BIG RALLY UNDERWAY!

Overnight Asian and European markets have led the calvary charge and worldwide markets are up sharply and of course US markets are setting up for a sharply higher open. The S&P futures are up 16 points as of this post. Everything is higher including crude up 1.50 and nat gas is up 4 percent and looking to get back over 4 dollars!


I put up the weekly charts this morning just to put it into perspective a bit and we are coming into some important moving average resistence in my view. MLPS have been behaving as if they aren't even there and at least for the weekly charts you could make the case that 270 is doable. Now i think that would be just lovely if we could get back there it does seem an awful lot to ask. Still we are up 10 out of the last 11 weeks in this rally phase. Short term Friday we closed at the November 4th 2008 high of 227.05 and the next target with this tailwind would be the 240 level. If it ain't broke don't fix it so lets just enjoy the ride.

One thing this rally has done is that it has brought yields down and yet they still remain ridiculously high in some instances meaning there is still plenty of headroom in individual issues. But shop carefully if you are adding to new positions. Look for mlps with have grown distributions or have at least held them. I would still avoid the mlps that have sliced or eliminated their payouts.

This is an early post for me. I will update later this morning.