Monday, December 04, 2006

Guesstimates on December 4, 8:50 am ET

December S&P Futures: The market is headed for 1418-20. Support today is at 1390.

March Bonds: The bonds have traded within 2 ticks of the 115 target. I think they will probably move up to 116-00 after first reacting to 114-00. However, the next 5 points in this market will be downward from here.

March 10 Year Notes: The notes should rally to 110-16. Support stands at 109-00.

Euro-US Dollar: The market has moved past the 131.50-132.00 resistance zone but I still think that a move to 116 and lower is imminent.

Dollar-Yen: The yen reached 115.00 support Friday and I think a move to 121 and ultimately to 130 will begin soon.

January Crude: Crude has a good chance of extending its rally to 65.00. Support is at 61.50.

February Gold: I am raising my upside target slightly to 662. From there I think an extended drop will start.

March Silver: I think the market is now headed for 1450.

Google
: Last January’s top at 475 is now support and I expect Google to resume its rally to 564.

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