Monday, April 25, 2005

Getting an Early Jump on the Month End Rally

Today's market while higher didn't trade in much of a range. It basically stayed up all day long. The month end strength that normally shows up usually doesn't show up this early but it does look like it today. We are not surprised by the strength in the context of the timing but we have been waiting patiently for this upside to be over. We continue to wait.

The interesting trading we saw today was in the gold and gold stocks area. We like to see early morning weakness when we are thinking about buying and today the precious metals were very weak at the opening bell. As the day wore on, the HUI index moved from being down almost three points to up almost a point. This is a good turn around day and should be the first of many as we move through the next several weeks. We are anxious to buy these stocks but will wait for tonight. We are getting very close to buying them and as you see morning dips like this morning, you may want to begin to buy them. We wait.

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