Market Soapbox 05/10/07

THU, triple digit consolidation, DJIA -148 on average volume with butt fugly internals. All DOWN BIG, yield curve inverting further 2 yr +4 bps over 10 yr.

Bonds up 10 yr yield -2 bps 4.64, $ down vs 119.878y & up vs 1.3484E, gold slapped 2.2% $667, WTI crude up $61.81

Over the last week, some magic numbers... "RUT 830 & SOXX 500 strong resistance." Monday... "some options unwind and MAX PAIN Tue or Wen."

Yesterday, "SP500 should rise to 1520 then retest 1510... SOXX 505 & RUT 835 still a magnet..." Today, one day and seven points off.

SP500 drops to touch 15 DMA; retesting 1490-1495 dropping from 1513 to 1491 (MAX PAIN on options). SOXX fell 510 to 497, RUT fell 837 to 818; watch em...

The DJIA up 25 for 30.... and on a parallel with 1989 Nikkei 225: the DJIA is now 32 for 42.... alrighty then, you've been told...

SP500 1520-1530 is still the next target on short covering by options expiration. Often wrong, but never in doubt, this is the Nattering Naybob and your not!

Comments