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BTDStocks.com Tuesday, April 26, 2011 End-of-Day Update

|Includes: CCJ, CSCO, SPDR Dow Jones Industrial Average ETF (DIA), EUO, FDO, PSQ, RWM, SH, SPY, TIP, TLT, UUP, VXX

Stocks rose today with gains in the major indexes (DJIA, S&P 500, and Nasdaq Composite) ranging between 0.8% and 0.9%. The indexes finished in the upper end of their intra-day trading range. Investor participation finished above average and market breadth was strong on the positive side. In addition, the S&P 500 (NYSEARCA:SPY) finished at its highest close since June 2008. As a result, we are raising the support/resistance levels on the S&P 500 and Nasdaq Composite (QQQQ) (see below). For the DJIA (NYSEARCA:DIA) we are keeping the support the same but raising the resistance level (see below). One interesting development to watch going forward are the gap ups the S&P 500 and Nasdaq Composite created back on Wednesday, April 20th. For the S&P 500 there is a gap between 1,313 and 1,319 and between 2,745 and 2,786 on the Nasdaq Composite. We feel that if the stock market is going to move significantly higher from here then it would be healthy to see the indexes close these gaps before moving higher. The current stock market direction low volatility and high complacency environment does present a risk that if the market decides to close these gaps then a sell-off might test levels below the 1,313 and 2,745 levels on the S&P 500 and Nasdaq Composite, respectively. We feel the prudent approach is to be cautious when adding to stock positions. If you need to own stocks, please see our watch list below. In our watch list today we added an additional position in the iPath S&P 500 VIX Short-Term Futures ETN (symbol: VXX) at the intra-day price of $23.68. We now have three positions in VXX in our watch list. In addition, we removed at the intra-day price of $17.60 the position in Cisco Systems (symbol: CSCO) added to the watch list on Thursday, April 14, 2011. This position in CSCO was added at $17.12. While on the watch list this position in CSCO returned 2.8% in 12 days. We have one position in CSCO remaining on the watch list.

No positions in securities mentioned.