Market Analysis for Oct 6th, 2005

Perhaps the continued slide in the e-SPZ despite its 40 point, 3-day decline, and a VERY oversold near term technical condition reflects a very negative juxtaposition of my intermediate term technicals with the declining price structure. Notice on the enclosed daily chart the cash SPX is heading directly for a confrontation with its 14 month support line, now at 1188, amidst very negative underlying oscillators... which suggests that the trendline likely will be violated on the way to 1170-1160. MJP 10/06/05 2 PM ET (1190.50... e-SPZ -5.50 @ 1195.25)

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