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THE DAILY BRIEF

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Phone: (561) 922-5266 • Fax: (561) 623-6235
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Thursday 12.17.2009

CURRENT MARKET SENTIMENT

The Fed decision came and went having a (S&P). Today, being pre-expiration is the day
limited effect on the market movement. The to clear the book before Christmas. Yet the
indices finished at 10441 (Dow) and 1109 market has not been in the mood to sell.

PRISM CALL

Futures are pointing down on bad news from : Greece, Meredith, Economic data and Fedex’ earnings.
The market will open down, yet how low do we go? If yesterday is any indication, even the downside
might be problematic. Be cautious!

ECONOMIC CALENDAR INDU & SPUZ TECHNICALS

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

8:30 Initial Jobless 450K to 465K 474K 480K INDU


am Claims 475K 10377 10414 10459 10504 10532
(DOW)
SPUZ
8:30 Continuing 5000K to 5180K 5157K 5186K
am Claims 5300K
(S&P) 1103 1106 1111 1116 1119

10:00 Leading 0.5% to 0.7% 0.3%


am Indicators 1.2%

10:00 Philadelphia 6.9 to 16.0 16.7


am Fed 20.3

10:30 Natural Gas -200 to - -176 -64


am Storage 163
Change

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RISK DISCLAIMER: There is a very high degree of risk involved in trading equities. Trading is not for every investor and only risk capital should be used. Past results are not indicative of future returns. Prism
Trading School, LLC (“Prism”) and all individuals affiliated with Prism assume no responsibilities for your trading and investment results. The indicators, strategies, articles and all other features are for educational
purposes only and should not be construed as investment advice. Any person who chooses to use this information as a basis for their trading assumes all the liability and risk for themselves and hereby and absolutely
agrees to indemnify and hold harmless Prism, its principals, agents and employees. All of the material contained herein is believed to be correct, however, Prism will not be held responsible for accidental oversights,
typos or incorrect information from sources that generate fundamental and technical information. Prism does not warrant the completeness or accuracy of such information, and does not warrant any results from the
use of the information. Your use of Prism materials is entirely at your own risk and it is your sole responsibility to evaluate the accuracy, completeness and usefulness of the information. You must assess the risk of any
trade and make your own independent decisions regarding any securities mentioned herein. Prism affiliates may have a position or effect transactions in the securities described herein (or options thereon) and/or
otherwise employ trading strategies that may be consistent or inconsistent with the provided strategies.
FOREIGN MARKETS NEWS

BAC Bank of America Board of


MARKET PRICE   %
Directors elects Brian Moynihan
CEO and President (15.28 )
FTSE 5267.09 53.17 -1

DAX 5861.12 42.31 -0.72 Debt downgrade deals Greece a new


blow – WSJ
HANG SENG 21347.63 264.11 -1.22
HAL UBS has positive long-term
NIKKEI 10163.8 13.61 -0.13
secular view on oil prices- Reuters
CHINA 3179.078 76.135 -2.34 RIG UBS starts Transocean, Pride
International, Diamond Offshore
with Buys – Reuters
DOW STOCKS TO WATCH COMMODITY PRICES
OSTE Osteotech submits 510(k)
STRONG WEAK COMMODITY PRICE   application to FDA for clearance of
its Duratech BioRegeneration
DIS BA Matrix (2.84 )
OIL 71.91 0.75
JPM IBM KSU Wells Fargo initiates the
railroad sector with a Market
PG KO
GOLD 1119.7 16.50 Weight
TRV XOM
MRK Merck to acquire Avecia
Investments Limited (37.75 )

UPGRADES & DOWNGRADES House narrowly passes $290 billion


increase in debt limit – WSJ
STOCKS UPGRADED
APC Anadarko Petro announces
BROKERAGE another pre-salt discovery offshore
COMPANY RATINGS CHANGE PRICE TARGET
FIRM
Brazil (62.96 )
Mohawk (MHK) JP Morgan Neutral >> Ovrweight 47.34 53.50
KeyBanc R Ryder System authorizes new
Pactiv Corp (PTV) Buy 30 23.91 anti-dilutive program to repurchase
Capital Mkts
2 million shares (42.86 )
Lincoln National
Morgan Stanley Equal Weight >> Overweight 23.09
(LNC) MET MetLife: Moody's lowers
BMO Capital Market Perform >> MetLife ratings (senior debt to A3);
Mariner Energy (ME) 11.47 15
Mkts Outperform stable outlook (36.56 )
Thor (THO) Argus Buy 28.45 35 AGN Allergan initiated with a Buy
at Brean Murray; tgt $75 (60.92 )
STOCKS DOWNGRADED

BROKERAGE FISV Fiserv resumed with a


COMPANY RATINGS CHANGE PRICE TARGET
FIRM
Outperform at Credit Suisse; tgt $55
Harley Davidson Goldman Neutral >> Sell 26.99
(47.47 )
(HOG)
OSI Pharma (OSIP) Lazard Buy >> Hold 32.89
BYD Boyd Gaming delivers a non-
Wimm-Bill-Dann Citigroup Buy » Hold binding proposal to acquire Station
Foods (WBD) Casinos for $2.45 bln (8.52 )
Spectra Energy LP Oppenheimer Outperform » Perform
(SEP)
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EARNINGS

MSL Midsouth Bancorp, Inc. announces it prices its public offering of 2.7 mln shares of common stock
at $12.75/share (12.97 )

C Citi confirms it prices $17 bln common stock offering at $3.15 per share and prices $3.5 bln of tangible
equity units at $100 each (3.45 -0.11)

APOG Apogee Enterprises beats by $0.18, misses on revs, issues FY10 in-line revenue guidance (14.49 )

AXA National Australia Bank offers $12 bln for AXA Asia Pacific Holdings - Reuters (23.62 )

KRA Kraton Performance Polymers prices 10.29 mln share IPO at $13.50 per share; below the $16-18
expected range

GIS General Mills beats by $0.09, reports revs in-line; raises FY10 EPS guidance (68.29 )

BCE BCE Inc increases annual common share dividend 7% to $1.74 per share (24.85 )

ATU Actuant beats by $0.04, beats on revs; guides Q2 EPS in-line, revs in-line; guides FY10 EPS in-
line, revs above consensus (17.60 )

OSG Overseas Shipholding: 2010 could be better than expected - Oppenheimer (43.34 )

CCE Coca-Cola Enterprises issues guidance for FY09, sees EPS of $1.56-1.59 vs $1.57 consensus;
provides FY10 outlook (20.05 )

FDX FedEx beats by $0.04, beats on revs; guides Q3 EPS below consensus; guides FY10 EPS in-line
(89.95 )

EQIX Equinix tgt raised to $125 at Morgan Joseph given anticipations of robust demand for data center
services (106.37 )

GS Goldman Sachs and Morgan Stanley est cut by Meredith Whitney; lowers her earnings ests for
Goldman's Q4 to $6.00 from $6.38 (consensus is $5.59) (164.99 )

DHR Danaher tgt to $87 following positive preannouncement and better-than-expected FY10 guidance
last night (72.86 )

CBT Cabot ests and tgt raised to $35 at Jefferies after meeting with CFO (25.92 )

PNC PNC Bank initiated with a Overweight at JP Morgan (52.00 )

ATI Allegheny Tech issues upside 4Q09 EPS guidance (38.24 )

DFS Discover Financial Services reports Q4 EPS of $0.63, including anti-trust settlemt payments from
V/MA, not comparable to the $0.15 First Call Consensus; co reports Q4 Managed cahrge-off rate of
8.43% vs 8.50-9.0% guidance; sees 1Q10 managed charge off rate of 8.4-8.9%

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TECHNICAL ANALYSIS

Symbol S7 S6 S5 S4 S3 S2 S1 PIVOT R1 R2 R3 R4 R5 R6 R7
Sectors
SPX 1094.62 1097.77 1099.72 1102.87 1106.02 1106.99 1107.96 1111.12 1114.27 1115.24 1116.22 1119.37 1122.52 1124.47 1127.62
INDU 10294.80 10326.27 10345.71 10377.18 10408.65 10418.37 10428.05 10459.56 10491.07 10500.75 10510.47 10541.94 10573.41 10592.85 10624.32
NDX 1772.67 1778.77 1782.54 1788.64 1794.74 1796.63 1798.50 1804.61 1810.72 1812.60 1814.48 1820.58 1826.68 1830.45 1836.55
XBD 107.22 108.28 108.94 110.01 111.07 111.40 111.73 112.80 113.86 114.19 114.52 115.59 116.65 117.31 118.38
BKX 40.86 41.18 41.37 41.68 42.00 42.09 42.19 42.50 42.82 42.91 43.01 43.32 43.64 43.83 44.14
TRAN 4110.81 4123.87 4131.95 4145.01 4158.07 4162.11 4166.13 4179.21 4192.29 4196.31 4200.35 4213.41 4226.47 4234.55 4247.61
OIX 658.39 662.81 665.53 669.94 674.36 675.72 677.08 681.49 685.91 687.27 688.63 693.04 697.46 700.18 704.59
OSX 185.20 186.81 187.81 189.43 191.04 191.54 192.04 193.66 195.27 195.77 196.27 197.89 199.50 200.50 202.12
XNG 513.82 517.15 519.21 522.53 525.86 526.89 527.91 531.24 534.57 535.60 536.63 539.95 543.28 545.34 548.66
CYC 806.08 809.45 811.53 814.90 818.27 819.31 820.34 823.72 827.09 828.13 829.17 832.54 835.91 837.99 841.36
UTY 415.36 417.23 418.38 420.26 422.13 422.71 423.28 425.16 427.03 427.61 428.18 430.06 431.93 433.08 434.96
DRG 305.80 306.66 307.20 308.07 308.93 309.20 309.47 310.34 311.20 311.47 311.74 312.61 313.47 314.01 314.88
RLX 401.24 403.14 404.32 406.23 408.13 408.72 409.31 411.22 413.13 413.71 414.30 416.21 418.11 419.29 421.20

Tradeables

SPY 109.92 110.25 110.45 110.78 111.11 111.21 111.31 111.64 111.97 112.07 112.17 112.50 112.83 113.03 113.36
DIA 103.14 103.46 103.66 103.98 104.30 104.40 104.50 104.82 105.14 105.24 105.34 105.66 105.98 106.18 106.50
QQQQ 43.63 43.79 43.88 44.04 44.20 44.25 44.29 44.45 44.61 44.66 44.70 44.86 45.02 45.11 45.27
QLD 53.88 54.28 54.52 54.91 55.31 55.43 55.55 55.94 56.34 56.46 56.58 56.97 57.37 57.61 58.00
IWM 59.83 60.11 60.28 60.55 60.83 60.91 61.00 61.27 61.55 61.63 61.72 61.99 62.27 62.44 62.71
OIH 114.09 115.02 115.59 116.53 117.46 117.75 118.03 118.97 119.90 120.19 120.47 121.41 122.34 122.91 123.85
XLE 55.27 55.56 55.74 56.03 56.32 56.41 56.50 56.79 57.08 57.17 57.26 57.55 57.84 58.02 58.31
FAZ 19.09 19.30 19.42 19.62 19.83 19.89 19.95 20.15 20.36 20.42 20.48 20.68 20.89 21.01 21.21
FAS 68.38 69.11 69.55 70.28 71.01 71.23 71.45 72.18 72.91 73.13 73.35 74.08 74.81 75.25 75.98
SRS 7.48 7.55 7.59 7.66 7.73 7.75 7.77 7.84 7.91 7.93 7.95 8.02 8.09 8.13 8.20
SDS 34.29 34.50 34.62 34.83 35.04 35.10 35.16 35.37 35.58 35.64 35.70 35.91 36.12 36.24 36.45
USO 34.72 35.08 35.30 35.67 36.03 36.14 36.25 36.62 36.98 37.09 37.20 37.57 37.93 38.15 38.52
SKF 23.93 24.10 24.21 24.38 24.55 24.61 24.66 24.83 25.00 25.06 25.11 25.28 25.45 25.56 25.73

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