Market Soapbox 05/29/08

THU, up & down, DJIA +52 on average volume with OK internals. All UP cept SOXX, XOI, XAU.

Bonds down 10 yr +5bps 4.08, $ up vs 1.5513€ & vs 105.565y, WTI -3.5% $126.62, gold -2.5% $881.7, TED spread FLAT 0.78%.

SP500 open 1390, dip to 1388, rise to 1406, close 1398 . NDX open 2001, rise to 2030, close 2019.

THU: We sense further downside to NDX 1910 & SP500 1360 range... then we expect another irrational bounce up to follow.

TUE: Did the bounce up start today off SP500 1373? Lets see. It did... DJIA was up +130, but then gave half back.

Commodities slapped, dollar rising? bonds falling? Rising rates, small caps rising?

This irrational bounce could first test resistance, but will have a reality check into a wicked downturn.

Meantime, watch support at NDX 1945 & SP500 1375, and resistance at NDX 2050 & SP500 1440

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

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