Spiders - September S&P E-mini Futures: The S&P’s dropped this morning to within 8 points of support which stands at 1300. My best guess now is that we will a trading range develop over the next two or three days from which a rally to 1500 will begin.
QQQ: I now think the Q’s will drop into the 45-46 range before this reaction is complete.
TLT - September Bonds: I don’t see any sign of an important low shaping up so I think the bonds will drop to 109-110 before turning upward again. TLT has nearly reached its 88 target.
September 10 Year Notes: The notes have reached the 111 level but there is still no sign of a significant low. I think the market will continue down to 109.
Euro-US Dollar: Resistance is still at 158.00. I think the market is on its way to 140.
Dollar-Yen: The yen is headed for 112.00. Support is now at 103.00.
XLE - OIH - USO – August Crude: Long term resistance remains in the 135-37 range and makes me think that the market’s next big move will be downward into the 112-115 zone. A close above 140 will change my mind about this prognosis and mean that the market is headed for 160-165.
GLD - August Gold: I think gold is headed for 750. Resistance is at 910.
SLV - July Silver: I think the trend in silver is downward and will carry the market at least to 1400.
Google: I think Google will drop into the 500-510 range before this reaction ends.