Arriving at approximately 7 pm on Friday June 11, 2010 in Dallas, back from the AFG Conference in Las Vegas, which was extremely enlightening; More specific updated Economic and investment related information to come in this weeks posts.
Saturday morning the family loaded the car at 4 am to head to Florida, arriving at our destination at 5 pm June 12, 2010 Saturday night. As of Sunday at 4 pm, we now know of a new phenomenon called June Grass, which has made its way onto the beaches near our location, but I digress.
Trading Ranges and Capital Markets:
Just as summer brings a range of temperatures, in Dallas for example early summer of 80 to 95 degrees is the usual temperature, it also brings certain levels and times to the Capital Markets. Currently a very strong lower range for the S&P 500 is the 1040 area, with an upper range area of near 1100, in our opinion. While the upper range is of significance, we are keeping a careful eye on the lower support range of 1040, which has several “Wall Street Lingo –Tests” which have succeeded in holding. See Chart Here SP 500.
It would not surprise us at all to stay in this range for the rest of the summer, while the end of the quarter (End of the Month June, 2010) often leads to window dressing and may put an upward bias to market participants, trading ranges are normal, fine with us, and often a time when markets catch their breath.
Have A Good Rest of the Weekend!