Lead by the Tech’s,  the markets continued to rally yesterday, powered by a string of strong earnings, that

helped the averages recoup almost all that was lost on Monday’s 700 pt intra-day drop in the DOW.  Monday’s

big drop, was caused by concerns over rising Rates, Inflation and Global Trade issues, but a few  earnings reports,

not being good enough, also played a big role in sending the averages down to DOW 23,800, S&P 2610 and

NASDAQ 6930.  Fortunately, recent good earnings that were “good enough”, have now created a decent cushion,

between the averages and the threat of breaking down and retesting the February lows.

Technically, the Indexes are all now trading in tight ranges of DOW 23,730-24,660, S&P 2610-1720 and NASDAQ

6930-7230 and those ranges will continue to tighten, which means that sooner or later, the markets will breakout

or breakdown.  I was hoping that a good 1st Qtr earnings season, would help the Indexes break higher, but as we

have seen this week, great earnings are not a guarantee of higher stock prices.  The problem is that right now,

its a toss-up as to the markets direction, so all you can do is keep trading.

Overnight the Global markets traded higher as North and South Korea ended the Korean War (1950-1953), 65

years after the shooting stopped.  I’m sure that this is good for Global Growth, but bad for fans of MASH reruns.

Anyway, in early trading the DOW is off 70pts, the Yield on the 10 Yr is ticking down to 2.97%, but the Dollar rally

continues, putting pressure on Commodity prices, with Oil trading at $67.90 and Gold down to $1318.

Today we have the 1st Qtr GDP report out at 8:30, followed by the April Consumer Confidence numbers at 10:00.

We also have more earnings, but nowhere as many as the past 2 sessions, so I guess we can relax a bit after a hectic week.

 

 

Today’s Early Markets

 

DOW Futures— down 70.00                    London – up 30.58

S&P – down 600                                        DAX – up 95.76

GOLD—$1320 June                                    Nikkei — up 198.89

OIL— $67.90 May                                       HangSeng — up 272.87

 

DOW RESISTANCE 24,380                       S&P RESISTANCE 2680

DOW SUPPORT: 24,200                              S&P SUPPORT: 2650

 

$NASDAQ RESISTANCE 7150

$NASDAQ SUPPORT 7100