DAILY MARKET HIGHLIGHTS

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Monday 10.26.2009

CURRENT MARKET SENTIMENT

A kiss of death on Wednesday led to GDP number (3% expected) or, is there room
for the shake and bake until that time?
resuscitation on Thursday only to be back at
Everyone is expecting 11% correction, with no
the precipice on Friday, leaving the indices to
insurance policy taken on the downside, we
finish below the weekly pivot at 9972 Dow and
expect a volatile week. Monday might be a
1072 S&P. Will Monday test the point of no
picture perfect replica of Thursday.
return 9900-9920 prior to the big Kahuna-

PRISM CALL
This weak we are expecting alot of choppiness, so take profits as you have it. The market
will probably show little overall direction before Thursday. My bias is to the upside, so be
careful shorting. Any down move will probably be controlled. Until real selling pressure
comes in, this market won't sell off.

INDU & SPUZ TECHNICALS ECONOMIC CALENDAR

TIME INDICATOR RANGE EXPECTATION PRIOR ACTUAL

INDICES S2 S1 PIVOT R1 R2
Chicago
INDU Fed Nat
9846 9917 10034 10150 10222 -0.9%
(DOW) activity
SPUZ Index
(S&P) 1066 1074 1087 1100 1108

FOREIGN MARKETS

MARKET PRICE
 %

FTSE 5254.38 11.81 0.23

DAX 5768.53 28.28 0.49

HANG SENG 22589.73 - - -

NIKKEI 10362.62 79.63 0.77

CHINA 3109.566 1.719 0.06

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 DOW STOCKS TO WATCH COMMODITY PRICES NEWS

STRONG WEAK ETH Ethan Allen issues downside EPS

COMMODITY PRICE
 and revenue guidance for 1Q10 and
HPQ BAC expands revolving credit facility
(16.67 )
TRV BA OIL 80.44 0.06
Germans more upbeat on economy, less
MCD HD so on finances – DJ
GOLD 1055.5 0.90
MMM MRK FSA announces strict financial
reporting disclosure code – DJ

BAC Takeaways from regional banks'

earnings; de-leveraging continues -
UPGRADES & DOWNGRADES FBR Capital Mkts

ARNA Arena Pharma reports data from

STOCKS UPGRADED BLOOM Ph. 3 trial (4.34 )
BROKERAGE
COMPANY RATINGS CHANGE PRICE TARGET ING ING to split off insurance unit,
FIRM
American Express launch rights issue; preannounces 3Q
Stifel Nicolaus Hold >> Buy 34.58 50
(AXP) results - WSJ (17.37 )

Aetna, WellPoint and other managed-

care stocks mentioned positively in
Barron's
STOCKS DOWNGRADED

BROKERAGE COMDX Natural gas is selling off in

COMPANY RATINGS CHANGE PRICE TARGET electronic trade this morning and has
FIRM
Equal Weight >> recently dropped to fresh lows at $4.592;
H&R Block (HRB) Morgan Stanley 19.46
Underweight currently lower by 18.8 cents to $4.599
Pearson Plc (PSO) Stifel Nicolaus Buy >> Hold 13.88
GRMN Garmin removed from
KBR Inc (KBR) Stufel Nicolaus Hold 24.02 Conviction Sell list at Goldman- Reuters
(37.92 )

GLD Oppenheimer believes gold

optimism is misplaced (103.49 )

U.S. considers reining in ‘too big to fail’

institutions - NY Times

Senate on verge of health bill – WSJ

Fall in yuan worries China's rivals –

WSJ

Jefferies says that with the recent surge

in the OSX and overall energy tape, they
would be very selective in putting new
money to work in their universe

Capmark files for bankruptcy protection

– WSJ

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 EARNINGS

LO Lorillard misses by $0.08, beats on revs (79.82 )

VZ Verizon beats by $0.01, reports revs in-line (28.85 )

ING ING Group: EU says hopes to take ING restructuring decision in coming weeks - DJ
(17.37 ) -Update-
BGC General Cable beats by $0.02, reports revs in-line; guides Q4 EPS below consensus, revs
in-line (38.60 )

WRI Weingarten Realty misses by $0.04, reports revs in-line; raises FY09 FFO guidance;
guides FY10 FFO in-line (20.55 )

MHP McGraw-Hill beats by $0.02, misses on revs; sees hitting top end of prior guidance
(30.49 )

ROC Rockwood Holdings beats by $0.04, beats on revs (19.93 )

NOV Natl Oilwell Varco beats by $0.16, beats on revs (46.89 )

ROP Roper Inds misses by $0.01, misses on revs; guides FY09 EPS in-line (52.21 )

GLW Corning beats by $0.03, beats on revs; co sees Q4 glass volume flat to down slightly with
pricing similar QoQ (15.65 )
RSH RadioShack reports Q3 (Sep) results, beats on revs (15.66 )

AGP Amerigroup issues lower 3Q09 EPS guidance; doesn't expect to meet FY09 EPS guidance
and withdraws guidance for current year (22.59 )

BWP Boardwalk Pipeline misses by $0.09, misses on revs (26.53 )

MRVL Marvell raises 3Q10 revenue guidance (14.58 )

MOS Mosaic declares special cash dividend of $1.30 per share; reaffirms 2010 capital spending
guidance (51.79 )

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 TECHNICAL ANALYSIS

Symbol S7 S6 S5 S4 S3 S2 S1 PIVOT R1 R2 R3 R4 R5 R6 R7
Sectors
spx.xo 1042.96 1050.73 1055.53 1063.30 1071.07 1073.47 1075.86 1083.64 1091.42 1093.81 1096.21 1103.98 1111.75 1116.55 1124.32
indu.x 9650.61 9718.25 9760.04 9827.68 9895.32 9916.22 9937.02 10004.75 10072.48 10093.29 10114.18 10181.82 10249.46 10291.25 10358.89
NDX.x 1703.00 1713.90 1720.63 1731.54 1742.44 1745.81 1749.16 1760.08 1770.99 1774.35 1777.71 1788.62 1799.52 1806.25 1817.16
xbd.x 110.95 112.56 113.55 115.17 116.78 117.28 117.77 119.39 121.00 121.50 121.99 123.61 125.22 126.21 127.83
bkx.x 44.23 44.71 45.00 45.47 45.95 46.09 46.24 46.71 47.19 47.33 47.48 47.95 48.43 48.72 49.19
tran.x 3543.29 3601.12 3636.85 3694.68 3752.51 3770.37 3788.16 3846.07 3903.97 3921.76 3939.63 3997.46 4055.29 4091.02 4148.85
oix.xo 660.26 667.67 672.25 679.67 687.08 689.37 691.65 699.08 706.50 708.78 711.07 718.49 725.90 730.48 737.90
osx.x 186.68 190.42 192.74 196.49 200.23 201.39 202.54 206.30 210.05 211.20 212.36 216.11 219.85 222.17 225.92
xng.x 482.32 490.50 495.55 503.73 511.91 514.43 516.95 525.14 533.33 535.84 538.37 546.55 554.73 559.78 567.96
cyc.x 743.31 751.42 756.43 764.54 772.65 775.16 777.65 785.77 793.89 796.39 798.89 807.00 815.11 820.12 828.23
uty.x 381.85 385.00 386.95 390.10 393.25 394.22 395.19 398.35 401.50 402.47 403.45 406.60 409.75 411.70 414.85
drg.x 283.46 285.29 286.41 288.23 290.06 290.62 291.18 293.00 294.83 295.39 295.95 297.77 299.60 300.72 302.54
rlx.xo 375.29 379.00 381.29 385.00 388.71 389.85 390.99 394.71 398.42 399.56 400.71 404.42 408.13 410.42 414.13

Tradeables

SPY 104.23 105.04 105.55 106.36 107.17 107.43 107.68 108.49 109.30 109.56 109.81 110.62 111.43 111.94 112.75
DIA 96.69 97.34 97.74 98.39 99.04 99.24 99.44 100.09 100.74 100.94 101.14 101.79 102.44 102.84 103.49
QQQQ 41.87 42.14 42.31 42.58 42.85 42.94 43.02 43.29 43.56 43.65 43.73 44.00 44.27 44.44 44.71
QLD 49.90 50.58 50.99 51.66 52.34 52.54 52.75 53.42 54.10 54.30 54.51 55.18 55.86 56.27 56.94
IWM 57.15 57.80 58.21 58.86 59.51 59.71 59.92 60.57 61.22 61.42 61.63 62.28 62.93 63.34 63.99
OIH 116.19 118.45 119.84 122.09 124.35 125.04 125.74 127.99 130.25 130.94 131.64 133.89 136.15 137.54 139.79
XLE 54.57 55.35 55.83 56.61 57.39 57.63 57.87 58.65 59.43 59.67 59.91 60.69 61.47 61.95 62.73
FAZ 16.52 17.02 17.33 17.83 18.33 18.49 18.64 19.14 19.64 19.80 19.95 20.45 20.95 21.26 21.76
FAS 72.36 74.70 76.15 78.49 80.83 81.56 82.28 84.62 86.97 87.69 88.41 90.75 93.09 94.54 96.88
SRS 8.70 8.87 8.97 9.13 9.30 9.35 9.40 9.56 9.73 9.78 9.83 9.99 10.16 10.26 10.42
SDS 35.15 35.70 36.04 36.59 37.14 37.31 37.48 38.03 38.58 38.75 38.92 39.47 40.02 40.36 40.91
USO 39.53 39.84 40.02 40.32 40.63 40.72 40.81 41.11 41.42 41.51 41.60 41.90 42.21 42.39 42.69
SKF 21.68 22.11 22.37 22.79 23.22 23.35 23.48 23.90 24.33 24.46 24.59 25.01 25.44 25.70 26.12

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