Stocks Retreat on Rising Unemployment, Weak Housing

DJIA - 226.44, -2.70% SP500 - 28.95, -3.31% NASDAQ Comp. - 50.50, -3.24% Russell 2000 - 19.78, -4.18% Exchange NYSE NASD Advancing 708 616 Declining 3,046 2,168 Oil $41.44 -$0.72 Gold $905.10 +$16.90 SOX 212.33 -10.26 VIX 42.63 +2.97 The VIX moved up confirming the drop in the SPX on Thursday. Strongest Sectors: XLU -0.74%...XLP -0.87%...XLV -1.41% Weakest Sectors: XLF -7.86%...XLY -4.03%...XLI -3.66% Sector Watch Up Trending: Sideways: XLE, XLP, XLU, XLY, XLV, XLI, XLB, XLK Down Trending: XLF All sectors moved lower on Thursday as the broad market indices gave back Wednesday’s gains as unemployment claims reached a record high and new home sales reached a record low. Many stocks pulled back from Wednesday’s high over continued concerns about economic weakness. After the close AMZN reported earnings of 52 cents above estimates of 39 cents. AMZN which closed at 50 rose over $6 on 5.9 million shares in after-hours trading. Stock Commentary Rail stocks BNI, CSX, NSC and UNP appear to be in a bear flag pattern. The chart patterns on steel, semiconductor and coal stocks weakened on Thursday: STLD may be rolling over at resistance NUE, SCHN and X formed a bearish harami NVLS, MRVL, XLNX, NSM, ALTR, LLTC, TXN bounced down at resistance KOL, BTU, JRCC MEE and WLT bounced down at resistance. CNX formed a bearish engulfing and FCL formed a bearish harami. Index Commentary The DJIA formed a large black candle that fell back through short-term resistance at 8,250 The SPX formed a large black candle that fell back through short-term support at 860. The Nasdaq formed a large black candle that fell back through new short-term support at 1,525…closed below its 20, 30 and 50 DMA. The RUT formed a large black candle that closed below the new support of 468…closed below its 50 DMA. Earnings Thursday, Jan 29 MMM +0.97 beat +0.93 AMZN +0.52 beat +0.39 ALK, BUD, AZN, BDK, CELG, CHTT, CL, CNX, CAL, EK, LLY, F, HP, JBLU, LLL, ERIC, OXY, RTN, TROW, UA, LCC, BRCM, BCR, CA, DRIV, JNPR, KLAC, MXIM, MCHP, VAR Friday, Jan 30 BMO – AME, ACI CVX, XOM, HON, IVZ, KLIC, FSTR, PCAR, PG Stocks to Watch on Friday Leading Stocks: Holding Above 30 DMA JOSB…BCO…ROST…ESI…JW.A…MYGN…BCR…MON…RIMM…SYNA…BLUD…AME…APH…DLTR…STRA…AYE…K…PCP…AET…GES…GME…IIVI…NE…RIO…SWN…URBN…POT…ATW…CAM…CTSH…MOS…NIHD…NOV…RIG…AAPL…BIIB…GIS…JCOM…WCG…DNA…VAR…CELG…GILD…MTD…PCRI…RCI Moving Above 30 DMA = 3 CL…ICLR…MMM Moving Below 30 DMA = 17 AGN, AMED, ATK, BYI, CHTT, CIR, ESRX, FLS, HLF, HP, MCRS, NDAQ, NEU, NGS, PSSI, SPN, WMS Staying Below 30 DMA DV, LAYN, RTN, CCC, TEVA, CERN, FLIR, QSII, JEC, KEX, OSIP, PCLN, PETS, SHW, TECH, UTX, BAP, ACL, AMZN, FWLT, HDB, LNN, OI, ADBE, AMX, CBST, DECK, FLR, MBT, SNA, VMI, AFAM, EPR, FSTR, HAS, LFC, MTW, SOHU, VIP, NDAQ, ANSS, CHU, EZPW, NILE, PSYS, VIVO, WAB, ENDP, IRIS, ISRG, SPTN, PPD, PRGO, SINA, AXYS Thursday’s Action Moving Up: AEM, GDX, STRA Moving Down: FSLR, MA, GS, DRYS, AFAM, PCLN, CLF, KMT, MS, SOHU, ZION, NUE, ESRX, PNRA, KRE, UAUA, SINA, LAMR, X, MOS, BTU, ANR, NDAQ, FWLT, KBE, POT, MEE, GRMN, AGU, NIHD, V, BRCM, CF, LCC, IPI, ONXX Intermediate Term Market Trend: Neutral – DJIA, SPX, Nasdaq, RUT Short Term Market Trend: Neutral