Pre-open eMini SP 500 Morning Report 3.23.10
This is a guest post from Precision Capital Management
The Precise Take – Equity futures at highs again
Leaders Analysis: The US Dollar Index backed off resistance yesterday, but is up strongly again overnight to about where it was yesterday morning. It looks like it wants to break up through its six week trading range, and would likely do so in the next few days as long as yesterday’s low is not materially breached. However, just above the current swing high is the 50% retracement of the entire 2009 down leg in confluence with another 61.8% retracement. This sets up the possibility of a false breakout, and we’ll need to watch price action around the 81.90 to 82.00 area. For today, the Dollar could either reverse from current levels or head higher. The other leaders are not saying much, so today, the leaders are equities neutral.
Medium Term Analysis: There’s a lot going on today, with Geithner and Vice Chairman of the Fed Janet Yellen speaking today, along with a housing report and a 2 year note auction—not to mention the zombie Greece saga is back along with the controversial health bill being challenged. Accordingly, we expect…
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