Market Observations 03/28/08

Resistance: DJIA 12600 (450DMA); SP500 1355 (700DMA); NAZ 2340 (750DMA); NDX 1835 (450DMA)

Support: DJIA 12200 (600DMA); SP500 1315 (900DMA); NAZ 2250 (1000DMA); NDX 1760 (700DMA)

SP500 open 1327, pop to 1334, plunge to 1312, close 1315. NDX 1777 gap up to open 1788, pop to 1802, plunge to 1762, close 1767.

MON: Hitting resistance at 1350, perhaps a dip then surge to test major resistance at 1400. 1350 & 1800 are magnets, at the moment.

THU: The 2 month rally in retail (RTH); transports (DJTA) and builders (HGX) could be over and we are primed for a BIG slide.

However, there may be one more pop to the upside in the tank. Watch em closely for clues
.

Monday will bring Q1 to an end, and with it the largest decline -10% since 2002.

Sitting on: DJIA 600DMA; SP500 900DMA; NDX 700DMA.

Quarter & month end inflows better provide a Tues pop, RIMM on Wen, or else.

Bad news on tap Chicago PMI, Auto Sales, Construction Spending, ISM, Factory Orders

& Non Farm Payrolls could kick this dead man walking further down the stairs.

Often wrong, but never in doubt, this is the Nattering Naybob and you're not.

Comments