PRE OPEN RAMP

Futures markets are trading higher as rumors abound of a merger in the brokerage business and our old friends in Dubai are buying into (9.5%) my old friend, MGM, at $84 per share. NMX also supposedly to be taken out by NYX. European markets trading up 1% or so.

The SPX should leave the 200 day SMA in the rear view mirror at the open (1,456) with the next area of resistance being the 50% retracement area at 1,461. The 50 day SMA a bit away at 1,496 but it may be another short term target.

Oil back up near the $70 level and Pete Beutel again talks of oil getting trashed and heading much lower. Of course he has been saying that for years. Hormats not in agreement citing demand from around the world. I will go with GS.

Gapping up- ACH PGLA BCSI BYI MGM TECD AMTD BTJ DRYS CTIC NMX NBIX SPWR SCHW NTES RTP TOL BYD LVS.

Gapping down- ABIX EFUT MDT.