY puts. Gold blasted off as well as the futures were up $120. The US dollar finished flat and interest rates ticked up. The XAU was up 14 points, while GDX climbed 3 3/8. Volume was heavy to the upside. It looks like I've missed the GDX call trade again but I'm leaving my order for the May calls out there. The price swings for stocks and commodities are so huge right now that you really have to be nimble and just take quick profits or losses. It goes without saying that the risks right now are much higher than usual. Mentally I'm feeling OK. The VIX collapsed and dropped over 18 points. The short term indicators are heading down with room to go. So it appears that 60 will be the top for this extended move higher on the VIX. A huge rally in the market out of nowhere is a characteristic of a falling market. We certainly saw that today. However since the medium term technical indicators were so extended to the downside it doesn't mean that we are going to turn around and make lower lows right away. Those indicators will have to rise before they can fall again. I certainly don't think we are going back to new all time highs anytime soon but what do I know? Asia was mixed and Europe down overnight. I'd expect foreign markets to rally tonight. We'll keep an eye on overnight headlines.

Another volatile day on the street as we opened with a big gap higher only to give it all back and then some. The Dow fell 320 points on very heavy volume. The advance/declines were 3 to 1 negative. The summation index is heading down and past the zero line as things have fallen apart. A late 15 minute bounce kept things from closing lower. The NASDAQ led the way down. As long as that continues it will be hard to get things to calm down. The S&P 500 continues to flirt with the longer term up trend line at 5000 and today closed just below it. It is important for the bulls for this line to hold. The S&P remains short term oversold. I'm looking for some kind of bounce here but todays certainly didn't hold. Getting ready to call a bear market for the S&P 500 if it closes below 4920. If the 5000 level doesn't hold we'll get there. No SPY trades for now as the volatility has gotten out of hand. Gold was up $25 on the futures. The US dollar was lower and interest rates finished mixed. The XAU lost 1 1/2 and GDX ended the day flat. Both finished well off of the highs for the session. Volume was average. GDX is now short term oversold. I'm leaving my order for the GDX May calls out there. The gold shares continue to follow the moves of the overall stock market. Mentally I'm feeling OK. The VIX bumped back up today and closed above 50. The short term indicators remain overbought. I thought the top for the VIX would be the 60 level we recently hit but that might be wrong. Volatile times to be sure. Can't rule anything out at this point I guess. Look for opportunities but remember that the risks here are higher than normal. Asia and Europe were both higher overnight. I'll keep an eye on this evenings developments.

Trying to stabalize things here but the Dow still fell 349 points on very heavy volume. The advance/declines were 4 to 1 negative. The summation index continues down towards the zero line and will pass through it decisively tomorrow. We had another huge gap down at the open and then traded all over the place with sharp gains and sharp losses. The overall market did much better than the Dow with the NASDAQ barely ending the day in positive territory. The S&P 500 had only a slight loss. It is now short term oversold on the indicators that we use. At one point today it was in bear market territory but closed above that. A lot of questions about what comes next without any clear answers. We are seeing a big volume washout here in my view so the downside from here could be limited for now. That doesn't mean there will be some kind of strong rally back to the highs from here. The up trend line of the bull market from October 2022 lies at 5000 and it still intact for now. Will it hold up for the rest of the week? We'll see. Gold got clipped over fifty bucks on the futures. The US dollar was a bit higher and interest rates went up. The XAU and GDX finished with fractional moves one way or the other on good volume. The gold shares bounced around following the overall market. I did place an overnight order for some GDX May calls and it wasn't filled. I'm leaving it out there. I don't think that I'll try the April calls for GDX but I could change my mind. Mentally I'm feeling a bit tired. The VIX made it all the way up to 60 today before falling back. I think that will be the high for this round of volatility. It still reads in the forties as we have seen things fall apart. The VIX is short term overbought on what we look at and I'd be surprised if it gets back to the 60 level here soon. I'm not saying that stocks can't go lower from here but some kind of pause in the decline looks to be in the works. I could be wrong. Asia got crushed and Europe clobbered to begin the trading week overseas. We'll see what happens on Tuesday.

We went from tariff tantrum Thursday to free fall Friday as stocks got clobbered again. The Dow fell 2231 points on extremely heavy volume. The advance/declines were 10 to 1 negative. The summation index is moving down. The NASDAQ made it to bear market territory as it has now fallen over 20% from its recent all time high. Since it is usually the leader we can expect the S&P 500 to join it. That level for the S&P is 4920, which is below the longer term up trend line at 5000. At the rate things are going we'll get there on Monday. Today was the high volume very negative day wash out that we look for in declines such as this. Usually over the weekend the powers that be figure out how to prop things up near term so it doesn't get any worse. That is what we'll be looking for at some point on Monday. The S&P 500 is short term oversold but heading straight down on the daily chart. If it can't hold up at 5000 the next support is at 4675-4600. The 200 week moving average and another area of support comes in at those levels. It is unfortunate not to own some SPY puts here however option premiums have exploded. We have been down this road before and opportunities will continue to present themselves. Gold dumped $64 on the futures. The US dollar was higher. Interest rates were barely lower and finished well off of their lowest levels for the session. The XAU crashed over 17 points and GDX fell 4. Volume was extremely heavy in a downside blow out. The short term indicators for GDX are moving lower with room to go. The up trend line for GDX that had been in place since the beginning of the year was broken. GDX now lies just below the support of the 50 day moving average. The lower Bollinger band support is at 41. The 200 day moving average is at 38.5. I still like the gold share calls because in market declines like this everything gets sold as margin calls must be met with whatever you have that is worth something. I will be looking at the GDX May calls over the weekend as the potential next trade. Perhaps the GDX April calls as well but we'll see. Mentally I'm feeling OK. The VIX shot up again and closed at the 45 level. The short term indicators are overbought. The VIX usually does not stay at high levels for very long. That said, in this decline there is no telling where the VIX may end up. There will be plenty of work to do over the weekend to try and come up with a game plan for next week. Staying on the sidelines until things settle down is a choice as well. It is a worldwide head for the exits as overseas markets got smashed too. China was on holiday. It's Friday afternoon and time for a break.

The market threw a tariff tantrum today as stocks suffered huge losses. The Dow fell 1679 points on very heavy volume. The advance/declines were 7 to 1 negative. This will turn the summation index back down and on its way to the zero line. The tariffs that perhaps were going to give us some clarity instead have created even more uncertainty. The was a giant gap down at the open and stocks never came back. The NASDAQ fell over 1000 points or 6% for the session. It led the way lower. The S&P 500 lost roughly 275 points. The previous near term lows were taken out. The short term indicators here are moving back lower with room to go. Not sure how low we'll go here on the S&P. There is some support at 5200 and the longer term up trend line that began at the bottom in 2022 comes in at 5000. Either target is in play as is looks like we'll be going through the zero line on the summation index. The down trend line on the S&P daily chart is still in charge. Gold dropped $37 on the futures but did come back from the worst levels on the day. The US dollar was lower along with interest rates. The XAU fell 3 points, while GDX ended the day flat. Volume was good. They both ended up from their lows as well. I did place an order overnight for some GDX April calls but canceled it before the bell when GDX was about to open 4 1/2% lower. I did try again for some calls later in the day but my order wasn't filled. The short term indicators for GDX are starting to trend lower. However money is still finding a home in gold and I'd like to try the calls here if GDX can get back to its up trend line that began in January. One caveat is that GDX is both short and medium term overbought. However it can stay that way during rallies and we are in one now for gold. Mentally I'm feeling OK. The VIX jumped today and closed at the 30 level. The short term indicators are now moving up and getting to overbought territory. The daily candlestick chart that I thought was going to go lower has completely turned around. You can expect more volatility in the days to come and I'm not sure how high the VIX will go. Tomorrow we've got the employment report and then a speech by the Fed chairman. So it should be a wild end to the trading week. Still two weeks to go in the April option cycle. However option premiums are high and the environment is even more uncertain than usual. There will be opportunities though. Europe and Asia sank overnight. We'll close out the week tomorrow.

A back and forth session ahead of the after the bell tariffs news but the Dow managed a gain of 235 points on average volume. The advance/declines were better than 2 to 1 positive. This should turn the summation index back up. The NASDAQ led the way again today and that remains a positive. The short term indicators on the S&P 500 are now trending higher. The S&P remains below its 200 day moving average and the short term down trend line. However I am still more inclined to believe that we'll be heading higher in the near term. I could be wrong. Once we get past the tariff event there's still the jobs report on Friday to deal with. Gold was up $18 on the futures. The US dollar was lower and interest rates ticked up. The XAU was up 5/8 and GDX finished flat. Volume was light. GDX has trended sideways for a week. The daily candlestick chart here looks like it wants to go higher though GDX remains short term overbought. I'm still on the side of waiting until it returns to the short term up trend line at 43 before trying the calls here. Mentally I'm feeling OK. The VIX was a bit lower today. The short term indicators here are now at mid-range. So it appears the VIX is poised now to move either way. The daily candlestick chart here still looks like it wants to move lower. We'll see how the markets react to the tariffs details and take it from there. Asia was generally higher and Europe down overnight. Tomorrow should be interesting.

Waiting on the tariffs as the Dow dropped 11 points on average volume. The advance/declines were positive. The summation index is still trending lower. The NASDAQ was the leader today and that is a plus. I'm getting the feeling that we have at least put in a short term low here and we'll challenge the short term down trend line on the S&P soon. The short term indicators for the S&P 500 are trying to turn up. It looks like weakness today should have been bought but we'll have to see what tomorrow brings. But it is possible that for now the market is sold out. Gold finished flat on the futures. The US dollar ended flat as well, while interest rates were slightly lower. The XAU and GDX had slight fractional moves one way or the other on light volume. The short term indicators for GDX remain overbought. We'll see how gold reacts to what comes out of the tariff news tomorrow. Mentally I'm feeling OK. The VIX was a bit lower today. Some of the short term indicators here are starting to move sideways. I'm still thining that the VIX will move lower and stocks higher in the near term. One thing that the market does not like is uncertainty. Getting the tariff news out of the way will take care of some of that. So I would not be surprised if we see some buying tomorrow regardless of what the tariffs are. We'll see. Europe and Asia were higher with the exception of India. We'll see how things go tomorrow.

Most of the major stock averages made tremendous comebacks today as we opened with huge gaps lower and then spent the rest of the session moving higher. The Dow gained 417 points on heavy volume. The advance/declines were barely positive. The summation index is trending lower. The NASDAQ was the laggard today as it did not make it back to positive territory. The S&P 500 retested the recent low this morning and it has held for now. There is a new short term down trend line in place there that comes in around 5750. Some of the short term indicators for the S&P are starting to turn back up. The question now is have we put in a bottom with the successful retest of the lows or will things roll over again? The summation index heading to the zero line implies that we might fall apart here. However todays sharp comeback says that perhaps we've put a double bottom in. Always plenty of questions in this game. Gold was up over forty bucks on the futures to another all time high. The US dollar was a bit higher and interest rates finished flat. The XAU and GDX had fractional gains on average volume. The gold shares finished well up from their lows on the session. GDX remains short term overbought as it has been for the last three weeks. Perhaps we should just chase the gold shares higher here as money continues to flow into this sector. But I'm inclined to at least wait until it falls back to the near term up trend line. Mentally I'm feeling OK. The VIX finished a bit higher today and the short term indicators are still moving up. The daily candlestick chart on the VIX shows a black candle for today and it could be a near term top. That would mean lower VIX readings for the near future and higher stock prices. However we do have Trumps tariffs on Wednesday and the employment report on Friday. Plenty for the markets to digest this week. At this point I'm not sure what the next trade will be. Asia and Europe started the week on a down note. We'll see how things go in the overnight session.

Stocks got clobbered today as the Dow fell 715 points on good volume. The advance/declines were 4 to 1 negative. The summation index is turning down. The inflation data was slightly worse than expected. We started with a gap lower and never looked back. The NASDAQ led the way down and that is not a plus. The S&P 500 dropped over 110 points as we are headed towards a retest of the recent lows. At this rate they will not hold. The short term indicators for the S&P have rolled over, are heading down and have room to go. Getting pretty far from the 50 day moving average again here but that may not matter. If the summation index continues to the zero line it will get ugly. How do we trade it from here is the question. Gold was up over twenty bucks on the futures. The US dollar was lower along with interest rates. The XAU fell 2 points and GDX lost 1/8. Volume was average. The gold shares opened higher and closed lower for a downside reversal. Perhaps today will lead to a pullback for GDX and maybe we'll get to try the GDX April calls. A move back to the near term up trend line might give us a chance. Mentally I'm feeling as though I'm missing out on opportunity here but the option premiums are so high that taking a chance now is expensive. Missed money is better than lost money they say. The VIX zoomed higher today and is back above 20. The short term indicators here are now moving higher with room to go. We've got Trump tariff news in the middle of next week which should provide even more volatility. Not sure exactly what to expect there. Plenty of work to do over the weekend as I try and develop some type of trading plan for next week. Europe and Asia were both down to finish the week as markets always know more than we do. It's Friday afternoon and time for a break.

The market is trying to figure out what to do here as the Dow fell 155 points on average volume. The advance/declines were negative. The summation index is moving sideways. There was a gap lower at the open and the rest of the day was spent moving back and forth from negative to positive territory. I'm not sure what will happen next so it will be the sidelines for now regarding the next trade. Inflation data out tomorrow. The short term indicators for the S&P are moving sideways or heading lower. The short term up trend line is still in place but another negative session would put and end to that. Gold was up $47 on the futures to a new all time high. The US dollar was lower and interest rates finished mostly flat. The XAU was up 3 3/8, while GDX added a point. Volume was light. The potential evening star on the GDX daily candlestick chart turned out to be invalid as GDX has now closed above it. Still short term overbought on GDX and staying that way. Getting pretty far from the 50 day moving average here again. Mentally I'm feeling OK. The VIX was up today and closed on its 50 day moving average. Still short term oversold on many of its indicators. Not sure what we'll see next here for the VIX. Europe and Asia were lower with the exception of Japan. We'll close out the trading week tomorrow.

Sellers had the upper hand today as the Dow fell 132 points on average volume. The advance/declines were shy of 2 to 1 negative. The summation index is beginning to stall. The NASDAQ was by far the weakest today and that is not a plus. The S&P 500 has stalled at its 200 day moving average. The short term indicators here are beginning to turn lower. Could the bounce off of the recent lows be over? Time will tell on that. The short term up trend line for the S&P is still intact. Not in a rush to do any trade here so we'll watch and wait for now. Gold dipped $3 on the futures. The US dollar was up today and interest rates were slightly higher. The XAU was down 1 7/8 and GDX lost 1/3. Volume was pretty light. The short term indicators for GDX are still overbought and now trending sideways as the gold shares try to figure out what's next. Mentally I'm feeling tired. The VIX was higher today which fits a down market. The short term indicators are turning up from oversold territory. This implies higher volatility and lower prices to come. The VIX is still below its 50 day moving average and during up swings it can stay oversold for a while. So the jury is still out on what the VIX means here. Perhaps we'll get better clues tomorrow. Europe was mostly lower and Asia higher with the exception of India overnight. I'll keep an eye on tonights developments.

It was a day of consolidating yesterdays gains as the market simply treaded water and moved sideways on the session. The Dow rose 4 points on good volume. The advance/declines were negative. The summation index is trending higher. The NASDAQ continues to be the outperformer. The S&P 500 had a slight gain as the short term indicators continue to move up. I'm waiting on a some kind of techincal signal to attempt the next trade. Not sure how long that will take. No hurry as the option premiums are high since we just rolled into the April cycle. Gold was up $9 on the futures. The US dollar was slightly lower as were interest rates. The XAU was up 2 7/8, while GDX added 3/4. Volume was light. The gold shares finished off of their best levels on the day. The daily candlestick chart for GDX has a potential shooting star top in place after today but we'll have to wait and see where things go from here for that to be valid. Mentally I'm feeling OK. The VIX was down and closed below its 200 day moving average. The short term indicators here are oversold but can stay that way during rallies. Not sure what's next here for the VIX but there is an up trend line that comes in around 16 which is a point away. I'm leaning towards trying the SPY April puts if it gets above 580 and the short term indicators are overbought. Hasn't happened yet. Europe and Asia trended higher with the exception of the Hang Seng. We'll see where things go tomorrow.

A huge gap up at the open and the market never looked back as the Dow gained 598 points on good volume. The advance/declines were around 3 to 1 positive. The summation index is trying to get some upside momentum. The NASDAQ was the leader and that is always a plus. We had plenty of medium term buy signals and today verifies that. The S&P 500 finally broke through the short term down trend line that was in control since mid-February when the decline began. Interesting that stocks waited until after option expiration to get things going. The short term indicators on the S&P are moving higher with room to go. It closed above the 200 day moving average with the 50 day as the next resistance. We never did get a retest of the lows. I'll wait for the next decent technical signal before entering the next trade. Can we just keep moving up here and on to new all time highs? Anything is possible in the marketplace but I'm not counting on that scenario. Gold was off $8 on the futures. The US dollar was higher along with interest rates. The XAU was flat and GDX dropped 1/4. Volume was light. GDX remains short term overbought with the indicators trending sideways. No trades here for now. Mentally I'm feeling a bit tired. The VIX was lower today and now is firmly below the 20 level. The short term indicators are oversold. The VIX closed below its 50 day moving average with the 200 day in sight. I'd be surprised if the VIX turns around and heads back over 20 right away but anything goes in this game. Asia was generally higher and Europe slightly lower to begin the trading week. We'll keep an eye on tonight headlines.

We had a pretty dramatic one day reversal today with a huge gap lower at the open only to claw our way back for the rest of the session to eventually eek out a small gain. The Dow added 32 points on expiration heavy volume. The advance/declines were around 2 to 1 negative. The summation index is tracking sideways to higher. Once again volatility ruled the day. The NASDAQ led the way back. The Dow was off 500 points in the morning. The S&P 500 managed a minor gain as the short term indicators are moving up. The opening gap down killed my SPY March call options. Having a stop limit order in place didn't matter as the opening premium for the options was well below the limit price. It turned into a 95% loss overnight. I really don't do well on the short term trades. The only saving grace was that there wasn't a lot of money involved since I never have much success on the short term deals. The short term down trend line is still in effect for the S&P but I'm pretty sure that won't last much longer. Some of our medium term indicators are flashing buy signals so some kind of rally should be at hand. Gold was off $18 on the futures. The US dollar was higher and interest rates finished flat. The XAU fell 2 1/4, while GDX lost 2/3. Volume was about average. The gold shares finished up from their worst levels on teh day. Mentally I'm feeling disappointed as you would expect with a losing trade booked. The market certainly doesn't care and you've got to move on from it. The VIX again finished lower from the best levels of the day and is below the 20 level. Some of its short term indicators are oversold. I'm not getting a good idea of where the VIX is heading next. Still above both the 50 and 200 day moving averages there. Plenty of work to do over the weekend as we roll into the April option cycle. Europe and Asia finished Friday lower with the exception of India. It's Friday afternoon and time for a break.

Volatility took over today as we opened with a huge gap down, came all the way back to show a nice gain only to fall back again and then drift in the final hour. The Dow lost 11 points on good volume. The advance/declines were negative. The summation index is tracking sideways. The NASDAQ and S&P 500 posted small losses. The S&P 500 is finding stiff resistance at the short term down trend line that comes in around 5700. It has tried and failed three times there this week. This is something that I did not expect as perhaps things are weaker than they seem to me. The short term indicators are moving sideways on the S&P. I'm still holding on to the March SPY calls but with only a Friday trading session left this trade is now looking like it won't work. It's now showing a loss. We'll see how things go tomorrow. Gold was up a dozen on the futures. The US dollar was higher and interest rates finished flat. The XAU and GDX were both little changed on very light volume. GDX remains short term overbought. Mentally I'm feeling OK. The VIX bounced around but ended the day barely lower. Some of its short term indicators have reached oversold territory. I'm not sure what's next for the VIX. Not sure what's next for the market but with that down trend line holding on perhaps we're in for a retest of the recent lows. That would kill my SPY call trade tomorrow. However markets go where they want so we'll have to wait and see. Europe and Asia finished lower with the exception of India. Expiration Friday on tap.

It was an upside day from the start as the Dow gained 383 points on good volume. The advance/declines were shy of 3 to 1 positive. The summation index is trying to turn back up. The Fed came and went with no surprises. It could have been a better day but we sold off in the last hour. The NASDAQ led the way and that's a plus. The short term indicators for the S&P 500 are trying to turn back up but not there yet. I did leave an order out there for the SPY March calls overnight but it wasn't filled this morning. I once again adjusted it and it got filled. The entry timing is obviously off as yesterday would have been a better entry. Only 2 days left in the March option cycle so this idea is full of risk. It is showing a small profit but the premium is way below its best level on the session. I plan on holding it into Friday as of right now. Gold was up $16 on the futures. The US dollar was higher and interest rates ended a bit lower. The XAU was up 1 1/4 and GDX rose 1/3. Volume was light. Still short term overbought for GDX on the daily indicators. Mentally I'm feeling a bit tired. The VIX was lower today and closed just below 20. The short term indicators are reaching the oversold territory but not completely. I'm still not sure what to expect next for the VIX. I'm in the next trade now and that will require all of my attention. Might put in a limit order to sell and see if it gets hit tomorrow. However holding out until Friday seems like the better plan at the moment. More than the usual amount of risk though. Asia and Europe ended mixed. We'll keep an eye on tonights headlines.

Back to the downside as the Dow fell 260 points on good volume. The advance/declines were negative. The summation index is beginning to trend sideways. The NASDAQ led the way lower and that is not a plus. The short term indicators for the S&P 500 are trying to turn lower. We had a gap lower at the open today and then spent the rest of the session in a sideways pattern. I did place an overnight order for the SPY March calls but it wasn't filled. I adjusted it higher during the session but still no fill. I'm leaving it out there overnight. We'll get the Fed tomorrow and that should get things moving one way or the other. I'm still a believer in the short term March call trade. Gold was up $37 on the futures. The US dollar was a bit lower as were interest rates. The XAU was up 1 1/8 and GDX added 1/4. Volume was average. The gold shares did finish off of their best levels on the day. GDX has gotten pretty far from its 50 day moving average and remains short term overbought. Mentally I'm feeling OK. The VIX was up today and remains above the 20 level. The short term indicators here are trying to turn back up. Not sure what's next on the VIX. Only 3 days remain in the March option cycle. The trading here will be risky and the premiums are still high. Europe and Asia were higher in last nights trading. I'll keep an eye on the overnight developments.

More buying today as the Dow gained 353 points on heavy volume. The advance/declines were 4 to 1 positive. The summation index is attempting to turn around here at the zero line. I think that it will be successful. I did place an order for some SPY March calls overnight but it wasn't filled. Weakness can be bought now in my view. Stocks got blown out to the downside and this expiration week should be positive. The short term indicators for the S&P have turned back up although still on the oversold side of things. A retest of the recent lows should be successful. If not then we would expect a complete unraveling of things. However I don't expect that this time around. The short term down trend line here comes in at 575 which is also about where the 200 day moving averge is. I'm pretty sure that getting some index calls this week should be profitable. We'll see. Gold was up $7 as the futures are above $3000. The US dollar was lower and interest rates finished flat. The XAU was up 4 3/4, while GDX climbed almost a point. Volume was light. GDX is short term overbought and staying there. Gold and the gold shares continue to attract capital and that cannot be ignored. Mentally I'm feeling OK. The VIX was lower again today but is still above the level of 20. The short term indicators here are heading lower. My goal for the week is to buy some SPY March calls on weakness within the next couple of sessions. It will be a short term trade which isn't my strong suit. The Fed on Wednesday is the main event for now. Europe and Asia were higher to start the week. We'll see how it goes tomorrow.

We got a huge bounce today as the Dow climbed 674 points on good volume. The advance/declines were 5 to 1 positive. The summation index is still moving down. There was a gap up at the open and the market never looked back. The NASDAQ was the leader and that's a plus. However every up day that we've seen in this recent decline has been met by selling in the following session. So we'll see what happens on Monday. It would not be a surprise for the market to put in some kind of bottom here as it tries to hold on at the zero line of the summation index. The S&P 500 remains short term oversold but the indicators have turned up. Options expiration week will be upon us along with a Fed meeting. Something that could factor into where things go is the open interest in the SPY puts which happens to be very heavy. Are the market makers prepared to book all those losses? It is an argument to try the SPY March calls next week. I'll consider this idea over the weekend. Short term trades are not usually an area that I do well in and that has to be taken into consideration too. Gold finished flat on the session. The US dollar was a bit lower and interest rates a bit higher. The XAU was up 1 1/2 and GDX added 3/8. Volume was a bit above average. The gold shares followed the overall market higher. GDX remains short term overbought. Mentally I'm feeling OK. The VIX continued lower today and the short term indicators are moving down. Will the VIX continue to fall and make it back below the important level of 20? Or will it turn back up as the market continues to fall? This is something that we'll have to watch closely next week. I'll be checking the charts over the next two days to try and come up with some type of game plan for next week. Europe and Asia finished higher with the exception of India. It's Friday afternoon and time for a break.

Still moving lower as there is no bounce to be found. The Dow fell 537 points on heavy volume. The advance/declines were better than 2 to 1 negative. The summation index continues lower as the zero line approaches. The inflation data was mild and it didn't matter. Oversold, staying that way and the S&P chart looks like a straight line down. We've reached and exceeded the dwonside technical objective for the S&P 500 based on the daily chart. So we are in dangerous territory at a chance of even more collapse than we've already seen. Not your normal trading environment so I'll have to sit on the sidelines for now with regards to the S&P. If we ever do get a snapback to the down trend line, I'll consider a trade there. Gold hit a new all time high on the futures as it was up $50. The US dollar was higher and interest rates were lower. The XAU gained 4 1/3, while GDX ws up 1 1/4. Volume was good to the upside. GDX is now short term overbought but not completely so. Perhaps I'll try the calls there in the next six days as money is continuing to flow into this sector. But the ideal time for the GDX call trade has long passed. Mentally I'm feeling OK. The VIX was barely higher today. Not sure what that means. The short term indicators have stalled but remain on the overbought side. We are in the kind of game now where money does not want to be in US stocks. I'm not sure how much longer this will last. The technicals are blown out to the downside and we can't even get more than a one day advance. If the zero line on the summation index is breached we will have some type of collapse. So we've got to be extra careful with what we do right now. Europe and Asia were generally lower overnight. We'll close out the trading week tomorrow.

A little bit calmer price action than we've seen lately as the Dow fell 82 points on heavy volume. The advance/declines were positive. The summation index is moving down. The overall market fared better than the Dow with both the NASDAQ and S&P 500 posting gains for the day. We got a signal from the McClellan oscillator last night for a big move within the next two trading sessions. However we've had some pretty big moves without this signal lately so I don't know how much validity we can place with it this time around. The inflation data came in lighter than expected but we didn't get a huge market reaction. The S&P remains short term oversold here. PPI data tomorrow. I'm still in the camp of waiting for a move back to the short term down trend line in the S&P to try the SPY March puts. We are certainly overdue for some kind of rally attempt but markets go where they want. Gold was up twenty bucks on the futures. The US dollar was a bit higher and interest rates ticked up. The XAU was up 1 1/3 and GDX added 1/8. Volume was light. I'm back on the sidelines regarding GDX for now. Mentally I'm feeling OK. The VIX was lower today which fits with the overall market advance. The short term indicators here have turned back down but that hasn't meant much lately. Running out of time now in the March option cycle but we do have the Fed next week which should get things moving one way or the other. It looks like a short term bottom may be in on some of the major indices daily candlestick charts. But unless we move higher tomorrow it will just be another fake out in the decline. So the price action on Thursday will be telling. Europe was higher and Asia generally lower overnight. I'll keep an eye on tonights developments.

The market tried to gain some traction today but failed again as the Dow fell 478 points on very heavy volume. The advance/declines were negative. The summation index continues lower. The Dow led the way down and that's not the worst scenario. The NASDAQ fell the least and if you're bullish you could point to that. The S&P 500 remains short term oversold and pretty far from its 50 day moving average. I'm not sure just how much longer this will go on. Inflation data tomorrow will be a mover one way or the other. The short term down trend line for the S&P now comes in at 5800. I still like the idea of trying some puts if it ever bounces back to that line. The mood on the street is so bearish that some kind of snap back rally is inevitable. However we are getting closer to the zero line in the summation index and crossing that would spell even more trouble. Interesting times. Gold was up $24 as it made back what it lost yesterday. The US dollar was lower and interest rates were higher. The XAU gained 5 7/8, while GDX was up 1 1/4. Volume was average. The short term indicators for GDX have turned back up. My open order for the GDX March calls wasn't filled and I canceled it. I still like the gold share calls here but will not pay up for them as the option premiums remain high with 8 days to go in the March option cycle. Needless to say this trade was missed as was the SPY put idea. Mentally I'm feeling OK. The VIX was lower today despite a drop in stocks which doesn't fit. Perhaps it is telegraphing a bounce tomorrow for the market. The short term indicators remain overbought for the VIX. The volume in the market continues to be robust as traders head for the exits. Usually these types of declines have some sort of heavy volume washout as the selling gets exhausted. We'll be keeping an eye out for that. Europe and Asia were lower overnight. I'll keep an eye on tonights headlines as we await the reaction to tomorrows inflation data.

Stocks got pounded lower today as the Dow lost 890 points on very heavy volume. The advance/declines were 4 to 1 negative. The summation index is moving down. Traders are heading for the exits. It could have been worse but we got a last hour bounce. The Dow was off over 1000 and the S&P was down 200 points. The NASDAQ continues to lead things lower and that is a negative. We met the 5600 level for the S&P today which was what we were looking for. Does that mean that the decline is over? Perhaps but the S&P 500 remains short term oversold and staying that way. If we have a double top on the Dow its measuring objective woould be 3000 points lower at 39000. The S&P broke therough its 200 day moving average today. There is a lot of negative price action for stocks right now. Inflation data on tap for Wednesday and Thursday. We never got a snap back in the S&P to the short term down trend line to try the SPY puts. That could still happen but the question is whether or not we'd like to try it. The summation index is heading to the zero line and we've got to hope that holds or things could get really crazy. Gold lost $24 on the futures. The US dollar was slightly higher and interest rates dipped. The XAU fell 5 1/3 and GDX lost 1 1/8. Volume was average. I put in an overnight order for the GDX March calls but it wasn't filled. I adjusted it and am leaving it out there. The short term indicators for GDX have rolled over with room to go. I'm not exactly sure this is the right idea here but we'll see. Mentally I'm feeling OK. The VIX was higher and almost hit 30 today. The short term indicators remain overbought. I'm not sure how much longer the uptrend here can last but it has been impressive so far. Volatility rules for now with lower stock prices the result. Not sure what to expect next because we've only been able to have one day rallies for the past 2 1/2 weeks. The sidelines hasn't been a bad place to be but owning puts would have been better. Europe and Asia were down with the exception of Japan. We'll see how things go tomorrow.

Bouncing around today and perhaps trying to put in a short term bottom? The Dow gained 222 points on heavy volume. The advance/declines were positive. The summation index is heading lower. The jobs report was a bit weaker than expected but it did not seem to matter to the market. We hit the lows for the session about halfway through and rallied back the rest of the day. The NASDAQ led the way back and that's a plus. The S&P 500 is still short term oversold and staying there. It did manage to hold at the 200 day moving average again and that's why I think a bounce here is due. Ideally if it could make it back to the short term down trend line I'd like to try the SPY puts there. Markets rarely cooperate. That line now comes in at 5875. It was a tough week to be long stocks. Gold was off $8 on the futures. The US dollar finished a little lower and interest rates were a bit higher. The XAU was up about a point and GDX added 1/4. Volume was light. I did place an order for the GDX March calls overnight but it wasn't filled and I canceled it. The short term indicators for GDX are still heading higher with room to go before reaching overbought. I'll reconsider this idea over the weekend. Mentally I'm feeling OK. The VIX was lower today and remains short term overbought. Still above the 20 level and pretty far from its 50 day moving average. Not sure what happens next with this indicator. Two weeks to go in the March option cycle and I anticipate making some kind of trade within that timespan. Volatility is the key here and the trading has to be nimble for success. We'll see if I'm up to the challenge. I'll be going over the charts this weekend as usual. Asia and Europe were lower on the last trading day of the week. It's Friday afternoon and time for a break.

The selling continues as the Dow fell 427 points on heavy volume. The advance/declines were better than 2 to 1 negative. The summation index is moving down. The NASDAQ continues to lead the way lower and that remains a negative for stocks. The S&P 500 lost over 100 points again as it trys to hang on at the 200 day moving average. The short term indicators here are still oversold. Not sure what's next with the employment numbers due tomorrow. Still hoping that the S&P can make it back to the down trend line that now comes in at 5900 so that we can try the SPY March puts. The market is not cooperating though and it appears that the 5600 target will be reached first. Getting pretty far from the 50 day moving average on the S&P. Gold was off $8 on the futures. The US dollar was just a bit lower and interest rates finished mixed. The XAU fell 1 2/3, while GDX shed around 1/3. Volume was light. GDX remains in an uptrend and I might place an order in for the March calls overnight. Mentally I'm feeling OK. The VIX was up and is well above the 20 level which means increased volatility. We are certainly seeing that. The short term indicators remain overbought as they have been for about a couple of weeks. This is a rare occurrence for the VIX lately as it usually stays extended on the oversold side. But this can happen in stock market declines which is where we find ourselves. The NASDAQ is also pretty far from its 50 day moving average and already below its 200 day moving average. It has been almost a straight line down here and some kind of snapback is overdue. The long term uptrend line here comes in at 17400. If for some reason that level didn't hold we would be in bigger trouble than we are now for the bulls. Asia and Europe were higher overnight with the exception of the FTSE. We'll see how the market reacts to the jobs numbers tomorrow.

Some upside for a change as the Dow gained 485 points on heavy volume. The advance/declines were 2 to 1 positive. The summation index continues lower. The NASDAQ led the way and that's a plus. The short term indicators for the S$P 500 remain oversold. The game plan for now is to see if the S&P can make it back to the down trend line at around 5925. That would be the spot to try the SPY March puts if we still want to go that way. The 200 day moving average on the S&P has held the decline so far. There is also the possibility that the decline has ended because a lot of the indicators are blown out to the downside. The trading is never easy. We'll see what things look like if and when we make it back to short term down trend line. Gold was up $11 on the futures. The US dollar had a huge drop and interest rates were higher. The gold shares outperformed the metal as the XAU jumped 6 2/3, while GDX was up 1 3/8. Volume was slightly below average. The short term indicators for GDX are moving higher. Another missed trade here as I placed the orders for the GDX March calls recently but none were filled. My lack of making the proper adjustments was the main factor. Mentally I'm feeling frustrated as markets are moving and we are not taking advantage of it. The ideas have been relevant but the lack of correct trading tactics has kept us from meeting trading objectives. The VIX was lower today and the short term indicators have turned down. This implies that we should see higher stock prices but in this market, who knows? The daily candlestick chart also appears to have put in a short term top at the least. Still above the 20 level though. We'll see. Jobs data on Friday is looming. Asia and Europe were higher overnight. I'll keep an eye on the overnight headlines.

It was almost a one day upside reversal as the market sold off hard early on, moved higher for much of the rest of the session to get back into positive territory only to collapse again in the final hour. The Dow lost 708 points on very heavy volume. The advance/declines were better than 3 to 1 negative. The summation index is moving lower. The NASDAQ held up the best today and that should be a positive going forward. But we are on shaky ground. The S&P 500 made it down to its 200 day moving average and bounced from that level. It is important for it to hold on here but our measuring objective from the double top is still 5600. The short term indicators for the S&P remain oversold. There is a down trend line in place now on the daily chart. If we could somehow make it back to that line it would give us a chance for the SPY March puts. But it looks like that ship has sailed and I missed it. High option premiums have kept me on the sidelines. Gold was up $27 on the futures. The US dollar was lower and interest rates finished mixed. The XAU gained 1 1/4 and GDX was up 5/8. Volume was lighter than average. I did place an overnight order for the GDX March calls but it wasn't filled and I canceled it. The short term indicators for GDX have turned back up and it looks like I've missed this trade as well. Still plenty of time in the March option cycle but you've got to nimble in fast markets which is where we find ourselves. Mentally I'm feeling OK. The VIX finished higher but off from the highest levels on the day. The short term indicators remain overbought which isn't how the VIX usually operates. It is another indicator pointing out the trading environment that we're in. Not sure what to expect tomorrow. Perhaps I'll be able to take some kind of position ahead of Fridays employment report. Europe and Asia were lower too as it's a worldwide wave of selling at the moment. We'll keep an eye on the overnight developments.

Volatility with a vengeance today as the Dow fell 649 points on heavy volume. The advance/declines were better than 2 to 1 negative. The summation index is trending lower again. The NASDAQ continues to lead the way down and that's a negative. The S&P 500 opened higher and closed lower for a one day negative reversal. It dropped over 100 points. The short term indicators are oversold and staying there. The premiums on the SPY March puts were very high and I did not purchase any. It is probably too late for that idea now as the bounce only lasted for a day. I'm still looking for 5600 as a downside target on the S&P. Gold was up fifty bucks on the futures. The US dollar was lower and interest rates continue to drop. The gold shares started out positive but then followed the overall market lower. The XAU dipped 7/8 and GDX finished flat. Volume was light. GDX remains short term oversold but not completely. I will probably put in an order tonight for the GDX March calls again. This may be the way to try something in the March option cycle where the option premiums aren't overpriced because of the volatility in the overall market. But we'll see. It's fluid situation as usual. Mentally I'm feeling OK. The VIX was higher today and closed above the 20 level. Still short term overbought with a little room left to go higher. The VIX rarely stay overbought for long. That tells you that we are not in the usual market conditions and that the decline has legs. If the summation index starts to really turn down, the zero line will be upon us. If that happens the drop will be greater than the 5600 level that I'm looking at. I'm not sure what's next but we will be paying attention. Europe was up and Asia genrally higher to begin the trading week. We'll see how things go tomorrow.