The market did its best to run up this morning led by none other than the SOX, where we have several short positions. But, by day's end, the market slid to almost a 1% loss in the Dow. This volatility in the market should not be construed as bullish but that doesn't mean the market can't go up again tomorrow. In fact we are looking at the end of the month and how strong that period can be for the market. It doesn't have to be this time or any time.
In any event, this is a tough market to trade and to get excited about on the long side. With swings like we've seen recently, there isn't much confidence in a strong performance. That doesn't mean there will be selling but selling does seem to appear and doesn't allow the market to creep up in any sustained fashion.
Gold was up a couple of bucks today and actually made a new high for the move against the Euro but the HUI fell creating a spread of 252 points, a very wide spread indeed. This complex bears watching for opportunities and we are watching it. When a good opportunity presents we will announce it here or in the Wednesday Update.