NFLX Gaps Up in After-hours Trading...With Reported Earnings Better Than Expected...S&P 500 Has First Five Day Winning Streak Since October...SCSS Up 10.31%...Z Up 7.57%...MU, FB Raised Targets...

Seven of nine sectors moved higher on Monday XLV, XLE and XLK were the strongest sectors…XLU was the weakest sector again.   

Breadth strengthened as advancers led decliners 1.63 to 1 on the NYSE and 1.54 to 1 on the NASDAQ.

Monday – strengthened, advancers led

Friday - Holiday

Thursday – weakened, advancers led

Wednesday – strengthened, advancers led

Tuesday – weakened, mixed

Monday – strengthened, advancers led

SPY up .65 at 187.04 on 67.9 million shares, almost 50% of normal volume

VIX down .11 at 13.25…

TNX up at 27.21…

TLT down .09 at 119.96...

XLF down .02 at 21.84 on 30.6 million shares

AAPL up 6.23 at 531.17 on 6.5 million shares

FB up 2.30 at 61.24…on 59.7 million shares, Credit Suisse upgrades FB from neutral to Outperform and raises price target from 65 to 87.

Technical Commentary: 

QQQ + 0.74%, IWM + 0.47%, SPY + 0.35%, DIA + 0.17%.

The SPX closed higher for the fifth straight day up +3.1% from April 11 and +1.27% since Dec 31.  The broad indexes were led by the NDX +25.42, +0.72%.

NDX point leaders included AAPL, FB, AMZN, GILD, BIIB, CMCSA, MU, AMGN and BIDU which combined for +20.4 points offset by GOOG -1.9 NDX points.

MU +1.41, +5.90% led the NDX after an analyst price target of $50.

HAL +2.02, +3.32%, HAS +1.05, +1.92% and STI +0.56, +1.48% gained after reporting earnings before the open on Monday.

NFLX +23.71, +6.80% after reporting earnings after the close on Monday. 

Charts are poised for a horizontal resistance breakout with earning reports increasing on Tuesday through Thursday.

Trade with the trend of the chart you are trading and continue to move your protective stops.  Continue to follow your rules.

Short-term up trend Chart Targets:

SPY = 187.17, 189.70…

QQQ = 86.90, 87.88…

IWM = 113.84, 115.25…

Support Levels

SPY = 183.37, 181.38

QQQ = 85.09, 84.16, 83.15, 82.03

IWM = 110.12, 108.91, 106.99

Earnings This Week:

Monday: NFLX, HAL, HAS, KMB, STI, ZION

Tuesday: AMGN, GILD, MCD, TRV, UTX, AKS, ATI, T, ACI, CREE, HOG, HNPR, RF, SPG, SWKS, VMW, XRX

Wednesday: AAPL, BIIB, CTXS, FFIV, FB, NXPI, ORLY, QCOM, TSCO, XLNX, BA, PG, ANGI, BA, CLF, DAL, ETFC, DAVE, JCI, NSC,

Thursday: ALXN, ALTR, AMZN, BIDU, BRCM, CELG, KLAC, MXIM, MSFT, SIRI, SRCL, WYNN, MMM, LLY, V, VZ, AET, CNX, DECK, FCX, ESI, LVS, NUE, P, BTU, POT, RCL, LUV, SWK, SPWR, NDAQ, UA, UPS, YNDX

Friday:

Q1 Earnings Reactions

Positive Reactions – NFLX, HAL, HAS, STI, BHI, BX, C, GE, GME, IBKR, INTC, JNJ, KO, MS, SCHW, SNDK, UNP, URI, WFC, YHOO

Negative Reactions – KMB, BAC, BBRY, FAST, GOOG, IBM, JPM, LLTC, MU, STLD, UNH

Reversal in progress – IBM, LLTC

Reversal of Initial Reaction – MU

The SPY Market Forecast green line is pointed up at 48.

____________________

Setups

H Breakout: CREE, ETFC, MFRM, MS, MTW, NKE, PANW, CRM, QIHU, SCTY, SFUN, SOHU, SSYS, UBNT, YNDX, YOKU, AAPL, AKAM, AMZN, BIDU, CELG, COST, FFIV, GRMN, NFLX,

Diagonal Breakout: AAL, C, CTRP, HOG, SCHW, SWKS, ZION, BAC, DDD, ESI, EBAY, GILD, GMCR, MSFT, PCLN, SBUX, TRIP, TXN, XLNX,

Bull Flag:  

One Day:  

Potential Bullish Divergence:

Gap Up: 

Gap Down:     

Bear Flag: 

At Support: X, WLT, ESRX, ROST,

C- Pattern:   

Moves

New Highs: UPL, Z,     

Gap Up: STI, MU,     

Gap Down:

H Breakout: SCSS, TPX, NTES, SWI, WDC,  

Diagonal Breakout: JDSU, LNKD, P, XONE, FB, TSLA,

Breakout Test:

Bull Flag Bounce:   

Bounce: IBM, SPWR, WFM,

MACD Divergence Bounce:

Bear Flag: 

Support Break:   

______________________

71 of 100 NDX stocks closed higher on Monday and one was unchanged.

Leading NDX 100 stocks included: MU, CHTR, ILMN, FB, NXPI, TSLA, MYL, VIP, BIDU

Lagging NDX stocks included: WYNN, GOOG, ESRX, CTSH, TRIP, DLTR, CTRX, FISV

Leading stocks > +2% on Monday included: SCSS, Z, MFRM, TPX, FSLR, SWKS, GOGO, P, XONE, NTES, SPWR, ESI, YELP, SFUN

Lagging stocks < -2.0% included: PANW, WLT, QIHU, SPLK

Stocks to Watch on Tuesday

Holding Above 30 DMA= 26

MAR, GRMN, KRFT, FAST, INTC, QCOM, STX, WDC, CSCO, CHRW, SPLS, NVDA, SYMC, LINTA, MSFT, COST, EXPD, MDLZ, SIAL, YHOO, ADI, FISV, MU, NXPI, SNDK, VIP

Moving Above 30 DMA = 8

AAPL, BIDU, CHKP, CMCSA, FFIV, FOXA, ORLY, SBAC

Moving Below 30 DMA = 0

Staying Below 30 DMA

ISRG, AMAT, BRCM, DTV, KLAC, NTAP, TXN, LLTC, MAT, MXIM, PCAR, XLNX, BBBY, ALTR, AMGN, ATVI, CTSH, PAYX, ROST, DISH, AVGO, EXPE, HSIC, SBUX, VIAB, DISCA, TSCO, ADP, CHTR, CTXS, INTU, AKAM, EBAY, ESRX, TRIP, AMZN, BIIB, DLTR, MYL, WFM, LMCA, TSLA, GMCR, ADBE, ALXN, FB, REGN, CERN, PCLN, WYNN, LBTYA, MNST, NFLX, ILMN, SRCL, EQIX, CA, VRSK, ADSK, VOD, CELG, GILD, VRTX, SIRI, CTRX, GOOG

Sixteen Week Intermediate Term Market Trend: Up

3-Day Short Term Market Trend: Up