Wednesday, May 6, 2009

6 May day after SPX new high at 907








join in the bull for some targets. watch double bottom target of NDX. Watch GS at 140. GS today high is 136.20.

Gold has been higher, blamed it on weaker USD. Many traders expecting Gold to drop towards 800.

SPX has touched the upper channel of rising trend at 907 and bounced off. If bear takes over, 850 would be a reasonable pull back target. Otherwise SPX may just surge up after Thursday stress test result towards 38.2 retracement level of wave 3 at 960.

Eurusd has not touched the upper down trendline from 1.6 to 1.4700. quite risky ahead of ECB meeting (Thursday) also FED Stress Test day to long Euro. may be Euro spike to touch 1.3560 and then fall off. OR Euro has already started its decline towards 1.2400. a 1000 pips drop from here would be a good trade. However keep stops tight, incase surget towards 1.3700 happen, and this would constitute a major breakout for Euro.

Tit for tat, if 888 is violated, 666 would not hold either.

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