Friday, December 09, 2016

Guesstimates on December 9, 2016



March S&P E-mini Futures: Now switching to the March ’17 contract. A reaction to support at 2210-15 is likely to start soon but this market has been showing great technical strength. It is likely to reach one or both of the 2298 and 2345 upside targets during by early next year.
QQQ:  The 120 level is strong resistance since it is the historical high which the Q’s reached in March of 2000. I expect this average to eventually move above that level to 125 and probably higher than that eventually.  
TNX (ten year note yield): The initial 2.50% target has nearly been reached with a 2.49% print so far. However I think a push up into the 2.85-3.00% zone is likely before the longer term up trend in yields pauses. The 10 year yield is now well above its 200 day moving average which suggests that a sustained rise in yields is underway. I think this paradoxically is a very bullish omen for world stock markets.
Euro-US Dollar: The ECB’s QE policy will ultimately drop the Euro below par.
Dollar-Yen: A new bull market is underway. Support now is at 108. Upside target is 126-27 then 136
January Crude: Crude is in a bull market. Support is still at 40-41. Next upside target is 56-58.
February Gold:  Gold is headed back to its 1035 low and quite possibly lower.
March Silver: The support level at 17.00 has failed. Silver is headed for 13.00 and below.
Google: Support is 675. Upside target is 880.
Apple:  I still think the bull market in APPL is intact. If it is AAPL is on its way to 135.
Facebook: Support at 112. Next upside target is 145.
Twitter: Breakout support at 20 is likely to stop the current rally. TWTR is headed for 10.00.
Alibaba: The 85-90 zone is strong support and I expect BABA to swing up to 125 from there.
Visa: Support is at 70. Upside target is 90-95.

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