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StreetOne Technical Analysis, LLC Market Summary-02/17/2010

|Includes: FAZ, GLD, IBB, QID, UDN, UUP, XLF, Technology Select Sector SPDR ETF (XLK)
The Market gapped up moderately at the open, held its levels and displayed renewed strength into the close. At the closing bell, the DJIA was up 1.6%, the S&P500 up 1.7%, and the Nasdaq100 up 1.2%. All three indices moved above their 20D-EMA and closed very near their 50D-EMA. All three are also back above their 20 week-EMA. The indices have now put some distance from important support levels and their 200D-EMA. With a cross in the MACD of the indices and recent strength, they are showing signs of wanting to reverse the recent correction.  The DJIA has retraced 44% of its recent correction, the S&P500- 40%, and the Nasdaq100- 42%. The Financials (XLF), moved up 2% to 14.24 and back into its recent trading range. Support is now at 14.15, 14.00, 13.75 and 13.50. Resistance now at 14.30, 14.40, 14.50 and 14.60. GOLD(GLD) gapped up and finished with a nice gain to 109.62. It met resistance near 109.80, which it needs to get through to be a buy. The VIX closed down 1.9% to 22.28.
 
Trading Trend
Long term, we remain in a correction, below ten month trading channel and 50% retracement levels in the DJIA and S&P500. Short term, bias remains to the downside, but signals of a reversal beginning to manifest themselves. Recent strength and bouncing off important support levels indicates some near term strength. Today’s futures(at 8:15am) are up slightly versus fair value. Economic growth indicators and U.S. Treasury funding have become the new key Market movers.
 
Major Economic Reports Today:
Housing Starts/Building Permits-8:30am   Import/Export Prices-8:30am
Capacity Util./Industrial Production-9:15am   FOMC Minutes-2:00pm   
 
MAJOR INDICES- Short term support and resistance levels.
DJIA-(close 10268)                       SP500-(close 1094)                 N-100-(close 1802)
 
    S                  R                               S                 R                              S                R
10268          10355                         1089            1097                        1800           1820
10203          10500                         1085            1100                        1797           1830
10200          10540                         1081            1103                        1787           1840
10150          10650                         1080            1115                        1775           1845   
10139                                             1070            1120                        1774           1850
10000                                             1050            1130                        1758           
  9925                                             1048           1135                        1742                                                                
 9850                                             1043                                           1735                   
 9819                                             1035                                            1730                              
 9786                                             1030                                            1720
 9725
 
Trade Ideas
XLK(SPDR Technology)- Closed-21.68. A buy if we get over 22.00.
IBB-(Ishares Biotech)-Closed up to 84.47. Remains buy over 83.20, meeting some resistance near 85.00.
FAZ(Financials Bear-3X)- Broke down from recent range but good support near 19.00-19.10. QID(Proshares Q’s ultra short)-Broke down from recent range. A buy if we get back above 20.40. UUP(Powershares U.S. Dollar)- Remains in range:(23.40-23.70). The UUP continues to meet resistance near 23.70 area. Conversely, the UDN(Powershares Dollar Bearish) has support near 26.50, has moved above its 10D-EMA, but remains below its 200D-EMA.


Disclosure: No positions

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