ALARON LAS VEGAS US EQUITY FUTURES REPORT 06/02/2009

US EQUITIES HIGHER ON BETTER THAN EXPECTED PENDING HOME SALES. GAINS MUTED AHEAD OFMONTHLY EMPLOYMENT DATA.

US equities posted slight gains on Tuesday, bolstered by a strong than expected reading on pending home sales data which offered some additional positive sentiment that the recent gains in equities may continue further than many expected. Financial shares were mixed as a number of the largest financial institutions continue their efforts to raise capital to meet the required stress test levels imposed by US auditors in May. Additional signs of market stabilization appeared today as the VIX (volatility index) level fell back below the psychologically important 30 level.

Homebuilders, technology, and consumer stocks support the markets eventual bullish outcome today. It is not surprising that gains were muted today as the lagging indicator of employment data appears for consideration this week. Positive sentiment appears to be on the horizon as acceptance of the gloomy employment picture is being considered and inevitability and should remain so while the data moves along its timeline to the psychologically important level of 10% unemployment in the US.

Technically, June Dow futures are skirting near overbought territory based on daily and 60 minute RSI. Based on the ranges and the chart progression, the market should expect to set up with a series of higher lows for the near term. Look for a possible pullback to 8560 sometime within this week. Longer term support sets up at 8460. Resistance sets up at 8870.

EQUITY RANGES

OPEN

HIGH

LOW

CLOSE

CHANGE

DJM9 (JUNE DOW)

8690

8770

8670

8714

+26

SPM9 (JUNE S&P)

939.90

948.50

937.00

942.60

+3.50

NDM9 (JUNE NASDAQ)

1469.00

1495.00

1466.00

1478.50

+8.50

dow_report.JPG

Prepared by Rich Roscelli & Paul Brittain.

Past performance is not indicative of future results. The information and data in this report were obtained from sources considered reliable. Their accuracy or completeness is not guaranteed and the giving of the same is not to be deemed as an offer or solicitation on our part with respect to the sale or purchase of any securities or commodities. Alaron Trading Corp. its officers and directors may in the normal course of business have positions, which may or may not agree with the opinions expressed in this report. Any decision to purchase or sell as a result of the opinions expressed in this report will be the full responsibility of the person authorizing such transaction.