• Markets nearing BUY territory: Euro FXE
• Markets nearing SELL territory: DJ Transports (take some profits), IYT (take some profits), XLB (take some profits), XLI (take some profits), XLY (take some profits), HGX Housing (take some profits), DRG Pharmaceuticals, OSX Oil Services (take some profits), Austria (take SOME profits), Czech Republic (take SOME profits), Portugal (take SOME profits), MSCI Emerging Markets (take SOME profits), EEM (take SOME profits), India BSE Index (take SOME profits), Indonesia (take SOME profits), Taiwan (take SOME profits), Thailand, (take SOME profits), Crude Oil (take SOME profits)

• Market Outlook: Intermediate-Term: Bullish & Short-Term: Neutral (*Change*)
• Themes Of The Day:
  • Strong Start = GOOD YEAR?
  • Highly RATE-ed
  • RISK OFF Signals Flashing?

• Chart Of The Day (0:00): Stocks’ Strong 1st Week Bodes Well For Year?
• Indices (1:35): Value Line Geometric, S&P 500, DJIA, NDX, Russell 2000, S&P 400 Mid-Cap, S&P Small-Cap Pure Value, HYG, SPHB
• Sectors (6:51): DJ Transports, DJ Utilities, XLK, SOX Semiconductors, XLV, BTK Biotech, DRG Pharma, XBD Broker-Dealers, KRE, HGX Housing, XLB, XLI, XLY, XAU Gold/Silver, OSX Oil Services, LIT
• International (16:19): MSCI ACWI, DJ STOXX Europe 600, Germany, France, UK, Italy, Switzerland, Austria, Portugal, Brazil, Mexico, MSCI Emerging Markets, Russia RTSI, India BSE, China Shanghai Composite, Malaysia, Philippines, Thailand
• Bonds (25:54): 10-Year Yield, 30-Year Yield
• Currencies (27:01): U.S. Dollar Index, FXE
• Commodities (27:48): GSCI Index, Crude Oil, SLV

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Disclaimer: JLFMI’s actual investment decisions are based on our proprietary models. The conclusions based on the study in this letter may or may not be consistent with JLFMI’s actual investment posture at any given time. Additionally, the commentary provided here is for informational purposes only and should not be taken as a recommendation to invest in any specific securities or according to any specific methodologies. Proper due diligence should be performed before investing in any investment vehicle. There is a risk of loss involved in all investments.