Spu’s…are stuck between 1375-1390 on top.

NASD 100… same deal…2700+- and 2730 on top.

USD/JPY…81.88 ( app 122.25 Futures) should be your focus for further price action. We previously identified (123.25 Futures.) as a significant level. That was last night’s high. What was support is now resistance.

EUR/JPY..we don’t see much over 107.50-70 without some more price action.

This cross has been a descent Risk indicator, meaning when the cross is at or near resistance, the Equity Indices should struggle to rally.

General Comments…

Pick a side to trade from “at a level” with a tight stop today. New Highs or lows should not be pressed today…they can be directional traps. Be wary of any break out not following through. Don’t get too opinionated. Trade what you see. The only instrument we have left are Long the miners.

Model Trading Portfolio…Current Holdings

………………                               Stop Close             Profit Points

Long GDXJ                              22                            24.79/25.88

Short Term View

We’re looking for the Gold to bottom.

We are placing a resting order to BUY NATGAS @ 1.70 ( Dr. Nenner’s Long term Downside Tgt.)

Location ,Location,Location….if you have a good trad able pattern “Good Risk reward!” You just have to seize the opportunity and see what develops!

Take what the market gives you , will be the order of the day.

Trade to Make Money!

Medium Term View…This will be updated next week for the 2nd Qtr.

30 yr. Bonds … 138.00 ish now becomes our macro pivot. Closing above this level would be short term positive the Bonds and negative the Equities. We will look to buy a multi-point break in the 30 for a rally into the fall in keeping with a general risk averse market theme.

Equities…While, we were in strategic buy mode for the first quarter, we now believe the market is fairly priced. The equity indices deserve a break. The operative question becomes, from what level and when can a break develop. We will monitor instruments on an individual basis vs. the general Risk On/ Risk Off correlation we saw last year, when most instruments traded via the theme of the day.

Copper…We’re looking to sell rallies in the Copper against a 377 weekly close. We regard this as an ancillary short to the general Risk Odd theme going forward into late this qtr.

We’ve been doing this 35+ years…I’m hard pressed to recall a year when we haven’t gone back and attempted a re-test of the yearly close in the equity indices at least once. Yes, we are looking for a re-test over the next 5-4- months. Indices can still grind higher to the upper tgt levels over the next few weeks before profit taking ensues.

We are going to be highly flexible this qtr….we are not getting married to a central theme , nor are we getting into the long term prediction business. Having a bias is one thing, being patient and executing with a  defined risk parameter another. Our business is Risk Management.

Currencies…AUD/USD continues to be a good risk barometer. 102 is the near term macro pivot! ( This is a multi-year level) 111 is the upside pivot. Anything in between is just that, in between….no break outs! Closes above 105.30 would be deemed near term positive.