Day 21
Welcome to the hopefully exciting year 2008 
Situation:
U.S. Markets: Very weak Friday after a very weak week. Question is: As today most people return to work, will this harsh move to the downside confirmed or did we only see wak hands selling and now … as it is “cheap” we see buying??? Bonds and Equities seem to be pushed to the “wrong” side. Let’s see, how this pans out. I would not be too surprised to see a sharp rally today to the upside. Interestingly, fundamental guys turn bullish. Lehman sees on 2007 yearend prices, stocks against bonds as cheap as not since 1974! Even more interesting is an analysis from Goldman Sachs, pointing out, that a top/down approach leads them to a S&P 2008 yearend target of 1600+ points, but bottom/up they see the S&P rise to 1900+ WOW … didn’t we think, they are bearish? If these recomendations are bearish, I need seat belts *lol*
Asian Markets: Markets down on WallStreet’s fall, only China holds up.
Commodities/Currencies : Yen weakens this morning as appetite for carry trade rises … commodities slightly down.
Events: US … announcement on 10 year TIPS sales Europe: PPI, Business Climate, Cons. confidence
Ideas/Strategy: As I start trading today, very cautiously to get a feeling for the market. Rather liking the upside.
supports: 7840 … 7800 … 7760/70
resists: 7880/90 … 7940 … 8000/8005 … 8040
Tags: carry trade, daily outlook, Goldman, Lehman, S&P
