Range Bound

We have been in a range bound market for the last three weeks. The range has been 1086-1112. Believe it or not put up a chart and look at it almost impossible to do anything. A 25 point range for week is just ridiculous and I wonder if it could remain this boring for the rest of the year.

Gold

http://www.businessinsider.com/as-gold-hits-1200-china-prepares-to-increase-its-holdings-significantly-2009-12

S&P Silverblatt

Just read Silverblatt noting this decade will be the first decline in the market ever. They are also claiming a Dec 2010 target on the S&P between 980-1100 so basically falt from these levels. Very interesting indeed

Citibank cautious on Banks

(Reuters) - Citigroup said there are substantial risks facing U.S. bank stocks now, but in the near term these stocks can grind higher given a combination of the Federal Reserve's accommodative stance plus a modest recovery.
"Since there is above-average risk, we would remain very selective focusing on banks that have strong capital positions, while avoiding banks with the combination of relatively high commercial real estate exposure and questionable capital strength," Citigroup said in a note.
The brokerage upgraded BB&T Corp (NYSE:BBT - News) and Fifth Third Bancorp (NasdaqGS:FITB - News) by a notch to "buy" and kept Bank of America Corp (NYSE:BAC - News) as its top pick among U.S. bank stocks.
Citigroup analysts, including Keith Horowitz, also kept their "sell" rating on the shares of Zions Bancorp (NasdaqGS:ZION - News).
The analysts are also upbeat about the shares of Suntrust Banks (NYSE:STI - News), while they see the least value on Regions Financial (NYSE:RF - News), KeyCorp (NYSE:KEY - News) and Zions.
They estimated that banks in their coverage have crossed 55 percent of the credit cycle, though M&T Bank (NYSE:MTB - News), Comerica (NYSE:CMA - News) and BB&T have most losses ahead.

Banks with excess capital will be key players when the credit cycle is over, giving them a chance to take advantage of opportunities such as acquiring weaker players and organic loan growth, the analysts wrote.

Gold

Gold January contract traded 1199.6- Hmmm I would call that $1200. Important to watch Oil here to and see what it does out of the structure. Structure has been consolidating but would more seem to be signaling higher.

Charts will be back up tomorrow

Gold

Gold went $1 within the $1200 target. I read people saying Gold should be shorted, I really don't think so I would rather trade it long with stops below the last swing lows because this seem like Oil last year.

Areas to watch

Some areas to watch for the rest of week. 1097 on the upside the bulls need to clear this to get a foot down on the bears. The bears need us to break 1081 and spike down to that 1065 to change the sentiment. Main problem we could just trade in this range for awhile for complete boredom