Friday, September 2, 2011

SPX Forms Large Black Candle Following Bearish Engulfing...Posture Bearish...



The SPX fell -30.45 and closed at 1,173.97.  The SPX is broke its 1,200 horizontal support and made a lower high and lower low on the daily candle.  Our short term posture turns bearish.  Each of the broad indexes closed below their 30 DMA.

Twenty four NDX stocks closed below their 30 DMA today including AAPL, CSCO, CTRP, FAST, GILD, LLTC, MCHP, MXIM, MYL, QCOM and SBUX with the total above dropping to 26.  In our 30 DMA Watch List, nine stocks moved below the 30 DMA with the total at 22 still above.

Posture turned Bearish on Friday as the MF Green Line turned slightly lower on Friday.  Hold on further One Green Arrow trades.


NDX gap down black spinning top, below 30 DMA -2.31
SPX large black candle, below 30 DMA -2.53%
INDU large black candle, below 30 DMA -2.20%
COMPQ gap down black spinning top, below 30 DMA -2.58%
RUT large black candle, below 30 DMA -3.60%

Breadth weakened as decliners led advancers 5.86 to 1 on the NYSE and 5.75 to 1 on the NASDAQ

Exchange       NYSE        NASDAQ
Advancers         442              380
Decliners        2,594            2,186          

Index         Change    Close    Direction    Confirmation
VIX                +2.10      33.92      Up              Yes – SPX
SOX               -8.39    341.46      Down          Yes – COMPQ

Leading stocks > +2% on Friday FAZ, CDE, TLT, SLW

Losing stocks < -2.0% included FAS, TSL, BAC, TBT, AKS, CROX, CIEN, SWKS, LDK, INFA, RVBD, STI, FWLT, C, ATI, RCL, GES, SOHU, VECO, X, URE, UCO, IL, GS, JNPR, VMW, WDC, ESI, CLF, TIF, GLW, ARUN, A, LNKD, F, COH, SWK, TPX, SNDK, DECK, CAT, FFIV, ANF, DHR, ANR, HAL, UNP, SWN, FCX, DOW, SINA, PCX, ZION, NKE, CRUS, HUM, NTES, LVS, SLB, NVDA, CRM, ENTR, NDAQ, V, ZAGG, SMH, ICE, DE, DLR, CREE, CHL

All nine sectors moved lower on Friday.  Utilities XLU -1.13%, Consumer Staples XLP -1.43%, and Healthcare XLV -2.20% were the strongest sectors.

Interest rates TNX closed -1.50 at 19.96, bond ETF TLT rose 3.54, a new high close and Financials XLF was down 54 cents.  The Euro moved down 57 pips to close at 1.4202 at 5 pm on Friday.


SPX
Resistance: 1,200, 1,225, 1,235
Support: 1,177, 1,160, 1,146, 1,134


The short term 3 day trend is down.
The six-month trend is down.
The twelve-month trend is neutral.

Trade with the trend of the chart you are trading.

Bullish entry signal is a bounce off support and a break above the high of the low day or a break out of horizontal resistance.

Bearish entry signal is a break of short term support or a bounce down from the 30 DMA or other resistance.

AAPL -6.98 spinning top, flag, closes below 30 DMA
AMZN -2.54 – hammer, flag, above 30 DMA
BIDU -3.84 – hammer, flag, below 30 DMA
GOOG -7.66 – doji, bear flag move, below 30 DMA
NFLX -20.16 – gap down white candle, below 30 DMA
PCLN -1.65 – white candle, flag, above 30 DMA
QCOM -1.38 – black spinning top, flag, closes below 30 DMA

NDX 100 stocks stronger than the NDX include ALXN, ERTS, ORLY and URBN.

Stocks weaker than the NDX include NFLX, FSLR, SHLD, RIMM, STX, AKAM, FLEX, SPLS, WCRX and MYL.

Stocks to Watch on Tuesday
Holding Above 30 DMA = 21
TLT, CF, CHL, CDE, SLW, DE, GMCR, KKD, MOS, POT, V, DLR, HLF, HUM, JDSU, LVS, NTES, UAL, CSTR, SINA, CIEN
Moving Above 30 DMA = 1
FAZ
Moving Below 30 DMA = 9
CLF, CRUS, DECK, NDAQ, NGLS, NKE, SOHU, TIF, VMW
Staying Below 30 DMA
ARUN, CMG, CREE, DHR, FWLT, GLW, ICE, MCP, SWK, URE, ZAGG, CROX, NVDA, TSL, BAC, VECO, LDK, HAL, IBM, LNKD, SNDK, SWKS, TPX, ESI, ANF, COH, FCX, GS, SLB, WLT, SWN, DOW, UCO, UNP, ANR, ATI, CAT, CRM, FAS, JNPR, SMH, STI, WDC, AKS, C, PCX, TBT, X, ZION, NETL, FFIV, RVBD, ENTR, INFA, A, F, GES, IL

Intermediate Term Market Trend: Down
Short Term Market Trend: Down

8 comments:

Andrea Webber said...

I was there D.J. Great Friday night before the holiday. Thanks ..

TraderBobb said...

Dave:
Thanks again for the "extra" time last night.
You have a new group and VC time frame name: The DJ 100 and "The Friday Night Insights"
Thanks
Robert
CANI_212

Michael Hayes said...

I have online coaching but there was no link to get in, I tried to get in at 8.55pm est and also 9.15pm est

http://screencast.com/t/4JfOx8fNi

I am sure it was good,

Thank you anyways Dave

Cheers and Thanks for all you do

Mike

TraderBobb said...

Mike:
I had to try the Basic Options and Intro to Trading Stocks online coaching links (from the home page) a couple of times to get in. Not sure which one worked for me. I know I had to wait longer that usual to get in.
Seems the online coaching transition on Friday at 7:00 pm needs some clarification / adjusting.
Hope this helps in the future.
Thanks
Robert

Michael Hayes said...

Thanks Rob, seems like everyone else I knew could get in who Knows?

Mike

Paula said...

Unfortunately I couldn't be there. Does anyone know if it was recorded and how to find it?
Thanks

TraderBobb said...

Paula:
To the best of my knowledge, Dave's Friday online coaching was not recorded.
Robert

Paula said...

Thanks Robert