2008-09-26 Market Watch (Weekend)

This is the update to the last weekly analysis.

SPX daily:

Same chart and same outlook as the last week.  But I expect the SPX touches 1280 first.

SPX 60-min chart:

Short-term bullish.  1240 is the next target.

XLF daily:

Keep an eye on how it goes after Oct 2nd.  The turning point of SPX/XLF will be around Oct 3rd.

XLF 60-min:

Short-term bullish.  Buy UYG on the dip.  Avoid SKF at the moment.

QQQQ daily:

Mid-term bearish.  But this leg could be zigzagged and take some time to finish.

QQQQ 60-min:

Short-term bullish.  The next target is 44.

RUT daily:

Just a wild guess.  Short-term bullish, mid-term bearish.

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SSCC 60-min:

TAN 60-min:

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Credit risk and SPX:

The discrepancy between LIBOR and short term treasury bill is still very high, actually it's higher than yesterday.  Those banks are not trusting in each other, and this is a warning to the market internals.

Market glance:

INDU leads the broad market.  $COMPQ and $RUT are quite weak.  Transportation hit a new low.  Commodities is in correction but it looks like a bull flag.  US dollar is supported by MA50.

Sector glance:

Bullish percent of major markets:

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Regional banks are bullish:

Retail-Apparel looks good:

 

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SPX descending channel:

XLF new ascending channel:

QQQQ channels: