Market Soapbox 03/19/07

MON, triple digit up day, DJIA +116 on lower volume with pretty internals.

All UP cept SOXX. Bonds up 10 yr yield +2 bps 4.57, $ up vs 1.3294E & vs 117.48Y, WTI crude down $56.70, gold up $654.

Thursday: "perhaps a rise to the 1400 - 1407 level carrying through to Monday, 1417 & 1427 seem unlikely given Mon Housing Index, Tues Housing Starts, Wen FOMC statement, Fri Existing Home Sales"

Today's housing index down, the market paid no heed. Tomorrow morning before the bell, housing starts & building permits. Lets see if anyone notices.

DJComp, DJTA testing resistance at 75DMA. DJIA, AMEX, XAU testing at 15DMA. SP500, OEX, NAZ, NDX, RUT and MID breaking through 15 DMA. MID resting on 75 DMA.

Safety play DJUA resting on 15 & 25 DMA went past 03/13 high and XAU past 03/16 high.

Noting the larger pattern in a 20 day intraday chart, the RUT, MID & NDX bounced off of earlier lows than the other indices.

The RUT and MID are on the verge of eclipsing the their 03/12 highs and could do so in the aftermarket or early AM.

Today the NDX went to 1764 and eclipsed its 03/09 1761 high. Beware, as tech has led to complete a corrective wave from the 03/05 low of 1710.

Today the SP500 bounced from 1387 to 1403, still not enough to eclipse major resistance at 1410, 1417 or 1427.

Does the bounce continue? Can the SP500 go back to 1427 or the NDX go to 1772 or 1782?

Or after a rapid 1 down, is this bounce just a small corrective 2 up? To be followed by a wicked 3 down?

Will tech and the YEN vs $ liquidity barometer clue us in before the broader market makes its move?

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