Thursday, October 11, 2018

Guesstimates on October 11, 2018

December S&P E-mini Futures: The ES blew right through the 2820-25 support zone yesterday without even waving goodbye. There is now much stronger support in the 2738-49 zone. Resistance above the market is at 2734 and then at 2823. If support holds there is still a good chance of new bull market highs by the end of the year.
QQQ: Support at 175 has failed. Next support of consequence is 166.
TNX (ten year note yield): Support remains at 2.70%. Next upside target is 3.50%. Rising interest rates are good news for the stock market because they signify that confidence in future growth is being restored. This in turn means that investors will try to put the huge supply of central bank liquidity to work in risky assets. This process will drive world wide stock market prices higher.
Euro-US Dollar: It is likely the Euro bear market has resumed. Ultimately it is likely to carry the Euro back down to its 103 low.
Dollar-Yen: A swing up to 117 is likely.
West Texas Crude Oil: Support is 65. The 72-74 zone was strong resistance but has been breached a second time. I expect more selling at 78 but if this resistance fails crude will be headed for 87.  
Gold: Resistance is in the 1215-20 zone. Another down leg is likely to begin soon and probably carry the market down to 1120-30.
Silver: Silver is headed for 12.50 and possibly lower.
Google: Support is at 1060.

Apple:  AAPL is headed for 250.
Facebook:  FB has support at 150. I think FB will move to new highs before this bull market is over.
Twitter: Support at 30 appears to be failing. This means that TWTR is headed back to 13 or below. A recovery back above 30 would be bullish.
Alibaba: Support at 145 failed but there is a good chance that BABA will make its low in the 130-135 zone.
Visa: Support still is 135.

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