Friday’s Futures Setups

• April 11, 2002
• TradingMarkets Editors

Gold was the only bright spot today. After
yesterday’s big move, June gold
(
GCM2 |
Quote |
Chart |
News |
PowerRating) continued its move to the
upside. With the current tensions in the Middle East and Japan’s recent economic
slowdown, many investors have flocked to gold. June gold looks to be forming a
cup and handle pattern on the daily chart. Resistance is at 305.00. June gold on
the Comex was 50 cents higher at $303.00 an ounce. June gold is on the

TradingMarkets.com Momentum 5 List.

Stocks tumbled today after disappointing
quarterly results for General Electric
(
GE |
Quote |
Chart |
News |
PowerRating) doused the hopes for a robust
recovery in corporate profits.

A downgrade for Yahoo
(
YHOO |
Quote |
Chart |
News |
PowerRating) and reports of an SEC investigation at
IBM
(
IBM |
Quote |
Chart |
News |
PowerRating) exacerbated the decline.

The June Dow Jones Industrial Average futures
(
DJM2 |
Quote |
Chart |
News |
PowerRating) sank 217.000,
or 2.09%, to 10170.00 after jumping on Wednesday. It was the worst decline in
the Dow industrials since February 4, when the blue-chip indicator sank 220.17
to 9687.09.

Meanwhile, the June Nasdaq 100
(
NDM2 |
Quote |
Chart |
News |
PowerRating) continued its decline to
34.00, or 2.49%, to 1331.50.

The June S&P 500 futures
(
SPM2 |
Quote |
Chart |
News |
PowerRating)
closed at 1103.900 down 28.100 or 2.48%. This level is below the 1104.00
support.

The June 10-year note
(
TYM2 |
Quote |
Chart |
News |
PowerRating) moved
higher today to counter the down equity markets. The 10-year closed up .160 or .15% to 104.266. This is just
above the key 50% retracement level. This 104.00 area will be initial support
and secondary support will be at 103.26. Resistance is at 104.463. A break above
the resistance level, will set up a target point of 104.917 the secondary
resistance point. TYM2 is on the

TradingMarkets.com Momentum 5 List.

The June 30-year bond
(
USM2 |
Quote |
Chart |
News |
PowerRating)

ended up today, moving .38 or
.38% to 100.625. This is just above the key 50% retracement level. This 100.00
area will be initial support and secondary support will be at 99.59. Resistance
is at 101.278. A break above the resistance level, will set up a target point of
101.913 the secondary resistance point. USM2 is on the

TradingMarkets.com Momentum 5 List.

Grain and soybean futures trickled lower on the
Chicago Board of Trade, pressured in part by weak export sales. Corn continued
its downtrend today slipping below the $2-a-bushel mark after the U.S.
Department of Agriculture reported that net corn export sales were down 54% from
the previous week. May corn
(
CK2 |
Quote |
Chart |
News |
PowerRating) ended down 1cent to $1.98 3/4.
Wheat for May
(
WK2 |
Quote |
Chart |
News |
PowerRating) delivery fell to $2.70 3/4 a bushel down 1 3/4. May
wheat and May corn are a

Potential Turtle Soup candidate. May soybeans
(
SK2 |
Quote |
Chart |
News |
PowerRating)
fell to $4.58 1/4 a bushel.

Oil futures dropped sharply Thursday after the
Organization of Petroleum Exporting Countries hinted that it might boost
production if prices continue to spike.

May crude-oil futures
(
CLK2 |
Quote |
Chart |
News |
PowerRating) fell 1.14 or 4.36% in trading to
$24.99 a barrel on the New York Mercantile Exchange. May unleaded
gasoline
(
HUK2 |
Quote |
Chart |
News |
PowerRating) shed 4.57 cents or 5.48% to 78.87 cents a gallon;
May natural gas
(
NGK2 |
Quote |
Chart |
News |
PowerRating) slid 8 cents to $3.103 per million British
thermal units and May heating oil
(
HOK2 |
Quote |
Chart |
News |
PowerRating) was down 3.13 cents or
4.61% to 64.71 cents a gallon.

Prices slid after many Gulf states took action to reassure the market. OPEC said
Thursday that it might mull an output hike should oil prices continue to rise.
OPEC Secretary General Ali Rodriguez also said that Iran and Libya have
officially stated they won’t participate in Iraq’s oil embargo.

May crude oil, May heating oil, and May unleaded
gasoline are on the

TradingMarkets.com Momentum 5 List.

Please note that
while there are strong trends in some commodities, one bar or a series of bars
forming a setup can sometimes indicate a contra move for the next day. This
contra move may not be long-lasting — maybe only for a day or two. Trading
with the main trend is always the highest probability trade.

Use stops on all your
trades.