Today's Four in Four Key Levels:
- Yields - The yield on the 10-Year US Treasury should continue to trade between my annual value level at 2.502 and semiannual risky level at 1.903 around the 200-day simple moving average at 2.180.
- Commodities - Gold is influenced by a semiannual pivot at $1635.8, which has been a strong magnet year to date. A weekly close below $1635.8 indicates risk to my annual value level at $1575.8. The 200-day simple moving average remains a barrier at $1686.3. Crude oil should remain above my new quarterly value level at $101.55 as my annual and semiannual pivots at $103.58 and $104.84 provide stabilizing forces.
- Currencies - The euro versus the dollar remains above its 50-day simple moving average at 1.3212 with this week's pivot at 1.3345.
- Equities - New quarterly value levels are 12,794 Dow Industrials, 1337.7 SPX and 2911 NASDAQ. My quarterly and annual pivots are 829.34 Q / 836.15 A on the Russell 2000 and 1363.2 A SPX. My quarterly risky level is 5420 on Dow Transports. We can still see new 52-week highs for Industrials, S&P 500 and NASDAQ, but my prediction remains that Dow Transports and Russell 2000 will continue to lag 2011 all time highs at 5627.85 set on July 7th and 868.57 set on May 2nd.
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