Spiders - March S&P E-mini Futures: The market dropped to 829 last night after the apparent failure of the auto industry bailout bill. Since the 820-30 range was the downside target I think the next substantial move from current levels will be upward. In any case I shall be comparing the market’s action now to its action after the first failure of the bank bailout bill on September 29 for clues about the technical condition.
QQQ: The Q’s are headed for 34.
TLT - March Bonds: The market has reached resistance at 135 and should now begin a sustained downtrend.
March 10 Year Notes: The notes didn’t make it to 128 but I think this market has begun a sustained downtrend.
Euro-US Dollar: The euro has resistance at 135 and will probably be trading in the 122-135 range for a while.
Dollar-Yen: The yen made new lows this morning but I think the 87.50 level will hold and that a rally to 100.00 is imminent.
XLE - OIH - USO – January Crude: A rally into the 55-60 zone has begun and I think the 40.00 support level will hold for at least several months if not longer.
GLD - February Gold: Gold should hold below 850 and then resume its move down into the 550-600 range.
SLV - March Silver: Resistance above the market stands at 1085. Next downside target is 650.
Google: Google has reached the 250-60 target zone which should be the end of its drop from 747.