June S&P E-mini Futures: Today's day session range estimate is again 1400-1412. The market looks like it is bouncing off of resistance near its last high at 1419.75. This means that it will probably drop to 1390 or so before resuming its rally. After that the next development will be a rally to the May 2008 top at 1442.
QQQ: Next upside target is 69.10. Support is now at 63.50.
TNX (ten year note yield): The 10 year yield has broken out to the upside from a narrow, multi-month trading range and has taken a peek above its declining 200 day moving average. I think this is a genuine breakout. It is telling us that the US economic growth is about to accelerate and this is a very bullish longer term development for the stock market. The 10 year yield has started a move to 3.00%.
Euro-US Dollar: The euro is still straddling resistance at 1.3300. If it moves decisively above that level I think it will continue up to 1.3570 but right now the market has shown no preference for either side of that resistance level. In either case I think the Euro will soon head much lower. Dollar-Yen: Support is at 81.00. I think the market is headed for 85.00 and eventually will move to 90.00. This is a good sign for worldwide equity markets because it means that the Japanese central bank is trying to raise the growth rate of Japanese nominal national income and will probably succeed.
May Crude: An extended upswing is underway. It will probably take crude to 114 or so.
GLD – June Gold: Gold will now probably drop to 1585. A move to 2100 is underway.
SLV - May Silver: I think silver is headed for 50.00. The 31.50 level is now support.
Google: Google is now headed for its 2007 top near 750. Next upside resistance above the market is at 662. Support is at 635.
Apple: Resistance is at 632. and support at 590.