Bullish Harami Thursday...

DJIA + 46.43, +0.56% SP500 + 9.15, +1.04% NASDAQ Comp. + 25.02, +1.50% Russell 2000 + 8.89, +1.88% Exchange NYSE NASD Advancing 2,653 1,857 Declining 1,048 866 Oil $58.62 +$0.60 Gold $928.00 +$2.50 SOX 244.38 +7.58 VIX 31.37 +2.28 The VIX moved down and did confirm the move up in the SPX on Thursday. This is the lowest close since September 16, 2008. Strongest Sectors: XLF +3.34%...XLK +1.08%...XLB +0.86% Weakest Sectors: XLU -0.08%...XLV +0.12%...XLY +0.13% Eight of nine Sectors moved higher on Thursday. Financials and Technology rose more than the SPX +1.05%. Financial stocks again was the strongest sector rising +3.34%. Financial stocks stronger than XLF: AFL, STT, PRU, WFC, RF, MET, MS NTRS, KEY, JPM ICE, ALL, C, SPG, CME, IVZ, GS and ETF’s UYG and FAS. Leading tech stocks stronger than XLK, +1.08% include: GLW, EBAY, ADBE, AMT, AAPL, TXN, INTC, ORCL, HPQ, YHOO, MSFT, QCOM and MA. Sector Watch Up Trending: Horizontal Breakout: XLB, XLK Sideways: XLY, XLE, XLV, XLF, XLP, XLI Down Trending: XLU SPX Key resistance levels: 944 = horizontal 954 = 200 DMA 957 = short term chart target Key support levels: 904 = weekly S1 891 = 38.2% Fib level 875 = horizontal The SPX found support at the 882 level and rose 9 points on Thursday after falling 48 points through Wednesday from Friday’s high. High priced financials CME, GS and ICE led financial stocks higher. Friday is May options expiration which can sometimes be more volatile as option positions get resolved and closed. Look for a break of the high of the low day as many stocks are set up for a support bounce follow through. Watch key support levels on Friday if the support bounce does not follow through to the up side. Index Commentary The DJIA…bullish harami…stayed below horizontal resistance at 8,405…three month chart target 10,340…volume slightly below average at 323 million shares…closed above its 20, 30 and 50 DMA. The SPX formed a bullish harami…3 month chart target of 1,075…closed above its 20, 30 and 50 DMA. The Nasdaq formed a bullish harami bounced off its 30 DMA and horizontal support level of 1,665…it is below its 20 and 200 DMA…3 month chart target of 2,065…closed above its 30 and 50 DMA. The RUT formed a bullish harami that closed below its 20 DMA…3 month chart target 606…closed above its 30 and 50 DMA At the Open on Friday SPY –bullish harami KOL – white spinning top FAS – piercing line STT – bullish engulfing ZION – bullish harami in bull flag EBAY – large white candle stays above gap support at 200 DMA ADBE – large white candle bullish harami WYNN - hammer SCHN – white spinning top SNDA – hammer/bullish harami JNPR – white candle in bull flag above gap support CTV – large white candle closes at high of low day BBT – hammer breaks high of low day OSG – bullish harami in bull flag EL – doji ICE – white spinning top WHR – bullish harami Stocks to Watch on Friday Leading Stocks Holding Above 30 DMA BIDU, CLB, ICE, DLB, VPRT, CTSH, BAP, CAM, GMCR, ATW, GR, SYNA, EBAY, TRLG, FSLR, HDB, PCP, RIMM, WCG, UYG, HLF, AMX, MHS, WAB, FAS, AFAM, K, RBN, ESRX, PCLN, VAR, PCR, PPD, HANS, SWN, FLS, TDG, NIHD, RCI, STRA, ACN, AMED, JOYG, MON, MUR, PSYS, NTLS, CHL, DECK, MOS, DV, PETS, BDX Moving Above 30 DMA = 6 AXYS, BIIB, BYI, ESI, SYNA, X Moving Below 30 DMA = 0 Staying Below 30 DMA AAPL, CBST, CPLA, GES, WRC, SNA, SNHY, SPWRA, WMT, URE, AMZN, EZPW, GXDX, JOSB, JW.A, JEC, MCD, PWR, DLTR, USD, DECK, ORCL, ALGT, JCOM, NFLX, GME, GILD, GPRO, MYGN, SLGN, BKC, APEI, BLUD Intermediate Term Market Trend: Neutral Short Term Market Trend: Neutral