INEVITABLE?

With all the disconnect in the markets going on at the present, thanks to our monetary lords, I hate to say it but stocks appear to be headed to a couple of milestone numbers. 15000 and 1600 appear to be inevitable in the very near future. Let's take a look

Both the Dow and the S&P500 had their worst week of the year last week but I did point that support may hold with the help of the INVISIBLE HAND and that is what has appeared to happen. As much as I do not believe what I am seeing, as a trader you have to to roll with the markets. Everything else does not matter, I guess. We have the  GDP for the US on Friday and they are expecting 3% growth for the 1st Quarter. That may be all we need for the market to rally into that #, so you have 3 whole trading days with not much else getting in the way. With this being said, I believe the dollar is as close to short term top as we are going to see an with that I like the CAD here around 97, the Aussie above 102 and yes even the Euro right here near 130.

My quick glance on everything else- Gold did trade up to 1440 yesterday but quickly was beaten back more than $20, at the same time Silver was not all that impressive and overnight visited the 22 handle again while Gold was up throughout the night. I am not even going to try and explain what we see in these markets. Stock futures are up, while Oil, Copper and pretty much all commodities do not look all that great. Also I have been keeping a close eye on US treasuries. New high in price for this latest leg in bonds, above 149 in the 30 year and yields on the 10 year below 1.70. My personal view is that I would love to short from here and it may turn out to be a great trade but I just cannot take the disconnect from reality and am not going to drive my self crazy!

As crazy as things look, enjoy the show of the INVISIBLE HAND until Friday!

Thanks for stopping by!
Martin