Broad Markets Churn on Light Volume Ahead of Friday's Jobs Report Before the Open...

Seven of ten sectors moved higher and one was unchanged on Thursday …XLB, XLK and XLRE were the strongest sectors while XLV was the weakest sector.  Oil futures rose .86 to close at 50.56.

Breadth weakened as decliners led 1,664 to 1,342 on the NYSE and led 1,691 to 1,094 on the NASDAQ.

Thursday – weakened, decliners led, +7

Wednesday – strengthened, advancers led, +7

Tuesday – weakened, decliners led, +1

Monday – weakened, decliners led, +1

Friday – strengthened, advancers led, +8

SPY up .15 at 215.78 on 62.5 million shares, 35% below average volume

VIX down .15 at 12.84

TLT down .75 at 133.83…on 7.8 million shares, 7% below average volume

Technical Commentary:

SPY +0.07%, QQQ -0.05%, DIA -0.08%, IWM -0.10%,

Broad markets paused and traded light volume on Thursday prior to Friday morning’s September Jobs report.

QQQ horizontal breakout setup

IWM bull flag setup

SPY, DIA symmetrical triangle setup

AA kicks of the Q3 earnings season next Monday October 10.  AA completed a 1 for 3 reverse stock split on Thursday.

 

EPS Positive Reactions

COST, RHT, FDX, ADBE

EPS Negative Reactions

MU, PAYX, CCL

Consider moving up stops on short term bullish trades that could pull back.  All according to your profit protection rules.

Remember breakouts typically test about 70% of the time.

Technical analysis based trades should be closed before earnings. After-hours

Trade what you see, not…

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

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Strong Stocks: Setups and Moves You Can Use

Bull Flag Setups include: IWM, QCOM, TWLO, NUE, X, STLD, AKS, ISRG, SCHN, BIDU, ADBE, CHTR, AMBA, WDC, APA, STX, LVS, WB, EA, NVDA, PYPL, ATVI,

Bull Flag Bounces include: ULTA,

Horizontal Breakout Setups include: QQQ, EXPE, ULTA, BAC, CHK, INTC, AMAT, AKAM, RCL, AAL, MU, NTAP, TXN, PCAR, RL, ATI, UAL, GT, CAVM, SINA, WMB, SE, SYMC, FB, LMCA, AAPL, URBN, GPRO, TRIP, FOSL, BABA, ADSK, FL,

Horizontal Breakout include: LRCX, NTES, SWKS, NCLH,

New Highs include: LRCX, NTES, SWKS, CSX, LITE, NXPI, NFLX, AMZN, PCLN, ILMN, ADSK, JD, HA, SCHW, STT, ZION, ETFC, BAC, JPM, C, MA, INTC

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

The SPY MFC green line is pointed up at 61, bullish. 

39 of 100 NDX stocks closed higher on Thursday.

59 NDX stocks are above their 30 DMA.

NDX Stocks to Watch on Friday:

Moving Above 30 DMA = 2

HSIC, WFM 

Moving Below 30 DMA = 7

BIDU, BIIB, BMRN, CMCSA, ENDP, NTAP, TSLA

6-month Intermediate Term Market Trend: Up

3-day Short Term Market Trend: Neutral