DAILY MARKET HIGHLIGHTS

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Wednesday 10.28.2009

CURRENT MARKET SENTIMENT

A slightly negative Consumer Confidence led an increase of sales in new houses. Technically,
to a downward slide; however, the major the daily pivot is the linchpin. Once again
indices finished relatively flat, Dow 9882 and failure to hold will add further selling pressure
S&P 1063 respectively. Consequently, the as the rolling pivot continues to deteriorate.
Street is likely to behave the same despite
expected positive orders for durable goods and

PRISM CALL

Constrained by the GDP number tomorrow, the market may be range bound with light
volume. The commodities, especially oil, have been stealing the show due to dollar weakness.
Look for strength in healthcare, paper and credit cards. If steel goes positive, reverse your
positions and buy the sector for a quick run up. Best bets are upgrades and downgrades. If
the futures open down 7 handles, start looking to buy for a quick bounce up. Be cautious!!

ECONOMIC CALENDAR INDU & SPUZ TECHNICALS

TIME INDICATOR RANGE EXPECTATION PRIOR ACTUAL INDICES S2 S1 PIVOT R1 R2

8:30 Durable Goods -1.0% to 1.0% -2.4% 1.0%
am Orders/Sept 4.8% INDU
9779 9821 9889 9956 9998
(DOW)
8:30 Durables Ex -0.5% to 0.7% 0.0% 0.9%
am Transportation/Sept 1.8% SPUZ
10:00 New Home Sales/Sept 412K to
(S&P) 1053 1058 1065 1072 1077
440K 429K
am 460K
10:00 New Home Sales -4.0% to 2.6% 0.7%
am Mom/Sept 7.2%
10:30 US Crude Oil 200K to 1820K 1312K
am Inventories/Oct 23 3200K
10:30 US Gasoline -3700K to -1000K -
am Inventories/Oct 23 2750K 2214K
10:30 US Distillate -2000K to -1000K -784K
am Inventory/Oct 23 1040K
10:30 US Refinery -0.50% to 0.30% 0.19%
am Utilization/Oct 23 1.05%
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 FOREIGN MARKETS
NEWS

MARKET PRICE
 %
Deutsche Bank says that DV's
FTSE 5123.88 77.09 -1.48 1Q10 EPS of $0.76 beat their
$0.73 and the Streets $0.65 on
DAX 5552.88 82.14 -1.46 better revs & margins
HANG SENG 21761.58 408.01 -1.84
FNM Fannie Mae: Democrats
NIKKEI 10075.05 137.41 -1.35 seeking to extend Fannie,
Freddie loan limits - WSJ (1.07
CHINA 2021.329 9.87 0.33
NYB NY Comm Bancrp reports
EPS in-line (11.00 )

DOW STOCKS TO WATCH COMMODITY PRICES NUVA Reuters reports Goldman

Sachs raises Edwards
STRONG WEAK
COMMODITY PRICE
 Lifesciences (EW) to Buy from
XOM IBM Neutral and cuts NuVasive Inc
(NUVA) to Neutral from Buy
OIL 79.01 0.54
AXP DD

TRV JPM
GOLD 1032.4 3.00 BP BP raised to Neutral from
VZ CAT Sell at Goldman- DJ (57.82 )

GMAC asks for fresh lifeline –

UPGRADES & DOWNGRADES WSJ

Deal reached on bank

STOCKS UPGRADED crackdown – WSJ
BROKERAGE
COMPANY RATINGS CHANGE PRICE TARGET
FIRM Pay Czar increased base pay at
Perform >>
Wynn Resorts (WYNN) Oppwnheimer
Outperform
56.13 73 cos – WSJ
Devry (DV) Oppenheimer Perform >>
54.88 65 European market summary;
Outperform
ING Group (ING) BofA Neutral >> Buy commodities lower: FTSE -
12.96
1.61%, CAC -1.51%, DAX -1.45
AK Steel (AK) Citigroup Hold >> Buy
17.18 17 >> 21
Waters (WAT) Deutsche Bank Hold >> Buy Asia markets close: Nikkei hits
57.19
2-wk closing low, Shanghai flat:
STOCKS DOWNGRADED
Nikkei -1.35%, Shanghai
Composite +0.33%, Hang Seng
BROKERAGE
COMPANY
FIRM
RATINGS CHANGE PRICE TARGET -1.84%, Sensex -0.43%
Outperform >>
Liberty Property (LRY) Wells Fargo 29.53
Marketperform ECONX MBA Mortgage
Apollo Group (APOL) BofA/Merrill Buy >> Neutral
72.97 Applications of -12.3% vs -
BP (BP) Citigroup Buy >> Hold 13.7% Prior
57.82
SNDK SanDisk downgraded, TXN
upgraded at Goldman- Reuters

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 EARNINGS

AVA Avista beats by $0.05, beats on revs; reaffirms FY09 EPS guidance; guides FY10 EPS (20.25 )

PTR PetroChina 3rd-quarter net profit down 23% on lower oil prices - DJ (130.26 )

UGI UGI Corp guides in-line for FY09, below consensus for FY10 (24.79 )

LAZ Lazard beats by $0.04, beats on revs (38.70 )

JNY Jones Apparel beats by $0.19, misses on revs (17.69 )

MWV MeadWestvaco beats by $0.23, beats on revs (22.77 )

IP Intl Paper beats by $0.13, reports revs in-line (22.63 )

PAS PepsiAmericas misses by $0.03, misses on revs; lowers FY09 EPS below consensus (29.44 )

NWL Newell Rubbermaid beats by $0.03, misses on revs; guides Q4 EPS in-line (14.82 )

EVR Evercore beats by $0.07, beats on revs (31.35 )

ASH Ashland beats by $0.06, beats on revs (39.36 )

WLP WellPoint beats by $0.40, reports revs in-line; guides FY09 revs in-line (46.70 )

MT Arcelor Mittal beats by $0.66, misses on revs (35.56 )

SAP SAP AG beats by EUR0.02, misses on revs (51.17 )

GLF Gulfmark Offshore misses by $0.38, misses on revs (32.79 )

ENP Encore Energy Partners LP misses by $0.25, misses on revenue (18.35 )

HXM Homex Development misses by $0.21, misses on revenue (39.21 )

EAC Encore Acquisition misses by $0.08, meets on revenue (42.43 )

SO Southern Co beats by $0.01, misses on revs (32.65 )

HES Hess reports Q3 (Sep) results, misses on revs (57.84 )

GD General Dynamics beats by $0.08, reports revs in-line; guides FY09 EPS in-line (65.78 )

OC Owens Corning beats by $0.22, beats on revs (22.22 )

BWA Borg Warner beats by $0.05, beats on revs (32.44 )

CNP CenterPoint misses by $0.01, misses on revs; guides FY09 EPS in-line (12.71 )

GT Goodyear Tire beats by $0.05, beats on revs (16.74 )

GSK GlaxoSmithKline 3Q EPS 26.1p; 3Q Turnover GBP6.76 bln; 3Q net profit GBP1.33 bln - DJ (40.87 )

CCE Coca-Cola Ent beats by $0.05, misses on revs; guides FY09 EPS above consensus (20.02 )

BDC Belden beats by $0.04, beats on revs; guides Q4 EPS in-line, revs above consensus (25.30 )

SEE Sealed Air beats by $0.05, reports revs in-line; tightens FY09 EPS guidance range (19.86 )
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 TECHNICAL ANALYSIS

Symbol S7 S6 S5 S4 S3 S2 S1 PIVOT R1 R2 R3 R4 R5 R6 R7
Sectors
SPX 1041.78 1046.31 1049.11 1053.64 1058.17 1059.57 1060.97 1065.50 1070.04 1071.43 1072.83 1077.36 1081.89 1084.69 1089.22
INDU 9670.06 9711.92 9737.78 9779.64 9821.50 9834.43 9847.31 9889.22 9931.14 9944.01 9956.94 9998.80 10040.66 10066.52 10108.38
NDX 1656.66 1670.62 1679.24 1693.20 1707.16 1711.47 1715.76 1729.74 1743.72 1748.01 1752.32 1766.28 1780.24 1788.86 1802.82
XBD 110.59 111.57 112.17 113.14 114.12 114.42 114.72 115.69 116.67 116.97 117.27 118.24 119.22 119.82 120.79
BKX 42.36 42.73 42.96 43.32 43.69 43.80 43.92 44.28 44.65 44.76 44.88 45.24 45.61 45.84 46.20
TRAN 3515.28 3556.75 3582.37 3623.84 3665.31 3678.12 3690.88 3732.40 3773.92 3786.68 3799.49 3840.96 3882.43 3908.05 3949.52
OIX 665.18 670.60 673.95 679.37 684.79 686.46 688.13 693.56 698.98 700.65 702.33 707.75 713.17 716.52 721.94
OSX 188.62 190.61 191.84 193.82 195.81 196.42 197.03 199.02 201.01 201.62 202.24 204.22 206.21 207.44 209.42
XNG 491.22 495.89 498.78 503.45 508.12 509.57 511.00 515.68 520.36 521.80 523.24 527.91 532.58 535.47 540.14
CYC 709.20 717.52 722.66 730.98 739.30 741.87 744.43 752.76 761.09 763.65 766.22 774.54 782.86 788.00 796.32
UTY 378.35 380.80 382.31 384.76 387.21 387.97 388.72 391.17 393.63 394.38 395.13 397.58 400.03 401.54 403.99
DRG 282.85 284.45 285.44 287.04 288.64 289.14 289.63 291.23 292.83 293.33 293.82 295.42 297.02 298.01 299.61
RLX 374.00 377.40 379.49 382.89 386.29 387.34 388.38 391.78 395.18 396.23 397.27 400.67 404.07 406.16 409.56

Tradeables

SPY 104.20 104.67 104.96 105.43 105.90 106.04 106.19 106.66 107.13 107.27 107.42 107.89 108.36 108.65 109.12
DIA 96.66 97.09 97.36 97.79 98.22 98.35 98.48 98.92 99.35 99.48 99.62 100.05 100.48 100.75 101.18
QQQQ 40.68 41.04 41.26 41.61 41.97 42.08 42.19 42.54 42.90 43.01 43.12 43.47 43.83 44.05 44.40
QLD 47.06 47.93 48.46 49.32 50.19 50.45 50.72 51.58 52.45 52.71 52.98 53.84 54.71 55.24 56.10
IWM 56.72 57.18 57.46 57.92 58.38 58.52 58.66 59.12 59.58 59.72 59.86 60.32 60.78 61.06 61.52
OIH 117.52 118.73 119.47 120.67 121.88 122.25 122.62 123.82 125.03 125.40 125.77 126.97 128.18 128.92 130.12
XLE 55.52 55.96 56.23 56.68 57.12 57.26 57.39 57.84 58.28 58.42 58.55 59.00 59.44 59.71 60.16
FAZ 18.89 19.29 19.54 19.94 20.34 20.47 20.59 20.99 21.39 21.52 21.64 22.04 22.44 22.69 23.09
FAS 68.74 70.25 71.19 72.71 74.22 74.69 75.16 76.68 78.20 78.66 79.13 80.65 82.16 83.10 84.62
SRS 8.95 9.13 9.25 9.44 9.62 9.68 9.74 9.93 10.11 10.17 10.23 10.42 10.60 10.72 10.91
SDS 37.55 37.89 38.10 38.44 38.78 38.89 38.99 39.33 39.67 39.78 39.88 40.22 40.56 40.77 41.11
USO 38.38 38.77 39.00 39.38 39.77 39.88 40.00 40.38 40.77 40.88 41.00 41.38 41.77 42.00 42.38
SKF 23.73 24.06 24.26 24.58 24.91 25.01 25.11 25.43 25.76 25.86 25.96 26.28 26.61 26.81 27.13

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