1. US 10 Year T-Note Yield – Despite the yields drops recently the long run trend is still up. One of the reason the bond will continue dropping is because JAPAN holds almost a trillion dollar in US bonds, they will have to sell a lot of the bonds because they will need cash to rebuild JAPAN, secondly GEITHNER said yesterday that he estimated that Japan will not sell the bonds. The government in the states is afraid of this situation and the influence on the markets. In the coming days the bond can continue rising but it will stop soon, it's not a good time to invest in TBT or TLT until the trends will be clear.
2. S&P 500 – It is difficult to say if the correction that started will continue for long run, the first support will be around 1175-1200, meantime it is better to stay out of the market.
3. CURRENCIES-
EUR / USD – Still looks BULLISH, if it will pass 1.4 so the target will be 1.435-1.45.
AUD / USD – didn’t succeed to reach above 1.02, we will have to wait a few days to see what the trend is.
4. Commodities –
GOLD – we got the correction we wanted, waiting to see if it will start to climb, above 1425 it is good price to buy
Crude Oil – JAPAN give us a good correction, the trend for long run is still up, but for the short time it is better to stay out until we will see the oil start to climb again.
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