Stocks See Gains For Third Straight Day...TPX Up 5.70%...XONE Up 6.64%...STX Up 4.66%...NKE Trading Down After Hours...

Eight of nine sectors moved higher on Thursday… XLF, XLI and XLY were the strongest sectors…XLB was the weakest sector.

Breadth strengthened…advancers led decliners…5.49 to 1 on the NYSE and 3.69 to 1 on the NASDAQ…

Thursday – strengthened, advancers led

Wednesday – weakened slightly, advancers led

Tuesday – strengthened, advancers led

Monday – weakened, decliners led

Friday – strengthened, advancers led

SPY up .94…volume 129.4 million shares

VIX down .35 at 16.86…

TNX down .56 at 24.83…

TLT up 1.11 at 109.69...

XLF up .25 at 19.57…volume 43 million shares

AAPL down 4.29 at 393.78…volume 12 million shares

FB up .50 at 24.66…volume 34.6 million shares

Technical Commentary:

IWM - 1.55%, DIA +0.75%, SPY + 0.59%, QQQ +0.42%.

US Stocks rise for third straight day…Winners included XONE Up 6.64%, TPX up 5.70%, CDE up 5.66% STX up 4.66%, CA up 4.61%, and JCP up 5.20%.

PAYX traded down after earnings report and closed down 1.39 or down 3.66%/

NKE trading down in after hours after reporting concerns on China profits.  After hours trading down 2.12%.

Chart Signals guidance…Adjust stops, trade to targets and take bearish or bullish trades according to your rules as the month long consolidation continues.  More bullish setup entries did occur on Wednesday and as always follow your rules.

Chart Signals Strategy Guidelines

When the market is trending up Chart Signals looks for support bounce and resistance breakout entries. 

When the market is trending down Chart signals looks for resistance pull back and support break entries. 

When the market is sideways in consolidation Chart Signals will look for support bounce, diagonal breakouts and pull backs at resistance where price action stays between support and resistance. 

Technical setups for short-term option trades be in and out by earnings release.

Over earnings release use earnings option strategies such as straddles, strangles, OTM calls or puts.

After earnings look for bullish setups in positive reaction stocks and bearish setups in negative reaction stocks.

EPS Reaction Summary

EPS Gainers –  ADBE, ULTA, EA, DVA, WFM, CTSH, DTV, LBTYA, AIG, ADP, CBOE, REGN, FB, BZH, EXPD, GM, MDC, STX, V, YELP, ICE, JRCC, VIAB, CMCSA, DDD, AVP, HLF, CERN, CVX, DHI, TWC, ANGI, AKAM, ALXN, ALTR, BIIB, COG, CLF, CROX, DOW, ESI, FFIV, HOG, LRCX, LVS, MO, PHM, RCL, SIAL, XLNX, BA, BRCM, GLW, HES, DAL, COH, DD, NFLX, ILMN, VECO, LCC, RF, ZION, TRV, LMT, CAT, CHKP, HAL, HAS, CMG, GOOG, KMB, STI, MSFT, BTU, PEP, UNP, VZ, MAT, AXP, JNJ, INTC, KO, C, APOL

EPS Losers – ORCL, CPRT, COST, TSL, CRM, GME, SHLD, DISH, XRAY, ATVI, RAX, MNST, Z, LNKD, TPX, ZAGG, CTRX, GRMN, MRK, SWI, AMZN, BIDU, CRUS, DECK, EXPE, HSY, KLAC, MXIM, QCOM, PTEN, ABC, MMM, AMGN, T, JNPR, PNRA, VMW, GE, IBM, ISRG, MCD, MS, PM, UNH, SNDK, EBAY, BAC, USB, GS, LLTC

The Market Forecast Green Line is below the Upper Zone and is pointed up. 

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Setups

H Breakout:  ADBE, AKAM, AMZN, CMCSA, COST, CSCO, DELL, ESRX, FB, GRMN, MAT, NUAN, PCLN, ROST, SBUX, STX, SYMC, WFM, ANGI, GME, JNPR, LNKD, MFRM, PWRD, TSLA,

Diagonal Breakout:  ADSK, ATVI, BRCM, CELG, CTSH, EBAY, MSFT, SIRI, XLNX, ATI, BAC, C, CMG, GLW, RCL, SINA, STI, TPX, UAL,

Bull Flag:  AMAT, NVDA, TBT,

Potential Bullish Divergence: 

Gap Up:

Gap Down: 

Bear Flag:  

At Support:  

Moves

New Highs: MU, GRPN, SPLK, XONE, ZION,

Gap Up:  CRM, F, FAS, NTES, SPY,

Gap Down:  

H&D Breakout:  AMGN, FAST, GILD,

Breakout Test:

Bounce:  ORCL, ALK, FIVE, TLT,

MACD Divergence Bounce:  

Bear Flag:  

Support Break:  DTV, UNG,

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78 of 100 NDX stocks closed higher on Thursday…

Leading NDX 100 stocks included:  STX, CA, SBAC, EXPE, MNST, WDC, NUAN, GOLD, GOSL, REGN, INTU, EQIX, LMCA, ATVI, FFIV, GRMN, SIRI, FB

Lagging NDX stocks included:  PAYX, SHLD, CTSH, AAPL, WFM, NVDA, BRCM

Leading stocks > +2% on Thursday included: TPX, CDE, SGOC, FAS, URE, NTES, MCP, CLF, X, TSL, TSLA, JDSU, JNPR, UCO, LVS, CROX, SOHU, RVBD, DECK, F, ESI, CRM, ANR, SWI, UAL

Lagging stocks < -2.0% included:  FAZ, BBRY, GMCR, MOS

Stocks to Watch on Friday

Holding Above 30 DMA= 14

MU, SPLS, AVGO, CSCO, ISRG, AMZN, DLTR, ADBE, DELL, INTU, SBUX, WFM, ADP, BBBY, CHKP, EXPE, GRMN, MCHP, NTAP, PCLN, SNDK, SRCL, VRTX

Moving Above 30 DMA = 20

ALTR, CA, COST, FISV, LINTA, MAT, MNST, NWSA, ORLY, PCAR, ROST, STX, VOD, XLNX, VIAB, FB, LBTYA, WDC, KRFT, LMCA

Moving Below 30 DMA = 2

LIFE, PAYX

Staying Below 30 DMA

AMAT, GOOG, ESRX, FOSL, HSIC, INTC, KLAC, MSFT, MYL, NVDA, ADI, CTRX, NFLX, CERN, CHRW, DTV, EXPD, NUAN, ORCL, WYNN, YHOO, MDLZ, DISCA, VRSK, BIDU, GOLD, SIAL, TXN, BIIB, CTSH, SIRI, REGN, AAPL, FAST, LLTC, AKAM, BMC, FFIV, XRAY, BRCM, CELG, GILD, ALXN, ATVI, CTXS, EBAY, CMCSA, SHLD, SBAC, QCOM, EQIX, ADSK, AMGN, SYMC, MXIM

Four-Week Intermediate Term Market Trend: Down

Five-day Short Term Market Trend: Up