Volatility Rules as SPY Gyrates to Slight Gain Above Support...

Are you interested in finding strong stocks?  If so, let us know of your interest at chartsignals@yahoo.com.  We can help you find leaders like: MAT, FAST, PCAR, DISCK, CMCSA, VZ, WMT, XOM, NEM, SWN, KORS, RRC, SE ...

Five of nine sectors moved higher on Tuesday…XLB, XLV and XLP were the strongest sectors while XLE was the weakest sector.  Oil fell $1.77 to close at 28.35.

                         

Breadth strengthened as decliners led advancers 2.26 to 1 on the NYSE and 1.87 to 1 on the NASDAQ.

Tuesday – strengthened, decliners led

Monday – mixed, decliners led

Friday – weakened, decliners led

Thursday- strengthened, advancers led

Wednesday – strengthened, advancers led on the NYSE

SPY up .01 at 185.43 on 184.3 million shares, 16% above average volume

VIX up .54 at 26.54…

TNX down .06 at 17.29…

TLT up .14 at 131.49…on 15.2 million shares, 59% above average volume

XLF down .03 at 20.39…on 137.2 million shares, 105% above average volume

AAPL down .02 at 94.99 on 44.3 million shares, 20% below average volume

FB down .21 at 99.54 on 62.7 million shares, 52% above average volume

Technical Commentary:

SPY +0.01%, DIA -0.07%, QQQ -0.31%, IWM -0.67%.

SPY, DIA and QQQ each formed an inverted hammer-like candle with a higher high and higher low on Tuesday than Monday.  Each held above August support indicating that institutions may be continuing to accumulate stock at this horizontal support level for the fourth time since last August.

The NDX leading stocks on Tuesday:  EA, NFLX, ENDP, ILMN, WBA, VRSK, NCLH, NXPI, GILD, ROST, MAR, MDLZ, INCY, AAL, PCLN   

Stocks below support should generally be traded bearishly until a reversal pattern forms.

Sixteen Dow stocks PFE, HD, DD, KO, NKE, UNH, MCD, V, MRK, MMM, UTX, AXP, GE, TRV, DIS and PG rose on Tuesday. 

XLB Materials was led by gains in MLM, OI, ECL, SEE, AVY, SHW, IP, VMC, PX, BLL, DD, PPG, CF, WRK and MOS.

Positive Earning Reactions included: OI, MLM and MAS

YTD:

SPX Leaders:  NEM, KORS, SE, SWN, EXC, MAT, ED, TSN, RRC, CMI (98)

SPX Losers: CHK, WMB, ESV, MRO, MPC URI, TRIP, VRTX, ADS, LM

NDX Leaders:  MAT, FAST, PCAR, CMCSA, ROST, FISV, XLNX (7)

NDX Losers: TSLA, BMRN, TRIP, VRTX, INCY, NCLH, WDC, REGN, ADSK, MU

DJI Leaders:  VZ, WMT, PG, XOM, MMM, KO

DJI Losers: AXP, BA, GS, CSCO, INTC, JPM, HD, DIS, V, DD, MSFT

Remember:  “It’s a market of stocks, not just a stock market.”

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 down at 21.  

42 of 100 NDX stocks closed higher on Tuesday.

8 NDX stocks are above their 30 DMA.

NDX Stocks to Watch on Wednesday:

Moving Above 30 DMA = 2

CA, ROST

Moving Below 30 DMA = 0

6-month Intermediate Term Market Trend: Neutral

3-day Short Term Market Trend: Down