Recap for the week ended August 05, 2016
The market this week finished off with a monumental days after a week of slightly higher slightly lower alternating days. We were back on the upside after the S&P500 tried the downside and it produced an “outside week” with both a lower low and a higher high. While the S&P was only up about $9.27 or 0.43%, it all seemed to hinge on the good employment numbers today.
The internals, which I mentioned yesterday were positive on a down day, really left little to doubt today with the advance/declines 2146:806 with volume 365:144. No question about the internal strength.
Last week I added to my position in FAST 8/42 calls ($.95 now $1.15) by purchasing a position in the stock @ $42.15. This is a low risk trade and when texted, I included a stop @ $41.44. Every time I look at this chart I see a slightly overbought daily, but the weekly and monthly both show an oversold chart with a “flagging out” of price. This is one of my favorite charts to trade. I may be wrong, but this looks like if it will just close over $43.45 it can move to $45-46.
On my note for trading 8/4 I mentioned that the gold looked weak and was looking for a pullback toward 1330. We closed at 1336 today and any movement to the 1325-1330 will cause me to take a new long position in the GLD. CAM
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