Stocks...
Spu’s… 2049-46 is the key mvg avg convergence level where the 50 & 200 DMA meet.
This is the closing area that will run the next swing. Above the Indices remain firm led by the momentum names.
DD…Du Pont will see profit taking below 71.47. It’s currently trading over 72 on M&A news along with DOW.
CMG...needs over 552 resistance to rally.
HYG…High Yield has been getting smoked going into the Fed decision next week. It’s getting very oversold, however there is room to go to 79 before you look for any kind of a bounce.
Bonds...
In general I would look for then to come down before they can rally again.
Bund…the buy level is 157.00 +- 15 ticks.
FX…
Euro…109.56 is the 50 DMA. 110.32 is today’s 200 DMA matching the OCT close.
This is resistance with resting buy stops above.
AUD/USD…71.70 is top of the cloud and the Nov. 30th Low. This is a must close above level.
EUR/AUD…152.33 is the 50 DMA. Match this level up with Euro resistance and Aussie support the first time. Sustained price action through the level will lead to more Euro short covering.
Commodities…
Gold…1067 is now must hold support and the closing downside pivot.
OIL…Inventory #’s are out @ 9:30 CDT. It’s all about how high the rally can go. 40 would be the low risk sell level with a very tight stop.
General Comments or Valuable Insight.
Welcome to the mid-week shuffle.
Today it would be inadvisable to sell weakness in the Equity Indices, particularly the Spu’s where you’d be fighting the major mvg averages and the yearly close.
It’s a buy em before you sell them zone.
If the Indices are to hold up it will come from in here.
EUR/AUD
S&P 500
Gold
HYG…High Yield ETF
Crude
