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StreetOne Technical Analysis, LLC Market Summary-02/19/2010

|Includes: GLD, IBB, QLD, PowerShares QQQ Trust ETF (QQQ), UDN, UUP, XLF
The Market opened weak, but by late morning had moved into positive territory, and increased the gains into the close. At the close, the DJIA was up .8%, the S&P500 up 7 points, and the Nasdaq100 up 12 points. The DJIA and the Nadaq100 closed just above their 50D-SMA, with the S&P500 just below.  The indices have now put some distance from important support levels and their 200D-EMA. We’ve now retraced better then 50% of the recent correction by all three major indices. Volume in the recent session was weak, making the move lack conviction. Over all, the technical landscape has improved the last few sessions. The Financials (XLF), moved up nearly 1% to 14.38. Strong resistance remains between 14.40 and 14.50. Support remains at 14.30, 14.15, 14.00, 13.75 and 13.50. Resistance now at 14.40, 14.50 and 14.60. GOLD(GLD) closed at 109.98 and held the 109.80 level. If we hold here, it becomes a buy with short term resistance near 113.00. The VIX closed down 2.3% to 21.72.
 
Trading Trend
Long term, we’ve retraced over 50% of correction and if we can hold, upward bias will resume. Short term, bias has reversed to the upside, but we are right near congestion area. Near term, bias has been to the upside on weak volume. We are in a congestion area and may move sideways before resuming a more important move.  Options expire today and may impact volatility. Today’s futures(at 8:15am) are down slightly versus fair value. Economic growth indicators and U.S. Treasury funding have become the new key Market movers.
 
Major Economic Reports Today:
CPI-8:30am  
 
MAJOR INDICES- Short term support and resistance levels.
DJIA-(close 10392) SP500-(close 1106)   N100-(close 1823)
 
    S           R                  S         R                    S          R
10355    10500            1103   1108              1820     1830
10272    10540            1100   1115              1812     1840
10221    10544            1098   1120              1800    1845
10200    10650            1097   1130              1798     1850   
10185    10725            1091   1135              1790    1864
10150                          1086   1143              1783         
10000                          1085   1150              1775                                                              
 9925                          1080                        1758                 
 9900                          1070                         1742                              
 9850                          1052                         
 
 
 
Trade Ideas
QQQQ(Powershares Nasdaq100)-Closed 44.85. Remains a buy if we can hold above 44.60. Similar trade is QLD(2X leverage)- Closed -56.69. Remains buy above 56.50.
IBB-(Ishares Biotech)-Pulled back below 85.50 to close at 85.27. A buy or add to position only above 85.50. Resistance at 85.50, and 86.00-86.20.
UUP(Powershares U.S. Dollar)- Trading in range(23.40-23.70). Breakout above 23.70 would take short term move to 24.00, with next resistance at 24.50. Conversely, the UDN(Powershares Dollar Bearish) would breakdown below 26.50, with next support near 26.00.

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