Indices Move Higher...

DJIA + 90.99, +1.08% SP500 + 8.33, +0.91% NASDAQ Comp. + 5.84, +0.32% Russell 2000 - 2.61, -0.51% Exchange NYSE NASD Advancing 1,843 1,215 Declining 1,165 1,495 Oil $71.49 +$2.33 Gold $940.40 -$0.30 SOX 262.92 -0.13 VIX 25.35 -0.58 The VIX moved down and did confirm the move up in the SPX on Monday. This is a new low since September 12. Strongest Sectors: XLU +1.30%...XLY +1.26%...XLF +1.26% Weakest Sectors: XLV +0.61%...XLP +0.61%...XLB +0.89% All nine sectors moved higher on Monday. Utilities, Consumer Discretionary, Financials, Technology, Industrials and Energy were stronger than the SPX +0.91%. Financial stocks stronger than XLF +1.26%: BAC, RF, ZION, PRU, WFC, KEY, ICE, NTRS, AOC, ALL, GS, MS, CB and ETFs UYG and FAS. Tech stocks stronger than XLK +1.05%: HPQ, ADBE, MSFT, ADP, T, DELL, AMAT, ORCL, VZ and AMAT. Sector Watch Up Trending: Horizontal Breakout: XLB, XLK, XLY, XLE Sideways: XLV, XLF, XLP, XLI, XLU Down Trending: SPX Key resistance levels: 930 = horizontal 944 – 956 = January/June horizontal 962 = 161.8% Fib extension Key support levels: 920 = horizontal end of May high 910 = Thursday’s S1 902 = 50 DMA 894 = 200 DMA 888 = weekly low 875 = horizontal There was an interesting mix of technical action on Monday. The DJIA and SPX down on Friday were the strongest indexes today. The Nasdaq was weak and the RUT negative. The weaker Nasdaq was influenced by weakness in AAPL, BIDU, GOOG, AMZN, RIMM, FSLR and BIIB. Positives: DJIA and SPX move higher VIX moves to new low All nine sectors move higher Strong NYSE Advancing Stocks Negatives: SOX fails to confirm Weak Nasdaq RUT moves down, lower high, lower low Weak Nasdaq Advancing Stocks Nasdaq leaders lag Bottom Line: Monday was another high day for the DJIA, SPX and Nasdaq…watch for a potential break of the high of the low day…stay with up trending positions as long as they continue to up trend. Index Commentary – Yellow Alert The DJIA moved formed a large white candle did not confirm bearish harami…broke above 200 DMA…moved just under 30 DMA…three month chart target 10,340…volume was an average 216 million shares…closed above its 50 and 200 DMA. The SPX formed a white candle…broke above its 20 DMA…Monday is the high day…3 month chart target of 1,075…closed above its 20, 30, 50 and 200 DMA. The Nasdaq formed a hanging man that is a short term high…3 month chart target of 2,065…closed above its 20, 30, 50 and 200 DMA. The RUT formed a hanging man bearish harami…formed a lower high and lower low…3 month chart target 606…closed above its 30, 50 and 200 DMA. At the Open on Monday SPY – white spinning top +0.94% QQQQ – doji +0.08% FUQI – white candle break resistance +16.82% GMCR – white spinning top +4.42% SHLD white candle +4.27% FAS – white spinning top +3.47% TRLG – white spinning top +2.27% ICE – white spinning top +2.02% ESRX – hanging man +1.19% MUR – doji +1.62% JOYG – shooting star +0.68% STT – white candle at horizontal resistance +0.37% AMX – white spinning top continuation +0.88% X – black spinning top +0.27% DECK – bearish engulfing AMZN – bearish harami AAPL – black spinning top PCLN – black spinning top SPG – black spinning top QCOM – white spinning top MRVL – black spinning top SNHY – hanging man BIDU – black spinning top Stocks to Watch on Tuesday Leading Stocks Holding Above 30 DMA BIDU, VPRT, BAP, GR, K, DV, CPLA, SYNA, X, BDX, AAPL, GXDX, ORCL, DECK, CPLA, MYGN, DV, STRA, GILD, JW.A, ACN, APEI, PSYS, ESRX, NFLX, BYI, JOYG, MHS, NTLS, BKC, CBST, HDB, ICE, PCLN, SLGN, USD, AMED, AMX, CHL, CTSH, GES, GPRO, HLF, JCOM, PPD, WRC, NIHD, BAP, PETS, WCG, SNHY Moving Above 30 DMA = 5 GMCR, JEC, PWR, UYG, TRLG Moving Below 30 DMA = 1 ESI Staying Below 30 DMA BLUD, RBN, FAZ, AFAM, AMZN, ATW, BIIB, FLS, VAR, MCD, PCP, SWN, MUR, RIMM, SPWRA, CAM, CLB, MOS, EBAY, FAS, MON, RCI, SNA, TDG, URE, DLTR, EZPW, WAB, FSLR, WMT, DLB, JOSB, HANS, ALGT, GME Intermediate Term Market Trend: Neutral Short Term Market Trend: Up