Financials and Industrials Lead SPX Higher...

DJIA 10,606.86 + 33.18 +0.31% SP500 1,141.69 + 4.55 +0.40% COMPQ 2,300.05 - 1.04 -0.05% Russell 2000 641.97 + 4.02 +0.63% Exchange NYSE NASD Advancing 1,883 1,598 Declining 1,187 1,139 Oil $82.66 -0.52 Gold $1,133.10 -2.80 SOX 362.30 -4.04 VIX 19.06 -0.10 The VIX moved down and did confirm the move up in the SPX on Thursday. Thursday was again the lowest close in the VIX in more than 15 months. The SOX moved down and did confirm the move down in the COMPQ. Strongest Sectors: XLF +2.13%…XLI +1.09%...XLY +0.83% Weakest Sectors: XLB -0.78%...XLU -0.45%...XLK -0.39% Five of nine sectors moved higher on Thursday. Financials, Industrials, and Consumer Discretionary were stronger than the SPX +0.40%. Sector Watch Up Trending: XLK, XLB, XLY, XLV, XLP, XLE, XLI, XLU Horizontal Breakout: XLF Sideways: Down Trending: Key Resistance Levels: 1,145 = 1,133 BO chart target – Dec 31 Low Key Support Levels 1,025 - 1,133 = 1,075 BO chart target - Sep 08 Low 1,119 = December High 1,105 - 1,113 = November High 1,101 = October High 1,087 = Nov 10 Channel low 1,082 = Nov 9 S1 level 1,075 = 875 Breakout Chart Target Financial stocks led the market and SPX higher on Thursday with stocks like ZION, RF, FAS, PNC, KEY, BK, UYG, WFC, BAC, CB, ICE and XLF gaining between 2.13% to 11.20%. The SPX made a new 52-week high closing at 1,141.69 four points away from its short term chart target from Monday’s horizontal breakout. Earnings reporting season begins on Monday with AA reporting after the close and accelerates in the last two weeks of January with hundreds of major companies reporting. Next Friday is Options Expiration. Guidance: Stay with your up trending positions. Continue to raise your stops. Look for the intermediate term trend to continue while being mindful of a pause or pull back. XLF continues to be the key to the SPX breakout following through to the upside as evidenced by Thursday’s move. Stay with trends that have broken above resistance. Watch for horizontal breakout trend continuation moves. Continue to focus on and trade setups on the charts of the stocks you watch and follow your rules. AAPL -0.39 QCOM +1.38 GOOG -14.16 BIDU -7.87 NDX 100 stocks stronger than the NDX include: SHLD, BBBY, GENZ, NIHD, ROST, QCOM, ESRX, PDCO, WYNN, CMCSA, ILMN, FAST, PAYX, JOYG, DTV, PCAR, XRAY, FWLT, SPLS, DELL, CTAS, WCRX, CERN, ADSK, KLAC, CA, IACI, GRMN, CSCO, DISH, MICC, JBHT, APOL, HSIC, FSLR, CEPH, LINTA and GILD. Stocks to Watch on Friday Leading Stocks Holding Above 30 DMA DLB, WCG, ALGT, BDX, TSL, AFAM, GR, SYNA, PCP, MON, TDG, X, BIIB, NTLS, NIHD, VPRT, URE, BLUD, GES, USD, BKC, CBST, SNA, FSLR, MYGN, RIMM, AMED, CLB, ORCL, GMCR, UNG, HANS, SWN, CAM, CTSH, WAB, ESI, JEC, MOS, UYG, VAR, AAPL, JOSB, ACN, DECK, SLGN, FAS, USO, GS, JCOM, ATW, AMX, BYI, CHL, CEDC, HDB, IPI, JOYG, CGA, FLS, FUQI, HLF, DV Moving Above 30 DMA = 4 ESRX, ICE, K, MHS Moving Below 30 DMA = 4 EBAY, GME, MELI, PWRD Staying Below 30 DMA AMZN, PCLN, MCD, WMT, FAZ, BIDU, GILD Intermediate Term Market Trend: Up Short Term Market Trend: Up