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.

4 May Jesus defeated. Bear market is over as declared by national TV.

888 has been surpassed to a high of 897, now hovering below 900 contemplating.

there is the double bottom target for SPX. While Financial do rise, but not as much, the gap up of SPX seems bullish towards eventual 915.

Obama speaking at 11 am ET outlining international tax proposal, i.e. no more offshore tax haven for US companies.
Monies now has no where to hide. Is this another Bush era Homeland repatriation plan ? which led to strong USD in late 2005 ?

Would Wallstreet vote with their 2 feet ?

Now everywhere we see Daffodils.
Seems like all the good news are out.

Bears stay aside. Now CNBC says Banks 1 Trillion in capital reserves, wow!!!!

Tiny Tim (who had problem passing his confirmation with his tax problem) is talking about tax cheats. Obiwan administration is now so pathetic. A bunch of clowns doing PR and smoke screen.

CNBC now declares the Bear market is over

2 May Baal

The belief that Satan is in Hell is a likely product of cartoons and movies rather than what is portrayed in the Bible. The Bible states that he still roams heaven and earth. Job 1:6 states that Satan appeared with other angels "before the Lord." Presumably in heaven. When God asked Satan where he had been, Satan replied, "From roaming through the earth and going back and forth in it." 1 Peter 5:8 declares, "Your enemy the devil prowls around like a roaring lion looking for someone to devour."

Satan will be cast into the lake of burning sulfur (Hell), but it is only after the battle involving Gog and Magog (which means the nations of the earth). When the enemies of God are defeated, "the devil, who deceived them, was thrown into the lake of burning sulfur, where the beast and the false prophet were thrown." Rev 20:7-10 (New International Version).

Hence Satan is above hell.

2 May Chrysler

Now politics is even above law, bankruptcy code. seems like it is quite meaningless to be a bondholders, or secured creditors nowadays.

7 May is the release of the Stress Test, instead of Monday. Perhaps the game plan would be for a pullback on Monday, followed by continous rise. Whether it would break 888 is a question.

The Stress Test result would be glorious, the market reaction unknown.

The market has very much reflected the current bout of good economic data. Economy is indeed recovering, and the Swine Flu is subsiding.

It is all goldilock once more.

1 May 888

In Greek, the name of Jesus is spelled I H S O U S (iota, eta, sigma, omicron, upsilon, sigma). Substituting in the Greek numeral system the equivalent numerical values to each letter in the name of Jesus and adding them up, the total is 888.

When Angel Lucifer rise to meet Jesus, guess what Jesus tells Lucifer ?

1 May Volcker has spoken

before the FOMC rate decision, Bloomberg interview Paul Volcker, ex Fed chairman, who raise rates to 10% to curb runaway inflation. He expects the economy to level off. And he stressed that the Banks would not be nationalised, and Banks still have problems.

The significant part of the FOMC was what they did not say. They did not announce further purchase of Treasuries.

The last annoucement has generated the rise from 750 to 888 almost 130 points. The effect of monies printing is obvious, and the FED is pulling back.

This would give grounds for the bulls to halt the rally in due time. This has stopped USD index from making a drop through significant support.

We would see USD holding strong, Euro to drift lower towards 1.2400 from current 1.3200. How far the Stock market would pull back, is not known yet. Gold would probably retest 1000, now in the beginning stage of wave 3 up.

30 April Bull market

this is indeed a wild bull, in the face of 6 banks needing capital, Chrysler bankrupt, Swine Flu. When it ends, it is going to be a big bang. The harder it goes up, the harder it falls.

The other objective of this bull, is to weed out the shorts. It starts to pay more and more to weed out the last remnants bears out there.

Looking at GS, see more block selling than buying. Block as in more than one thousand shares. like I see a big 5055 queue selling at 130 on the dot.

While the buying are more like small quantities, 100, 200, 300. Indeed we see a retail bull reaction.

The next down move would be heart wrenching for the retails, another generation of investors lost.

For the bears, you just wish the stock market just keep going higher. the higher it goes, the more pain is the fall.

The easiest way and more lucrative is another plunge.

USD index stage a rebound, Gold is holding 881, some obvious support there. EURO bounced off 1.3200.

Would the next big move be: Stock drop, Euro rise, Gold rise, Oil drop ?

Would not rule out SPX to 900.

GOLD and SPX on par again today at 883 to 886. Literally GOD and Devil kiss today, the last time was OPEX day 17 April.

The battle of Angel and Demon for 2nd time. Would there be a 3rd time, or they part ways as of today 30 April ?

My Gold Bug friend called me this morning, and said he is selling some of his paper Gold. Guess that is a contrarian signal. The retail is tired of holding Gold and GOld is not moving at all. We are going into the traditional lull months of Gold.
Also would "Sell in May, come back in September" norm happens for Stocks ?