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StreetOne Technical Analysis, LLC Market Summary-07/22/2010

|Includes: ProShares UltraShort Russell 2000 ETF (TWM)

 by David Chojnacki

The Market opened to the upside but quickly reversed. We traded on both sides of the flat line till the last two hours when selling propelled the indices to erase the prior session’s gains.  At the close, the DJIA was down 1%, with the S&P500 and Nasdaq100 losing 1.2%. Breadth was negative 1.8 to 1, with volume about average.  We continue to trade around technical levels and bounce in a wide range. The DJIA now has near term support at 10000, with 9908 the next key support level. Upside resistance is now at 10219 and 10355.  The S&P500 closed just below 1070, an important near term support level. Below here, the near term bias is to the downside.   Next support sets up as 1056(Feb. low). Upside resistance becomes 1083 and 1094. The Nasdaq100 fell back to close just above its 200D-EMA(1814). Important near term resistance is now 1835 and 1846.  1814 and 1800 will remain as near term support.  Since early May, all three major indices have used a declining 50D-SMA as top side resistance.  The DJIA and S&P ROC(10) has declined to negative after the last session. The VIX bounced off the 200D-SMA area again and spiked 7.1% to 25.64. 

 

Trading Trend

Long term, we continue below key primary technical levels, keeping bias to the downside.  Short term, bias remains to the downside. Near term, 1070 in S&P is a good indicator of bias, but as we have seen in recent sessions direction could last for just an hour or two. Remains a trader’s Market with good opportunities to trade the technical levels.  Earnings reports continue this week, with a couple key economic reports today. Today’s futures at(8:15am) are higher versus fair value.  The European debt crisis and U.S. economic recovery confirmation are the top Market movers.  

 

Major Economic Reports Today:

Initial/Continuing Claims-8:30am    Existing Home Sales-10:00am    Leading Indicators-10:00am                                    

 

 

MAJOR INDICES Short term support and resistance level

DJIA

(close 10120

SP500

(close 1069

N100

(close 1817

10000

10150

1056

1070

1814

1822

9925

10158

1050

1075

1800

1835

9908

10172

1044

1083

1781

1841

9810

10219

1035

1091

1775

1846

9725

10253

1025

1094

1750

1850

9667

10355

1019

 1100

1732

 1855

 

10388

1016

 1113

 

 1870

 

10401

1010

 1117

 

 1893

 

10500

 

 

 

 

 

 

 

Trade Ideas

 

Recent Trade

TWM-(ultra short Russell 2000 ProShares)-22.50, a gain of 3.45% in last session.      

 S1F in the News: http://www.streetonefinancial.com/news.html

 

DISCLAIMER LANGUAGE

ALL PRICES NOTED IN THIS PUBLICATION ARE AS OF THE CLOSE ON TRADING PRIOR TO TODAY’S DATE, UNLESS OTHERWISE INDICATED

This publication is neither an offer to sell nor a solicitation to buy any securities mentioned herein. The information contained herein is based on data obtained from recognized sources that are believed to be reliable. Street One Financial LLC (S1F) and Emerging Growth Equities, Ltd. (EGRO) have not independently verified the facts, assumptions and estimates contained in this publication. Accordingly, no representation or warranty, expressed or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information and opinions contained in this publication. The information contained in this publication is not and does not purport to be a complete analysis of every material fact respecting any company, industry, ETF or other security. Additional information concerning this publication may be available on request, if available. Many of the securities mentioned in this publication involve a higher degree of risk and more volatility than the securities of more established securities. For these and other reasons, the investments discussed in this publication may be unsuitable for investors depending on their specific investment objectives and financial position. Each investor should complete his or her own additional investigation and assessment prior to making investments in any securities. Transactions in securities mentioned herein may be effected only in those states where such securities are qualified for sale. Street One Technical Analysis LLC is an independently owned Company from Street One Financial LLC (S1F). S1F is an independent Company specializing in ETF’s, equities, and options utilizing the Broker/Dealer services and licenses of Emerging Growth Equities (EGRO), a fully registered Broker Dealer and member of SIPC/FINRA. All Partners of S1F are employees of EGRO. Through EGRO, S1F specializes in agency ETF/ETP, equities, and options trade execution. On the ETF/ETP end, S1F may work with the ETF issuers to understand their products more thoroughly and how they can complement an investor's portfolio.                                                                      © 2010 Emerging Growth Equities, Ltd

 

 

 

 




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