Tough day on the American markets today as the Dow lost 175 points to finish at 12,376 while the S&P closed lower at 1348. Bernanke reminded us that we can't simply will the indexes higher if the economy is going into the dumper. So we're still within that narrow trading range (1320-1360) that we outlined in the weekly outlook. Tomorrow we should end the week on a winning note as the Moon floats through the NYSE 11th house of gains with a rally at the close. Also look for a nice rally right at noon.
Bombay will be down as it digests the negative news from the US markets negative Thursday performance. The opening should be pretty grim but watch for a rally to emerge by 11.45 am and continue through the noon hour. A retracement down at 2.00 pm is possible with a nice closing rally after 3.15 pm. (all times local)
As predicted the Euro is having a good week against the US dollar finishing Thursday at 1.4635. Friday is probably going to be less, if any, upside for the Euro, so I think the greenback will hold above the 0.68 level.
The week has gone as expected with gold giving back a lot of last week's gains finishing at $913. Friday looks pretty negative especially from Asian and European trading. When NY opens, the price may recover somewhat in the afternoon but going under $900 is very possible in the morning.
