Big Banks Results This Week Will Determine The Swing

The markets are now sitting at the edge and its a make or break week. The S&P 500 is sandwiched between the 200 MA and 20MA. The 20MA acts as a support and if the index breaks the prior swing low (1460), then we'll see more gloomy days ahead. Aside from technicals, this week is also critical as we see 3 big banks (GS, MS, BSC) announcing their earnings results and what they say about their subprime exposure, will in my opinion, largely determine the direction of swing for the year end.

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Mon: NY Empire State Index
Notable earnings: ADBE

Tue: Building Permits and Housing Starts
Notable earnings: BBY, GS, HOV

Wed:
Notable earnings: ACN, CMC, MS, JOYG, NKE, KMX, PAYX

Thurs: GDP, Leading Indicators, Phil Fed
Notable earnings: BSC, FDX, COGN, JBL, RIMM

Fri: Personal Income, Personal Spending, Core PCE Inflation, Michigan Sentiment
Notable earnings: CC, WAG