The markets had a bad finish to the week as concerns about Spain intensified and we had softer US data. It is likely to be a policy focused week culminating in the G20 Finance Ministers meeting on Friday. With Spain facing increasing speculation in relation to its bank stress, the EU’s funding will be become more than a moot point. This week also sees a Spanish Debt Auction and we have the first round of the French Elections next Sunday. Today we have The Empire Survey and Retail Sales in the US.

S&P 500

The S&P  had a bad finish to the week as we closed below the important 1370 level. I am currently flat and I want to sell from 1368/1373 with a 1378 stop looking for a move back to last week’s low at 1353 where I will cover and go long the first time down with a 1349 stop. If we close below 1350 I will look for a move back to 1321 thus filling the gap left from the beginning of Feb.

Euro

I took my profit too early on my 1.3200 short and we are now back at the important 1.30 level. I will buy in front of 1.2950 with a tight stop of 1.2920. I will look to sell on any rally to 1.3050/1.3070 which now represents strong resistance, and set a 1.31 stop.

FTSE

The FTSE is trading very well and has had a nice bounce of the important 5570 level this morning. I want to buy on any dip back to 5570 with a 5550 stop looking for a retest back to 5650.

DAX

The DAX has got hammered over the last week and we are at the bottom of the Bolinger Band and Williams Index. 6500 should be good support the first time down and I will buy in small from 6500/6530 with a 6480 stop looking for a retest of 6650/6700.

USD/JPY

I took profit at 8120 on my 8060 long and I want to reset from 8010/8030 with a 7980 stop.

Bund

The Bund is approaching long term resistance at 141 and I want to sell from 140.80/141.20 with a 141.40 stop looking for a move back to 139 when Equities start to recover.