Market Soapbox 06/28/06
Resistance: DJIA 11775; SP500 1335; Nasdaq 2380; NDX 1750
Support: DJIA 10650, SP500 1210, Nasdaq 2050; NDX 1500
MAJOR YIELD CURVE INVERSION: Bonds DOWN with the 30 yr yield falling @ 5.28%; 10 yr @ 5.24; 5 yr @ 5.23; 2yr @ 5.27; 6 mo @ 5.30.
Recent Inversions: 2yr above 10 yr 12/27 - 03/07 & 03/20 - 3/29. 2yr above 30 yr 02/09 - 03/07 & 03/21 - 3/29. 6mo above 10yr 06/02 -?; 2yr above 10yr 06/08 - ? 6mo & 2yr above 30yr 06/13 - ?
MON, an up day on lower volume with decent internals, DJIA +56.
TUE, operation save $ & bond in full effect, a broadbased triple digit slam to the downside for equities, DJIA -121 on higher volume with fugly internals.
WEN, an up and sideways flagwaving day DJIA +49 on lower volume with OK internals. This week DJIA -16, since 09/19/05 DJIA +333.
Indexes UP: XOI, NDX DOWN: SOX, XAU
Sectors UP: Oil, Natural Gas, Commodity, Telecom, Banking DOWN: Airlines, Healthcare & Semis.
Overseas: FTSE, CAC UP DAX, Hang Seng & Nikkei 225 -1.88% DOWN.
Dollar UP vs. Euro 1.2556 & Yen 116.40, XAU & gold DOWN @ 581, XOI +1.6% & crude UP @ 72.19, CRB commodities index UP @ 338.22
Yesterday: "We broke through near term support on a closing basis, DJIA 11000, SP500 1245, NDX 1550, NAZ 2120. If we stay there 2 more days, look out below. "
We closed below again, excepting the SP500 clinging to its line. Yesterday, DJIA -1.1% largest % loss in 3 weeks, for Q2 SOX -15%. Tomorrow GDP, Chain Deflator and FOMC Statement await.
There are only 2 days left in Q206, we are witnessing defensive quarter end portfolio manager window dressing on tepid volume with no conviction. I expect a near term continuation of the pattern started 05/10 at least until 07/07.
Support: DJIA 10650, SP500 1210, Nasdaq 2050; NDX 1500
MAJOR YIELD CURVE INVERSION: Bonds DOWN with the 30 yr yield falling @ 5.28%; 10 yr @ 5.24; 5 yr @ 5.23; 2yr @ 5.27; 6 mo @ 5.30.
Recent Inversions: 2yr above 10 yr 12/27 - 03/07 & 03/20 - 3/29. 2yr above 30 yr 02/09 - 03/07 & 03/21 - 3/29. 6mo above 10yr 06/02 -?; 2yr above 10yr 06/08 - ? 6mo & 2yr above 30yr 06/13 - ?
MON, an up day on lower volume with decent internals, DJIA +56.
TUE, operation save $ & bond in full effect, a broadbased triple digit slam to the downside for equities, DJIA -121 on higher volume with fugly internals.
WEN, an up and sideways flagwaving day DJIA +49 on lower volume with OK internals. This week DJIA -16, since 09/19/05 DJIA +333.
Indexes UP: XOI, NDX DOWN: SOX, XAU
Sectors UP: Oil, Natural Gas, Commodity, Telecom, Banking DOWN: Airlines, Healthcare & Semis.
Overseas: FTSE, CAC UP DAX, Hang Seng & Nikkei 225 -1.88% DOWN.
Dollar UP vs. Euro 1.2556 & Yen 116.40, XAU & gold DOWN @ 581, XOI +1.6% & crude UP @ 72.19, CRB commodities index UP @ 338.22
Yesterday: "We broke through near term support on a closing basis, DJIA 11000, SP500 1245, NDX 1550, NAZ 2120. If we stay there 2 more days, look out below. "
We closed below again, excepting the SP500 clinging to its line. Yesterday, DJIA -1.1% largest % loss in 3 weeks, for Q2 SOX -15%. Tomorrow GDP, Chain Deflator and FOMC Statement await.
There are only 2 days left in Q206, we are witnessing defensive quarter end portfolio manager window dressing on tepid volume with no conviction. I expect a near term continuation of the pattern started 05/10 at least until 07/07.
Comments