The Index Trading Weekly Newsletter Is now accessible directly from an RSS Feed. If you have a My Yahoo account or an My Msn account go to the Weekly newsletter page to register and you will be advised immediately when changes occur on the site either with trading signals, weekly newsletter or any other changes on the site. You can also create a new entry in an RSS reader. Click Here to register for RSS Feed Please note that the next number will be May 12th. This is based on regular monthly revenu. In fact you will see my own real trades plus other possibilities to generate 15-20% growth every year no matter where the market is haeding. More soon. Break out above resistance All markets broke out above their resistance(SP500 1460, DOW 12900 and ND100 at 1840). It went through the resistance very easily. We are now highly overbought on all markets and short term set back is expected We now have support on all markets (SP500 at 1380 DOW at 12100 and ND100 at 1720). Break out above resistance Last trades update Index Market Current Price 2 weeks Change # cycles completed SP500 1494.07 41.22 0 ND100 1891.06 74.21 0 Dow 13121 509 0 SP500 Last Comment SP500 went through 1460 recent year high very easily en route to all time high of 1530 reached march 2000. This all time high should be reached in this cycle in the next 2-4 weeks. A short term set back is expected because of high overbought level (RSI above 80). But this set back could be brief and SP500 should resume upward thereafter. It now have support at 1380. 1380 is now our first support. 1325 is our next support. 1230 support level is our third support level. ND100 Last Signal Comment ND100 continue to follow basicly the same pattern as SP500. It broked above 1840 resistance quite easily. ND100 is presently overbought with RSI above 80. A short term set back is expected but ND100 should resumed it's uptrend thereafter. It now have support at 1720. We can consider that our first support is now at 1720, our next support at 1450 and the next one at 1400. DOW Last Signal Comment DOW follows the same pattern as for SP500. DOW went above 13000 for the first time ever and continues to establish new high on a regular basis. Like other markets DOW is overbought with RSI above 80 which should trigger a short term set back which would be followed by an uptrend resume thereafter. DOW like SP500 found support at 12100. Our first support is now at 12100 and our next support is at 10650. Special Option Strategy Update We rollovered our MAY SPX PUT 1280 sold at 3.70$ to June 1325 with a profit of 320$ and MAY RUT PUT 690 sold at 2.55 to June 710 with a profit of 220$. New trades are in great shape. All our portfolio shows a 5% plus value since beginning of march so far. Last signals review Go to the Trading Signals page to see how each current position is used in each portfolio. Go to the Options Trading History page to see trading history for each portfolio. Date Market Trade Type Description Symbol Strike Price Month Margin Amount Current Profit 2007/04/24 SPX PUT Uncovered Sell PUT uncovered June SPX 1325 SXY 1325 June 13500 275$ 180$ 95$ 2007/04/30 RUT PUT Uncovered Sell PUT RUT June 710 RUT 710 June 7320 185$ 140$ 45$ Always remember that you need between 12,000 and 15,000 USD margin for each contract. Click here to find the options trading signals page. Economic Current Conditions Table of Economic Numbers Economic Info March 2007 February 2007 January 2007 December 2006 November 2006 October 2006 September 2006 August 2006 July 2006 Juin 2006 May 2006 April 2006 PPI +1.0% +1.3% -0.6% +0.9% +2.0% -1.6% -1.3% +0.1% +0.1% +0.5% +0.2% +0.9% Core PPI 0.0% +0.4% +0.2% +0.2% +1.3% -0.9% +0.6% -04.% -0.3% +0.2% +0.3 +0.1% Retail Sales +0.7% +0.5% 0.0% +0.9% +0.6% +0.1% -0.8% +0.2% +1.4 -0.4% +0.1 +0.8% CPI +0.6% +0.4% +0.2% +0.5% 0.0% -0.5% -0.5% +0.2% +0.4% +0.2% +0.4% +0.6% Core CPI +0.4% +0.2% +0.3% +0.2% 0.0% +0.1% +0.2% +0.2% +0.2% +0.3% +0.3% +0.3% Housing Starts 1.52M 1.51M 1.40M 1.64M 1.57M 1.486M 1.74M 1.67M 1.795M 1.85M 1.953M 1.863M Building Permits 1.54M 1.53M 1.568M 1.60M 1.51M 1.535M 1.638M 1.72M 1.747M 1.869M 1.946M 1.98M Employment +180,000 +113,000 +146,000 +206,000 +132,000 +79,000 148,000 188,000 121,000 124,000 92,000 126,000 Durable Goods Orders +3.4% +2.4% -7.8% +1.9% -8.3% +7.8% -0.50% -2.4% +3.1% -0.3% -4.7% Durable Goods Excluding Transportation +1.5% -0.4% -3.1% -1.1% -1.7% +0.1% +0.5% +1.0% +0.7% New Homes Sales +2.6% -4.0% -6.6% +12% +3.9% -4.0% +5.3% -3.0% -4.5% -3.0% +4.6% Existing Homes Sales 6.12 Millions 6.68 Millions 6.46 Millions 6.22 Millions 6.28 Millions 6.24 Millions 6.21 Millions 6.30 Millions 6.33 Millions 6.62 Millions 6.67 Millions 6.75 Millions ISM Index(Manufacturing) 50.9 52.3 49.3 51.4 49.5 51.2 52.9 54.5 54.7 53.8 54.4 58.9 ISM Services 52.4 54.3 59.0 56.7 58.9 57.1 52.9 57 54.8 57.7 60.1 63.0 Factory Orders +1.0% -5.6% +2.4% +0.9 -4.5% -1.7% -0.6% +1.2% +0.7% GDP(Gross Domestic Product) Numbers 1st Quarter 2007 4th Quarter 2006 3rd Quarter 2006 2nd Quarter 2006 1st Quarter 2006 4th Quarter 2005 3rd Quarter 2005 1.3% 2.5% 2.0% 2.6% 5.6% 1.7% 4.3% Inflation Numbers Year to year inflation according to core CPI is now at 2.7% In the last 2 weeks we had several major economic news. See the table above for all numbers. CPI for march was up +0.6% and core CPI was up +0.4% a bit more than expected. Retail sales were up 0.7% as expected. Housing starts and building permits were up just a little from previous month. Existing home sales were down 8% from previous month while new home sales were up 2.6%. Durable good orders were up 3.4% higher than expected. Finally the GDP for first quarter was up only 1.3%. Real estate continue to be weak. However the consumer market remains good. Inflation is in check and GDP is lower than expected. The crude is back above 65$ giving some threat to the market. So we still may think the FED will lower rates by the end of the year. The prime is still at 5.25. The SP500 PE ratio is at 18.17 according to december results. Remember that when the last major economic cycle that started in march 2003 the PE ratio was at around 16. So we are stay in the middle. Despite the fact the PE is not too high we will have to watch for a possible bear market in september-october 2007. Our last major bear market was on july 2002.