DJIA

open 10,668.55

close 10,653.56 down 21.42

day high 10,668.70

day low 10,515.37

today's volume 154,872,023

3mo avg. daily volume 223,617,192

DJTA

open 4,489.29

close 4,457.26 down 34.37

day high 4,489.29

day low 4,398.39

today's volume 13,302,798

3mo avg. daily volume 22,126,238

 

So if we assume that all information is discounted by the time it comes to market, then it would make sense that the market took a minimal drop with today's unemployment figures.  It has been dropping a piece here and a piece there for a few days now.  Frankly, it's ups have been much more dramatic, but to close down marginally makes sense... what is more interesting to the average uneducated spectator/investor, is the 153 point drop on the industrials due to the news, followed by the repositioning.  That type of movement on such low volume boggles the mind... it's days like this that I must encourage anyone listening that the only numbers that really matter are the close numbers, and the only reason they matter is cumulatively they create trend lines.  Now, I recognize that MSNBC would only be open for business 30 minutes a day for a quick market recap and that's just not very cost effective for the owners, they've got to ramble on about something, and as long as spectator/investor/traders are frothing at the mouth, why not.

Today was actually a pretty even day on the advance/decline ratio's, although slightly favoring the declining issues at 52% on the NYSE.  Volume continues to tell the story, so listen closely.  Diminishing high's followed by slightly lessening lows creates an increasing wedge pattern in the industrials, and on declining volume, why would you.

They can say what they want, but the Average P/E's on the Industrials is 15.5... I like 6 - 10.... and after these runs, I'd be shooting more for 6, than 10.... so call me when it's 6, in the meantime, I'll hold onto my gold, which has built one of the most beautiful bases I've seen in the metals since ... well, I got involved about 6 years ago.  The 200dma sits at $1,150, that's a hell of a bottom.  The last time we breached the 65-wk ma was in September of 2008, when all hell broke loose, this would probably only repeat if the market tumbled with it.  The 65-wk is at $1,014... say what you want about that drop, but think of it this way, you're bare-bottom price on gold would probably still keep it ABOVE $1,000 an ounce... I don't care who you are, if you think it's acceptable that in this country over the last 30 years it now takes 1,000 of those little green pieces of paper to buy an ounce of gold, and you don't see the problem... then you are part of the problem.

 

I'm still a consistent buyer when I can, and don't care what the price is, may I encourage the same of you.