Mortgage Bonds are trading above a triple layer of support based on differnt moving averages. Pending home sales come in better than expected today but we do not expect it to be much of a market mover. The stock market of the last couple weeks has done very well and the the S and P is at a turning point to either move higher or lower based on the the chart and moving averages.

Our man Warren Buffet was in the news today. One of the richest men in the world. Everything in the news media is a negative and making people scared. Warren as always had an ability to go agianst the grain and move in the oppostite dirrection of the herd. Based on this there is great opportunity to profit on all fronts. If people wait to long they will miss the boat. As the economy starts to recover so with housing and interest rates. If you have not purchased a home yet, get out there and do it before the opportunity has passed.

For now we do recommoned a float based on the trading of mortgage backed securites and the triple lay of support. But we always have our fingers on the lock trigger should things change quickly.

thanks

Brian