The employment report came and went as the Dow gained just 14 points on light volume. We were up over 50 during the session. The advance/declines were 2 to 1 positive. The overall market was stronger than the Dow. The job numbers were in line and the S&P 500 rallied back up to the resistance at around 1375 before backing off. We'll probably get through that level sometime next week. The summation index may turn back up today. GE was flat on light volume. Nothing new to report here. The technicals are not overbought or oversold. Gold had an interesting day as it opened lower on the employment report but then closed higher for a one day reversal. This occurred despite a huge rally in the US dollar. The precious metal gained about $13 on the futures. The XAU lost a point though. ABX and GG fell about 1/4, while NEM was little changed. I dumped the ABX calls for yet another loss. In fact as soon as I sold them ABX rallied and I could have cut the loss in half. But who knew that at the time? This was another trade that never showed a profit and my 3rd loss in a row for attempting the ABX calls. The loss was 70%. Despite the Gold/XAU ratio buy signal, the gold shares aren't rallying. That signal is just growing stronger. I don't know what to make of it along with both gold and the US dollar moving higher together. I might have to try the gold share calls for April because the technicals remain oversold. Or I might just sit things out for a while. Mentally I'm feeling tired, did not sleep enough. The stock indices look like they want to go to new recovery highs. With the usual positive bias of option expiration week, they should make it. My confidence is shot once again with another losing trade. It's all about the mental capital. You can't possibly be successful when you're in a trading funk. I'll have to somehow snap out of it because the markets aren't going to wait for me to feel better. But maybe when the usual reliable signals don't work, it's time to take a step back. I'll have to ponder things over the weekend and go from there. You've got to also have the ability to shake off losses and losing streaks. They are inevitable when playing this game. It isn't easy. It's now Friday afternoon and definitely time for a break.

Today looked like a repeat of yesterday as the Dow climbed 70 points on light volume. The advance/declines were about 4 to 1 positive. There was no follow through to Tuesdays heavy selling. The market has the feel of wanting to go to new recovery highs. Of course that could all change with tomorrows employment report but I doubt it. However my market thinking has been way off lately. GE was up 1/4 on light volume. We are moving up off of oversold technicals on a daily basis for GE. N0 trades in mind for GE at the moment. Gold was up today again as well, gaining $15 on the futures. We are back at $1700 for the yellow metal. Might see some resistance here for gold. The US dollar took a hit today as the worries over Greece subside for now. The XAU rose 2 1/4. ABX and NEM up 1/4 while GG gained 3/4. Volume was weak. I'm still holding the ABX calls at a loss as I have yet to have a chance to get out with a profit. That may not happen, depending on tomorrow. However the Gold/XAU ratio continues to be in the buy zone. The daily candlestick chart for ABX looks bullish and the technicals are oversold. Having a long gold share position here seems to be the correct choice but the market will go where it wants. Mentally I'm feeling tired, did not sleep enough once again. All eyes will be on tomorrows employment report. I have no idea what it will contain but watching the market reaction will be the key. The volatility has picked up this week. That is helping to keep up the pricing of the option premiums. The gold shares haven't kept up with the bounce in gold and the volume has been weak. That isn't bullish going forward. I'll need to take another hard look at the ABX calls tomorrow if they ever turn profitable and even if they don't. We'll see what happens overnight and wait for the employment report.

We got a snap back today as the Dow gained 78 points on light volume. The advance/declines were almost 4 to 1 positive. I don't think you can read too much into todays action. It was a light volume affair. The McClellan oscillator had gotten very negative and a bounce was warranted. Tomorrow should be a waiting for Fridays employment numbers session. No OEX trades in mind at the moment. GE was up 1/3 on average volume. That could bode well for the overall market going forward. Or not. GE is trying to hold up at its 50 day moving average on the daily charts. Gold was up over $10 today as the US dollar fell a bit. Another snap back here as well. The XAU was down almost 1/4. ABX was flat on the day, GG fell 1/4 and NEM off 1/2. I'm still holding the ABX calls and they are in the red. The gold shares never got going today like the overall stock indices. I never had a chance to exit the trade at break even or a profit. The daily chart on ABX is potentially putting in a bottom, with 2 bullish candlesticks. The Gold/XAU ratio is still flashing a buy signal. So we'll see what happens. Mentally I'm feeling a bit tired, could have slept longer. So it looks like I'll be waiting for the employment report on Friday along with everyone else. I think the ABX trade could actually work out but the price action tomorrow will be important. I will probably dump the calls if they get back to a profit. The gold shares are still oversold and there is a Gold/XAU ratio buy signal. If that doesn't signal higher gold share prices coming, I don't know what does.

We finally got some downside today as the Dow registered its biggest loss of the year. We fell 203 points on average volume. The advance/declines were over 10 to 1 negative. The Greek worries are back for whatever reason. I think eventually we'll see a default there but that's just my opinion. My opinion hasn't meant much lately as whatever I thought was about to occur just hasn't happened. My market thinking is way off and that is costly. The McClellan oscillator is very blown out to the downside and I would expect some type of snap back for the indices. But I thought that yesterday as well. Not sure exactly what will happen near term so It's the sidelines with regards to the OEX. GE was down 3/8 and it was a gap down as well. Starting to break through to the downside from the congestion of the past 2 months. That isn't a bullish sign going forward. No trades planned for GE here as well. Gold got clobbered again as the US dollar rose on the flight to safety trade. The precious metal was down over $30 on the futures. The XAU dropped 4 points and it could have been worse. ABX and GG were both off a buck, while NEM fell 3/4. Volume was good. I left in an overnight order for some ABX calls and it was filled when we opened. Somehow, they are still priced right where I bought them. The Gold/XAU ratio buy signal is still in effect. That, combined with the oversold technicals on the gold shares was why I put this trade on. But the environment has changed and I will need to exit this trade quickly. Tomorrow if we get some kind of bounce. Only 8 days left in the March option cycle. Mentally I'm feeling OK, slept well enough. It really looks like we have rolled over here for the stock indices and anything is possible. Volatility is back. I haven't had a handle on things market wise lately and that is dangerous for the trading account. My strategy at this point is to exit the ABX call trade as soon as possible and take to the sidelines. There may be a chance to try the OEX March calls at some point if we get completely oversold. However my ability to determine when that is has diminished. We'll see what happens overseas tonight and take it from there.

Tried to sell off today but the Dow only lost 14 points on light volume. We were down over 80 early. The advance/declines were negative. Summation index heading lower but I think we're in for a short term bounce. I could be wrong. The overall market remains weaker than the Dow. We've got the employment numbers on Friday and not much of significance before that. I may try the OEX calls if we actually get an oversold signal but it hasn't happened yet. GE was off 1/8 on light volume. Almost made it to the 50 day moving average on the daily charts but I'm leaning towards another trade elsewhere. We've been moving sideways here since the year began. The Bollinger bands contracted and we have yet to see a breakout as expected. Gold dropped around 6 bucks today and the US dollar was a bit weaker as well. The XAU fell 4 1/3. ABX down 2/3, GG off about 1 1/4 and NEM shed a buck. Volume was average. The technicals on the gold shares are now short term oversold and the Gold/XAU ratio gave us a buy signal today. All signs point to attempting a gold share call trade here in the short term. I almost did it today but hesitated due to the recent 2 losing trades attempting this. I'm pretty sure that if I see some weakness in the gold shares tomorrow morning that I am going to try this trade again. GG lost some of its relative strength today so I may go with ABX again. I'll consider this tonight and go from there. Mentally I'm doing OK but didn't feel all that good this morning. I'm hearing a lot of chatter about how the market should be going down now. Which leads me to believe that we might just start heading back up again. March is generally a decent month for stocks. All signs point to trying the gold share calls here but today may have been the day to do it. We'll have to see what happens tomorrow morning if I'm going to try that trade again. It's hard to just follow the technicals sometimes when your confidence is low but that's what needs to be done. It would have to be a short term trade and those are not my best. We'll see what happens overnight and take it from there.

It was downer all day today although the Dow only fell 2 points on very light volume. The advance/declines were 2 to 1 negative. The overall market was weaker than the Dow. Summation index still heading lower. Moving sideways now for major stock indices. The TRAN and the RUT have already rolled over. I'm not exactly sure what that means. GE was off 1/8 on light volume. Perhaps a trade will be viable when it reaches the 50 day moving average on the daily charts. But I'm more inclined to look for the next trade elsewhere. We'll see. Gold fell over $10 on the futures today as the US dollar had a strong day. The dollar looks like it has turned around here and that won't be bullish for gold. The XAU dropped 3 1/3. ABX off about 2/3, GG fell 3/8 and NEM down 3/4. Volume was light. Not completely oversold on the gold shares yet and there isn't a Gold/XAU buy signal. GG continues to show very good relative strength even when the gold shares are falling. Mentally I'm feeling OK. I still don't really have a good trading idea with two weeks left in the March option cycle. There isn't a decent signal one way or the other right now for the stock indices in my opinion. Hopefully that will change. I'll be checking the charts over the weekend to come up with some type of game plan going forward. For now it's Friday afternoon and time for a break.

A bounce back today as the Dow gained 28 points on lighter volume. The advance/declines were 2 to 1 positive. The overall market was stronger than the Dow. Still a negative divergence on the RSI for the stock indices but no meaningful decline yet. Perhaps todays action was dictated by the beginning of the month money flows. I suppose I will continue to look for higher prices going into the March expiration. I would like to try the OEX March calls but not without some downside first. GE was flat on light volume. Still a sideways affair here. I'm looking elsewhere for a trade. Gold had a slight bounce back after yesterdays debacle. It gained $10 on the futures as the US dollar finished near unchanged today. The XAU rose 2 points. ABX up 1/3, GG gained a buck and NEM tacked on 1/4. Volume was average. We've blown out to the downside in gold. It will probably take a while to build a base and recover or we will continue lower. I'm willing to try the April or May gold share calls eventually but patience for now will be required. Mentally I'm feeling OK. The stock indexes continue to grind higher. It has been an incredible run and there seems to be no end to it. But it will end at some point. When that is, is anybodies guess. I don't have any good set ups right now and I have no solid trade ideas either. I'm going to have to stay on the sidelines until some type of signal one way or the other develops. The losing ABX trade is history and moving ahead is the proper course of action. I will try and not let the loss affect my trading going forward.