Thursday, October 5, 2006

S&O's based on the 10/4/06 close.

The YI is now +5, and it is most likely signaling a significant market top in the making dead ahead.

The XAU hourly went to a buy at 1 PM yesterday, but we are still waiting for gold to bottom out before aggressively trading the gold stocks from the long side.
A possible bottom may be forming in this area for: AEM
Now trying to bottom out are: AU, BPOP, DO, ERF, FTO, GG, GLG, KEA, OXY, PDE, RGLD, SFY, SU, SUN, TIE, and TKR
Standard oversold at this point: CDE, MRVL, and NEM
Moderately oversold now: AMN, CLG, FCX, GLD, IRF, KGC, LSS, SMTC, and WON
Trying to hold some rising trend line support are: ABX, AEM, ASA, BGF, EWC, RIG, SLV, and XLB
Trying to hold falling trend line support: AA, PTR, RDC, X, the XAU index, and the XNG index.
Attempting to hold the 28 DMA here: GT and TSM
Trying to break above some falling trend line resistance: BHI, FDP, NTES, PBY, TMO, and the VXO
Moderately overbought now: IIT
Standard overbought: SKS
Extremely overbought: RNR
And as is always the case, anything posted here may be off base.

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