Oil Hits Record High, Markets Mixed

DJIA + 73.03, +0.65% SP500 + 1.38, +0.11% NASDAQ Comp. - 6.08, -0.27% Russell 2000 - 6.56, -0.98% Oil closed at $145.29 up $1.72 The broad indices were again split on Thursday with the DJIA and SPX up and the Nasdaq and RUT down for the day. Decliners led advancers 2,339 to 826 on the NYSE and 1,714 to 1,078 on the Nasdaq. As we posted early Thursday the jobs report and unemployment report came in as expected. This holiday shortened session did not have the buying to move the broader market higher for the day. The DJIA formed a lower high and lower low on Thursday and closed higher than Wednesday’s close with a piercing line candle. Any positive movement in the index should be viewed as a counter trend move at this time. All price action is still well below the R1 area of the large black candle on June 26. R1 is in the 11,625 area. The SPX also formed a lower high and lower low while forming a doji pattern. Since this index is well below the short-term horizontal resistance levels on June 26, vie any positive movement on Monday as a counter trend move. The Nasdaq finished Thursday also forming a lower high and lower low as it finished the day with a black spinning top. Watch the R1 horizontal resistance area on Wednesday large black candle to see if any rally can even break short-term resistance. The PHLX SOX semiconductor index finished lower failing to give any support to a potential rally in the Nasdaq. As we have stated in the past Nasdaq rallies without the SOX rallying also are generally not long lasting. The RUT also formed a black spinning top and a lower high and lower low on Thursday. If a rally occurs Monday watch the critical R1 resistance area for a break of short term resistance. FSLR in sideways channel bounced off of 240 support. X broke 170 support this week formed bullish harami. STRA is in an uptrend consolidating near support, look for potential bounce. MOS is in an uptrend in an 11 day pullback hit 130 support area, look for potential bounce. JASO in a down trend hit 14 support area. MON in a short-term down trend hit 120 support area, look for a potential bounce. Thursday’s Action Moving Up: FSLR, BIDU, X, STRA, MOS, JASO, MON Moving Down: FWLT, AGU, IPI, CLF, SCHN, MA, ANR, POT, V, CF, RIMM Intermediate Term Market Trend: Down Short Term Market Trend: Down