Thursday, February 6, 2014

Stocks End Trading Session With Best Gains In Seven Weeks...Many Stocks Bounce From Recent Lows...After-Hours LNKD Down After Earnings 8.48%...EXPE Up 13.14%...

All nine sectors moved higher on Thursday…XLY, XLF and XLB were the strongest sectors…while XLV was the weakest sector.   

Breadth strengthened as advancers led decliners 3.15 to 1 on the NYSE and 1.81 to 1 on the NASDAQ.

Thursday – strengthened, advancers led
Wednesday – weakened, decliners led
Tuesday – strengthened, advancers led
Monday – weakened, decliners led
Friday – weakened, decliners led


SPY up 2.31 at 177.48 volume 132.7 million shares, above average volume
VIX down 2.72 at 17.23…
TNX up .35 at 27.02…
TLT down .46 at 106.70...
XLF up .32 at 21.03 volume 39.9 million shares

AAPL up 2.97 at 512.51 volume 9.2 million shares
FB down .03 at 62.16…volume 42 million shares…lower than average volume


Technical Commentary: 
SPY + 1.32%, QQQ + 1.28%, DIA + 1.27%, IWM + 0.79.

With jobless claims dropping 20,000 to 331,000 for the week…investors took note and reacted positively with Thursday’s trading session with the best gains in seven weeks.  DJIA added 188.30 and the S&P 500 closed up 21.79.

Bounce, bounce, bounce, was the drum roll of the day…with many stocks bouncing from their recent lows.  Of note, GMCR after posting earnings…closed up 21.22 or 26.24% as did AKAM up 9.76 or 20.58% and YELP with positive earnings gaining 14.23 or 18.92%.

Investors reacted negatively to TWTR…with concerns for future growth outlook and earnings report…TWTR was in a free fall with a gap down closing down 15.94 or 24.16%.

In after-hours trading and after earnings report…LNKD is down 18.95 or 8.48%.  Investors are pleased with EXPE reported earnings…in after-hours trading EXPE is up 8.56 or 13.14%.



Trade with the trend of the chart you are trading and move your protective stops.  Be mindful of reversal patterns like double bottoms and MACD divergences.  Continue to follow your rules.


Short-term up trend Chart Targets:
SPY = 179.81…
QQQ = 86.80
IWM = 111.02, 113.65…

Support Levels
SPY = 173.95, 172.14
QQQ = 84.29, 83.50, 82.72
IWM = 108.39, 106.76

Q4 earnings season
Monday – AEIS, AGNC
Tuesday – ADM, BWLD, CHRW, CME, GILD, HCA, IP, KORS, KEYW
Wednesday – AKAM, ADP, BIDU, CTSH, FISV, GMCR, HUM, MDC, MRK, NXPI, ORLY, P, SCSS, SWI, TSO, NDAQ, TWX, TWTR, DIS, YELP
Thursday – ATVI, LNKD, SIAL, TPX, VRSN
Friday – CBOE, CI, MCO

Q4 Earnings Reactions
Positive Reactions – TPX, LNKD, ATVI, TWX, MYGN, LVLT, CVD, AGNC, KORS, IDXX, XYL, YUM, NOV, SPG, TSN, ZNGA, ALXN, BRCM, BX, CMG, GOOG, JDSU, MTW, PHM, RYL, VIAB, V, BA, DOW, FB, LVS, QCOM, VLO, AKS, AAL, CHKP, EA, F, ILMN, LXK, CAT, RCL, JNPR, MSFT, KMB, PG, MXIM, SBUX, NFLX, FFIV, URI, UNP, EBAY, MCD, CREE, TXN, UTX, NUAN, XLNX, BHI, DAL, RF, MS, SLB, STI, AXP, SWKS, BAC, LLTC, WEN, MON, MU, STZ, APOL


Negative Reactions – VRSN, ADP, CTSH, GILD, HUM, MDC, ADM, CVX, MA, MAT, PCAR, AMZN, MMM, CELG, CL, XOM, ESI, HOG, OSTK, POT, SHW, WHR, BA, CTXS, EMC, TSCO, CRUS, GLW, DD, F, VMW, YHOO, AAPL, STX, ZION, HON, KSU, SWK, STT, ALTR, ISRG, KLAC, KEY, JCI, LMT, WDC, ABT, BAX, ATI, COH, FCX, AMD, IBM, HAL, JNJ, TRV, VZ, GE, COF, INTC, UNH, C, GS, CSX, FAST, AA, FDO, BBBY, SCHN

Reversal of Initial Reaction – HON, FAST, FDO, AA


The Market Forecast Green Line turned up below 25 on Thursday.

____________________

Setups
H Breakout: RCL, ADBE,  
Diagonal Breakout: A, ATI, CSIQ, JNPR, MCP, RAX, V,
Bull Flag: ANGI, MTW, QIHU, TLT, FB,
Potential Bullish Divergence: 
Gap Up:  
Gap Down:  
Bear Flag: 
At Support:  
C- Pattern:

Moves
New Highs
Gap Up: YELP, AKAM, COST, GMCR,   
Gap Down: TWTR,
H Breakout: LNDK, WFM,   
Diagonal Breakout: BBRY, C, IBM,
Breakout Test: 
Bounce: BAC, CIEN, CREE, DDD, DRYS, FAS, GOGO, IWM, KKD, LVS, MFRM, MS, NKE, SCSS, SOHU, SPY, STI, SWKS, TPX, UAL, X, XONE, YOKU, Z, ADSK, AMZN, BIDU, CTSH, DTV, EBAY, ESRX, FFIV, GOOG, GRMN, INTC, MNST, MU, PCLN, QCOM, ROST, SBUX, SNDK, TRIP, TXN, WYNN, XLNX,
MACD Divergence Bounce:   
Bear Flag:  
Support Break:  



______________________


84 out of 100 NDX stocks closed higher on Thursday.

Leading NDX 100 stocks included: GMCR, AKAM, ORLY, NXPI, ROST, VOD, MU, WYNN

Lagging NDX stocks included: GILD, FISV, SRCL

Leading stocks > +2% on Thursday included: YELP, Z, DRYS, SCSS, YNDX, SFUN, TPX, LNKD, FAS

Lagging stocks < -2.0% included: TWTR, P, ANGI, UNG


Stocks to Watch on Friday
Holding Above 30 DMA= 26
ILMN, ESRX, CMCSA, EQIX, FFIV, SBAC, ISRG, MU, BIIB, MXIM, TSLA, NXPI, GOLD, NFLX, CHTR, ALTR, ALXN, REGN, GOOG, WYNN ,FB, GMCR, ADBE, ORLY, DISH, EBAY

Moving Above 30 DMA = 9
ADSK, AKAM, AVGO, BRCM, CSCO, DTV, PCAR, VRTX, WFM

Moving Below 30 DMA = 2
GILD, SRCL


Staying Below 30 DMA
CERN, CHRW, NTAP, AMGN, CHKP, HSIC, MSFT, MYL, QCOM, SIAL, XLNX, WDC, AMZN, MNST, CTRX, VRSK, SYMC, SIRI, STX, PCLN, AAPL, AMAT, CA, CELG, CTSH, EXPD, FAST, FISV, KLAC, LLTC, NVDA, SNDK, VOD, TXN, VIP, ADP, BIDU, CTXS, GRMN, ADI, KRFT, EXPE, INTC, INTU, MDLZ, LBTYA, TRIP, YHOO, VIAB, LINTA, TSCO, ATVI, PAYX, ROST, DLTR, BBBY, SPLS, FOXA, MAT, DISCA, COST, SBUX, LMCA


Sixteen Week Intermediate Term Market Trend: Up
3-Day Short Term Market Trend: Up




No comments: