Good Afternoon,

Bernanke is still fielding questions. Overall, I think the statement wasn't that much different from my expectations in yesterday's market commentary. There is still the possibility for more QE through various "tools". He stressed looking at economic data, so let's continue to monitor that starting with tomorrow's claims and Philly Fed.

Technically, it looks like the SPX is heading back into its range - so buying the rumor, selling the fact continues to work. The markets seem to test the Fed in the day's before and then we sell off afterwards. If the markets don't like with the Fed had to say, how far will we sell off? That brings in the 10 year yield, which is surging higher. That also brings in the technical support level of 1608 and 1600. There also is a trendline that comes in about 1620ish.

Techinically in forex, the USD strengthened big time, giving us BUFFALO BOUNCES galore:

Past performance is not indicative of future results

Past performance is not indicative of future results

Past performance is not indicative of future results

Past performance is not indicative of future results

Past performance is not indicative of future results

With that, I believe the remainder of the week should provide some larger than average trading ranges as we may have retraced enough on the GBP/USD and the EUR/USD to break the trends. With respect to the AUD/USD, we have new lows - now breaking the recent support in the .9550 range. Nice to have volatility isn't it?

Happy Trading and Be Environmentally Cool

Coach Brian