THE DAILY BRIEF

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

Friday 12.18.2009

CURRENT MARKET SENTIMENT

The indices finished at the low 10308 (Dow) not to fall too far from the weekly pivot of
and 1096 (S&P), below the 1098-1100 10338 and S&P 1101. However, the push on
demarcation point. With quadruple witching the downside may lead to strike the first
and year end closing, the indices are subject to support.
overshooting. Technically, the Dow must fight

PRISM CALL
Quadruple Witching and Futures are pointing up! Market will shake and bake the first leg before
settling down. Having suffered greater loss yesterday, the first print will dictate the direction. Selling
pressure came late in the session, thus wait to see if there is any follow through. Quick profit taking is
the best strategy until the dust settles.

ECONOMIC CALENDAR INDU & SPUZ TECHNICALS

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

NONE TODAY! INDU

10220 10270 10352 10434 10484
(DOW)
SPUZ
(S&P) 1089 1093 1099 1006 1110

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 FOREIGN MARKETS NEWS

ENS Enersys invested an

MARKET PRICE
 %
undisclosed amount in Altergy
Systems (21.88 -1.31)
FTSE 5235.48 17.87 0.34

DAX 5876.82 32.38 0.55 TTWO Take-Two: Carl Icahn

discloses 11.28% stake in 13D
HANG SENG 21175.88 171.75 -0.8 filing (8.25 +0.15)
NIKKEI 10142.05 21.75 -0.21
BXP UBS changes their rating on
select REITS
CHINA 3113.886 65.192 -2.05 The firm is downgrading BXP,
PLD, AMB, and CBL to Sell from
Neutral and upgrading KIM to
DOW STOCKS TO WATCH COMMODITY PRICES Neutral from Sell. They are also
initiating on 10 REITs including
STRONG WEAK COMMODITY PRICE
 DLR, DFT, ARE, and BMR with
Buys. They initiate ACC, EDR,
DD CAT AKR, DDR, EQY and LRY with
OIL 74.17 1.52 Neutrals.
IBM GE
ITT ITT Industries provides 2010
TRV PFE
GOLD 1105.0 2.40 outlook; raises low end of 2009 full-
WMT VZ year adjusted EPS guidance range
(51.08 )

BoE relaxed on bank exodus fear –

UPGRADES & DOWNGRADES Reuters

UK GfK consumer morale falls for

STOCKS UPGRADED
2nd month in December -
BROKERAGE Reuters.com
COMPANY RATINGS CHANGE PRICE TARGET
FIRM
Universal Health $31 » Super Saturday expectations high
UBS Neutral » Buy
(UHS) $38 for U.S. retailers - Reuters.com
T. Rowe Price
Stifel Nicolaus Hold » Buy $59 UK public sector borrowing soars
(TROW)
to record 20.3 bln pounds - Times
Children's Place of London
Sterne Agee Neutral » Buy $42
(PLCE)
WX WuXi PharmaTech profiled in
Take-Two (TTWO) Sterne Agee Neutral » Buy $13
New America section of IBD
(15.28 )
STOCKS DOWNGRADED

BROKERAGE EMC EMC Corp added to

COMPANY RATINGS CHANGE PRICE TARGET
FIRM
Conviction Buy list at Goldman-
Entergy (ETR) Argus Buy » Hold Reuters (16.87 )
Continental Air
Stifel Nicolaus Buy » Hold 17.64 SID Comp Siderurgica Board
(CAL) approves buyback of up to 14.4 mln
Outperform » Mkt shares - DJ (33.41 )
C.R. Bard (BCR William Blair 84.16
Perform
Potash (POT) Soleil Hold » Sell 111.84 $85
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 EARNINGS

TTWO Take-Two reports EPS in-line, revs in-line; reaffirms Q1 EPS guidance, revs guidance; reaffirms FY09 revs
guidance; guides FY10 EPS in-line (8.25 +0.15)

SCS Steelcase prelim $0.00 vs $0.00 First Call consensus; revs $616.1 mln vs $597.90 mln First Call consensus

SCS Steelcase reports EPS in-line, beats on revs; guides Q4 EPS below consensus, revs below consensus
(6.07 +0.06)

LDK LDK Solar discloses VMS Investment Group and its affiliates agreed to subscribe $50-80 mln of preference
shares of a Cayman Islands subsidiary (7.84 -1.36)

NKE Nike reports Q2 gross margins of 44.5% vs 44.22% consensus and 44.66% a year ago (63.25 -0.80)

NKE Nike beats by $0.05, reports revs in-line (63.25 -0.80)

DRI Darden Restaurants prelim $0.43 vs $0.42 First Call consensus; revs $1.64 bln vs $1.65 bln First Call
consensus

DRI Darden Restaurants sees FY10 $2.65-2.76 vs $2.75 First Call consensus

DRI Darden Restaurants beats by $0.01, reports revs in-line; guides FY10 EPS in-line, revs below consensus
(32.75 -0.61)

D Dominion set a 2010 dividend rate of $1.83 per share of common stock, up from $1.75 per share this year
(38.96 -0.23)

HEI HEICO beats by $0.01, beats on revs; guides FY10 EPS below consensus, revs in-line (40.44 -0.29)

SWN Southwestern Energy announces capital program and guidance for 2010 (45.40 +0.08)

GS Oppenhiemer trims estimates at financial institutions; expects Q4 to be a clean-up quarter (160.93 )

GS tgt lowered to $228 from $240; MS tgt to $40 from $42. WFC tgt to $31 from $36

KMX CarMax beats by $0.08, beats on revs (21.82 )

ATLS Wells Fargo initiates select Energy stocks

Wells Fargo initiates Atlas Energy (ATLS), Cabot Oil & Gas (COG), EQT Corp (EQT), and Swift Energy (SFY)
with Outperforms. They initiate GMX Resources (GMXR), Venoco (VQ), Goodrich Petroleum (GDP), Noble
Energy (NBL), Petrohawk Energy (HK), PetroQuest Energy (PQ), and Rosetta Resources (ROSE) with Market
Performs. Firm also initiates Continental Resources (CLR) with an Underperform. They transfer coverage and
maintain their Market Perform on Pioneer Natural Resources (PXD).

SWN SW Energy: 2010 Guidance; setting up for beat and raise -capital efficiency improving - FBR Research
(45.40 )

PALM Palm prelim ($0.54) vs ($0.32) First Call consensus; revs $302.0 mln vs $266.17 mln First Call consensus

RIMM Research In Motion prelim $1.10 vs $1.04 First Call consensus; revs $3.92 bln vs $3.78 bln First Call
consensus

RIMM Research In Motion sees Q4 $1.23-1.31 vs $1.12 First Call consensus; sees revs $4.2-4.4 bln vs $4.11 bln
First Call consensus

RIMM Research In Motion: Gross margin for Q4 is expected to be approximately 43.5%

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BP BP raised to Buy from Neutral at Goldman- DJ (55.90 )

TOT Total S.A. cut to Sell from Neutral by Goldman- DJ (61.89 )

REP Repsol SA cut to Sell from Neutral at Goldman- DJ (26.09 )

STO StatoilHydro cut to Neutral from Buy at Goldman- DJ (24.18)

UTHR United Therapeutics tgt upped to $70 from $59 at Lazard as firm believes Tyvaso could blow away
consensus (52.04 )

TECHNICAL ANALYSIS

Symbol S7 S6 S5 S4 S3 S2 S1 PIVOT R1 R2 R3 R4 R5 R6 R7
Sectors
SPX 1078.48 1082.48 1084.96 1088.96 1092.96 1094.20 1095.43 1099.44 1103.45 1104.68 1105.92 1109.92 1113.92 1116.40 1120.40
INDU 10087.89 10138.36 10169.53 10219.99 10270.46 10286.04 10301.57 10352.09 10402.62 10418.14 10433.73 10484.19 10534.66 10565.83 10616.29
NDX 1747.96 1754.73 1758.90 1765.67 1772.44 1774.53 1776.61 1783.38 1790.15 1792.24 1794.32 1801.09 1807.86 1812.03 1818.80
XBD 107.35 108.21 108.73 109.59 110.45 110.71 110.97 111.83 112.69 112.95 113.21 114.07 114.93 115.45 116.31
BKX 40.38 40.69 40.87 41.17 41.48 41.57 41.66 41.96 42.27 42.36 42.45 42.75 43.06 43.24 43.54
TRAN 3987.29 4014.97 4032.07 4059.75 4087.43 4095.98 4104.50 4132.21 4159.93 4168.44 4176.99 4204.67 4232.35 4249.45 4277.13
OIX 655.54 659.17 661.41 665.04 668.67 669.79 670.91 674.54 678.18 679.29 680.41 684.04 687.67 689.91 693.54
OSX 186.05 187.23 187.95 189.13 190.31 190.67 191.03 192.21 193.39 193.75 194.11 195.29 196.47 197.19 198.37
XNG 512.47 515.74 517.77 521.04 524.31 525.33 526.33 529.61 532.89 533.90 534.91 538.18 541.45 543.48 546.75
CYC 789.70 794.49 797.44 802.22 807.01 808.48 809.95 814.74 819.53 821.00 822.48 827.26 832.05 835.00 839.78
UTY 412.50 414.22 415.28 416.99 418.71 419.24 419.77 421.48 423.20 423.73 424.26 425.97 427.69 428.75 430.46
DRG 299.03 300.65 301.65 303.27 304.89 305.39 305.89 307.51 309.14 309.63 310.13 311.75 313.37 314.37 315.99
RLX 400.45 401.89 402.78 404.21 405.65 406.09 406.54 407.97 409.41 409.85 410.30 411.73 413.17 414.06 415.49

Tradeables

SPY 108.70 109.02 109.22 109.55 109.87 109.97 110.07 110.40 110.72 110.82 110.92 111.25 111.57 111.77 112.10
DIA 101.89 102.22 102.42 102.75 103.08 103.18 103.28 103.61 103.94 104.04 104.14 104.47 104.80 105.00 105.33
QQQQ 43.03 43.20 43.31 43.48 43.65 43.71 43.76 43.93 44.10 44.16 44.21 44.38 44.55 44.66 44.83
QLD 52.43 52.86 53.12 53.54 53.96 54.10 54.23 54.65 55.07 55.20 55.34 55.76 56.18 56.44 56.87
IWM 58.68 59.05 59.29 59.67 60.04 60.16 60.28 60.66 61.04 61.15 61.27 61.65 62.02 62.26 62.64
OIH 114.04 114.80 115.27 116.02 116.78 117.01 117.25 118.00 118.76 118.99 119.23 119.98 120.74 121.21 121.96
XLE 54.91 55.17 55.34 55.60 55.86 55.95 56.03 56.29 56.55 56.64 56.72 56.98 57.24 57.41 57.67
FAZ 19.69 19.92 20.06 20.30 20.53 20.60 20.67 20.91 21.14 21.21 21.28 21.52 21.75 21.89 22.13
FAS 65.13 65.97 66.49 67.33 68.17 68.43 68.69 69.53 70.37 70.63 70.89 71.73 72.57 73.09 73.93
SRS 7.48 7.57 7.63 7.71 7.80 7.83 7.86 7.94 8.03 8.06 8.09 8.17 8.26 8.32 8.40
SDS 35.06 35.27 35.40 35.62 35.83 35.90 35.96 36.18 36.39 36.46 36.52 36.74 36.95 37.08 37.30
USO 34.89 35.17 35.34 35.63 35.91 36.00 36.08 36.37 36.65 36.74 36.82 37.11 37.39 37.56 37.85
SKF 24.43 24.62 24.74 24.93 25.12 25.18 25.24 25.43 25.62 25.68 25.74 25.93 26.12 26.24 26.43

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