WELLS FARGO BUSY ON MLPS, KEY REVERSAL, NEWS, AND MORE!

Wells Fargo this morning is making moves on some mlps that are worth noting. It is rasing to outperform Inergy Partners (NRGY) and Inergy Holdings (NRGP) which is very interesting because it is doing it at a point where these mlps are sitting at all time highs! So they are either playing catch up or they are gravitating to mlps that have a bright future and more upside. I would like to bet on the latter. It is also upgrading Magellan Midstream Partners (MMP) to outperform.
Two mlps which Wells is downgrading...Markwest (MWE) and E V Partners (EVEP) and they move those to market perform from outperform. Both have done exceptionally well as they make there way back to levels not seen since before last years big collapse. If you could have avoided being in mlps that blew up and have never come back like Constellation Partners (CEP) Crosstex (XTEX) Atlas Pipeline Partners (APL) Hiland (HLND) and a few others and stayed with the big players like Kinder Morgan (KMP) Sunoco Logistics (SXL) and some others...your portfolio right now would be sitting at a place where you would be saying..."waht collapse?"

And that now brings us to yesterday's action which was another one of those key reversals that occurs every few weeks. Note that it is consistent with the pattern which has continued in this sort of stair step move. Key reversals to the downside tend to be right less than of the time making them nothing more than statistical noise. Upside reversals have a much better batting average. So IF it holds to what has been occuring we correct to the moving averages at worst and then start another upleg. No follow through so far this morning on futures.

MLPS continue to move along as they closed off their highs yesterday but still up a point on the index as we near 270. With distribtuions coming i would think mlps would have a lot of support underneath them in here until after they go ex distribution. Remember they are up over 60% total return this year....juicy profits for some people to book as near end approaches.

Ok lets catch up on some news. Kinder Morgan (KMP) put up news last night with earnings and its distribution. The stock is bid up in the pre market. Magellan Midstream (MMP) announces its distribution. No change from last quarter. Buckeye Partners (BPL) is buying up some terminals in the midwest.

So we have alot to chew through this morning. Stock futures are flat this morning after yesterday's late day sell off. Crude oil which broke out above 80 bucks yesterday is pulling back a little this morning. Nat gas numbers are out at 10:30 am. Watch for followthough on the key reversal today as the battle around 10,000 continues. MLPS stil have a good tailwind.