SPX Pauses on Monday...Oil Rises for Fourth Straight Day...

Nine of ten sectors moved lower on Monday …XLI, XLY and XLE were the strongest sectors while XLRE was the weakest sector.  Oil futures rose .60 to close at 48.65.

Breadth weakened as decliners led 1,757 to 1,283 on the NYSE and led 1,645 to 1,162 on the NASDAQ.

Monday – weakened, decliners led, +1

Friday – strengthened, advancers led, +8

Thursday – weakened, decliners led, +0

Wednesday – strengthened, advancers led, +8

Tuesday – strengthened, advancers led, +7

SPY down .52 at 215.78 on 83.5 million shares, 12% below average volume

VIX up .28 at 13.57

TLT down .70 at 136.81…on 7.5 million shares, 5% below average volume

Technical Commentary:

QQQ -0.14%, SPY -0.24%, DIA -0.25%, IWM -0.31%,

TSLA +4.08, +4.74% beats Q3 vehicle delivery estimate by 3,500 at 24,500 vehicles and breaks through horizontal resistance.

NFLX +9.67, +4.14% breaks out of horizontal resistance on rumors of potential DIS buyout.

TWTR +0.95, +4.12% rises to horizontal resistance on news of GOOG evaluating potential buyout.

EPS Positive Reactions

COST, RHT, FDX, ADBE

EPS Negative Reactions

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: TWLO, QCOM, SCHN, IWM, BIDU, X, STLD, BABA,

AKS, ADBE, ADSK, TRIP, AAPL, EXPE, FL, ATVI, URBN, FOSL, GILD, CHTR, REGN, ULTA, JD,

Bull Flag Bounces include: FB, TWTR, MA, NTES, LMCA,

Horizontal Breakout Setups include: TWTR, ETFC, QQQ, ZION, NUE, SCHW, MA, INTC, ISRG, CTRP, ADSK, NCLH, SWKS, AMAT, AAL, PYPL, LRCX, MU, NTAP, TXN, ROST, PCAR, RL, WRK, ATI, BAC, UAL, RCL, GT, CAVM, SINA, JPM, WMB, SE, STT, SYMC,

Horizontal Breakout include: NFLX, TSLA, CCL, PCLN, LVS, AKAM,

New Highs include: NXPI, WDC, EA, APA, AMZN, NVDA, ISRG, STX, LITE, CSX, ILMN, 

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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 62, bullish. 

42 of 100 NDX stocks closed higher on Monday.

60 NDX stocks are above their 30 DMA.

NDX Stocks to Watch on Tuesday:

Moving Above 30 DMA = 4

AKAM, BIDU, FAST, TSLA,

Moving Below 30 DMA = 5

AVGO, GILD, GOOG, HSIC, MSFT,

6-month Intermediate Term Market Trend: Up

3-day Short Term Market Trend: Neutral