Day 28
Situation:
U.S. Markets: Volatile session closing down. Not much to say. 2nd day we closed below 1391, which is the breakout mark out of a possible broadening top in the S&P. Waiting for today’s Bernanke speech and some results.
Asian Markets: Japan stocks climb as Dollar tries to recover on ECB comments, which were interpreted as “dovish”. China sells off more than 3%. was so far the only big equity market with a positive 2008 performance.
Commodities/Currencies : Oil recovers to above 91$ after trading below 90 shortly yesterday..
Events: US … building permits, housing starts, jobless claims, Philadelphia FED, Gas figures. Bernanke speaks. Merill Lynch, WaMu reporting. Europe … ECB monthly report, Trichet speaks.
Ideas/Strategy: Wait and see as market is undecided at the moment. A bit favoring the downside.
supports: 7530 … 7511 … 7480 … 7470 … 7440 … 7410
resists: 7595 … 7615 … 7655/60 … 7690 … 7730/35
Tags: daily outlook, Merill Lynch, S&P, WaMu
