Stocks Rally after Consumer Confidence Hits 96.5 vs. 93.6 Estimate in December...Hammer Time Flags Bounce...

All nine sectors moved higher on Tuesday…XLK, XLV and XLY were the strongest sectors while XLU was the weakest sector. 

Breadth strengthened as advancers led decliners 2.82 to 1 on the NYSE and 2.21 to 1 on the NASDAQ.

Tuesday – strengthened, advancers led

Monday – weakened, decliners led

Friday – Christmas Holiday

Thursday- weakened, advancers led

Wednesday – strengthened, advancers led

SPY up 2.19 at 207.40 on 92.6 million shares

VIX down .83 at 16.08…

TNX up .82 at 23.07…

TLT down 2.03 at 120.16…on 7.7 million shares

XLF up .25 at 24.249…on 30.9 million shares

AAPL up 1.92 at 108.74 on 30.9 million shares

FB up 1.33 at 107.26 on 17.1 million shares

Technical Commentary:

QQQ +1.57%, DIA +1.14%, IWM +1.08%, SPY +1.07%.

Consumer confidence reached 96.5 in December vs. a forecast of 93.6. November’s reading was 90.4.   All four broad indexes opened higher and finished higher on Tuesday.

Oil moved up 64 cents on Tuesday leading energy sector stocks higher including: CHK, CNX, RIG, COG, PXD, ESV, EQT, BHI and DVN.

NDX +69.73 was lead by gains in AMZN, MSFT, GOOGL, FB, GILD, INTC, CSCO, QCOM, AMGN, AAPL, PCLN, MDLZ, BIIB, TSLA, REGN, CELG and VRTX.

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 pointed up at 59. 

Short-term Chart Targets:

SPY =...208.49, 209.75…

QQQ = 114.94, 115.40…

IWM = 115.56, 117.16…

                   

Support Levels

SPY = 203.94

QQQ = 111.51

IWM = 112.95

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Setups

Horizontal Breakout: SPY, QQQ, IWM, SVXY, FAS, TBT, MYL, PAY, RCL, W, ALB, CREE, CYBR, INTC, KR, LULU, LVS, MAT, NDAQ, DAL, WYNN, NDAQ, PSA, APLE, PYPL, AA, ATVI, FINL, LRCX, EL, CRM, SCHW, STI, YELP, ZION,

Diagonal Breakout: NXPI, PANW,

Bull Flag: SCTY, GOGO, JASO, KWEB, RUN, SEDG, SOHU, JD, BXLT, DRI, FIVE, MPEL, SPWR, SUNE, TERP, TSL,

Moves

New Highs: RCL, AMZN, GOOGL, DPS, CCL, SONC,

H Breakout: RCL, STX, GOOGL, AMZN, DPS, L, CCL, CA, AIG,

D Breakout: FAS, LNKD, SCHW, SVXY, VRSN, CMCSA, AVGO, ETFC, CRM,

Bull Flag Bounce: SPY, FINL, PYPL, AA, CCL, ATVI, CA, EL,

MACD Divergence Bounce: NKE, UPS, NFLX

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98 of 100 NDX stocks closed higher on Tuesday.

65 NDX stocks are above their 30 DMA.

NDX Stocks to Watch on Wednesday:

Moving Above 30 DMA = 10

CHTR, COST, CTXS, EA, MXIM, PCAR, PCLN, SBUX, SIRI, VRTX  

Moving Below 30 DMA = 0

6-month Intermediate Term Market Trend: Neutral

3-day Short Term Market Trend: Up