I must confess that I am getting a little worried about you
and everyone else that is reading this email. I believe the
stock market is going to continue to rally a bit more here.

It may go up another month or two or three in fact.

The S&P 500 closed at a new all-time high the other
day.…

What you are witnessing in the gold market right now is the final liquidation of the gold bug. On Friday gold fell $84 an ounce for a 5.38% drop while the HUI gold stock index fell 6%. Big bad moves. What is worse these drops have come after months of falling gold prices all while the S&P 500 has gone higher.…

Last week the major market averages traded in a narrow range, with the S&P 500 trading between 1246 and 1234, as they appear to be taking a small pause in the rally. I think there is a good change that they will breakthrough this range before the end of this week and start another move higher and if they don’t do it this week they almost certainly will next week.…

Last week most traders left town to visit their families over the Thanksgiving holidays and the stock market basically went nowhere. What it did was go into a well defined short-term trading range with 1200 acting as resistance on the S&P 500 and 1170 acting as support. The day before Thanksgiving it moved up to the top of that range only to fall back down again on Friday.…

Last month marked one of the best Septembers in years as the DOW rallied 7.7%, which made for the best September for the DOW since 1939. Bulls are excited about the rally and market while bears are wondering what is behind it. There are no signs of a big economic boom around the corner to justify the stock market going higher.…