Tuesday, August 17, 2010

Another update

The last tick during regular trading hours was 1088.75, below the 1090 level I cited earlier in the day. The electronic high on August 13 was 1089 so I am going to use this as the line in the sand. Any weakness below 1089 tomorrow morning during regular hours will move me back to my 1050-60 target. Failing that I am going to treat today's action as an upside breakout from the 1066-85 trading range.


Nav said...

Sir, my posting comments... but I can't go w/out thanking you as I'm
the biggest beneficiary of these blogs.I was out of longs @1098.Shorted avg 1089.50..cov 1091.75 and went long there after your up dates.YOU did so much,Sir!
Thank you!
The coming week will be relatively busy on the earnings front as we head into the heart of the mini Jul-end reporting period. The mix of companies posting numbers will be concentrated in both tech and retail. For the former, on back of the NVDA preannouncement and CSCO disappointment, results so far from the Jul-end companies haven’t been great and tech has been one of the weakest sectors in the whole market so far in August.
Also in corporate America, CAT will be hosting an analyst meeting on Thurs.
Wednesday, Aug 18th: US (MBA Mortgage Applications); Eurozone (BoE Meeting Minutes, Eurozone Construction Output); Other (Japan Leading Index)
Treasuries 2s are a bit weaker, rising 3bps to 0.51%, while 10s are also weaker, rising 5bps
to yield 2.61%
Live long and happy w/your loved !

Nav said...

Macro Update & News
Technicals Update - A 1129 Outside Down Week, and Aug Reversal from 1130-1150 Medium Term Targets. Short term- Bounce from 1076 needs to close above today’s 1087-1088 bear gap/July 30 low to improve tone, after Wed’s 1107 breakdown. A 1129 bearish outside week. Next supports at 1070, then 1057. Floor stays at 1040. Medium term- Risks a 1129 Aug downside reversal month from key 1130-1150 summer resistance. Opposite of 1011 July upside reversal month from 1106-1108 key support/ 950-1000 2010 range floor. Long term bullish. Breadth/Sentiment/Momentum- Sentiment is semi-overbought, and needs to unwind, after early July’s post-March 2009 pessimistic extremes. Equity seasonals are bearish until Sept/Oct. Momentum is mixed