Wednesday, December 16, 2015

As Expected Fed Raises Rates 1/4%...Stocks Soar...Solar Sizzles...AMZN, MSFT, FB, GOOG Lead NDX...

Eight sectors moved higher on WednesdayXLU, XLP and XLI were the strongest sectors while XLE was the weakest sector

Breadth strengthened as advancers led decliners 4.59 to 1 on the NYSE and 2.75 to 1 on the NASDAQ.

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


SPY up 3.00 at 208.03 on 196.9 million shares
VIX down 3.09 at 17.86…
TNX up .19 at 22.87…
TLT down .26 at 121.18…on 10.9 million shares
XLF up .39 at 24.44…on 83 million shares

AAPL up .85 at 111.34 on 56.2 million shares
FB up 2.24 at 106.79 on 22.6 million shares

Technical Commentary:
DIA +1.24%, SPY +1.46%, QQQ +1.49%, IWM +1.53%.

The Fed, as expected, raises rates ¼%, seven years to the day after its last rate decrease.  As typical, volatility increased at the announcement and the SPX dropped 14 points in 60 seconds and rose 19 points in the next seven minutes before dropping 13 points in the next 20 minutes followed by a 23 point rally into the close.
                   (click image to enlarge)

Solar stocks led by SCTY +34.06%, SUNE +25.45%, RUN +22.55%, SEDG +17.10%, SPWR +14.26% and FSLR +9.68% sizzled on volume surge as Congress extended tax credits on Wednesday.
                   (click image to enlarge)

The NDX +67.23 points was led by AMZN, MSFT, FB and GOOG.

Chart Formations:
AMZN – bounce to horizontal breakout setup
MSFT – bounce to horizontal breakout setup
FB – diagonal breakout
GOOG ­­– diagonal breakout
                  (click image to enlarge)


30 DMA Breakout Setups – AAL, ADSK, BIDU, BMRN, CHTR, CSCO, EBAY, FISV, GILD, HSIC, LLTC, LMCA, ORLY, SIRI, STX, TSCO, VIP, VOD, XLNX


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

The SPX MFC green line is turned up at 33. 

Short-term Chart Targets:
SPY =...209.73
QQQ = 115.29
IWM = 116.17…
                   
Support Levels
SPY = 204.80
QQQ = 112.17
IWM = 112.83
__________________

Setups
Horizontal Breakout: ETFC, KWEB, QIHU, SCHW, SFUN, STI, TSL, AMZN, ATVI, ILMN, JD, NVDA,
Diagonal Breakout:  AA, AMBA, BABA, BAC, C, GLW, JNPR, NKE, SLCA, V, CMCSA, ORLY

Moves
New Highs:  DAL, NTES, ULTA, ADBE, MSFT,
H Breakout:  FSLR, RUN, SCTY, SEDG, SPWR,
D Breakout: IWM, QQQ, SPY, MPEL, RCL, TPX, YNDX, ADSK, EBAY, FB, GILD, GOOGL, TSLA,
Bull Flag Bounce: GOGO, LNKD, MFRM, PLAY, AVGO, NFLX, YHOO,  
MACD Divergence Bounce: AAPL,  
Bounce: QRVO, RAX, UA, YELP, SWKS,  
Gap Up: CSIQ, FSLR, JASO, SCTY, SEDG, SPWR, SUNE

______________________

91 of 100 NDX stocks closed higher on Wednesday.

55 NDX stocks are above their 30 DMA.

NDX Stocks to Watch on Wednesday:
Moving Above 30 DMA = 13
ADP, AMZN, FAST, FB, INTU, KHC, MDLZ, NFLX, PAYX, REGN, TSLA, WBA, YHOO

Moving Below 30 DMA = 0


6-month Intermediate Term Market Trend: Neutral
3-day Short Term Market Trend: Up

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