Spinning Top Wednesday...

DJIA - 7.49, -0.09% SP500 - 1.26, -0.14% NASDAQ Comp. + 11.88, +0.66% Russell 2000 + 3.29, +0.65% Exchange NYSE NASD Advancing 1,266 1,421 Declining 1,720 1,277 Oil $71.03 +$0.56 Gold $935.40 +$3.80 SOX 266.16 +2.45 VIX 31.54 -1.14 The VIX moved down and did NOT confirm the move down in the SPX on Wednesday. Strongest Sectors: XLV +2.29%...XLY +1.40%...XLP +1.02% Weakest Sectors: XLF -2.93%...XLE -1.63%...XLB -1.14% Five of nine sectors moved higher on Wednesday. Healthcare, Consumer Discretionary, Consumer Staples, Technology and Utilities were stronger than the SPX -0.14%. Financial stocks stronger than XLF -2.93%: AOC, MMC, STT, CB, TRV, SCHW, BK, USB, TROW, CME, PRU, MET, ALL, SPG, MS, JPM and ICE. Leading tech stocks stronger than XLK +0.56% include: QCOM, TXN, ADBE, INTC, HPQ, SYMC, ORCL, MSFT, VZ and CSCO. Sector Watch Up Trending: Horizontal Breakout: XLB, XLK, XLY, XLE Sideways: XLV, XLF, XLP, XLI, XLU Down Trending: SPX Key resistance levels: 920 - 930 = horizontal 944 – 956 = January/June horizontal 962 = 161.8% Fib extension Key support levels: 910 = 200 DMA 890 = 50 DMA 875 = horizontal Check our Thursday morning post for additional insights to the current market... Sellers, buyers and then sellers took their turn in the SPX on Wednesday with the index closing down just over one point for the day. The SPX fell about 8 points during the first hour then reversed course and rose 14 points to 918 and then fell about 8 points during the final two hours of trading. Alternating momentum resulted in a small spinning top forming on the SPX. Advancing stocks increased while the number of declining stocks decreased for the second straight day. The SPX trading range for the first three days of this week increased to 38 points which is the largest trading range of the last three weeks. The Nasdaq, RUT and SOX all moved higher. Nasdaq stocks were led higher by biotech stocks CELG, GENZ, AMGN, GILD and BIIB and tech stocks QCOM, BIDU, ADBE, DTV,SYMC, ORCL, MSFT, CSCO and AMZN. Educational stocks DV, CPLA, APEI, ESI and STRA had strong moves for the second straight day. Index Commentary The DJIA moved formed a spinning top…three month chart target 10,340…volume was a below average 238 million shares …closed above its 50 DMA. The SPX formed a spinning top …3 month chart target of 1,075…closed above its 50 and 200 DMA. The Nasdaq formed a white spinning top closing above its 20 DMA…3 month chart target of 2,065…closed above its 20, 30 50 and 200 DMA. The RUT formed a white spinning top…moved back above its 30 DMA….3 month chart target 606…closed above its 30, 50 and 200 DMA. At the Open on Wednesday SPY – spinning top USD – hammer/bullish harami FAS – black candle below 50 DMA URE – black spinning top AAPL – black spinning top AMZN – white spinning top/bullish harami BIDU – white spinning top DECK – white spinning top GES – black spinning top JOYG – doji Stocks to Watch on Wednesday Leading Stocks Holding Above 30 DMA BIDU, ICE, VPRT, BAP, GMCR, GR, HDB, K, PCLN, VAR, PCR, PPD, SWN, FLS, NIHD, JOYG, MUR, CHL, DV, AXYS, CPLA, SYNA, X, MCD, BDX, AAPL, GXDX, ORCL, RBN, USD, WRC, DECK, CPLA, JEC, MYGN, AMZN, DV, STRA, BLUD, GILD, JW.A, ACN, APEI, BIIB, PSYS Moving Above 30 DMA = 8 CBST, ESI, ESRX, FAZ, JCOM, MHS, NFLX, SNHY Moving Below 30 DMA = 3 HLF, RIMM, SPWRA Staying Below 30 DMA AMX, ATW, BYI, CAM, CLB, GES, MOS, PWR, SLGN, CTSH, EBAY, FAS, MON, PCP, RCI, SNA, TDG, TRLG, URE, UYG, DLTR, EZPW, WAB, FSLR, WCG, WMT, DLB, JOSB, AFAM, NTLS, HANS, AMED, PETS, ALGT, GME, GPRO, BKC Intermediate Term Market Trend: Neutral Short Term Market Trend: Down