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Strategies & Market Trends : Ask Vendit Off-Topic Questions

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To: DOUG H who wrote (4803)2/10/2005 6:25:28 AM
From: Walkingshadow  Read Replies (1) of 8752
 
Volatilities, TICKs, put/call, and TRINs are all consistent with further downside here.

But currently the futures are trading in plus territory relative to cash. The Asian markets finished up a bit, and Europe is up a little or flat. Crude futures are trading above $46. The test of support at $45 has been successful, and oil will move up from here:

futuresource.com

Gold appears ready to rally a bit:

futuresource.com

The rally in the dollar looks to be faltering now, and probably the dollar will correct back to $84.

futuresource.com

Assuming the futures markets hold into the open, all this suggests to me that we will see a modest gap up of the markets, but then selling will kick in and the gap will be erased. Still, I suspect selling will be orderly.

And now.... the talking heads will have a "reason" to explain this. Here's a disturbing story that just came over the wires:

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North Korea publicly acknowledged for the first time Thursday that it has nuclear weapons and declared that it has suspended its participation in the six-nation talks with the U.S., Japan, South Korea, China and Russia for an indefinite period. "We had already taken the resolute action of pulling out of the Nuclear Nonproliferation Treaty and have manufactured nuclear arms for self-defense to cope with the Bush administration's evermore undisguised policy to isolate and stifle the DPRK," the North Korean Foreign Ministry said in a statement carried by the official state-run Korean Central News Agency.

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