Guesstimates on May 21, 8:50 am ET

Spiders - June S&P Futures: Upside target for the Spiders remains 153.20. I think a three point break is imminent and will carry the market down to 150.00 before another rally to new highs can begins. The S&P’s target is still 1535 but I think a break from there to 1500 (or 1515 in the September contract) will be the next development.

QQQQ: The Q’s haven’t been able to rally as much as I expected and are underperforming the Spiders. I think this market will stall near 46.80 and then break to 45.00. I still think that we shall see the Q’s trade near 50 or higher later this year.

TLT - June Bonds: I think that this market is headed for 108-110. TLT will follow the trend in the bonds and will probably drop to 85.80. .

June 10 Year Notes: The notes are headed for 106-20.

Euro-US Dollar: An extended decline is underway. Initial downside target is 133.50 but I think that the market will eventually drop to 125 or lower. Meantime resistance is at 136.70.

Dollar-Yen: The yen is headed for 123.50. Support is at 118.40. I expect to see the yen trade at 130 later this year.

XLE - OIH - USO – July Crude: I think XLE will stall near 68 and that OIH will reach 175, both new bull market highs. I think the next significant move in both will be downward. USO should bounce off of resistance near 50.60 and then drop to 45 or lower. July crude is in a rally phase which will probably carry it to a lower top near 68.00.

GLD - June Gold: I think GLD has started downward and will drop below 60 on its way to much lower levels. June gold should hold resistance at 696 and then drop below 600.

SLV - July Silver: SLVis on its way below 120. July silver is headed below the 1200 level.

Google: I think Google is headed for 564. Next upside target is 506 while support is at 456.