The SPX closed down -1.45 or -0.12% while forming an inside day, the COMPQ closed -4.39, the INDU rose +9.39 and the RUT finished +0.67 on Monday. Stocks opened higher and rose but lost ground late in the day as bond prices fell. CAT, BUCY and JOYG closed higher for the day after CAT and BUCY announced that CAT will acquire BUCY.
(click image to enlarge)
Breadth strengthened on Monday as decliners led advancers 1.13 to 1 on the NYSE and advancers led decliners 1.19 to 1 on the NASDAQ…
Exchange NYSE NASDAQ
Advancers 1,397 1,438
Decliners 1,581 1,206
(click image to enlarge)
Index Direction Confirmation
VIX Down No – SPX
SOX Down Yes – COMPQ
Leading stocks on Monday included BUCY, BYI, F, TBT, TSL, ESI, ACN, CRUS, LVS, WHR, ZION, ATI, UNP GES, ICE, CAT, AMX, MHS, VECO, JEC, GS, BA, UNG, CREE, FAS, STI, PNC, DHR, DECK, NTRI, PCP, NDAQ, SWN
Leading stocks on Monday included BUCY, BYI, F, TBT, TSL, ESI, ACN, CRUS, LVS, WHR, ZION, ATI, UNP GES, ICE, CAT, AMX, MHS, VECO, JEC, GS, BA, UNG, CREE, FAS, STI, PNC, DHR, DECK, NTRI, PCP, NDAQ, SWN
Losing stocks included AKAM, ARUN, MOS, FFIV, CSTR, TIE, VMW, NFLX, TLT, URE, CF, POT, FCX, PCLN, LDK, AGU, NTES, CMG, UAL, SOHU, X, USD, NETL, AKS, CRM, HSY, FDX, RVBD, SNDK, HANS, FAZ, AIV, GR, AMD, V, SPG, INFA, GME, DLR, DE, CAM, DOW, A, RMBS, WFMI, IPI
Interest rates rose, the TNX reached a 3 month high, bonds continued down, the Euro moved lower and the SOX closed down -0.79%. The VIX moved down -0.41 to close at 20.20.
Five of nine sectors moved higher on Monday with Financials XLF +0.44% and Utilities +0.34% leading all sectors. Utilities, Healthcare and Consumer Staples were three of the five leading sectors, which as defensive sectors can be a sign of market weakness.
All four indexes and many stocks are in a bull flag pattern. The trend is still up and many stocks are still above support. AMZN broke horizontal support which is not positive for the COMPQ. AAPL, GOOG, BIDU, PCLN and NFLX are still above horizontal support. If these five stocks break support look for the COMPQ to move to break support and move lower.
Be prepared for a bounce or break of support and trade accordingly.
Charts to Watch
Potential Bearish Setups – AGU, CF, FLS PCP, CTXS, VMW
(click image to enlarge)
Flag Setups – DOW, JOYG, HUM, SINA, X, WYNN, FAS, USD, BYI, GR, IPI, UAL, UNP, AMD, DECK, SOHU, VECO, MAR, ARUN, AIV, CLF, ILMN, PCLN, RMBS, SNDK, SPG, URE, V, LVS, ISRG, DE, ZION, AAPL, NFLX, BIDU, CRM, CTXS. FCX, CSTR, SLB, PNC
Breakouts and Setups –CHKP, ORLY
Bearish Entries on Friday – SHLD, TIE, NYX, WHR and LZ
Continue to trade with the trend and simultaneously be prepared for any break of support.
SPX
Resistance: 1,209, 1,220, 1,234
Support: 1,200, 1,190, 1,182
Enter bullish trades with a bounce off support or a break above the high of the low day or a break out of horizontal resistance.
AAPL -0.99 – black candle inside day in flag pullback to 30 DMA
QCOM -0.60 – black candle did not confirm Friday’s hammer in bull flag at gap support
GOOG -7.82 – black candle in bull flag fell to 30 DMA
BIDU -1.84 – black candle pull back to horizontal support
NDX 100 stocks stronger than the NDX include JOYG, WCRX, VRTX, MXIM, ILMN, SBUX, FLEX, BIIB, FLIR, CTAS, CEPH, PAYX, FSLR, EXPD and HSIC.
Stocks weaker than the NDX: AMZN, EXPE, SHLD, MRVL, PCLN, RIMM, BIDU, CTXS, GOOG, QCOM, NVDA, FWLT, INTC, ESRX and SNDK.
Stocks to Watch on Tuesday
Holding Above 30 DMA
HLF, PCLN, MCD, LVS, CMG, FCX, SINA, AIV, CAKE, CAM, DE, DHR, DOW, UNP, WLT, A, HAS, IPI, ATW, SLB, AMX, NDAQ, UAL, USD, MA, AMD, ATI, DECK, GR, UCO, GS, SPG, VECO, CSTR, RVBD, TBT, WFMI, NFLX, NTES, PNC, BYI, INFA, MHS, NETL, CRM, FFIV, ARUN, SWN, CAT, CLF, POT, JEC, FAS, GME, NTRI, X, SNDK, CREE, RMBS, VMW
Moving Above 30 DMA = 3
BUCY, GES, ZION
Moving Below 30 DMA = 5
Moving Below 30 DMA = 5
AKAM, CF, GMCR, HANS, MOS
Staying Below 30 DMA
AGU, BAC, ICE, URE, V, ACN, CHL, FDX, NYX, PCP, STI, SWK, UNG, TSL, AKS, BA, HSY, POT, ESI, FLS, SKX, WHR, LXK, TIE, FAZ, CRUS, TLT, DLR
AGU, BAC, ICE, URE, V, ACN, CHL, FDX, NYX, PCP, STI, SWK, UNG, TSL, AKS, BA, HSY, POT, ESI, FLS, SKX, WHR, LXK, TIE, FAZ, CRUS, TLT, DLR
Short Term Market Trend: Down
2 comments:
don't know how you do it Dave..
Stay on top of so many stocks, teach classes for Investools, travel to trading events, and maybe even manage your own portfolio. You have to be tired sometimes. We appreciate your teaching and your blogs here. We are paying attention and hopefully learning from you.
Dave B
Dave, I gotta agree with Dave B. Of the many things, that I depend on you for is your Watch List!! Just the number of stocks you watch (which to this day, I still can't "sift-thru" without your eye), must take a huge amount of time!
So again, Thank you, for all the personal & professional sacrifices you make to be our/my teacher & mentor!!
Scott L of Nashville
Post a Comment