Oil is Above $90

by Larry Levin

Did you see how the S&P's stayed under 1550 again today? This market definitely wants to see lower prices. And to me the timing seems right for a continued move lower. Here's why:

The stock indexes have been trying to move lower lately with just a little bit of success. We are about two weeks away from the next Fed meeting and as usual this market wants to see some kind of rate cut. If we get news that says there won't be a rate cut this market will sell off sharply.

We are also getting weak earnings (especially Bank of America today) all of that combined with continually higher oil prices puts this market in a much better position to move lower for at least the next couple of weeks.

But remember, if the Fed drops the rate again on Oct 31, the market will rally back up once again. Nobody moves these market like the Federal Reserve.

Real Time Trading Signals*for

Trade Date: 10/18/07

E-Mini S&P Trades*
(before fees and commissions):


9:04 VA Buy 41.25 = +.75, +1.75, +4.50

12:!3 ID VA Buy 41.50 = +.75, +2.00, +2.75

1:29 OTF Buy +.75, +.25, b/e


E-Mini Russell Trades*
(before fees and commissions):

1) Sold @ 9:06am at 822.8 = +.3, -1.0, -1.0

2) Sold @ 9:18am at 826.6 = -1.0, -1.0, -1.0

3) Buy @ 9:25am at 827.3 = +1.0 & +1.0

4) Buy @ 9:28am at 827.6 = +.8 (1 lot)

5) Buy @ 9:35am at 828.0 = b/e (1 lot)

6) Sell @ 10:30am at 825.5 = +.3 & -.3

7) Sell @ 10:57am at 825.9 = +.8 & +2.0

8) Sell @ 11:10am at 825.4 = +1.6 (1 lot)

9) Sell @ 11:21am at 825.1 = -.3, -.3, -1.4

10) Sell @ 11:46am at 825.8 = -.7 (1 lot)

11) Sell @ 12:04pm at 824.7 = +.7 (1 lot)

12) Sell @ 12:32pm at 826.7 = -1.3 & -1.3

13) Sell @ 12:56pm at 829.3 = -1.2 & -1.2

14) Buy @ 1:12pm at 830.3 = -.4, -1.0, -1.0

15) Buy @ 1:48pm at 827.3 = b/e & +.5

16) Buy @ 2:08pm at 828.4 = +1.0, +1.5, b/e

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