06/07/2010 Market Recap: Has the market bottomed?

TREND INDICATOR MOMENTUM INDICATOR COMMENT (Click link to see chart) Long-term 3 of 3 are BUY     Intermediate 3 of 3 are SELL 4 of 5 are NEUTRAL Non-Stop Model is in SELL mode Short-term 1 of 1 are SELL 6 of 6 are NEUTRAL SPY ST Model is in SELL mode GANN DAY MOON/SOLAR CYCLE & TIME FIB CONCLUSION 06/11-06/14 06/12 /06/21 07/31, 08/20-08/23 Next pivot date: 06/11-06/14.

BULLISH 0.2.1 10Y T-Bill Yield: Bottomed? 0.1.1 SPX Intermediate-term Trading Signals: CPC MA(10) too high. 8.1.1 Normalized NATV/NYTV: Bottomed? 6.3.2c Major Distribution Day Watch: Bottomed? 05/20 Market Recap: Intermediate-term Indicator Score from sentimentrader is too low. 6.3.1 Major Accumulation Day Watch: Bottomed? 05/28 Market Recap: II survey shows too many people are expecting a correction. BEARISH 0.1.1 SPX Intermediate-term Trading Signals: Ascending Broadening Wedge? Target: 1008 to 1019. 0.2.3 NYSE McClellan Oscillator: Positive divergence missing, so one more down leg ahead? CONCLUSION

SPY SETUP ENTRY DATE STOP LOSS INSTRUCTION: Mechanic signals, back test is HERE, signals are HERE. TRADING PLATFORM: SSO/SDS, UPRO/SPXU ST Model 06/04 S 1.9xATR(10) Reversal Bar     NYMO Sell     Non-Stop(RSP) 05/11 S N/A Partial profit on 05/28. Others     OTHER ETFs TREND *DTFMS COMMENT – *New update. Click BLUE to see chart if link is not provided. QQQQ DOWN SELL Ascending Broadening Wedge with partial rise? IWM DOWN SELL Ascending Broadening Wedge with partial rise? CHINA DOWN EMERGING DOWN SELL 4.1.6 iShares MSCI Emerging Markets (EEM Weekly): Double Top? EUROPEAN DOWN SELL 4.1.7 Vanguard European VIPERs (VGK Weekly): Bearish 1-2-3 formation, target $35.54. CANADA DOWN *SELL BOND UP BUY EURO DOWN SELL Descending Triangle breakdown, target $117.21. GOLD UP 4.3.0 Gold Trust Shares (GLD Weekly): Head and Shoulders Bottom, target $129.99. GDX UP OIL DOWN ENERGY DOWN *SELL FINANCIALS DOWN SELL REITS DOWN SELL MATERIALS DOWN SELL *4.4.4 Materials Select Sector SPDR (XLB Weekly): Double Top? Target: $23.37.

*Please make sure you understand how to use the table above. The main purpose of this report is to provide information so contradictory signals are always presented.
*DTFMS = Dual Time Frame Momentum Strategy. The signal is given when both weekly and daily STO have the same buy/sell signals. Use it as a filter, don’t trade directly.

SEASONALITY: A LITTLE BIT BEARISH BIASED THE NEXT WEEK

See 06/04 Market Recap for more details.

INTERMEDIATE-TERM: PULLBACK TARGET AROUND 1008 TO 1019, TIME TARGET AROUND 06/11 TO 06/14

See 06/04 Market Recap for more details.

SHORT-TERM: NO VOLUME EXPANSION SO PROBABLY NOT BOTTOMED YET

Only one chart today but it’s the most wanted: Has the market bottomed? It does not look so doesn’t it? Of course, almost everything has a few exceptions, so if you say we’re repeating the Mar or June 2009, so the market has bottomed. Sure, I cannot say that you’re wrong. All I can say here are chances are little bit larger that the market has not bottomed yet. Agree?