Market Observations 04/11/06
Former Iranian President Rafsanjani told Kuwait's Kuna that Iran is producing enriched uranium from 164 centrifuges, this rattled the markets and sent the DJIA to a 4 week low.
Consumer credit for Feb +$3.26B vs Jan upward revised to +$6.14B. Crude up big over $69 intraday.
We are having a consolidation, how long it lasts, one never knows. Excepting the NYSE, NDX, NAZ, XAU, XOI & DJTA, most major indices have broken through 25DMA and are resting on the 50DMA.
Watch the 50 DMA line, if the strongest performer, the RUT falls through this at 735 and then cracks the 75 DMA at 725 on higher volume, then there's fire in the hole.
Critical 75DMA's MID 770, DJIA 11,000, SP500 1283, OEX 583. FYI on 03/08 the SOX broke through all three DMA's and has been waiting for everyone else to join the party. After partially surfacing last week, today, it fell through again.
Money flowed into a bond rescue market today, energy issues did not follow crude and materials issues did not follow metals.
Unwind may be over, tomorrow 10 yr TIPS auction, market could bounce Thurs, then again... PAY ATTENTION TO THE DMA LINES & NEGATIVE VOLUME.
Consumer credit for Feb +$3.26B vs Jan upward revised to +$6.14B. Crude up big over $69 intraday.
We are having a consolidation, how long it lasts, one never knows. Excepting the NYSE, NDX, NAZ, XAU, XOI & DJTA, most major indices have broken through 25DMA and are resting on the 50DMA.
Watch the 50 DMA line, if the strongest performer, the RUT falls through this at 735 and then cracks the 75 DMA at 725 on higher volume, then there's fire in the hole.
Critical 75DMA's MID 770, DJIA 11,000, SP500 1283, OEX 583. FYI on 03/08 the SOX broke through all three DMA's and has been waiting for everyone else to join the party. After partially surfacing last week, today, it fell through again.
Money flowed into a bond rescue market today, energy issues did not follow crude and materials issues did not follow metals.
Unwind may be over, tomorrow 10 yr TIPS auction, market could bounce Thurs, then again... PAY ATTENTION TO THE DMA LINES & NEGATIVE VOLUME.
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