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 September 15th. 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 heading. More soon. Tarding Range SP500 was active in both directions and seems to enter into a trading range. ND100 is the strongest of all markets with a solid uptrend going. DOW is also in a trading range. Mid term downtrend not resolved for SP500 and DOW. Trading Range Last trades update Index Market Current Price 2 weeks Change # cycles completed SP500 1473.99 28.05 2 ND100 1988.73 99.95 1 Dow 13358 279 2 SP500 Last Comment SP500 was very active again in both directions and seems to enter a trading range (1435 - 1480). It stayed in that range for the last 2 weeks. We now have a flat moving average and SP500 is near the upper band on the graphic. It is not overbought with RSI at 55. We are in the sixth week of volatile and weak market conditions. The last mid term downtrend is not completely resolved for now. We would need to get above 1480 and stay there to call the current bear market to and end. Our 1380 support still stands well and should not be penetrated for a long while. As forecasted volatility went down a bit. It is hard to say what will happen in the next 2 weeks. I do expect SP500 to stay in the trading range for a few more weeks. 1380 is now our first support. 1325 is our next support. ND100 Last Signal Comment ND100 was the stongest of all markets and is now in an uptrend. ND100 was the driving market in the recent recovery. It is now above the upper band on the graphic but not overbought yet with RSI at 58. We can expect this market to set back a little but should continue the current uptrend which is good news for other markets. 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 also like SP500 got into a trading range between 13000 and 13400. It is not overbought with RSI at 53. It is presently at the high end of the trading range. It would need to get over 13400 and stay there to end the recent bear market lasting for 6 weeks now. However we can expect DOW set back inside the trading range and continue inside that range for a few more weeks. 12800 first level support held on quite well and was the base for the last rally. Our first support is now at 12800 and our next support is at 12100. Special Option Strategy Update Please note that the email service to signal new trades update is now available. So all current subscribers will receive an email when a new trade is entered till end of september. Our September 1350 and our September RUT PUT 710 are improving a lot. We are now back in the profit zone with 3 weeks before expiration. With markets now in a trading range and volatility down we have every reason to see our best profit of the year be realised in 3 weeks. Since the selection of our strike price was excellent we are now able to hold position and we should cash in profit at expiration. All our portfolio shows a near 10% 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 2007/07/25 SPX PUT Uncovered Sell PUT uncovered September SPX 1350 SXY 1350 September 14160 700$ 530$ 170$ 2007/07/25 RUT PUT Uncovered Sell PUT RUT September 710 RUT 710 September 7515 700$ 320$ 380$ 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 July 2007 June 2007 May 2007 April 2007 March 2007 February 2007 January 2007 December 2006 November 2006 October 2006 September 2006 August 2006 PPI +0.6% -0.2% +0.9% +0.7% +1.0% +1.3% -0.6% +0.9% +2.0% -1.6% -1.3% +0.1% Core PPI +0.1% +0.3% +0.2% 0.0% 0.0% +0.4% +0.2% +0.2% +1.3% -0.9% +0.6% -04.% Retail Sales +0.3% -0.9% +1.5% -0.2% +1.0% +0.5% 0.0% +0.9% +0.6% +0.1% -0.8% +0.2% CPI +0.1% +0.2% +0.7% +0.4% +0.6% +0.4% +0.2% +0.5% 0.0% -0.5% -0.5% +0.2% Core CPI +0.2% +0.2% +0.1% +0.2% +0.4% +0.2% +0.3% +0.2% 0.0% +0.1% +0.2% +0.2% Housing Starts 1.38M 1.47M 1.474M 1.506M 1.491M 1.51M 1.40M 1.64M 1.57M 1.486M 1.74M 1.67M Building Permits 1.37M 1.41M 1.501M 1.429M 1.56(M 1.53M 1.568M 1.60M 1.51M 1.535M 1.638M 1.72M Employment +92,000 132,000 +190,000 +88,000 +177,000 +113,000 +146,000 +206,000 +132,000 +79,000 148,000 188,000 Durable Goods Orders +5.9% +1.9% -2.8% +1.1% +3.4% +2.4% -7.8% +1.9% -8.3% +7.8% -0.50% Durable Goods Excluding Transportation +3.7% -1.0% +1.5% -0.4% -3.1% -1.1% -1.7% +0.1% New Homes Sales +3.7% -6.5% -1.61% +16.2% +2.6% -4.0% -6.6% +12% +3.9% -4.0% +5.3% Existing Homes Sales 5.75 Millions 5.76 Millions 5.99 Millions 6.01 Millions 6.15 Millions 6.68 Millions 6.46 Millions 6.22 Millions 6.28 Millions 6.24 Millions 6.21 Millions 6.30 Millions ISM Index(Manufacturing) 53.8 56.0 55.0 54.7 50.9 52.3 49.3 51.4 49.5 51.2 52.9 54.5 ISM Services 55.8 60.7 59.7 56.0 52.4 54.3 59.0 56.7 58.9 57.1 52.9 57 Factory Orders +3.7% +1.0% -0.5% +0.5% +3.1% +1.0% -5.6% +2.4% +0.9 -4.5% -1.7% GDP(Gross Domestic Product) Numbers 2nd Quarter 2007 1st Quarter 2007 4th Quarter 2006 3rd Quarter 2006 2nd Quarter 2006 1st Quarter 2006 4th Quarter 2005 3rd Quarter 2005 +4.0% +0.7% 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 2.2% and CPI at 2.7%. In the last 2 weeks we had several major economic news. See the table above for all numbers. New home sales were up 3.7% for july much better than expectations. Existing home sales for july came in at 5.75 millions much better than expected also. Durable good orders jumped 5.9% for july higher than expected. Factory orders were up 3.7% for july inline with expectations. Revised GDP for second quarter 2007 came in at 4.0% inline with expectations and showing great health for the economy Real estate finally had a relief with better numbers. All other numbers were inline or better than anticipated. With weakness renewed in real estate, credit worries and good control of inflation we might see rate decrease before the end of the year and possibly as soon as next meeting in September. Rate increases are now out of the picture. The prime is still at 5.25 and could be lowered as soon as next September. The SP500 PE ratio is at 17.68 according to March results which means that according to june results we would be near 17.25. Remember that when the last major economic cycle that started in march 2003 the PE ratio was at around 16. So we came near that level. This was the first bear market period since July 2002.