Spiders - March S&P E-mini Futures: Friday’s action means that the Spiders and cash S&P will take out their late November lows. I think the Spiders will drop into the 136-139 range before the market can start a rally to new bull market highs. Resistance in the March futures stands near the 1450 level. After the market rallies for a day I shall be looking for a chance to go short.
QQQQ: The Q’s broke their November lows Friday and are headed for the 46.00 level.
TLT - March Bonds: I have changed my mind about the short run direction of this market and am now looking for a move above the 120 level. Support stands at 116-16. TLT is headed for 98.50.
March 10 Year Notes: Headed for 116-16. Support is at 113-20.
Euro-US Dollar: I have changed my mind about the short term direction of the euro and now think that the market is headed for 151 or so.
Dollar-Yen: I now longer think that 108.20 support will hold but I do think the market will stage a very big rally from the 106.00 level.
XLE - OIH - USO – February Crude: Crude closed over the 97.70 level Thursday so it should soon hit 101.50 before an extended drop starts. I think the market will drop to 75 and lower during the coming months. USO should drop to 56, OIH to 140 and XLE to 60.
GLD - February Gold: The futures nearly reached 873 and I think the market will take a peek above that level before starting an extended drop.
SLV - March Silver: I think that the 1644 high in March silver will hold and that an extended decline has begun. The current rally should halt at a lower top near the 1570 level.
Google: GOOG is headed for 630. Once that level is reached a move to new bull market highs should begin.