QQQ Hits New High Close on Inauguration Day...IWM, SPY, DIA Bounce...SWKS Gaps Higher...

Sector Trend Strength:

Up Trend: XLF, XLI, XLB, XLY, XLE, XLK, XLP, XLRE, XLV

Sideways: XLU

Down Trend:

For the week ended January 20, seven of ten sectors moved higher.

XLP +2.06%, XLRE +0.68%, XLB +0.43%, XLI +0.35%, XLK +0.28%, XLU +0.27%, XLE +0.22%, XLY -0.04%,

SPY -0.14%,

Lagging sectors XLV -1.52%, XLF -1.53%, 

YTD 13

Leading Sectors: XLY +3.11%, XLK +2.98%, XLB +2.80%, XLI +1.96%, XLP +1.68%,

SPY +1.44%,

Lagging Sectors: XLV +1.31%, XLRE +0.49%, XLU +0.14%, XLF -0.43%, XLE -1.04%

Breadth strengthened as advancers led 1,888 to 1,064 on the NYSE and led 1,678 to 1,045 on the NASDAQ.

Friday – strengthened, advancers led, +9 sectors

Thursday – weakened, decliners led, +1

Wednesday – strengthened, advancers led, +6

Tuesday – weakened, decliners led, +5

Monday – MLK Jr Holiday

SPY up .83 at 226.74 on 129.1 million shares, 55% above average volume,

VIX down 1.24 at 11.54

TLT down 0.24 at 119.94…on 16.9 million shares, 82% above average volume

Technical Commentary:

IWM +0.52%, SPY +0.37%, DIA +0.34%, QQQ +0.22%,

Inauguration Day for America of President Trump turned into a positive market day as all four major indexes gained.  While many who supported Trump celebrated, some of those who did not continued to complain. 

One thing all Americans should be grateful for is the peaceful transition of power that continues since 1800.  For a historical perspective read more here:  http://teachingamericanhistory.org/zvesper/chapter1/

QQQ achieved another new all-time closing high on Friday. 

Consumer Staples XLP led all sectors for the week with notable gains from RAI, PM, PG, MO, CL, KHC, GIS, PEP, COST and KMB.

Financials was the weakest sector for the week with losses in NTRS, BK, C, GS, PBCT, STT, RF, CMA, KEY FITB, JPM, CBG, ZION, MS, HBAN, FHN, BBT, GNW, DFS and STI.

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SPX up 7 points at 2,271

SPX  gainers SWKS, QRVO KSU, JWN, MRK, NRG, MOS, PG, CFG, NOV, AVGO, VMC, COL, COTY, IBM, IRM, UNP, ADSK, LUV, MCK, HAL, MRO,IP, MCHP, BEN, STI, WRK, GCI, SYF, COP, ANTM, CNC, ORCL, UAL, FCX, DE, AIV, FMC

QQQ makes a new closing high up 27 cents at 123.25.

   

NDX point leaders: MSFT, CMCSA, AVGO, SWKS, INTC, KHC, GOOGL, AAPL, MDLZ and TXN

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Earnings this week:

Tuesday – CMA, MS, UNH

Wednesday – C, CSX, FAST, GS, NFLX, NTRS, UAL, USB,

Thursday – AXP, CHKP, IBM, KEY, SWKS, UNP,

Friday – PG, CFG, COL, GE, RF, SLB,

Earnings next week:

Monday – HAL, MCD, ZION

Tuesday – AA, AKS, ATI, BABA, CA, DD, GLW, ISRG, JNJ, KMB, LMT, STLD, STX, TRV, TXN, VZ, 

Earnings Reports

SWKS +10.21, +13.01% on a positive earnings reaction.

PG +2.75, +3.75% on a positive earnings reaction.

COL +2.19, +2.45% on a positive earnings reaction.

GE -0.68, -2.18% on a negative earnings reaction.

2016 Q4 EPS

EPS Positive Reactions

SWKS, PG, CFG, COL, IBM, CHKP, NFLX, UNP, FAST, WFC, SNX, MSM, CUDA, GPN, MU, CAG, NKE, KMX, CCL, JBL

EPS Negative Reactions

GE, NTRS, CSX, C, CMA, MS, UNH, AYI, CMC, STZ, SCHN, RHT, BBBY, FINL, AGN, FDX, GIS, ADBE

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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.

Follow your rules and look for potential re-entry if you were stopped out of any profitable trades.

Remember breakouts typically test about 70% of the time.

Technical analysis based trades should be closed before earnings.

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: NFLX, SQ, HIG, FISV, RCL, IYR, SBUX, RCL, ETFC, ATVI, FB, TLT, FSLR, AMZN, PCAR, GM, CLF, ADP, DAL, TXN, ROST,

One Day Pullback: TMUS, MAR, CSX,

Bull Flag Bounces include: NTES, ADSK, LNG, DE, BA, AAL,

At Support Setups include: MS, GS, STI, CMA, JPM, IWM, DIA, HES, BHI, XLNX, MSFT, APA, MGM, PWR, HBAN, KEY, X, MU, FAS, PNC, AKS, STLD, ZION, RF, X, NUE,

Support Bounce: USB, LUV, PAYX, WFC, CFG, UPS,

Horizontal Breakout Setups include: MT, VALE, AMAT, SPY, SCHW, FAST, WDC, ALK, HAL, MAR, COST, AAPL, USB, PAYX, WFC, EBAY, MMM, ICE, EA, DISCA, ADI, ATI, GOOG, GD, KLAC, INTC, MCD, PCLN, NVDA, BAC, UTX, TRV, FCAU

Horizontal Breakouts include: SOXL,

New Highs include: AVGO, CMCSA, ADBE, CHKP, QQQ, CHTR, LRCX, CSX, NFLX, TSLA, TMUS,

Break of Support: FTI, C, 

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Short-term Movers for the week:

SPX gainers:  NRG, AA, NBL, MJN, RAI, KSU PM, NOV, VMC, MCO, QRVO, PG, CHD, GWW +10, 3,  +4, 17

SPX losers:  BMY, TDG, MNK, TGT, NTRS, BK, SWN, C, WU, NAVI, PBI, GS, PBCT, JBHT, FTI, STT, RF, CMA, PKI, -4, 22

NDX gainers:  CSX, SWKS, CHKP, FAST, AVGO, TMUS, VIA, NFLX, +4, 6

NDX losers:  ENDP, QCOM, SHPG, CELG, -4, 4,

YTD: 13

SPX Leaders:  NRG, AA, FCX, QRVO, GPN, CNC, CRM, BSX, ZBH, TSS, (326, -18 > 10p 19, +2)

SPX Losers:  XRX, KSS, M, BMY, SIG, SWN, TGT, AYI, PRGO, WMB, TDG

NDX Leaders:  ILMN, CSX, SWKS, INCY, CHKP, VIAB, TSLA, LBTYA, NTES, NFLX, (83, -3 >10p 17)

NDX Losers:  ENDP, QVCA, SHPG, STX, XLNX, QCOM, XRAY, MYL, CELG, NVDA

DJI Leaders:  MRK, V, NKE, PG, AAPL, DIS, AXP, IBM, BA, CAT, (15, -3, >10p 0,)

DJI Losers:  XOM, TRV, GE, JPM, GS, WMT, PFE, CVX, VZ, JNJ


The SPY MFC green line is in the upper zone at 86 bullish. 

62 of 100 NDX stocks closed higher and on was unchanged on Friday.

76 NDX stocks are above their 30 DMA.

NDX Stocks to Watch on Monday:

Moving Above 30 DMA = 6

AAL, ADI, INTU, MSFT, PAYX, PCAR

Moving Below 30 DMA = 3

BMRN, DISCA, NXPI

6-month Intermediate Term Market Trend: Up

3-day Short Term Market Trend: Neutral