Sector Trend Strength:
Up Trend: XLF, XLI, XLB, XLY, XLE
Sideways: XLK, XLV, XLRE
Down Trend: XLP, XLU
Breadth strengthened as advancers led 2,310 to 720 on the NYSE and led 1,804 to 988 on the NASDAQ.
Wednesday – strengthened, advancers led, +9
Tuesday – weakened slightly, advancers led, +8
Monday – strengthened, advancers led, +8
Friday – strengthened, advancers led, +7
Thursday – weakened slightly, decliners led, +5
Oil futures were down 1.07 to close at 49.81.
SPY up 2.90 at 221.70 on 110.7 million shares, 18% above average volume
VIX up .43 at 12.22
TLT up 1.02 at 120.40…on 10.3 million shares, 6% below average volume
DIA +1.55%, SPY +1.31%, QQQ +1.27%, IWM +0.97%,
Financials continued its upward momentum on Wednesday as XLRE, XLY, XLK, XLI and XLF were the leading sectors.
IWM, DIA, SPY, XLY and XLB made new all-time closing highs on Wednesday.
SPY broke out of horizontal resistance
XLE is a pennant pattern
MUR is a bull flag pattern
NVDA and CCL are horizontal resistance breakout setups
Steel stocks X, VALE, MT, AKS, NUE, CLF, ATI, SCHN and STLD continued higher in their uptrend.
SPX up 29 points at 2,241
SPX Leaders: WDC, MU, DLPH, UA, BWA, LOW, KSS, MPC, JWN, GT, GPS, FSLR, DFS, PVH, LUV, VLO, CBS, F, AZO, KMX, TSO, VTR, PLD, HPQ, GM, NTRS, WY, BBY, ALK, DAL, PHM, LB, NSC, IR, AN, GIS, EXR, MA, R, WFC, LM, UNP, GPC, JNPR, HON, NKE, HPE, EMR, IP, PSA, MOS, HD, KSU, EQIX, LEN, ALB, HRB, V, MAS, DLR
QQQ is in sideways trend and continued to rise and is near its intermediate-term resistance.
NDX point gainers: MSFT, AAPL, GOOGL, INTC, KHC, CSCO, AMZN, CHTR, MDLZ, SBUX, TMUS, AVGO, CMCSA, FB, WDC, MU, COST, QCOM, AAL, BIDU, PCAR and PCLN
Follow your rules and look for potential re-entry if you were stopped out of any profitable trades.
Continue to move up stops on short term bullish trades that could pull back. All according to your profit protection rules. If you moved stops you may have been stopped out today.
Remember breakouts typically test about 70% of the time.
Technical analysis based trades should be closed before earnings.
Trade what you see, not…
Stocks below support should generally be traded bearishly until a reversal pattern forms.
2016 Q3 EPS
EPS Positive Reactions
BOBE, FIVE, BIG, THO, CTRP, DE, VEEV, GME, BURL, SINA, DLTR, WB, ADI, CPB, HRL, JEC, SIG, MRVL, ROST, INTU, BBY, NTAP, TGT, AAP, JD, NVDA, KSS, M, JWN, RL, DDS, QVCA, JCI,
EPS Negative Reactions
WDAY, AMBA, SWHC, ULTA, ADSK, URBN, PDCO, MDT, TSN, GPS, CSCO, LOW, HD, TJX,
Strong Stocks: Setups and Moves You Can Use
Bull Flag Setups include: LMT, DLTR, FOSL, MUR, TGT, BURL, WB, FTI,
Bull Flag Bounces include: MU, AAL, NTAP, ADP, FISV, PAYX, SKYW, PWR, SBUX, JD, AAPL, MMM, UTX, CHTR, CMCSA,
Horizontal Breakout Setups include: MU, SKYW, PWR, JD, AAPL, UTX, CMCSA, CCL, SCHN, NFLX, ESRX, ATI, INCY, COST, FCX, TECK, APA, LNG, STX, CTXS, RCL, MCD, JWN, HIG, LRCX, ADI, EXPE, FB, KLAC, TXN,
Horizontal Breakouts include: AAL, DAL, AAP, UAL, LUV, BBY, ICE, BBBY, CHTR, MU, ADP, PAYX, MMM, NCHL, SBUX,
New Highs include: STI, CE, MGM, STLD, NUE, X, CHK, SQ, MAR, XLNX, JPM, BAC, C, GS, HBAN, ZION, CFG, MS, ETFC, USB, CMA, KEY, RF, SCHW, TRV, BHI, HES, CE, CC, HAL, ALK, SAVE, WDC, BA, PCAR, AKS, FDX, UPS, CSX,
Trade with the trend of the chart you are trading and continue to move your profit protection stops. Continue to follow your rules.
The SPY MFC green line is pointed up at 91, bullish.
82 of 100 NDX stocks closed higher on Wednesday.
61 NDX stocks are above their 30 DMA.
NDX Stocks to Watch on Thursday:
Moving Above 30 DMA = 10
AAPL, AMZN, BIDU, CA, EBAY, GOOG, MXIM, SWKS, TSLA, VIAB
Moving Below 30 DMA = 2
6-month Intermediate Term Market Trend: Up3-day Short Term Market Trend: Up