Friday, December 23, 2011

Merry Christmas as Stocks End the Week on a Strong Close...

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You can listen to Dave on tastytrade today at the 121:50 minute mark by clicking herehttps://www.tastytrade.com/#/ 


Stocks ended the week higher on light pre-holiday volume and SPY/SPX/ES each had a symmetrical triangle breakout indicating a good probability that the 12-week up trend will continue. 

Those MACD Bullish Divergence Setups that I shared with you last Friday for the most part had an amazing weekI hope you profited and also that you learned again that we really can trust techincal signals. 

All nine sectors moved higher on Friday.  XLY, XLK and XLB were the strongest sectors. 

Money Flow
Euro      -5 pips     1.3041
TNX      +0.79         20.30
TLT       -1.33        118.27
XLF      +0.10         13.15
SPX    +11.33    1,265.33
VIX        -0.43         20.73

INDU +1.02%
NDX +0.92%
SPX +0.90%
COMPQ +0.74%
RUT +0.33%


XLF and SPX did follow the TNX higher on Friday’s Money Flow.  The SPX closed near its high for the fourth straight day. The SPX, RUT and XLF broke out of symmetrical triangle and the INDU broke out of an ascending triangle.  In each case suggesting the indexes and ETF could be headed for higher prices over the next eight weeks.  The breakout of the Financials XLF suggests support for the SPX and increases the probability for the SPX to move higher going into earnings season next month.

(click image to enlarge)


SPY moved up $1.12 on 92.1 million shares on Friday, its second lightest volume day of the year.

AAPL, BIDU, GOOG, PCLN and QCOM moved higher.  AMZN moved lower

Breadth weakened as advancers led decliners 2.26 to 1 on the NYSE and 1.15 to 1 on the NASDAQ.

Exchange        NYSE        NASDAQ
Advancers       2,071          1,363
Decliners            915          1,181       

The VIX continued lower on Friday to its lowest level since July 26.  This continues to be a significant indication of a new 5 - 15% uptrend from the Dec 20 SPX level at 1,240, if the VIX remains under 25.


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Setups
Horizontal/Diagonal BreakoutWDC, CSTR, IL, URE, GES, DE, DOW, ENTR, HUM, F, NKE, UCO, AKS, ATI, CIEN, SNDK, ZION
ReversalCERN, ATVI, FOSL, MOS, POT, SWKS
FlagHANS, KLAC, FFIV, DTV, MAT, VRTX, TEVA
Recent HighORLY, GRMN, ROST, VRSN, APOL, MYL, ADP AMGN, SBUX, FAST ISRG, AKAM, V, SWK, UNP
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Leading stocks > +2% on Friday ESI, CROX, SINA, GRPN, VMW, AKS, DOW, DECK, GLW, COH, BAC, GES, RCL, NKE, TBT, FAS, INFA

Losing stocks < -2.0% included LDK, PCX, CRM, FAZ, UAL

NDX 100 stocks stronger than the NDX included FOSL, EXPE, AMAT, ALXN, ATVI, ISRG, APOL, CERN, EA and DLTR.

Stocks weaker than the NDX include CTRP, NFLX, MRVL, ALTR, AMZN, NVDA, ESRX, HANS, CHKP and RIMM.

Eight NDX stocks ATVI, CSCO, FLEX, FOSL, GILD, INTC, MAT and QCOM closed above their 30 DMA making 64 NDX stocks above their 30 DMA

Stocks to Watch on Tuesday
Holding Above 30 DMA = 36
V, WDC, LDK, UAL, DLR, CSTR, IL, URE, GES, GRPN, CMG, DE, DOW, ENTR, FAS, HUM, SWK, UNP, F, NKE, UCO, AKS, ATI, C, CIEN, CRUS, FCX, MOS, POT, SMH, SNDK, STI, SWKS, TSL, X, ZION
Moving Above 30 DMA = 9
BAC, COH, CROX, DHR, ESI, ICE, JDSU, NGLS, TBT
Moving Below 30 DMA = 2
ANF, TLT
Staying Below 30 DMA
FFIV, IBM, NTES, FAZ, CAT, CDE, CLF, GS, NDAQ, NVDA, SLB, ANR, RCL, TSLA, A, INFA, CHL, CRM, DECK, HAL, HLF, JNPR, RVBD, VECO, KKD, LVS, SLW, GLW, TIF, VMW, ARUN, CF, CREE, SWN, WLT, PCX, TPX, SOHU, MCP, SINA, ZAGG, LNKD

Eleven Week Intermediate Term Market Trend: Up
Short Term Market Trend: Up





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9 comments:

John Kevan said...

Aloha Dave and Mele Kalikimaka !
Thanks for the wonderful year.
John

TraderBobb said...

Dave:
Thank you so much for all you do.
Wishin' you and your family a Very Merry Christmas, a Joyous Holiday Season and Happy New Year.
Robert
CANI_212

shortstar said...

Dave - Wishing you and your family a blessed Christmas!
Mike W

Joe said...

Thanks Dave for you dedication to making all of us much better traders. Merry Christmas and Happy New Year to you and your family.
Joe

fayburn said...
This comment has been removed by the author.
fayburn said...
This comment has been removed by the author.
fayburn said...

Dave:
Thanks for all you do to help us become better traders. I wish you and your family and loved ones a very Merry Christmas and a Happy New Year.

Fayburn

Anonymous said...

Dave,

Merry Christmas & Happy New Year to you and your family!!

Sarafina

PENNY STOCK INVESTMENTS said...

Great week