Spiders - December S&P E-mini Futures: The trend has turned upward and it is now likely that 1406 marked the low of the drop which began from the October 11 top at 1587. This first swing up will probably make it into the 1490-95 zone. Support today is at 1445.
QQQQ: The Q’s are headed for 56.00. Support is 48.85.
TLT - December Bonds: The bonds have resistance at 118-12 and I think that a drop of 7-10 points is underway. 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 115-00. I think the notes have started a drop of 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, the market has traded below that level for only a couple of days and I think that a multi-month rally is now underway.
XLE - OIH - USO – December Crude: Crude traded within a dollar of the $100 dollar level and I think a lot of sellers are coming into this market and that crude has begun a substantial drop. Resistance above the market is at 97.00 while short term support is at 90.00. 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 a drop below support at 780 will mean that an extended decline has started.
SLV - December Silver: I think is now is likely that the 1627 high in December silver will hold and that an extended decline has begun.
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.