Support Bounce Rises to Resistance...

DJIA + 74.96, +0.86% SP500 + 10.75, +1.15% NASDAQ Comp. + 24.10, +1.32% Russell 2000 + 8.97, +1.72% Exchange NYSE NASD Advancing 2,332 1,951 Declining 629 771 Oil $68.81 +$2.69 Gold $981.20 +$16.70 SOX 275.99 +5.81 VIX 30.18 -0.84 The VIX moved down and did confirm the move up in the SPX on Thursday. Strongest Sectors: XLF +3.58%...XLB +2.31%...XLE +2.26% Weakest Sectors: XLV -1.38%...XLP +0.17%...XLY +0.21% Eight of nine sectors moved higher on Thursday. Financials, Materials, Energy, Industrials and Technology were stronger than the SPX +1.15%. Financial stocks stronger than XLF +3.58%: KEY, PNC, STT, ICE, MET, BAC, C, GS, MS, ZION, JPM, WFC, USB, PRU, BK and ETFs UYG and FAS. Leading tech stocks stronger than XLK +1.40% include: DELL, QCOM, EMC, GLW, YHOO, GOOG, AAPL, CSCO and AMAT. Sector Watch Up Trending: Horizontal Breakout: XLB, XLK, XLY, XLE Sideways: XLV, XLF, XLP, XLI, XLU Down Trending: SPX Key resistance levels: 944 = January horizontal 962 = 161.8% Fib extension Key support levels: 930 = horizontal & 200 DMA 913 = Friday’s S1 907 = Friday’s S2 899 = Thursday’s S1 875 = horizontal Wednesday’s support 930 support area held and the SPX, DJIA, Nasdaq and RUT all moved higher on Thursday regaining Wednesday’s pull back while the Nasdaq and RUT each formed a new high close YTD. The SPX which bounced off its 200 DMA Wednesday rose horizontal resistance at the 942 area. All four indices closed near their high of the day. Oil and gold prices rose leading energy, solar, coal, Ag-related, steel and gold stocks higher. Key Nasdaq stocks FSLR, BIDU, GOOG, AAPL, RIMM, SHLD and MICC moved higher. Biotech stocks CELG, GENZ, AMGN and BIIB moved lower while CEPH and GILD moved higher. Index Commentary The DJIA formed a white candle reversing Wednesday’s pull back…new high close…closed above 200 DMA for the first time in over a year…three month chart target 10,340…volume was a below average 237 million shares …closed above its 20, 30, 50 and 200 DMA. The SPX formed a white candle …3 month chart target of 1,075…closed above its 20, 30, 50 and 200 DMA. The Nasdaq formed a white candle new high close…3 month chart target of 2,065…closed above its 20, 30 50 and 200 DMA. The RUT formed a white candle and new high close….3 month chart target 606…closed above its 20, 30, 50 and 200 DMA. At the Open on Thursday SPY – break high of low day KOL – break high of low day USD – break high of low day FAS – break high of low day CTV – bullish harami JOYG – breakout X – bullish harami ADBE – bullish engulfing OSG – bullish harami ZION – white spinning top UNG – hammer NTAP – bullish harami FWLT – white candle support bounce SHLD – breakout ISRG – spinning top above 200 DMA ORLY – black spinning top CELG - black spinning top GENZ – black spinning top GILD – shooting star BIDU – white spinning top Stocks to Watch on Friday Leading Stocks Holding Above 30 DMA BIDU, CLB, ICE, VPRT, CTSH, BAP, CAM, GMCR, ATW, GR, EBAY, TRLG, HDB, PCP, RIMM, WCG, UYG, HLF, AMX, K, PCLN, VAR, PCR, PPD, SWN, FLS, TDG, NIHD, RCI, ACN, JOYG, MUR, PSYS, CHL, MOS, DV, AXYS, BIIB, BYI, CPLA, SPWRA, SYNA, X, MCD, BDX, CBST, AAPL, AFAM, DLTR, ESRX, GES, GXDX, ORCL, RBN, USD, WRC, DECK, FAS, WMT, CPLA, JEC, MYGN, PWR, URE, AMZN, DV, EZPW, JCOM, JOSB, NTLS, SNA, SNHY, STRA, BLUD, GILD Moving Above 30 DMA = 2 FSLR, SLGN Moving Below 30 DMA = 3 APEI, JW.A, MHS Staying Below 30 DMA WAB, DLB, ESI, HANS, URE, MON, AMED, PETS, PWR, ALGT, NFLX, GME, GPRO, BKC Intermediate Term Market Trend: Neutral Short Term Market Trend: Neutral