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Keene Little : 6/4/2007 1:32:13 AM

Monday's pivot tables: Link and Link

Both the DOW and SPX daily charts show the upside Fib potential if the current leg up from May 24th continues to extend higher:
DOW: Link
SPX: Link

But the DOW chart shows the first Fib projection for the current leg up (5th wave) at 13777. Its 60-min chart shows that the 5-wave move for the 5th wave on the daily chart has equality between the 1st and 5th waves at 13767. This pattern assumes we'll see the rally continue on Monday before potentially topping out or at least pulling back before heading higher as per the SPX 60-min chart:
DOW: Link
SPX: Link

The SPX daily chart shows the upper Fib projection at 1566 (for equality between the 1st and 5th waves in the move up from March) and the weekly chart shows a projection for the move up from October 2002 and October 2005 correlating around the same 1563-1566 area. That's why the 60-min chart above shows the potential for a pullback later this week (after first rallying a little higher from Friday's close) before heading higher again into opex week.

The patterns in the RUT and NDX are choppy and leave open several possibilities for what's next but these 120-min charts show what I think the bullish price path will be like, assuming there will be more upside. The challenge between these two and the SPX and DOW is that they point to different moves on Monday and that might mean we can expect a choppy day so caution is advised until we see which ones will be leading the way.
NDX: Link
RUT: Link

OI Technical Staff : 6/3/2007 9:59:59 PM

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