Spiders - December S&P E-mini Futures: I still think I’ll have a chance to buy the e-minis at 1396, probably tomorrow or Friday. Today resistance above the market is at 1443. There are very bullish divergences showing up in the 5 and 10 day moving averages of advancing issues and I think this means that a long lasting low is imminent.
QQQQ: The Q’s are headed for 56.00. Support is 48.85.
TLT - December Bonds: The bonds have rallied much more than I expected. Resistance is at 119-12 and support at 116-24 today. I think a break of 7-10 points will start soon. TLT has strong resistance at 94-95 and I think a 7-10 point drop is imminent.
December 10 Year Notes: Resistance is now at 115-20. From there the notes will probably drop about 5 points. .
Euro-US Dollar: I think the euro is about to establish a long-lasting top. The short term trend is still upward and will reverse only if support at 146.50 is broken decisively.
Dollar-Yen: The yen broke below support at 109.00 and this is a potentially bearish indication. However, I want to see how long the market trades below that level before I abandon my 130 long term target. I am expecting a powerful rally from current levels even if it does not carry the market above 124.
XLE - OIH - USO – December Crude: Crude has traded within a dollar of the $100 dollar level and I think a lot of sellers are about to come into this market and that crude will soon begin a substantial drop. Resistance above the market is at 99.50. Initial downside target is 74.00. USO should drop to 56, OIH to 160 and XLE to 60.
GLD - December Gold: I still think gold futures still have a good shot at the 873 level but the failure of the market to rally in line with crude oil is not a bullish development. Support is still at 780.
SLV - December Silver: Silver and gold have failed so far to rally in line with crude oil and I am starting to have doubts about the market’s ability to reach the 1650 level. Support is still at 1435.
Google: GOOG has support is at 640. I think the next step up will carry the market to It looks like GOOG will rally to 730.