Euro Makes More Big Gains as Gold, Oil, Financials, SPY Rise...

Six of nine sectors moved higher on Tuesday…XLE, XLF and XLI were the strongest sectors. 

Breadth strengthened on Tuesday as advancers led decliners 2.08 to 1 on the NYSE and 1.45 to 1 on the NASDAQ…

Exchange      NYSE    NASDAQ 

Advancers     2,020       1,451

Decliners         971          996

VIX up 0.13 at 16.41…

Euro up 97 pips at 1.2856

TNX up 0.12 at 16.95…

TLT down 78 cents at 123.55…

XLF up 13 cents at 15.68…

Gold up 7.70 at 1734.70…

Oil up 65 cents at 96.95…

AAPL down 2.15 at 660.59…volume 17.9 million shares …

FB up 62 cents at 19.43… volume 45.4 million shares…

The Market Forecast green line is in the upper zone.

YTD At a Glance

                      Tuesday           YTD

SPY                +0.28%          +15.77%

AAPL               -0.32%          +63.81%

EXPE              +1.97%          +86.71%

STX                +0.80%           +87.02%

EBAY               -0.41%          +59.35% 

Technical Commentary: The Euro started running again on Tuesday creating a positive backdrop for stocks to move higher.   While interest rose and bonds fell moderately, XLF enjoyed a nice bounce with BAC, C, MS and GS making solid gains.  The SPY moved up 40 cents but was eclipsed by large moves in many individual stocks that can be seen in our Leading list below.

While Monday’s price action may have been an exit signal for some short-term trading rules, Tuesday was an entry signal on many stocks after just a one day pull back.  Check out Setups below.

Last week’s breakouts in the SPY and Euro continue to indicate that higher prices are likely on the way.

New Chart Targets: 

SPY = 144.92 1.61 Fib, 146.05 S&R Measuring

ES = 1,443.50 1.61 Fib, 1,455.00 S&R Measuring

Eur/Usd = 1.3095 1.60 Fib, 1.3345 S&R Measuring.

Short-term support at

143.09, 140.22, 139.80 = SPY

1,424.75, 1,403, 1,395 = ES

2,802.50, 2,750, 2,743 = NQ

Setups:

Flag/Pennant:  SWI, CRUS, SWKS, TIF, SOHU, LNKD, COH, ZION, STI, JNPR,

Breakout:  MCP, BTU, AKS, SCHN, WLT, ACI, JRCC,

30 DMA Potential Breakout: FB, HLF, WDC, ZAGG, SMH, TSLA, A

MACD Bullish Divergence: NTES

Tuesday Bounce: ANR, UNG, CLF, BAC, X, JDSU, GLW 


50 of 100 NDX stocks closed higher on Tuesday…


Leading NDX 100 stocks included: GMCR, FSLR, RIMM, APOL, NFLX, MRVL, EXPE, NUAN, WYNN, PCLN

Lagging NDX stocks included: DLTR, WFM, ISRG, MNST, FFIV, VRSN, CERN, GOOG, KFT, DTV

Leading stocks > +2% on Tuesday included: GRPN, ANR, CLF, ESI, BAC, ATI, X, FB, LDK, TSL, TPX, AKS, JDSU, VMW, C, WDC, SINA, ZAGG, RCL, FAS, V

Lagging stocks < -2.0% included: CIEN, FAZ, DECK 

Stocks to Watch on Wednesday…

Holding Above 30 DMA = 48 
UCO, TPX, GS, RVBD, SWI, CROX, CRUS, SWKS, CREE, C, FAS, FCX, JDSU, NKE, RCL, STI, TIF, BAC, CDE, CRM, SINA, SOHU, F, ZION, ANF, INFA, ICE, LVS, LNKD, HUM, URE, COH, GLW, CSTR, MOS, UAL, CMG, DE, DHR, ESI, IBM, SWK, TBT, VMW, AKS, ANR, ATI, VECO

Moving Above 30 DMA = 6
CLF, JNPR, MCP, SLB, V, X

Moving Below 30 DMA = 0

Staying Below 30 DMA 
A, TSLA, DECK, SMH, WDC, CIEN, TSL, GES, HLF, CHL, NTES, GRPN, DLR, ZAGG, FAZ, FB, LDK

Fourteen Week Intermediate Term Market Trend: Up
Short Term Market Trend: Neutral