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Jeff Bailey : 6/4/2008 12:20:44 AM

End of the day tabulation of US domestic vehicle sales were 10.5M annual rate, which was slightly below consensus of 10.8M annual rate. Relatively flat with last month's 10.4M annual rate.

Keene Little : 6/4/2008 12:06:15 AM

Wednesday's pivot tables: Link and Link

The highs and lows on Tuesday could be key levels that will identify the next multi-day move for the market. If the DOW manages a little more bounce from the Tuesday low keep an eye on its downtrend line from May 19th, currently just above 12500 as that could be a good setup for a short play. Any higher than about 12600 could mean a run back up to 12800. 60-min chart: Link

An equivalent bounce for SPX, to match the downtrend line from May 19th, would up to about 1388. Any higher than that and we could see a move up to 1415, especially if it breaks above Tuesday's high near 1393. NDX continues to hold inside its parallel up-channel from March so there's no damage at all to its price pattern. It will either be bullish with a move higher than Tuesday's high near 2027 or very bearish with a drop below the low near 1979. NDX 60-min chart: Link

OI Technical Staff : 6/3/2008 9:59:59 PM

The Market Monitor has been archived. You may view it and any previous days here: Link

Disclaimer: Stocks discussed in the Market Monitor are for educational purposes only and any analysis is not meant to imply a recommendation for or against that stock. The analysts in this forum as on any other website are prohibited by the SEC from giving any specific advice to ANY individual trader. All information posted is for ALL readers and is not meant to be directed to any individual. Our analysts cannot answer any email questions regarding any specific stock. Please do not ask and please do not take offense if requests are denied.

Results posted in the Market Monitor are hypothetical and OIN does not claim that any reader achieved these exact results. Due to the lag time between research, writing, posting, uploading, reading and execution there will be differences between the actual signal given and the fill achieved by the reader. Fills may be better or worse but in most cases they will be different. The writers will make every effort to give advance notice of intended signals and indicate potential price targets. Your individual results may vary depending on your activity level and aggressiveness. This forum is intended as an education service only. Trading involves risk and should not be attempted by anyone not ready to accept this risk. By acting on any signal in this forum you agree and personally accept this risk.

Jeff Bailey : 6/3/2008 9:56:12 PM

Closing Internals found at this Link

Jeff Bailey : 6/3/2008 5:47:30 PM

US Fed Says Eight (8) FOMC Meetings Scheduled For 2009.

Tentative Dates: Jan. 27-28, March 17, April 28-29, June 23-24, Aug 11, Sept. 22, Nov 3-4 and Dec. 15.

Jeff Bailey : 6/3/2008 5:45:04 PM

Clinton Tells NY Lawmakers She's Open To Being Obama Running Mate.

Jeff Bailey : 6/3/2008 4:56:41 PM

I see ProShares has some new Treasury-like funds. PST and TBT

ProShares site Link

Jeff Bailey : 6/3/2008 4:53:48 PM

Correction alert! ... Target on the 1/4 position in DUG is $35.00 (not $45.00). Stop is $27.40. (per 02:18:06 PM EDT Post)

Jeff Bailey : 6/3/2008 4:36:40 PM

DXY's 04:00 tick was 73.284

Jeff Bailey : 6/3/2008 4:29:24 PM

Election Day is 11/04/08 ... November Option Expiration is 11/21/08.

Jeff Bailey : 6/3/2008 4:27:39 PM

Brazil saying it will indeed seek sanctions against the U.S. after winning a World Trade Organization (WTO) ruling on cotton subsidies to U.S. growers. Because of the ruling, Brazil has the right to ask the WTO to authorize retaliatory trade sanctions on the U.S. that could run into the billions of dollars until Washington scraps the payments. As you may, or may not know, U.S. lawmakers (see house/senate) voted last month to overturn a veto by President Bush and force through a farm bill worth $290 billion that will largely maintain the cotton payments for the next five years.

Jeff Bailey : 6/3/2008 4:01:53 PM

Suncor Energy (SU) ... Of total; $1.25B was 6.10% coupon; Yield 6.116%; 223 bp over Treasuries.

$750M was 6.85% coupon; Yield 6.896%; 230 bp over Treasuries.

Jeff Bailey : 6/3/2008 3:58:11 PM

Suncor Energy (SU) $66.27 -3.34% ... $2B 2-Pt priced; $1.25B 10-year Yields 6.116%

Keene Little : 6/3/2008 3:54:38 PM

The price pattern for the techs has me baffled, particularly when I try to match it up with what's happening in the blue chips. The pullback from last Friday is clearly only a 3-wave move and as such is pointing to new highs, probably well above the May 19th high near NDX 2052.

The other possibility is very bearish with this afternoon's bounce being a smaller 2nd wave correction (giving us a 1-2, 1-2 move to the downside from last Friday). If this afternoon's bounce doesn't get above this morning's high and is then followed by a low below today's low, it would mean selling should really kick into gear. So today's high and low are the key levels--play the direction of the break. 60-min chart: Link

Jeff Bailey : 6/3/2008 3:50:18 PM

Eur/% 1.5460 -0.49% ...

WKLY Pivot levels ... 1.5253, 1.5402, Piv= 1.5610, 1.5759, 1.5967

MONTHLY Pivot Levels ... 1.5018, 1.5285, Piv= 1.5551, 1.5818, 1.6084.

Linda Piazza : 6/3/2008 3:46:50 PM

Remember, bears, as I said earlier, do not let your profits turn into loses. Exiting at BE or for a smaller profit and then finding out tomorrow that you could have profited after all is bad. Not exiting and then finding out tomorrow morning that the indices are shooting higher based on something traders see in the ADP would be worse. We don't know what can happen and can't control it. All we can control is how we manage our own trades.

Jeff Bailey : 6/3/2008 3:38:20 PM

US Oil Fund (USO) $100.76 -2.22% ... still holding correlative MONTHLY Pivot ($100.10) and WKLY S1 ($100.29).

Linda Piazza : 6/3/2008 3:34:56 PM

Now that we know what economic developments might come overnight and tomorrow morning and know that we have a potentially market-moving report before the market opens tomorrow, we know to take anything the charts suggest, especially the short-term ones, with a grain of salt.

The daily Keltner chart suggests that the OEX is sliding down support that's now at 622.73, with the OEX closely approaching that today. It suggests that the OEX may have an eventual downside target of about 613.50. However, we must consider now that we've seen two days in a row in which OEX prices sprang up from the low of the day. If the OEX should hold at or above its 628.50 value, it's possible but not a given that it might be time for a pause in the decline. Again, that's not a given, but it's a scenario to be considered.

So, my take is that there's vulnerability remaining to a much deeper slide, but that there could be pauses along the way, even if the OEX is going to drop to 613, and that it's at least possible that tomorrow will provide one of those pauses.

Keene Little : 6/3/2008 3:33:18 PM

Looking at the DOW I get a slightly different impression of what the wave count is to the downside from last Thursday's high and the only difference between it and the SPX is how high to expect a bounce. The DOW's wave count is looking for a correction of the decline from last Thursday whereas the SPX count is looking for a correction of only today's decline. So I'll be watching for evidence for which one could be correct.

In the meantime, as shown on the DOW's 60-min chart, a 50% correction of the decline from last Thursday would take it back up to 12535 and a retest of this morning's high: Link . A 50% retracement for SPX would be at 1388 and very close to its downtrend line from May 19th.

Linda Piazza : 6/3/2008 3:26:51 PM

So what about end-of-day decisions? What might happen tomorrow? First, let's consider any economic events that might change the tenor of trading. Tonight, there's Japan's Capital Spending report, perhaps with moderate ability to impact trading there, and Australia's GDP, which can impact trading there and perhaps have some resonance here if it shows a weakening. In the wee hours of the morning, at 3:30 am ET, ECB President Jean-Claude Trichet speaks, but his topic addresses climate change, growth and stability. His words can move markets, but I'm not sure his topic will do so, depending on where the emphasis lies.

However, tomorrow's U.S. ADP report, ahead of Friday's non-farm payrolls report, at 8:15 ET tomorrow morning, most certainly can move our markets. So can the Services ISM, crude inventories and a speech by our Federal Reserve Chairman, but those are all after the market opens.

Jeff Bailey : 6/3/2008 3:21:19 PM

Most Actives ... QQQQ $49.12 -0.56%, MSFT $27.40 -1.43%, C $21.41 -0.23%, SPY $138.16 -0.53%, ORCL $22.92 +1.05%, INTC $23.05 -0.64%, CSCO $26.39 +0.15%, DELL $23.47 +2.98%, IWM $73.68 -0.41%, LEH $30.71 -9.22%

Keene Little : 6/3/2008 3:18:41 PM

If we see a small pullback followed by another leg up tomorrow morning, perhaps up to the downtrend line from May 19th near SPX 1387, it would be another setup for the short side. As mentioned earlier, any drop now back below today's low, that holds lower, would be immediately bearish. 60-min chart: Link

Linda Piazza : 6/3/2008 3:18:30 PM

The OEX ended the last 15-minute period above its 15-minute 9-ema, but not convincingly so, especially since it left behind a long upper shadow. Now it turns down again. Support might be found from 625.95-626.99 on 15-minute closes and that's where bulls hope it will be found if the OEX drops back some.

Keene Little : 6/3/2008 3:15:27 PM

SPX wasted no time jumping back up to 1380 where I thought it might find resistance at its broken uptrend line from May 27th. It still might since it has stalled here. But from a time standpoint, the correction to today's decline is too short and therefore I suspect we could see some backing and filling, and a little higher, before another leg down (assuming another leg down is coming).

Linda Piazza : 6/3/2008 3:10:42 PM

The OEX is testing its 15-minute 9-ema now for the first time since the 1:15 candle. It's slightly above it as I type, with that 15-minute 9-ema now at 628.15 and the OEX now at 628.97, but with several minutes left in the 15-minute period. Yesterday's low was 628.34.

Jeff Bailey : 6/3/2008 3:07:01 PM

As close as $21.03 is to $21.00, it hasn't taken place at this point.

C $21.44 -0.09% ...

Linda Piazza : 6/3/2008 3:05:11 PM

Just to let you know, the OEX's daily Keltner chart suggests a downside target of 622.55 and maybe even 613.50. Such a slide isn't a given, but it is a possibility. If I were in bearish trades, I absolutely would not hold on if conditions changed just because I was sure those targets were going to be hit, because you can't be sure. Wise account and trade management are always needed. If you're in bearish trades, you have an easy task now. You decide where to put your stops, making sure that you absolutely, 100% do not let your profits turn into losses. If you've got multiple contracts, you might even lock in some of that profit and then keep account- and trade-appropriate stops on the rest.

Jeff Bailey : 6/3/2008 3:05:10 PM

Bond market saw a wild trade today. At the 03:00 close the 13-week yield was steady and finished up 2.0 bp at 1.810%. Geopolitical news here in the U.S. roiled the curve with the 5-year yield finishing down 9.0 bp at 3.191%, while the benchmark 10-year yield fell 7.3 bp to 3.898%. The longer-dated 30-year yield finished down 5.7 bp at 4.622%.

Keene Little : 6/3/2008 2:57:44 PM

With the slightly bigger bounce so far off the lows, which should get a little bigger to correct today's decline now, those lows become very important. Assuming the bounce will continue into the close, any break below today's lows will likely see acclerated selling. I'd like to see SPX bounce back up to the 1380 area to see if we get a good short play setup.

Linda Piazza : 6/3/2008 2:55:45 PM

So far, the OEX finds resistance on 15-minute closes at the 626.20 level, and so it maintains vulnerability to a drop to 621.25. However, this 15-minute period, it's trying to punch higher and regain that 626.20 level as support. It's at 626.19 as I type.

Be aware that the VIX punched up to 21.00, nearly matching its 20.95 high from 5/27. The VIX now has a potential upside target of 21.28, based on the 30-minute chart, but it's pulling back now ahead of that potential target and is now at 20.70. Keep this on your radar screen as it's possible that the VIX is approaching resistance just as the indices attempt to cling to support. Sustained VIX values below 20.50 would suggest that it's weakening, but watch there for some possible support.

Linda Piazza : 6/3/2008 2:47:48 PM

The OEX has now set a potential downside target of 621.25 on the 30-minute chart. I'm not sure that's a reliable target, but do factor in possible vulnerability to that level. For the SPX, the analogous potential support is at 1361.22. Ditto for not being sure it's going to be reached, particularly since the SPX is trying to steady near its 5/23 and 5/27 lows, clinging to that historical support there.

Linda Piazza : 6/3/2008 2:39:12 PM

The OEX now has potential resistance where potential support once was, at 626.20 on 15-minute closes. The OEX is 626.22 as I type.

Jeff Bailey : 6/3/2008 2:30:51 PM

Swing trade put establish stop alert! ... for the Companhia Vale do Rio Doce RIO Sep $35 Put (RIO-UG) at $41.10 in the underlying.

RIO $38.03 -4.75% Link ...

Keene Little : 6/3/2008 2:27:57 PM

SPX is showing the possibility for one more relatively minor low with a Fib projection at 1370.80 (equality with the 1st wave in the move down from this morning's high). That could set up a stronger bounce so watch for a head fake break of support and then a rally back up. If no rally back up then 1360-1365 holds potential to be at least temporary support.

Linda Piazza : 6/3/2008 2:22:35 PM

Keene has already mentioned 1373 for the SPX. That's also showing up on Keltner charts, with potentially strong support on 15-minute closes at 1373.12.

Jeff Bailey : 6/3/2008 2:18:06 PM

Swing trade BEARISH long alert! ... for 1/4 position in the ProShares UltraShort Oil & Gas (DUG) at the offer of $29.15. Stop goes $27.40. Target is $45.00.

Linda Piazza : 6/3/2008 2:12:11 PM

Here's the OEX's 15-minute Keltner chart, showing the support being tested and the reason I was mentioning this possible support: Link It's not a given that this support will hold, and if it doesn't, the OEX's next potential support is in the 621.55 zone.

Keene Little : 6/3/2008 2:11:37 PM

If SPX is not able to hold above 1373 I think it could be a relatively quick trip back down to the March low. Using Fib price and time relationships I'm showing a projection back down to the 1250 area before the end of June and then a bounce into July before heading much lower into the fall. But first let's see how the bulls hold support. Link

Jeff Bailey : 6/3/2008 2:09:58 PM

PFE $18.99 -0.99% ... its 01:31:54 tick was $19.01

Jeff Bailey : 6/3/2008 2:09:13 PM

MRK $38.30 +0.34% ... its 01:31:54 tick was $38.27.

Jeff Bailey : 6/3/2008 2:08:27 PM

XOM $86.22 -1.81% ... its 01:31:54 tick was $87.00

Jeff Bailey : 6/3/2008 2:06:30 PM

At that 01:31:54 tick, the DXY traded 73.33

Keene Little : 6/3/2008 2:00:30 PM

This is where the bulls need to step in and help hold SPX up now. If we get a bounce, watch for resistance up near 1380--its broken uptrend line from yesterday through this morning's low.

Jeff Bailey : 6/3/2008 1:53:27 PM

General Motors (GM) $17.50 +0.34% ... reversing gains on May vehicle sales figures.

Keene Little : 6/3/2008 1:52:51 PM

There's a marginal break by SPX of yesterday's low. If it doesn't hold here then it should find at least some short-term support in the 1373-1374 area.

Linda Piazza : 6/3/2008 1:52:38 PM

Potential support for the OEX at 628.04 on 15-minute closes and then at 626.41. I know that it's already beneath that first one, but we haven't seen a 15-minute close yet since it's been tested and it's still possible that the OEX could bounce from last week's 627.50 low. If the OEX doesn't find support at one of those, however, it will be setting a potential 621.79 target. It has not yet set that target, but factor it into your planning.

Keene Little : 6/3/2008 1:44:37 PM

Coinciding with a retest of the May 27 low for SPX would be potential support at the broken downtrend line from October, currently near 1374. With all that potential support between 1374 and 1380, if SPX drops below it all it could open up the floodgates of selling. But the bears have some work to do to make that happen.

Keene Little : 6/3/2008 1:41:29 PM

SPX is back down testing its 50-dma at 1380.70. Potential layers of support is at yesterday's low at 1377.79 and then the May 27 low at 1373.07.

Jane Fox : 6/3/2008 1:41:10 PM

Internals have taken a "turn" for the worse. Link

Jeff Bailey : 6/3/2008 1:40:30 PM

30-year lower by 3.1 bp at 4.648% ...

Jeff Bailey : 6/3/2008 1:40:12 PM

10-year lower by 3.9 bp at 3.932% ...

Jeff Bailey : 6/3/2008 1:39:57 PM

5-year lower by 4.4 bp at 3.237%

Jeff Bailey : 6/3/2008 1:39:36 PM

5, 10 and 30-year have reversed PRICE losses, with yields now notably lower.

Linda Piazza : 6/3/2008 1:39:24 PM

Potential support for the OEX at yesterday's 628.34 low, of course, but potential Keltner support on 15-minute closes is near there, too, at 628.42. That Keltner support slides lower, however, toward the next 626.50 target if that support is lost. Remember the two potential scenarios that are most likely after a day like yesterday's: either a consolidation or else smaller-range candle (either green or otherwise) that's within the previous day's range, followed the next day by a decline or else a decline the very next day. As I said earlier, prepare your what-if plans, but realize that this could be the consolidation version today.

Of course, it's not as if these are the only options. The OEX could hit this historical support here and just zoom up the rest of the day and never stop again. It could, but that still doesn't mean that we shouldn't recognize patterns and then test the action against that pattern.

Jeff Bailey : 6/3/2008 1:37:28 PM

Could be seeing a "preview" of this fall.

Keene Little : 6/3/2008 1:36:21 PM

The DOW is the first to break yesterday's low although it's trying to find support here.

Jeff Bailey : 6/3/2008 1:36:06 PM

RUT.X 739.26 -0.23% ... can't forget the small caps.

Keene Little : 6/3/2008 1:34:05 PM

Sudden bout of selling kicking in here. Next test is yesterday's lows. But the banks gave us a heads up that that level may not hold either.

Jeff Bailey : 6/3/2008 1:32:56 PM

INDU 12,459 -0.36% ...

SPX 1,383 -0.19%

OEX 630.66 -0.20%

QQQQ $49.36 -0.08% ...

Jeff Bailey : 6/3/2008 1:31:54 PM

AP Delegate Count: Obama Clinches Democratic Nomination

Jeff Bailey : 6/3/2008 1:25:29 PM

IYS-RR currently $1.50 x $1.60 with USO $101.28 -1.71% ...

Jeff Bailey : 6/3/2008 1:24:04 PM

FXE $154.34 -0.70% ...

Jeff Bailey : 6/3/2008 1:23:18 PM

UNG $57.74 +1.83% ...

Jeff Bailey : 6/3/2008 1:23:02 PM

USO $101.22 -1.78% ...

Jeff Bailey : 6/3/2008 1:22:41 PM

Swing trade long exit alert! ... for the 1/2 position in the Permian Basin Trust (PBT) at the bid of $22.82, LIMIT $22.75.

Linda Piazza : 6/3/2008 1:15:49 PM

The VIX is now 19.32. It's of course bounced well off that 19.01-19.05 support that I mentioned earlier today, even with a single 15-minute close beneath it. It is beginning a pattern of finding support on 15-minute closes at the 9-ema, now at 19.26, so bears would like to see that continue. Bulls want that support lost.

Keene Little : 6/3/2008 1:00:03 PM

The DOW is testing an uptrend line from yesterday's low, here at 12480.

Linda Piazza : 6/3/2008 12:56:41 PM

The A/D line is now dipping toward its 14.00 low of the day. It's at 111.00 as I type, testing support at about 75. So far, it remains within the range established early this morning. Further and possibly strong support on 15-minute closes can be found at -144 to -300, but sustained 15-minute closes below that support would show that support has been lost and give a negative tenor to the A/D line.

Jeff Bailey : 6/3/2008 12:56:22 PM

Most Actives ... QQQQ $49.63 +0.46%, ORCL $23.21 +2.38%, MSFT $27.81 +0.03%, INTC $23.38 +0.77%, CSCO $26.66 +1.17%, SPY $139.11 +0.15%, LVLT $3.66 +5.78%, GE $30.65 +0.78%, BAC $33.31 -0.80%, DELL $23.51 +3.15%

Keene Little : 6/3/2008 12:50:20 PM

This daily SPX chart shows how price is getting squeezed in between several moving averages and the Bollinger Band which is contracting. There's going to be a big move out of this area and I'm betting on the downside. But a rally back above the 200-dma just above 1424 would have me reversing that opinion. Link

Jeff Bailey : 6/3/2008 12:49:26 PM

Ford Motor (F) $6.67 +0.45% ... saying US sales slid 15% in May as pickup truck and SUV sales continued to plummet. AP brief Link

Jeff Bailey : 6/3/2008 12:34:18 PM

Companhia Vale do Rio Doce (RIO) ... 120-pd interval chart for perspective. Potential h/s top pattern. Objective derived by taking 0% retracement at "head" and fitting 50% at technician's "neckline." Resulting 100% becomes pattern objective. Link

Pattern failure is break back above RIGHT shoulder on a h/s top.

Linda Piazza : 6/3/2008 12:33:37 PM

I'm hearing that I now have an Internet connection again at home, so I'm packing up and driving there. I'll be back soon . . . if the Internet connection is stable.

Linda Piazza : 6/3/2008 12:32:28 PM

The OEX's 15-minute 9-ema is now 633.50 and it looks as if, for the first time today, the OEX may lose this support on a 15-minute close. This would be just a first and minor sign of a potential change in tenor, and it may not mean that much if we're going to get one of those choppy days that sometimes occur after a day like yesterday's. Do be aware that the other most frequently seen scenario after a day like that is a stronger decline, so make your just-in-case plans for that scenario, too.

Jane Fox : 6/3/2008 12:30:29 PM

Effective Thursday, June 12, 2008 - June and September S & P and Dow Jonessm futures positions will interchange. (1)September S & P and Dow Jones futures will trade as lead positions and (2)June S & P and Dow Jones futures will trade as second positions.

This means you start trading the September contract as of June 12th.

Linda Piazza : 6/3/2008 12:27:44 PM

The MID is pulling back from its test of Friday's 882.67 high, but it hasn't pulled back far yet. It's at 881.61 as I type.

Jeff Bailey : 6/3/2008 12:25:28 PM

RIO-UG $1.79 x $1.84 from our 4/29/08 long entry.

Jeff Bailey : 6/3/2008 12:24:30 PM

Companhia Vale do Rio Doce (RIO) $39.10 -2.07% ... stock testing what appears to be a "neckline" of a head/shoulder top. Head at $44, with neckline here at $39.00. Left and right shoulders symmetrical at $41.00.

Linda Piazza : 6/3/2008 12:20:08 PM

VIX is 19.07, still clinging to that support although it's beginning to chop around a bit more now.

Linda Piazza : 6/3/2008 12:18:10 PM

The article about our local town's efforts to conserve costs due to rising fuel and materials costs include the fact that the city may be unable to replace a vacant spot for a police officer and may cut back on street and other repairs due to the high cost of asphalt and other construction materials. Decisions like these are being made in city halls in small towns and big ones. We think of government-related jobs as being somewhat immune to economic pressures but our town's example shows that not always true.

Linda Piazza : 6/3/2008 12:13:21 PM

The OEX's 15-minute 9-ema is now 633.22 (with the 30-minute version about there, too). For the SPX, that's 1390.32.

Keene Little : 6/3/2008 12:13:10 PM

SPX made a tiny marginal new high but so far is not looking like it's going to get follow through. Basically this morning's highs and lows are holding and price continues to consolidate. Bearishly, the retest of this morning's high for SPX has left a bearish divergence so at least from a short term perspective we could see another pullback.

Linda Piazza : 6/3/2008 12:11:02 PM

Since I had to move to the local coffee shop (not the chain) to find an Internet connection, I'm sitting at a table where someone has nicely left the local paper. Here's a quote from The Bastrop Advertiser about this small town of about 7,500, I believe: "Weekly [city] planning sessions now routinely include considerations of how to reduce the number of trips needed to complete a task," conserving fuel.

Jeff Bailey : 6/3/2008 12:09:48 PM

12:00 Internals found at this Link

Linda Piazza : 6/3/2008 12:05:24 PM

At 882.31 as I type, the MID has finally risen into a test of Friday's intraday high of 882.67. Keep this on your radar screen as the MID can reverse as quickly as it can rise. Bears want that reversal now and bulls want any pullback to be small, finding support on 15-minute closes at 880.03 or above.

James Brown : 6/3/2008 12:02:56 PM

Exit alert! POSCO (PKX) , the S. Korean steelmaker, is up 4.2% to $144.95 and testing resistance at its 200-dma. Our target was the $143.00-145.00 zone.

Linda Piazza : 6/3/2008 12:01:50 PM

Earlier today, I had mentioned potential support for the VIX from 19.01-19.05. It's now 19.02, testing that support and not yet giving it up. The next potential target is near 18.70 if this support is lost.

James Brown : 6/3/2008 12:01:39 PM

Exit alert! HARSCO (HSC) is up 2.75% and trading at $64.60 with an intraday high of $64.75. Our initial target was the $64.50-65.00 zone.

Linda Piazza : 6/3/2008 12:00:51 PM

FWIW, the A/D line still chops around within its early range. It has not yet broken to a new high nor yet again closely challenged its 799 high of the day. It's at 387 as I type.

James Brown : 6/3/2008 12:00:39 PM

Exit alert! Garmin Ltd. (GRMN) is up 8.4% on top of yesterday's gains. The stock is at $54.80. Our target was the $54.00-55.00 range.

James Brown : 6/3/2008 11:59:25 AM

Exit alert! Peabody Energy (BTU) is up another 3% today. The stock hit $80.29 intraday. Our initial target was the $79.75-80.00 zone.

Jeff Bailey : 6/3/2008 11:58:44 AM

EU's finance minister saying today that the European bloc must reform its farm policy to help ease rising food prices. The minister admits that the EU's Common Agricultural Policy is contributing to food-supply shortages.

Jeff Bailey : 6/3/2008 11:54:17 AM

Merrill Lynch (MER) $42.77 +0.35% .... WKLY S2 $41.80 (tested yesterday), WKLY S1 $42.82, WKLY Pivot $43.92.

Jeff Bailey : 6/3/2008 11:53:16 AM

Citigroup (C) $21.58 +0.55% ... WKLY S1 at $21.19. WKLY Pivot at $21.80.

Linda Piazza : 6/3/2008 11:53:41 AM

So far, the OEX has today maintained 15-minute closes on its 15-minute 9-ema, now at 633.46. So far, it's also maintained 15-minute closes beneath its 15-minute 120-ema, now at about 635.10. If it should pop above that, next potential Keltner resistance on 15-minute closes is 637.17. Traders should watch to see whether support or resistance is broken to give them some clue as to next direction, if there is to be a next direction today.

Jeff Bailey : 6/3/2008 11:52:23 AM

S&P making comments regarding Citigroup and Merrill Lynch's hybrid securities. S&P saying C and MER have sold hybrid securities as part of their larger capital raising efforts in recent months, which now has them testing limits established by the credit rating agency to keep such capital to a certain level.

This means if the companies decide to sell more of these securities (a blend of equity and debt), the hybrids could face lower ratings. That in turn could constrain those banks and others looking to raise more capital.

Linda Piazza : 6/3/2008 11:50:53 AM

While I was without an Internet connection, the A/D has indeed continued consolidating sideways, as I speculated it might be doing in my 10:19:05 post.

James Brown : 6/3/2008 11:49:08 AM

The smart-phone wars are about to heat up.
Google (GOOG) denies any delays in its Android phone (software). There had been a news story yesterday that said Android would be delayed to 2009. GOOG came back and said they plan to ship phones with Android in the fourth quarter.
GOOG +0.4% to $577.79 hovering around its 200-dma.

Meanwhile there is growing speculation that Apple's (AAPL) 3G iPhone is here. There were reports last week that some odd and ambiguously labeled cargo containers for AAPL hit the west coast. Yesterday there was news that AT&T was asking employees to not take vacation from the middle of June through the middle of July. The last time AT&T asked employees to hold off on their vacation was prior to the initial iPhone launch. Several stock picking analysts have suggested that investors could ride AAPL's stock higher up into the announcement but then traders should sell the announcement pop.
AAPL currently +0.8% at $187.68.

Linda Piazza : 6/3/2008 11:47:37 AM

Time Warner decided that today would be a good day to work on the lines in our area, apparently, so I have spent the last hour searching for a connection. I'm back and loading up charts. However, just before I discovered I had lost my connection, I had been typing a post that said that I was going to slow down posting since one scenario for the day was that we might see the kind of consolidation that renders technical analysis less useful than normal. Targets and set and never achieved. Indicators flatten. If the OEX were to sustain values below last week's lows, however, it would then set a downside target near 622.50.

Jeff Bailey : 6/3/2008 11:39:30 AM

Sector Losers .... Regional Banks -0.94%, Money Center Banks -0.65%, Gold Bugs -0.26%

Jeff Bailey : 6/3/2008 11:38:37 AM

Sector Winners ... Home Construction +2.97%, Airlines +2.53%, Disk Drive +1.68%, Software +1.43%

James Brown : 6/3/2008 11:38:08 AM

Clintion as Obama's VP? Almost everything I've read or heard basically said no chance of that occuring.

James Brown : 6/3/2008 11:36:27 AM

Lehman Brothers (LEH) continues to sink. The stock is down another 4.78% at $32.22. A recent headline just crossed saying S&P believes LEH has "significantly higher risk exposure" than its peers.

Jane Fox : 6/3/2008 11:35:01 AM

Dateline WSJ - Officials in Clinton's campaign said the New York senator won't concede the Democratic nomination tonight. The Associated Press had reported that Clinton would acknowledge Obama has the delegates for the nomination.

The campaign released a two-sentence statement this morning: "The AP story is incorrect. Senator Clinton will not concede the nomination this evening."

The AP had said Clinton advisers made a strategic decision to not formally end her campaign, giving her leverage to negotiate with Sen. Obama on various matters including a possible vice presidential nomination for her.

James Brown : 6/3/2008 11:33:19 AM

A sign of the times in California. One San Diego-area builder was offering a 2-for-1 deal on homes.

If a consumer bought a $1.6 million home in San Pasqual Valley they got a 2,000 square foot row-house in Escondido, worth $400,000, for free. Here's an image of their ad: Link

Keene Little : 6/3/2008 11:32:49 AM

Barry may have a good point in his email to me telling me we've seen the top in oil (using contrarian theory):
Top is in! GM CEO announces that gas prices are NOT going down and GM will change its strategy.

Jane Fox : 6/3/2008 11:32:39 AM

Dateline WSJ - Clinton campaign says she won't concede nomination tonight.

James Brown : 6/3/2008 11:26:02 AM

CSX is weighing heavily on the railroads. The stock is down 3.69% after being downgraded by UBS, essentially on valuation. The stock had rallied from $40 in January to over $70 a couple of weeks ago. Today's weakness is breaking one if its supporting trendlines. chart: Link

Jeff Bailey : 6/3/2008 11:22:55 AM

US Natural Gas Fund (UNG) $57.91 +2.13% Link ... $0.50 box.

$1 box Link

Jane Fox : 6/3/2008 11:21:53 AM

DAteline WSJ - Officials say Hillary Clinton will acknowledge Tuesday night Barack Obama has the delegates for the Democratic nomination, Associated Press reports.

Jeff Bailey : 6/3/2008 11:20:36 AM

US Oil Fund (USO) $101.64 -1.36% Link ... $0.50 box chart to match futures.

Jeff Bailey : 6/3/2008 11:19:22 AM

Soros: Oil price crash not imminent despite bubble ... Reuters Story Link

James Brown : 6/3/2008 11:18:48 AM

Abercrombie & Fitch (ANF) is down 1.6% and hitting new four-week lows after being downgraded today. The analyst lowered their price target from $86 to $69. The stock bounced from $69.50 this morning but looks poised to break that level. A move under $69.50 or $69.00 might be a new bearish entry point. Traders could target $66.00-65.00. Chart: Link

Jeff Bailey : 6/3/2008 11:18:01 AM

Dell Computer (DELL) $23.44 +2.85% ... shuffled up to #5 most active. 200-day SMA $23.36 has provided CLOSING resistance since Thursday evening's earnings.

Jeff Bailey : 6/3/2008 11:10:22 AM

Euro CurrencyShares (FXE) $154.68 -0.48% ... FXE-FA are $0.45 x $0.55 (these are naked calls)

Jeff Bailey : 6/3/2008 11:08:26 AM

DXY 73.39 +0.50% (30-minute delayed) ... tries to reclaim its QUARTERLY Pivot.

Jeff Bailey : 6/3/2008 10:56:16 AM

Toll Brothers (TOL) $21.50 +2.57% ... Earnings Press Release Link

Consensus was for EPS loss of $0.89 on Revenue of $818.53.

Keene Little : 6/3/2008 10:52:50 AM

BIX just broke the March 17th low. Follow the money is still the best advice. But with techs and small caps holding up it might mean a choppy day, or at least morning. Short the DOW and long NDX makes a good pair trade right now.

Keene Little : 6/3/2008 10:47:43 AM

Banks (BIX) breaking to a new low below yesterday's and is close to testing the March 17th low at 218.64 (currently trading just over 219). Daily chart: Link

Keene Little : 6/3/2008 10:38:37 AM

The strong bounce up did not hold but the sharp pullback has not made new daily lows yet. If the lows hold we'll either chop around and consolidate or head higher again. If this morning's lows break then I'd be a little careful about a larger choppy consolidation between yesterday's low and today's high. So far I don't see a good trade setup.

James Brown : 6/3/2008 10:37:18 AM

CNBC saying that George Soros believes there is a bubble in the oil market.

James Brown : 6/3/2008 10:36:07 AM

Gold is bouncing from its intraday lows and from its trendline of support. Here's a chart of the GLD ETF: Link

Jeff Bailey : 6/3/2008 10:35:53 AM

Financial Select SPDRs (XLF) from last night's wrap Link

Linda Piazza : 6/3/2008 10:34:06 AM

For the OEX, resistance at 635.12 held on 15-minute closes and, in fact, wasn't even touched. OEX bulls now want 632.18 potential support on 15-minute closes to hold. For the SPX, Keltner resistance now at 1392.24 held on the 15-minute closes. Now, equity bulls want support near 1386.83 to hold.

James Brown : 6/3/2008 10:32:12 AM

Unleaded gasoline holding at the record-setting $3.98/gallon level. Triple-A's daily fuel gauge report stating that one month ago gas was $3.61 on a national average and $3.16 a year ago.

Jeff Bailey : 6/3/2008 10:31:42 AM

Most Actives ... INTC $23.44 +1.03%, MSFT $28.01 +0.75%, SPY $139.18 +0.20%, BAC $33.33 -0.74%, CSCO $26.601 +0.98%, LEH $32.25 -4.67%, QQQQ $49.64 +0.48%, XLE $86.88 +0.42%, AMAT $19.17 -1.43%, XLF $24.35 -0.16%

Linda Piazza : 6/3/2008 10:30:17 AM

The VIX has been dropping since the 3:15 candle yesterday afternoon. It's now approaching a 50% retracement of its climb from Friday's low into Monday's high as well as potential Keltner support, both near 19.01-19.05. It's at 19.12 as I type. Equity bulls should keep this on their radar screens, as it's possible that the VIX approaching support that could hold. Bears of course don't want to see that support lost, with a next target for the VIX near 18.54-18.68.

James Brown : 6/3/2008 10:28:12 AM

I liked your 10:12 post, Keene. I always wondered where the name "Helicopter Ben" came from.

Linda Piazza : 6/3/2008 10:22:21 AM

This morning's rise in the OEX sent it up to test and even pierce what had served as the ascending trendline off last Tuesday's low until it was broken yesterday. So, this is a possible "kiss goodbye" test. Bulls don't want to see a steep decline now and would rather that the OEX just climb the underside of that trendline if it can't break above it. A break back above the trendline would be confirmed by a 30-minute close above 634.70.

Linda Piazza : 6/3/2008 10:19:05 AM

A/D line now 449, and, despite the higher high, it is indeed so far mostly just chopping around within a range in the middle of the upper half of its Keltner channels. This so far does fit within the two scenarios, especially the possibility of a choppy, consolidation-type day or maybe a smaller-range day within yesterday's range.

Jeff Bailey : 6/3/2008 10:18:54 AM

10:00 Internals found at this Link

Note: It would take a closing session measure of 42.00% or higher for the NYSE's 5-day NH/NL ratio to see a 3-box reversal back higher.

Keene Little : 6/3/2008 10:12:13 AM

I have to smile when I read Bernanke's comments about the weakness of the dollar. It was his talk a few years ago about the wonderful technology the Fed has to create liquidity when needed. It's called the "printing press" as he referred to it when he said they could produce all the money that was needed whenever it was needed.

He got the name Helicopter Ben through this. He may be doing a little backpedaling as he looks in the mirror and recognizes who's causing the problem. I say good for him if he's willing to own up to the problem (even if he doesn't come out and say it) and fix it.

Linda Piazza : 6/3/2008 10:09:58 AM

New high for the day for the A/D line now. It's 710 as I type, approaching 1060 potential historical resistance and Keltner resistance now at 1223. Bulls don't want to see another strong pullback as that questions this breakout, too. I can't tell you where they want support to hold because there is in truth no nearby Keltner support. That's way down at -198 to -320 now.

Linda Piazza : 6/3/2008 10:07:51 AM

The OEX tests potential resistance near 633.60 on 15-minute closes, with the OEX at 634.58 as I type. Next potential resistance is now about 635.20. The SPX has already leaped ahead to surge through that higher resistance level, now at 1391.38, with the SPX at 1392.84. We haven't seen the close of this 15-minute period yet, though, to know if that resistance is going to hold.

Jane Fox : 6/3/2008 10:06:18 AM

WASHINGTON (MarketWatch) - Orders for U.S.-made factory increased a better-than-expected 1.1% in April, largely due higher prices for gasoline and other petroleum products, the Commerce Department reported Tuesday.

Orders for durable goods fell 0.6% in April, revised down from the 0.5% drop estimated last week. Orders and shipments of nondurable goods rose 2.8% in current dollars, led by a 6.3% increase at petroleum refineries, which nearly matched the rise in gasoline prices during the month.

The report painted a very mixed picture of the factory sector, with some areas very strong and others very weak. The factory orders data can be very volatile on a month-to-month basis.

Excluding the 7.9% drop in orders for transportation goods, factory orders rose 2.6%.

Excluding the 6.2% increase in orders for petroleum goods, factory orders rose 0.4%.

Jane Fox : 6/3/2008 10:05:22 AM

WASHINGTON (MarketWatch) -- Breaking a long-standing tradition of relative silence on the dollar, Federal Reserve Board Chairman Ben Bernanke signaled discomfort Tuesday with the weak dollar's ramifications for the domestic U.S. economy.

The challenges that the U.S. economy has faced over the past year or so "have generated some downward pressures on the foreign exchange value of the dollar, which have contributed to the unwelcome rise in import prices and consumer price inflation," Bernanke said in a speech via satellite to an international banker's forum.

The Fed is "attentive to the implications of changes in the value of the dollar for inflation and inflation expectations and will continue to formulate policy to guard against risks" to price stability and sustainable growth, he said. Over time, Fed policy will be a key factor "ensuring that the dollar remains a strong, stable currency."

"In collaboration with our colleagues at the Treasury, we continue to carefully monitor developments in foreign exchange markets," Bernanke said.

Linda Piazza : 6/3/2008 10:04:16 AM

The A/D line spikes higher again. If this is to be a choppy, hard-to-predict-movement day, then it will likely chop around mostly within the already-established range for today. We'll soon see. At 587 as I type, it's approaching the 641 previous high of the day.

Jane Fox : 6/3/2008 10:04:06 AM

April factory orders ex-transportation up 2.6%

April factory shipments rise 2.2%, most in 15 months

April factory inventories unchanged

April core capital equipment orders surge 4.0%

April factory orders rise 1.1% vs. 0.1% expected

April factory orders up 1.1% on higher energy prices

Keene Little : 6/3/2008 10:04:05 AM

Techs are leading the way higher again, this time joined by the small caps.

Keene Little : 6/3/2008 10:02:58 AM

ES closed this morning's gap and is bouncing back up. If the quick low this morning holds then we could have a bullish day.

James Brown : 6/3/2008 10:03:09 AM

oil refiner Valero Energy (VLO) is up 3 days in a row and breaking out over its 100-dma.

Linda Piazza : 6/3/2008 10:01:33 AM

The MID, the S&P MidCap, certainly isn't yet showing much weakness. It's been climbing since yesterday's 11:30 candle and is now testing resistance near 876.80. It's punched above that once today and its pullback was small, and now it's back at 876.84 as I type. The MID is often a momentum-type index that serves as an indicator of whether investors feel like speculating a bit more or not. The RUT is showing a similar pattern. A couple of days last week, we saw these two indices try to lead others higher, only to have those heavier indices pull them down for a time before rebounding again. It looks as if they might be trying again to lead others such as the SPX and OEX higher. If so, watch for potential resistance on 15-minute closes at 632.88-633.50 and 635.25 on the OEX and 1388.60 and then 1391.40 for the SPX.

Jane Fox : 6/3/2008 10:01:11 AM

Remember 10:00a.m. Apr Factory Orders: Expected: +0.1%. Previous: +1.4%.

Jane Fox : 6/3/2008 10:00:38 AM

Dateline WSJ - Highlights: Economy?s Path ?Considerably? Uncertain Dennis Lockhart, president of the Federal Reserve Bank of Atlanta, says in a speech today that ? despite improvement on some fronts ? ?the path of the economy is still enveloped in considerably uncertainty, and serious risks remain.? He describes inflation as having reached ?uncomfortable levels of inflation with hints of rising inflation expectations.? Mr. Lockhart cites three key risks to the economy: renewed financial instability, an oil price shock due to growing global demand, and an even steeper decline of house prices. Excerpts of his remarks to the Jacksonville (Fla.) Regional Chamber of Commerce:

Keene Little : 6/3/2008 10:00:16 AM

The euro has broken below the May 30 low and the US dollar is breaking to a new high for the move up from its May low. I expect gold and oil will follow the euro lower.

James Brown : 6/3/2008 9:58:13 AM

Some of the steelmakers are higher thanks to positive analyst comments. A Deutsche Bank analyst raised his price targets on X and MT due to rising steel prices.

The price target on U.S.Steel (X) was raised from $165 to $220. The price target on ArcelorMittal (MT) was raised from $119 to $130.

X +1.8% to $175.00 and nearing short-term resistance at its 10-dma.
MT +1.9% and nearing resistance at $100.00

Another steel stock up today is NUE +1.8%.

Jane Fox : 6/3/2008 9:54:12 AM

Internals are bearish; VIX up, AD volume down and AD ratio down. Link

Keene Little : 6/3/2008 9:53:34 AM

So far it looks more like a gap n crap for the equity market but it continues to be bifurcated--the DOW futures spiked back down, and the DOW is in the red, while NDX futures have held up reasonably well and remain in the green.

James Brown : 6/3/2008 9:51:27 AM

Dow-component McDonald's (MCD) is breaking down under its 50-dma and looks ready to breakdown under $58.00 and its four-month trendline of support. chart: Link

Linda Piazza : 6/3/2008 9:51:22 AM

Oh, Jane and I were posting about the A/D line at nearly the same time. That just goes to show how important it is to watch! Be sure to read Jane's commentary as she's been watching these intermarket relationships for a long time. The two of us have different perspectives and maybe it will help you from going afield.

Linda Piazza : 6/3/2008 9:50:10 AM

The A/D line is now 88, dropping rapidly. That's obviously not a good sign for equity bulls. It's dropping now into a congestion zone from Friday, so it's possible that this support could hold, but, if not, watch for potentially strong support at -250 to -340 to kick in and at least prompt a stalling of the decline. If not, then . . . well, that's not good.

Jane Fox : 6/3/2008 9:49:05 AM

AD line at +220 is not what you would call neither bullish not bearish.

Linda Piazza : 6/3/2008 9:48:20 AM

The OEX's 15-minute 9-ema is now about 631.30. The SPX has important support, including that 9-ema, extending down to 1384.22. Bulls want these support levels to hold on 15-minute closes.

Jane Fox : 6/3/2008 9:45:11 AM

I will be taking a sabbatical for the month of June but will be popping in occassionaly. Can't leave the Monitor for good.

Linda Piazza : 6/3/2008 9:43:52 AM

USDJPY is now 105.29, with the upper Keltner resistance on 15-minute closes essentially holding. So is daily resistance on daily closes now at about 105.50.

Linda Piazza : 6/3/2008 9:42:39 AM

The A/D line is currently 400, pulling back from its 641 high, but still basically in the middle of the upper half of the Keltner channels on its 15-minute chart, squarely between support and resistance. There's not much information here except that the A/D line is not holding onto gains, questioning whether one of those two possible scenarios is in fact going to be enacted. Don't panic, but do plan accordingly, remembering that one of those scenarios is a consolidation type day, which means that all chart setups will be questionable.

James Brown : 6/3/2008 9:41:54 AM

Hummer sales are down 30% thanks to high gas prices. GM thinking about selling the brand.

James Brown : 6/3/2008 9:40:45 AM

GM's Chairman and CEO saying, "these higher gasoline prices are changing consumer behavior and rapidly.... We at GM DON'T believe this is some sort of spike or temporary shift but that this is permanent."

Linda Piazza : 6/3/2008 9:40:22 AM

We got the OEX move up to the 633.61 next Keltner resistance on 15-minute closes, and, so far, that has been resistance. We often get a small reversal after about five minutes of trading, so it's possible this is all this is, but this is a pretty big reversal, so remain aware that this resistance may hold. If there's a further pullback, equity bulls want the 15-minute 9-ema at 631.29 to hold as support on 15-minute closes. If the OEX instead punches up again, bears want the 633.61 level to hold as resistance.

Linda Piazza : 6/3/2008 9:34:53 AM

Keltner outlook on the A/D Line: The A/D line jumps and starts the day in the upper or bullish half of its Keltner channels. It's smack in the middle of that upper half, though, which questions whether it will rise toward 1160 or drop toward -270 to -340. So far, it looks as if we'll get the rising version. If so, watch for historical resistance beginning about 1060 and then that potential Keltner resistance mentioned earlier. Bulls don't want to see the A/D line knocked back quickly from resistance.

James Brown : 6/3/2008 9:31:36 AM

Eastman Chemical Co (EMN) is ticking higher this morning. Currently above $76. This morning EMN issued a press release stating that they had acquired 100% ownership of the Green Rock Energy LLC in Beaumont, Texas, which is an industrial gasification project. This is a project to convert petroleum coke (a.k.a. coal) into hydrogen, methanol, and ammonia.

James Brown : 6/3/2008 9:30:47 AM

Bernanke...we may see somewhat better economic conditions in the second half of 2008

Keene Little : 6/3/2008 9:28:00 AM

Bernanke's talk about his discomfort with the weak dollar has sent the dollar higher and the euro is dropping hard this morning. That has the metals and other commodities, including oil, dropping hard as well. Equities are going to start in the green so unless there's going to be a gap n crap, a bullish start to the day could hold and have the market heading back up.

Linda Piazza : 6/3/2008 9:27:05 AM

As James has pointed out, Federal Reserve Governor Ben Bernanke is speaking. His words have the power to change any short-term chart setups, so these further comments are given with that caveat.

Futures are up a bit this morning, although if I'm remembering correctly, mostly in line with fair values. That's not giving us much guidance then. However, the USDJPY just spiked higher above what had been Keltner resistance at 104.70. It's 105.36 as I type, already hitting its next Keltner target and potential resistance that had been at 105.25 on 15-minute closes. This could be significant resistance. Short-term this climb is good for equities, but yesterday was a bad day for the USDJPY, reversing it back within its consolidation zone. This climb is just within yesterday's range, back up to test what had been resistance on the daily chart. So, it's not really telling us much beyond the very short term, and that's only if it holds these current values and isn't knocked back from this strong resistance it's testing.

At the close yesterday, I noted that when the OEX produced candles such as yesterday's in the last six to seven months, the following day tended to follow one of two patterns. Either prices responded to the end-of-day buying and produced a consolidation or (usually) inside-day green candle and then declined the next day or else there was a strong decline without that intervening day of consolidation or to produce an inside-day candle. Those patterns don't have to repeat. In fact, I wouldn't be surprised to just see a bunch of chopping around for a while. However, but we should at least keep it on our radar screens and be aware of the possibility.

As the day ended yesterday, the OEX was clinging to Keltner S/R on 15-minute closes at 631.64. It hadn't really pulled convincingly free of that resistance. Therefore, it looks about equally likely that the OEX could climb toward 633.57 or drop at least to 631.12 or maybe even 629.27. Whatever happpens first, remember that consolidation/inside-day or a strong decline both remain possibilities and trade (or don't) accordingly.

James Brown : 6/3/2008 9:23:33 AM

Some quick quotes from Bernanke:
home construction now well below where it was in 2000.
Another factor is the unprecedented growth in emerging markets. From the U.S. perspective this growth has been a double-edged sword. .... this growing demand for raw materials, together with a variety of constraints on supply, have been a major cause in the escalation of prices of oil and other commodities.

James Brown : 6/3/2008 9:18:17 AM

Some quick quotes from Bernanke:
Housing boom.. began in 1990s.. picked up steam in 2000. Between 1996 and 2005 housing prices increased about 90%. From 2000-2005 home prices rose roughly 60% far outstripping the increases in incomes. This lead to 40% jump in home construction. In 2006 the boom went bust. In the past two years building activity has been cut in half.

James Brown : 6/3/2008 9:14:46 AM

Fed Governor Bernanke currently speaking live in Washington. Discussing the housing market and credit markets.

James Brown : 6/3/2008 9:13:34 AM

Crude Oil sinking fast... Oil is now down $1.53 to $126.23.

USO trading lower toward $102.30. The $100.00 level looks like potential support on the USO.

James Brown : 6/3/2008 9:09:15 AM

Shares of Dow-component General Motors (GM) are up 30 cents in pre-market to $17.75. The company is holding its annual shareholder meeting today around 10:15 a.m. Eastern. The company has already released some news out this morning that they are closing four truck and SUV manufacturing plants in a shift to focus on smaller, more fuel-efficient cars. The move should help GM save another $1 billion a year.

James Brown : 6/3/2008 9:05:46 AM

Shares of high-flying MasterCard (MA) could be poised for more gains again today. Yesterday the stock closed around $304. This morning MA is bouncing around quite a bit between $311 and $320.

Two different analyst firms have raised their price targets on MA. One raised it to $367. Another raised it to $390.

James Brown : 6/3/2008 9:01:55 AM

Crude oil is fractionally lower... down about 12 cents to $127.64.

Glancing at the USO ($103.05), this oil etf might be building a bull flag pattern.

James Brown : 6/3/2008 8:58:03 AM

Lehman Brothers (LEH) still making headlines. Just a quick glance and the stock is inching higher in pre-market trading. Currently above $34. It closed at $33.83 yesterday.

James Brown : 6/3/2008 8:55:22 AM

Weekly same-store sales rose 1.2% according to the International Council of Shopping Centers.

"Even with a little less than about half of the federal tax rebate monies being distributed, there is little overall evidence of any spending lift given the increased spending drag from energy prices." said ICSC's chief economist. (source: CBSMW)

James Brown : 6/3/2008 8:50:10 AM

Asian markets overnight...

Chinese Shanghai Composite.... -0.65%
Hong Kong Hang Seng .......... -1.83%
Japanese NIKKEI 225 Index..... -1.60%

European markets...

French CAC 40 ........... +0.52%
German DAX .............. -0.11%
English FTSE 100 ........ +0.48%

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