SPY Soars Following Jump in Euro...

The Euro moved higher overnight and stocks gapped up on the open.   TNX interest rates, financial stocks and the broad indexes had a huge move up while VIX volatility and bonds moved lower.  A support bounce and resistance breakout were the most common price patterns on Friday as you can read in Chart Patterns below.

All nine sectors moved higher on Friday.  XLI, XLE, and XLB were the strongest sectors.

Breadth strengthened as advancers led decliners 6.82 to 1 on the NYSE and 5.75 to 1 on the NASDAQ.

Exchange      NYSE    NASDAQ

Advancers     2,682       2,176

Decliners          393          378

SPY gained $3.32 on relatively heavy buying at 212.2 million shares closing above its 30 DMA for the fourth consecutive day.  The SPX moved up +33.12 at 1,362.16. 

The Market Forecast green line is pointed up.

AAPL up 14.95 at 584.00 on 15 million shares...

FB down 26 cents at 31.10 on volume of 19.5 million shares...

GRPN +0.78, +7.92%…

Chart Patterns

Breakout: CTXS, FAS, MU, GMCR, LEN, JDSU, URE, AVGO, SHLD, INTU, CIEN, DE, LLTC, HSY, AMZN SPG, IWM, COST, CL, ESRX, KMB, DIS, VMI, FMC,  FISV,

Breakout Continuation: VMED, CREE, APOL, ICE, MOS, POT

Breakout Setup: SPY, DIA, X, AKS, ALXN, COP, ADP, ADSK, AKAM, VECO, CSTR,

Daily Bull Flags Setups: TSLA,

Flag Bounce:  EXPE, CRUS, AKAM, MLNX, QQQ, AVGO, AAPL, ALGN, PCLN, C, MCHP, GOLD. MSFT, ADP, ADSK, INTU, AMAT, KLAC, LLTC, EBAY,

Support Bounce: BIDU, VMW, MNST, ULTA, ORLY, PNRA, EXPD, ALTR, QCOM, LVS, RVBD, MCP, TFM, CROX, GOOG, TPX

Bounce Continuation:  ZAGG, NFLX, SXCI, COF, VRSN, INFA, MCD, SHW

Bounce Pause:

Bounce Failure:  CMG, ROST, INFA,

At Support:  MRVL

Break of Support: F

C Pattern Continuation: VMI, FMC, CSTR, FAS, SRCL, SIAL, FISV, SHLD, V, CTXS, AVGO, TSLA, MSFT, DKS, INTU   

C Pattern Pullback: ISRG,

C Pattern Reversal: SBUX,

C Pattern Entry:

C Pattern Setup: SWI, CRM, HIBB, ODFL, PIR, A, DHR, SWKS, SAVE, AAPL

Technical Commentary:

The SPY is in an up trend over the past four weeks and the past four days and closed at short-term resistance.  After a large up day, a pause or pull back on profit taking is common.  A pull back that stays above Friday’s mid-range is generally bullish.  Stay with the trend and watch for a potential pause or pull back on Monday.

Friday Highlights:

SPY closes up +3.31

The Euro moved up 218 pips, closed at 1.2660

TNX +0.82

VIX collapsed -2.63 at 17.08

XLF soared +36 cents at 14.63

96 of 100 NDX stocks closed higher on Friday…

Leading NDX 100stocks included VRTX, FOSL, CTXS,CTSH, FFIV, ADSK, NTAP, STX, CERN, BIDU

Lagging NDX stocks included RIMM, WCRX, SIRI, VOD

Leading stocks > +2% on Friday included UCO, ANF, VMW, GRPN, FAS, SOHU, LDK, SWKS, WDC, BAC, FCX, MCP, ATI, TPX, RCL, JNPR, JDSU, CRM, GES, CRUS,URE, CLF, A, DHR, VECO, COH, ANR, CIEN, STI, SMH, C, SWK, CDE, TIF, RVBD, SLB, LNKD, CSTR, DE, CROX, SWI, INFA, SINA, HLF, TSL, LVS, GLW, ESI, TBT, GS, CHL, IBM, ZAGG

Losing stocks < -2.0% included NKE, FAZ, PCX, F, AKS, HUM

Stocks to Watch on Monday

Holding Above 30 DMA = 24

CRUS, CIEN, ICE, GES, CSTR, BAC, DLR, HLF, URE, LNKD, MOS,  TSLA, V, UAL, CHL, ESI, DE, FAS, RCL, STI, AKS, JDSU, CREE, X

Moving Above 30 DMA = 21

ANF, ATI, C, CLF, CRM, DHR, FCX, GLW, GS, IBM, INFA, MCP, SLB, SMH, SOHU, SWK, SWKS, TBT, TSL, VECO, ZAGG

Moving Below 30 DMA = 2

HUM, TLT

Staying Below 30 DMA

CMG, SINA, SWI, NTES, A, CDE, F, RVBD, GRPN, FAZ, DECK, NKE, LDK, CREE, WDC, VMW, ESI, TIF, UCO, ANR, JNPR, X, CROX, LVS, PCX,  TPX, ZION, COH

Four Week Intermediate Term Market Trend: Up

Short Term Market Trend: Up