This past week we saw the stock markets make new highs, the U.S. Dollar test previous highs and fail and gold break up and out of it's channel. To say the markets are now over bought would be an under statement but they are, and they continue to be bought, so until the trend changes stick with the trend. 

We saw the dollar move up as expected from the start of the week but on Thursday it reversed and gave back all of it's gains, giving the stock market and gold another shot in the arm to help them move higher. We should see the dollar move down to test 80.40 this week, we will need to see how it handles that area before we know if it is going to bounce or if it is going to move back down possibly giving back 50% of the gains from the past 3-4 months. It is hard to believe but if it does not bounce quickly from this move down the stock market could continue much higher creating another bubble.  

We will continue to trade on the long side keeping our stops tight. Yes tight stops get us out of trades early but they will save us when the day comes that the market does not recover.

The Nasdaq Composite Index First support is at 2360, 2326 and 2293.  Resistance is at 2457 and 2550.

Standard and Poors SP-500 index First support is at 1150 and 1115, 1112.  Resistance is at 1212 and 1221.

The Dow Jones Industrial Averages Index Support is at 10785, 10740 and 10575. Resistance is at 11000, 11170, and 11500. .

GOLD - via the GLD GLD Support is at 112.20 and 108.80 . Resistance is at 117.

The US Dollar (Dollar Index ) The U.S. Dollar bounced and tested the previous break out but was not able to hold. It does look like it will now retest the 80.40 area. Support is at 80.40. Resistance is at 81.90, 82.25, and 83.20.