THE DAILY BRIEF

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Phone: (561) 922-5266 • Fax: (561) 623-6235
www.prismtradingschool.com

Wednesday 12.30.2009

CURRENT MARKET SENTIMENT

Despite positive economic data, the market is very likely to stop the risk adverse approach
gave up early gains to finish flat at 10545 a little, thus 10500 might be the bottom for
(Dow) and 1126 (S&P). With one trading day the day. As for the upside, the pivot will act as
remaining, investors are making sure that the first resistance.
profits are locked and risk removed. The PMI

PRISM CALL

Japan airline’s possible default and a shortfall in the DAX are pressing the futures in negative
territory. Once again, limited sellers will help support the market on the downside. Quick profits on
the downside may be the best trading approach, expecting possible up at the end of the day. Caution
remains the way to go.

ECONOMIC CALENDAR INDU & SPUZ TECHNICALS

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

10:30 US Crude Oil -3500K INDU
-1500K -4841K 10521 10534 10557 10579 10593
am Inventories to 3000K (DOW)
SPUZ
10:30 US Gasoline -500K to
1000K -883K (S&P) 1123 1125 1128 1130 1132
am Inventories 2000K

10:30 US Distillate -4000K

-2100K -3027K
am Inventory to 1000K

10:30 US Refinery -0.70%

0.23% 0.09%
am Utilization to 1.60%

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otherwise employ trading strategies that may be consistent or inconsistent with the provided strategies.
 FOREIGN MARKETS NEWS

RDS.A Royal Dutch Shell, other oil

MARKET PRICE
 %
firms bolster biofuels spending –
WSJ
FTSE 5419.28 18.3301 -0.34

DAX 5957.43 54.12 -0.9 PFE Pfizer discontinues a Phase 3

trial of figitumumab in non-small
HANG SENG 21496.62 2.82 -0.01 cell lung cancer for futility (18.56 -
0.07)
NIKKEI 10546.44 91.62 -0.86

FDIC moves to seize slice of banks-

CHINA 3262.6 50.839 1.58 stock rallies- WSJ

ITC to probe charges RIMM

DOW STOCKS TO WATCH COMMODITY PRICES infringed patent - Washington Post

STRONG WEAK COMMODITY PRICE
 OXY Occidental Petro mentioned

positively in Barron's (82.10 )
DD CAT
OIL 78.75 0.12 JNJ Johnson & Johnson expands
T JPM recall of Tylenol arthritis caplets -
Reuters.com (64.94 )
MMM UTX
GOLD 1092.0 5.00
TRV XOM AAPL Apple stock expected to rise
in '10 - Business Week (209.10 )

MSFT Microsoft: WSJ's Heard On

UPGRADES & DOWNGRADES The Street column discusses
Microsoft's mobile operating
system market share (31.36 )
STOCKS UPGRADED
BROKERAGE Spanish banks start to unload
COMPANY RATINGS CHANGE PRICE TARGET
FIRM
property portfolios - WSJ.com
$14 »
NVIDIA (NVDA) Kaufman Bros Hold » Buy
$22 US to tax Chinese steel grating
$20 » imports- FT.com
Marvell (MRVL) Kaufman Bros Hold » Buy
$25
CX Cement makers warn of ‘painful
STOCKS DOWNGRADED adjustment’- FT.com
BROKERAGE
COMPANY
FIRM
RATINGS CHANGE PRICE TARGET VRX Valeant Pharmaceuticals
Buckeye Partners FDA Accepts NDA Filing for
Stifel Nicolaus Buy » Hold 55.02 Retigabine (32.17 )
(BPL)
GOOG Google: Leaked Nexus One
documents: $530 unlocked, $180
with T-Mobile – Gizmodo

PX Praxair ests raised above

consensus at Argus Research
(80.95 )

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 EARNINGS

AET Aetna to take approx $60-65 mln charge for job, real estate actions (32.86 )

CEO CNOOC Ltd announces new fields brought on stream ahead of schedule (154.23 )

XEL Xcel Energy reaffirms it 2010 earnings guidance of $1.55-1.65 per share vs $1.63 First Call consensus
(21.44 -0.01)

OSK Oshkosh Truck was awarded on Dec. 22, 2009, a $258,364,288 firm-fixed-price contract for the purchase of
728 new M1075 trucks; Co also announces additional contracts - DoD (3.52 -1.05)

LMT Lockheed Martin Corp., Missile and Fires Control, Grand Prairie, Texas, was awarded on Dec. 22, 2009, a
$151,166,292 firm-fixed-price contract - DoD (76.66 +0.96)

RTN Raytheon awarded on Dec. 18, 2009, a $58,250,212 cost-plus-fixed-fee, firm-fixed-price contract - DoD
(52.72 -0.07)

AAPL Apple ests and tgt raised to $253 at Kaufman driven by strength in all three major product lines,
particularly its iPhone business (209.10 )

PFBC Preferred Bank restates Q3 results; Q4 is likely to be profitable vs. consensus at ($0.49); loan losses
provisions will be minimal due to recovery of previously charged-off loan (14.28 )

MGM MGM Mirage tgt upped to $9 at Oppenheimer as firm raises FY10 CityCenter EBITDA est on higher margins
which are still below co's guidance following meeting with mgmt (9.41 )

TECHNICAL ANALYSIS

Symbol S7 S6 S5 S4 S3 S2 S1 PIVOT R1 R2 R3 R4 R5 R6 R7
Sectors
SPX 1118.95 1120.60 1121.61 1123.25 1124.90 1125.40 1125.91 1127.55 1129.20 1129.70 1130.21 1131.85 1133.50 1134.51 1136.15
INDU 10484.57 10498.34 10506.85 10520.62 10534.39 10538.65 10542.88 10556.67 10570.46 10574.70 10578.95 10592.72 10606.49 10615.00 10628.77
NDX 1854.88 1858.67 1861.01 1864.81 1868.60 1869.77 1870.94 1874.74 1878.53 1879.70 1880.87 1884.67 1888.46 1890.80 1894.60
XBD 113.88 114.19 114.38 114.69 115.00 115.09 115.19 115.50 115.81 115.90 116.00 116.31 116.62 116.81 117.12
BKX 42.40 42.51 42.58 42.69 42.80 42.84 42.87 42.98 43.09 43.13 43.16 43.27 43.38 43.45 43.56
TRAN 4120.55 4132.17 4139.36 4150.98 4162.60 4166.20 4169.77 4181.41 4193.05 4196.63 4200.22 4211.84 4223.46 4230.65 4242.27
OIX 683.87 686.55 688.21 690.88 693.56 694.39 695.21 697.89 700.57 701.40 702.23 704.90 707.58 709.24 711.91
OSX 190.10 191.45 192.28 193.63 194.98 195.40 195.81 197.16 198.51 198.93 199.34 200.69 202.04 202.87 204.22
XNG 538.88 541.50 543.12 545.75 548.37 549.18 549.99 552.62 555.24 556.05 556.86 559.49 562.11 563.73 566.36
CYC 828.03 830.92 832.71 835.60 838.49 839.39 840.27 843.17 846.07 846.96 847.85 850.74 853.63 855.42 858.31
UTY 420.27 421.02 421.48 422.23 422.98 423.21 423.44 424.19 424.94 425.17 425.40 426.15 426.90 427.36 428.11
DRG 308.74 309.60 310.13 311.00 311.86 312.13 312.39 313.26 314.12 314.39 314.65 315.52 316.38 316.91 317.78
RLX 413.65 414.69 415.33 416.37 417.41 417.73 418.05 419.09 420.13 420.45 420.77 421.81 422.85 423.49 424.53

Tradeables

SPY 111.75 111.94 112.05 112.23 112.42 112.47 112.53 112.71 112.90 112.95 113.01 113.19 113.38 113.49 113.67
DIA 104.61 104.76 104.85 105.00 105.15 105.20 105.24 105.39 105.54 105.59 105.63 105.78 105.93 106.02 106.17
QQQQ 45.57 45.67 45.73 45.83 45.93 45.96 45.99 46.09 46.19 46.22 46.25 46.35 46.45 46.51 46.61
QLD 58.93 59.19 59.35 59.61 59.87 59.95 60.03 60.29 60.55 60.63 60.71 60.97 61.23 61.39 61.65
IWM 62.61 62.75 62.83 62.96 63.10 63.14 63.18 63.31 63.45 63.49 63.53 63.66 63.80 63.88 64.01
OIH 115.17 116.19 116.82 117.83 118.85 119.16 119.48 120.49 121.51 121.82 122.14 123.15 124.17 124.80 125.81
XLE 56.13 56.43 56.61 56.91 57.21 57.30 57.39 57.69 57.99 58.08 58.17 58.47 58.77 58.95 59.25
FAZ 18.42 18.56 18.64 18.77 18.91 18.95 18.99 19.12 19.26 19.30 19.34 19.47 19.61 19.69 19.82
FAS 72.64 73.17 73.50 74.04 74.57 74.74 74.90 75.44 75.97 76.14 76.30 76.84 77.37 77.70 78.24
SRS 6.57 6.68 6.75 6.86 6.97 7.00 7.04 7.15 7.26 7.29 7.33 7.44 7.55 7.62 7.73
SDS 33.68 33.79 33.87 33.98 34.09 34.13 34.17 34.28 34.39 34.43 34.47 34.58 34.69 34.77 34.88
USO 37.66 37.88 38.02 38.23 38.45 38.52 38.59 38.80 39.02 39.09 39.16 39.37 39.59 39.73 39.94
SKF 23.31 23.43 23.50 23.62 23.74 23.77 23.81 23.93 24.05 24.08 24.12 24.24 24.36 24.43 24.55

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