All
nine sectors moved higher on Friday…XLB, XLV and XLU were the strongest sectors…XLP
was the weakest sector.
Breadth strengthened
on the NASDAQ…advancers led decliners…1.91 to 1 on the NYSE and 1.44 to 1 on the NASDAQ.
Friday – strengthened, advancers led
Thursday – weakened
slightly, mixed
Wednesday –
strengthened, advancers led
Tuesday – weakened,
decliners led
Monday - mixed
SPY up .78 at 179.27…volume 102.8 million shares
VIX down .18 at 12.19…
TNX up .07 at 27.09…
TLT up .21 at 104.73...
XLF up .10 at 21.13 volume
37.3 million shares increasing volume
AAPL down -3.17 at 524.99…volume 11.3 million shares
FB up .02 at 49.01…volume 42.4 million shares…
Technical
Commentary:
DIA + 0.55%,
SPY + 0.44%, IWM +0.38%, QQQ + 0.19%.
November
options expiration Friday traded in a modest range with the DIA, SPY and
QQQ making new bull market highs and all-time highs in the DIA
and SPY.
The trend continues to be up.
Few people forecasted these highs and many are surprised. While few people forecasted these highs the charts themselves did. The current SPY high was forecasted on
Oct 19, the recent QQQ high was forecasted on Oct 14. Currently the charts are forecasting a
DIA target of 166 within the next eight weeks, a QQQ target of 85.59
within two weeks.
Chart Signals knows that it is important to
realize that as a trader you don’t know the future and that your favorite market
commentator or the television talking heads don’t know the future either, but
it is the charts themselves that give, through the buying and selling actions
shown, the most objective estimate of future price action. Of course when new information becomes known
that will be factored into the price action which will at times change the
trend prior to a chart target. See Chart Targets below…
CSCO bounced +0.17, +0.80% on
85.5 million shares forming a potential bear flag.
CIEN +1.06,
+4.85%, reversed Thursday’s gap down moving back above support on 4.9
million shares. ANGI -0.47, -3.41% on volume of 2.2 million shares at
support of late October, watch for a potential break of support.
TWTR began trading options on
Friday.
Continue
to trade with trend of the individual stock that you are trading and be
vigilant in protecting profits. Continue
to move profit protection
stops according to your rules.
Chart Targets:
SPY = 180.99, 182.69…
QQQ = 84.74, 85.52…
IWM = 110.96, 112.83…
Remember it is big money
that creates and sustains the trend. As Granville once
wrote, “technical analysis is the art of tracking the market, following
the footsteps of the ‘smart money’ crowd.
The ‘smart money crowd’ is no mysterious ‘THEY.’ It is simply a collection of people who are
reading the market correctly, seeing through the maze, unconfused by this hall
of mirrors.”
Short-term SPY posture is
up.
Support Levels
ES = 1,774, 1,736
SPY = 177.64, 174.76
QQQ = 83.48, 82.77, 81.37
IWM = 107.93
Earnings this week: KKD, TSL, ADSK, HD, CRM, GME, JCP, P, SPLK,
Q3 Earnings Reactions
Positive Reactions – YOKU,
SINA, NTAP, SLXP, PCLN, NVDA, GRPN, AWAY, PRU, TPX, TSO, CTSH, FSLR, TRMB,
MDVN, NATI, SPR, ONNN, EXPE, CRR, HAR, GTI, ATML, THOR, TRN, FLT, MCHP, ITT,
DICSA, ANR, SWKS, FB, CMCSA, GILD, DWA, LVLT, EA, SEE, SPW, TFX, JCI, X, XRAY,
XYL, JLL, PBI, ALR, HUN, ACT, DECK, AMZN, MSFT, FLS, AVY, ALXN, WOOF, COG, BA,
CLGX, ESI, EQIX, WLL, TSCO, RRD, PHM, RCL, ALXN, APOL, BCR, NDAQ, NSC, WHR,
ILMN, NUS, GNTX, LXK, DD, VFC, CMG, GOOG, BHI, GE, KSU, MS, SLB, STI, LVS, VZ,
SNDK, NUE, BTU, AXP, KEY, STLD, URI, USB, INTC, JNJ, SCHW, COST, AA
Negative Reactions – CSCO,
RAX, MNST, QCOM, SCTY, IPGP, AIG, BRKR, HME, NEM, XLS, Z, NIHD,
AVP, WTW, ROVI, GRMN, JDSU, OSK, CNW, ITRI, CTRX, KRFT, GRMN, MYL, DLR,
XCO, WU, LNKD, IACI, MSM, INGR, HTS, VRTX, AAPL, PMCS, MWV, SOHU, AGNC,
AGCO, PCL, GT, CMI, VSH, ALSN, ROP, EW, MRK, RYN, RMD, NCR, KBR, FSL, ESRX, EMN, FIO,
SIRI, CAM, TKR, SYMC, CVA, CDNS, AKAM, XRX, CRI, ORLY, CAT, NFLX, COH,
ZION, WAT, EMC, UTX, TXN, HON, ISRG, GS, UNP, UNH, EBAY, IBM, XLNX,
SCSS, SWK, MU, FAST
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.
The Market Forecast Green Line is above
80.
____________________
Setups
H Breakout: ATI, BX, CMG, ESI, IBM, MFRM,
QIHU, RCL, SINA, SPWR, SSYS, STI, SWKS, TIF, TPX, TRIP, UAL, UNG, V, XONE,
YELP, Z, COST, GOOG, MNST, MSFT, SBUX, SHLD, SNDK, STX, KOL, TAN
Diagonal Breakout: CNX,
CREE, DNKN, LVS, SCTY, ZION, AMAT, BRCM, CMCSA, EBAY, FB
Bull Flag: SCSS, TBT, WLT, BTU
Potential Bullish
Divergence:
Gap Up:
Gap Down:
Bear Flag: GLD, SOHU, TLT
At Support: ANGI, MCP, SWI,
VECO
C- Pattern: FB, GRMN,
YNDX
Moves
New Highs: SPY, DIA,
QQQ, CMG, CRM, DDD, FAS, FIVE, LCC, P, RCL, STI, TIF, DAL, X, AMZN, COST, CTSH,
DTV, MAT, MU, MYL, PCLN, QCOM, ROST, BA, DD, GE, JNJ, MMM, NKE, PFE, PG, TRV,
WMT, XOM
Gap Up: A, YOKU,
Gap Down:
H Breakout: BAC, FAS,
FIVE, JNPR, LNKD, AMZN, NFLX, QCOM
D Breakout: C, GLW, YELP
Breakout Test: YNDX, ESRX
Bounce: ANR, CIEN, CLF
MACD Divergence Bounce:
Bear Flag:
Support Break:
______________________
68 out of 100 NDX
stocks closed higher and one unchanged on Friday.
Leading NDX 100 stocks included: GMCR, VRTX, AVGO,
CTXS, ALXN, SIRI, EQIX, BIIB, GRMN, LLTC
Lagging NDX stocks included: REGN, STX, ESRX,
TSLA, WYNN, SPLS, AKAM, HSIC, WFM, ISRG
Leading stocks > +2% on Friday
included: YOKU, A, P, YELP, CIENT, ANR, LNKD, JCP, MFRM, MCP, PWRD,
NTES, JNPR, DDD
Lagging stocks < -2.0% included: ANGI, SPWR
Stocks to Watch on Monday
Holding Above 30 DMA= 65
CTSH, VOD,
ROST, ADBE, SNDK, SBUX, STX, CERN, CMCSA, MSFT, XRAY, AAPL, HSIC, FISV, FOSL,
INTC, INTU, LINTA, PAYX, SBAC, WDC, CHKP, DTV,
GOOG, ADP, AMZN, MAT, DISCA, CA, COST, LLTC, TXN, ADI, MCHP, MU, EXPE,
NFLX, ADSK, ESRX, LBTYA, ISRG, ALXN, GILD, MYL, NVDA, PCAR, PCLN, MDLZ, DLTR,
MNST, SHLD, WYNN, YHOO, ATVI, BRCM, QCOM, AMGN, BBBY, CHRW, NTAP, SRCL, BIDU, GOLD, SIAL, FOXA
Moving Above 30 DMA = 5
BIIB, EQIX, GRMN, KLAC, SIRI
Moving Below 30 DMA = 2
EBAY, SPLS
Staying Below 30 DMA
AVGO,
CSCO, VIAB, CTXS, AMAT, VIP, WFM, VIAB, CTRX, KRFT, REGN, VRSK, LMCA, TSLA,
EXPD, FAST, CHTR, CELG, VRTX, FB, MXIM, AKAM, ORLY, FFIV, SYMC, ALTR, XLNX,
NUAN, GMCR
Sixteen Week
Intermediate Term Market Trend: Up
5-Day Short Term Market
Trend: Up
2 comments:
Thanks Dave!
You're welcome!
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