T U E S D A Y   E X T R E M E   M A R K E T S
A complimentary service from INO.com ( http://www.ino.com/ )

Tuesday: The CRB Index is dropping 0.13 points to 210.21. The
US Dollar Index declined 0.64 points to 118.55.

The Dow Industrials advanced 114.32 points, at 11175.84, while
the S&P 500 gained 16.46 points, last seen at 1283.57. The
Nasdaq Composite advanced 77.73 points to 2233.66.

$$$   FREE OPTIONS INVESTORS KIT
$$$   http://www.ino.com/specials/barkley/
_____________________________________________________________________

TOMORROW'S MARKET PRICES TODAY
_____________________________________________________________________

Armed with such information, such power, you could
easily make a fortune!

Do you suspect that the markets follow some pattern?
That somehow there is some order and reason to market movements?

Then you'll be both intrigued and thrilled at this
tremendous discovery.

CALL MARKET TOPS AND
BOTTOMS WITH PINPOINT ACCURACY . . .

It makes no difference what market, stocks, futures, anything.
These techniques forecast both intraday price moves and the 2-3
day short-term price swings.  If you can construct a bar chart,
you can forecast market moves.

"Joe is one of only a handful of truly successful traders I know.
His accuracy is incredible.  I've seen him take very small
accounts and get triple digit returns in just a couple of
months."
- Lee Gettess, Lake Havasu, AZ

Introducing KeyPoint, A revolutionary trading system that
provides precise, highly accurate, and profitable trades
virtually every 2-3 days per market.

Act Now and Read Our FREE 14 PAGE BROCHURE AT . . .

http://store.ino.com/sale/1A433/TWKPN-ACCURACY

<a href="http://store.ino.com/sale/1A433/TWKPN-ACCURACY">KeyPoint to Profits - Click Here!</a>

Order Toll Free 800-538-7424 - 410-867-7424

All claims on third-party products are made by the publisher
and not by INO.com. All Products Guaranteed.

_____________________________________________________________________

E X T R E M E   M A R K E T   C O M M E N T A R Y
_____________________________________________________________________

The STOCK INDEXES closed higher on Tuesday after a number of tech
firms reaffirmed earnings guidance, giving investors confidence that
the worst may be over. This positive news sent the Nasdaq sharply
higher on the day filling last Wednesday's gap at 2170.58 thereby
increasing the odds that a short-term bottom was likely posted with
last week's low. Today's strong gains turned momentum indicators
neutral to bullish signaling that sideways to higher prices during
the first half of June are possible.

The Dow also closed higher on Tuesday due to spillover support from
the Nasdaq and S&P 500 index. The Dow's solid rebound off last
Friday's low has turned short-term momentum indicators neutral to
bullish signaling that additional gains are possible. However, I
would not be surprised to see a pause if not modest setback on
Wednesday as the Dow may consolidate some of its recent gains before
extending its rebound off last week's low. Closes above May's high
crossing at 1135 are needed to renew this spring's rally.

INTEREST RATES September bonds closed higher for the fifth day in a
row following the release of the National Association of Purchasing
Management's May non-manufacturing index showed continued weakness
and the April factory orders report was softer than expected.
September bonds have retraced just over 62% of May's decline. If the
rally continues, the 75% retracement level crossing at 101-20, then
May's high at 102-22 are potential targets later this month. Momentum
indicators are bullish signaling that sideways to higher prices into
early-June are possible.

The CRB INDEX closed slightly lower on Tuesday in narrow trading as
it continues to consolidate above trading range support crossing at
208.43. Closes below this support level would confirm a trading range
breakout thereby opening the door for a larger-degree decline during
June. At the same time, momentum indicators are becoming oversold
warning traders that the CRB might have posted a broad double bottom
with last week's low. Closes above broken support crossing at 213.20
are needed to temper the bearish outlook.

ENERGY MARKETS were mixed on Tuesday. Early strength in the energy
products was due to short covering, which was triggered by a refinery
snag. However, weakness in the cash markets tempered today's gains as
traders await this afternoon's API inventory data reports. In other
news, OPEC ministers meeting in Vienna are likely to keep production
quotas and current levels. They also are likely to increase
production to offset the short fall caused by Iraq's suspension of
oil exports over the weekend.

July crude oil closed higher on Tuesday as it continues to
consolidate above the 50% retracement level of the December/May rally
crossing at 27.51. Momentum indicators are bearish but nearing their
respective oversold zones warning bears to use caution when trying to
press their hand. If the decline off May's high resumes, April's
reaction low crossing at 27.25 is July's next target.

July heating oil closed higher on Tuesday due to short covering
thereby leaving Monday's downside reversal unconfirmed. Closes below
last week's low, which coincides with the 38% retracement level of
the December/May rally crossing at 75.66 are needed to renew July's
decline off May's high. Stochastics and RSI remain bearish signaling
that additional weakness near-term is possible.

July unleaded gas spiked below last week's low crossing at 90.30 and
this year's uptrend line before a short covering bounce tempered some
of today's losses. A number of short- term momentum indicators though
bearish are becoming oversold hinting that we could see a short
covering bounce off the aforementioned uptrend line. If this support
level is broken, the door would be open for a possible test of
April's gap crossing at 87.25 later this month.

July Henry Hub natural gas posted a huge key reversal down on Tuesday
after early session strength failed to attract follow-through buying.
Additional weakness on Wednesday is needed to confirm today's bearish
reversal pattern thereby signaling the likely end of the corrective
rebound off last week's low.

CURRENCIES The September Dollar closed lower on Tuesday due to light
profit taking amidst rumors of European Central Bank intervention.
Additional weakness on Wednesday is needed to confirm today's bearish
reversal pattern however, it will take closes below May's uptrend
line crossing near 118.57 to signal that a short-term bottom has
likely been posted. Until then the door remains open for sideways to
higher prices during the first half of June. The daily ADX (a
trend-following indicator) is bullish signaling that additional
strength is possible.

The September Swiss Franc closed sharply higher on Tuesday and in
doing so filled last week's gap at .5631. Closes above .5645 are
needed to turn a number of momentum indicators neutral to bullish
thereby increasing the odds that a short-term bottom might be in
place. Until then, the door remains open for a test of weekly support
crossing at .5508.

The September Canadian Dollar posted a potential key reversal up on
Tuesday and is set to challenge trading range resistance crossing at
.6541. Multiple closes above this resistance level are needed to
confirm a breakout and renew the rally off April's low. Momentum
indicators are bullish signaling that sideways to higher prices
during the first half of June are possible.

The September Japanese Yen posted a key reversal down on Tuesday and
in doing so turned a number of short-term momentum indicators neutral
to bearish. Additional weakness on Wednesday is needed to confirm
today's bearish reversal pattern. However, the close below trading
range resistance crossing at .8425 is a clear warning to bulls that a
top and trend change might be near.

PRECIOUS METALS August gold closed slightly higher on Tuesday as it
continues to consolidate around the 75% retracement level of this
spring's rally crossing at 267.20. While the near-term trend is down,
the recent consolidation near the aforementioned support level along
with stochastics and RSI becoming oversold hint that a short-term
bottom might be in or near. If the decline continues, the reaction
low crossing at 263.20 is August's next target.

July silver posted a quiet inside day with a slightly higher close to
consolidate some of Monday's losses. The door remains open for a test
of trading range support crossing at 4.31 cents. If this support
level is broken, the door would be open for additional weakness and a
possible test of weekly support crossing at 4.15 later this month.

July copper closed higher on Tuesday due to short covering following
Monday's spike below May's low at 74.75. Momentum indicators remain
bearish hinting that additional weakness is possible. Closes below
Monday's low would open the door for a test of weekly support
crossing at 74.10 later this month. Closes above 77.20 would increase
the odds that a double bottom was posted with Monday's low.

GRAINS July corn posted a downside reversal with a lower close as
buying faded into the close. Talk of warmer weather by the weekend or
early next week erased early support due to Monday's bullish crop
conditions report. Even if the weather forecast are true, this week's
cool/wet weather will likely cause further deterioration in next
Monday's crop ratings report. Despite today's sell off, the recent
trendline breakout has opened the door for sideways to higher prices
with May's high at 2.11 1/2 being a possible target.

July wheat extended Monday's decline despite Monday's friendly crop
condition report that showed further deterioration in the winter
wheat crop. Harvest pressure along with a favorable world weather
outlook for wheat- producing areas and stagnant U.S. export demand
continues to weigh on prices. While a short covering bounce is
possible on Wednesday as July may try and consolidate some of this
week's losses, momentum indicators have turned bearish and the door
is open for sideways to lower prices into mid-June.

SOYBEAN COMPLEX July soybeans closed fractionally higher on Tuesday.
Early strength was tied to Monday's friendly crop condition report.
However, extended forecasts are calling for a warm up and drier
conditions to move into the Midwest by the weekend or early next
week, which sent buyers to the sidelines. Traders remain reluctant to
push the panic button despite slow crop development and declining
crop conditions given the projected increase in next year's carryout
and the strong U.S. Dollar. Look for two-sided trading to continue
near-term.

July soybean meal gapped up and closed higher on Tuesday but near
session lows due to profit taking ahead of the close. Early support
was due to Monday's crop conditions reports and spillover short
covering following Monday's upside reversal. July meal needs to close
above 168 or below 159.60 to clear up near-term direction in the
market. Until then, look for two-sided trading to continue to
dominate the market.

LIVESTOCK August hogs closed lower on Tuesday on ideas that meat
packers will reduce slaughter thereby pressuring the cash market.
Additional pressure came from ideas that August has become slightly
overbought technically. However, today's mid-range close leaves the
door open for sideways trading on Wednesday. If the rally resumes,
April's high crossing at 65.95 is August's next target. Closes below
last week's gap at 64.00 would strongly suggest that a short-term top
has been posted.

August cattle closed slightly lower on Tuesday as traders await
direction from the cash market. The recent rally in futures appears
to have priced in $76 cash bids. Momentum indicators have become very
overbought warning bulls to use caution a the market might be forming
a broad double top with January's high.

FOOD & FIBER July coffee closed higher on Tuesday thereby confirming
Monday's key reversal up. Today's rally also turned a number of
oversold momentum indicators neutral to bullish thereby increasing
the odds that last week's low might have marked a short-term bottom.
Closes above May's downtrend line crossing near 62.10 are needed
before this is confirmed.

July cocoa closed higher on Tuesday due to light short covering
following Monday's upside reversal. Nevertheless, July remains below
broken trading range support crossing at 955. Multiple closes above
this broken support level are needed to temper the near-term bearish
outlook in the market. Momentum indicators are bearish but becoming
oversold warning bears to use caution when pressing the short side of
the market.

July sugar closed slightly lower on Tuesday in narrow trading as it
continues to consolidate above last week's apparent double bottom.
Momentum indicators are bearish but becoming oversold hinting that
additional short covering off last week's low is possible. If the
decline resumes, fib support crossing at 832 then 808 are targets.

July cotton posted an inside day with a slightly lower close on
Tuesday. Additional weakness would increase the odds that the short
covering bounce off last week's low may have run its course. It will
take closes above this year's downtrend line crossing near 43.95 to
confirm that a bottom and trend change has taken place. Until then,
the overall downtrend remains intact.

Daily Extreme Commentary is brought to you by GLOBALcharts,
INO.com's end-of-day charting software for Futures, Futures
Options and Optionable Stocks. http://www.globalcharts.com
Search the INO Store  - http://store.ino.com/
_____________________________________________________________________

T O P   N E W S
_____________________________________________________________________

STOCKS

Japan Stocks Review: Down 1.0% after dipping below 13,000
   http://news.ino.com/summary/?id=25642
US Equities Review: Broadly higher; earnings news helps
   http://news.ino.com/summary/?id=25649
UK Stocks Review: Vodafone, defensives push FTSE above 5,900
   http://news.ino.com/summary/?id=25648

FOREX

US FX Review: Euro rebounds with help from weak US data
   http://news.ino.com/summary/?id=25644
Asia FX Review: EUR/JPY and USD/JPY higher on demand from Japan
   http://news.ino.com/summary/?id=25641
Europe FX Review: Dollar/yen leads way in afternoon trade
   http://news.ino.com/summary/?id=25643

CREDIT

US Credit Review: Gains on weak NAPM, factory orders reports
   http://news.ino.com/summary/?id=25639
Europe Credit Review: Bonds rally as econ outlook deteriorates
   http://news.ino.com/summary/?id=25645
Japan Credit Review: June up on buybacks ahead of benchmark rollover
   http://news.ino.com/summary/?id=25647

COMMODITIES

US Futures Summary: Natural gas sinks on technical, stocks ideas
   http://news.ino.com/summary/?id=25646

EXCHANGES

Pacific Exchange to Trade Nine New Options
   http://news.ino.com/press/?release=24519
NYSE Reports Lower First Quarter Net
   http://news.ino.com/press/?release=24518
Options Clearing Corp. Elects Two New Board Members
   http://news.ino.com/press/?release=24517

____________________________________________________________________________

E X T R E M E   F U T U R E S
____________________________________________________________________________

Updated every 10 minutes around the clock.
More at http://quotes.ino.com/analysis/extremes/futures/

WINNERS

NDZ1   NASDAQ 100 Index Dec 2001                 1880.00     93.00  +4.94
PBG2   Frozen Pork Bellies Feb 2002               72.450     1.950  +2.77
CCN1   Cocoa Jul 2001                                952        21  +2.26
ZM1    U.S. Treasury 6% Bond Jun 2001          103 184/256    2 2/32  +2.03
MDU1   S&P Midcap 400 Sep 2001                    546.00      9.95  +1.86
RRU1   Rough Rice Sep 2001                         5.500     0.100  +1.85
RLU1   Russell 2000 Index Sep 2001                521.00      8.95  +1.75
XSF2   Soybeans Jan 2002                         454 1/2     7 3/4  +1.73
MVM1   Value Line Index. Mini Jun 2001           1290.50     20.00  +1.57
HON1   Heating Oil Jul 2001                       0.7695    0.0118  +1.55

LOSERS

LBU1   Random Length Lumber Sep 2001              311.00    -14.80  -4.54
NGN1   Henry Hub Natural Gas Jul 2001              3.892    -0.174  -4.28
KWN1   Wheat Jul 2001                            313 3/4        -6  -1.88
ON1    Oats Jul 2001                             110 3/4        -2  -1.77
PLN1   Platinum Jul 2001                           583.1      -9.4  -1.59
SEN1   Sugar #14 Domestic Jul 2001                 20.78     -0.31  -1.47
MWZ1   Hard Red Spring Wheat Dec 2001                341    -4 1/2  -1.30
PAM1   Palladium Jun 2001                         629.20     -8.00  -1.26
XWN1   Wheat Jul 2001                            260 1/2    -3 1/4  -1.23
SBH3   Sugar #11 World Mar 2003                     7.41     -0.09  -1.20
____________________________________________________________________________

E X T R E M E   S T O C K S
____________________________________________________________________________

Updated every 10 minutes around the clock.
More at http://quotes.ino.com/analysis/extremes/stocks/

WINNERS

NESY   NEON SYSTEMS                                 8.20      2.10  +33.87
CFKY   COLUMBIA FINL OF KENTUCKY                   10.98      2.76  +33.45
TOX    MEDTOX SCIENTIFIC                           12.74      2.65  +26.50
DYII   DYNACQ INTL                                 21.00      3.84  +22.44
KT     KATY INDUS                                   5.64      1.04  +22.13
HYSQ   HYSEQ INC                                   16.66      3.03  +22.12
DY     DYCOM INDUSTRIES                            19.86      3.51  +21.47
NETE   NETEGRITY INC                               38.02      6.62  +21.08
PROX   PROXIM INC                                  13.66      2.30  +20.25
TWTI   THIRD WAVE TECH                             10.30      1.64  +19.52

LOSERS

MSS    MEASUREMENT SPECIALTIES                     18.34     -6.64  -26.58
ASHW   ASHWORTH INC                                 6.55     -1.62  -20.00
EMEX   EMEX CORP                                    7.60     -1.64  -17.92
MTROA  METRO INTERNATIONAL SA CL A                  5.50     -1.25  -17.61
FMK    FIBERMARK INC                               12.20     -2.05  -14.70
TARO   TARO PHARMACEUTICAL IND                     64.22     -9.35  -12.68
MOVI   MOVIE GALLERY                               13.88     -1.79  -12.03
STEI   STEWART ENTERPRISES INC CL A                 6.96     -0.95  -12.01
MGAMW  MULTIMEDIA GAMES WRRT'A'                     9.14     -1.10  -10.95
KPN    ROYAL PTT NEDERLAND ADS                      7.10     -0.85  -10.69

FREE MANAGED FUTURES & IRA RETIREMENT KIT
http://www.ino.com/specials/icm/

$$$$   Foreign Exchange Traders! INO.com now has
$$$$   real-time cross rates, FREE online at:
$$$$   http://quotes.ino.com/exchanges/forex-cross/
_____________________________________________________________________

T H A N K   Y O U
_____________________________________________________________________

Thank you for subscribing to the Extreme Markets Daily Digest from INO.com
( http://www.ino.com/ ). If you want to subscribe to our other email
services, or would like to modify your profile please visit
http://www.ino.com/email/.

To subscribe a friend, visit:
  http://www.ino.com/email/

To unsubscribe, visit:
  http://www.ino.com/email/remove/?email=alewis@enron.com&list=evening

--
Copyright 1998-2001 INO.com. All Rights Reserved.