It looks like SPX is poised to rebound to 1095-1100. After that I would expect the continuation of the downtrend. If you are looking for longer term investments, Gold is offering some pretty amazing buying opportunity. My bold prediction would be a rise of 20% in the next 2 months.

My advice would be to accumulate position in the 1245-1255 range with the stop below 1235. First target on this move would be 1300-1310. After that I expect a minor pullback a another sharp rise to 1450-1500. That should result in formation of a climax top and a sharp reversal.

Looks like EUR/USD has also put a short term bottom at 1.19. This reversal might take us to 1.2050-1.2070.

Need to watch MACD for any hints on divergence. Also please note that for this case to be valid, we need to stay below 108$ during trading early next week.

Here is another possibility:

This drop in SPY to ~104$ should coincede with the drop of CLF to 44.00 area. This is where I am planning to take some profits off the table. After that I would be looking for a rebound to ~48$ and then another push lower to 38-39.

After a strong close yesterday, the futures made a little pullback overnight, forming a flag formation. I expect we will hit 1090-1093 today. If that level is taken out, next stop is 1105-1110. I would be cautious at this level, and take some profits off the table. Also place tight stops to protect your profits. For those who are looking to place some short bets, look at mining sector.

EUR/USD is also due to a pullback. First target is 1.2420-1.230.

One of the stocks to consider to play this rebound is ADSK.

The stock is in clear uptrend. It has plenty of support at 27$. My first target would be 31-32. This should coincide with the S&P 500 index at 1100-1120.

The price action for the EUR/USD is not so clear. A lot of uncertainty regarding this pair short term.

Right now the pair is  in a clear downtrend (4H chart). If it doesn’t break above 1.26-1.27 come Monday, then it would be a good idea to place a short. First target 1.2430, second – 1.23. If that doesn’t hold, we will eventually see 1.20 soon.

If we break above 1145, then most likely the market will take out new highs for the year. A breakdown below 1113 will lead to 1070-1060.

We have got to 1200 by April OPEX, and now we are tumbling heavily. To be honest, I was not sure, that this is going to happen so soon. But here we are – all the gains for 2010 are erased, panic selling everywhere, VIX skyrocketed, investors are scared and don’t know what to expect next.

Guess what happens next couple of weeks?

We are going higher. That is right. I believe we should test 1150 a least, maybe will go as high as 1170. This volatility is great for a skilled trader. For an average investor it is really a mess, so if you are not comfortable trading here – I would suggest reducing you position size.

Check out this echo from 2007 for more clues:

Best sectors to be invested in right now are financials and energy.

I expect turbulence to continue in the EUR/USD currency pair. To save the truth, I was looking for 1.37 this week. It looks like I was dead wrong – even though we’ve had a nice base in the pair, the jobs report has send it below support lines on Friday and the next likely target is 1.34 – 1.3350. See the clear H&S pattern on the 1H chart?

Oil and Gold are definitely on the roll here. I continue to believe the yellow metal is going to 1160$ short term. As for the Black Gold, I expect it to outperform all the other asset classes. My first target is 90$, looking for 100$ by the beginning of the Summer. The price action from the February to June of last year may serve as a guidance.

Also, GPB/EUR looks quite interesting. It is forming a symmetrycal triangle, ready to breakout to the upside. If that happens, chanses are, we will see much lower levels in GBP. So, watch this closely for setups.