SPX Rises as Breakout Continues...

DJIA 10,733.67 +47.69 +0.45%
SP500 1,166.21 +6.75 +0.58%
COMPQ 2,389.09 +11.08 +0.47%
Russell 2000 683.98 +4.40 +0.65%


Exchange NYSE NASD
Advancing 2,169 1,607
Declining 891 1,097


Oil $82.93 +1.13
Gold $1,124.00 +1.80
SOX 364.06 +4.19
VIX 16.91 -0.78

Index Direction Confirmation
VIX Down Yes – SPX
SOX Up Yes – COMPQ

The VIX made it lowest close since May 16, 2008.

Strongest Sectors: XLF +1.21%…XLE +1.10%...XLB +0.56%
Weakest Sectors: XLV +0.03%...XLI +0.16%...XLK +0.31%

All nine sectors moved higher on Wednesday for the second straight day. Financials and Energy were stronger than the SPX +0.58%.

Sector Watch
Up Trending: XLY, XLI, XLP
Horizontal Breakout: XLF
Sideways: XLE, XLU, XLB, XLK, XLV
Down Trending:

Key Resistance Levels
1,178 = Fib extension
Key Support Levels
1,155 = 1,119 BO chart target – Dec 23
1,145 = 1,133 BO chart target – Dec 31 Low
1,125 - 1,133 = 1,075 BO chart target - Sep 08 Low

The SPX rose again on Wednesday on a continuation move following Tuesday's breakout of resistance.

The INDU made a new high close as did the TRAN confirming the primary up trend of the last year under Dow Theory.
 
Guidance:

The SPX made a new high close 1,166.21 while forming another white candle. If this breakout holds the SPX chart target is 1,255 over about 9 weeks.

The VIX closed lower and did confirm the higher close on Wednesday.

The RUT, COMPQ and Dow Transports moved higher above horizontal resistance. INDU closed just above its January resistance. Wednesday is the new high day in the broad indexes

This week is quarterly triple witching expiration.

The short term 5-week trend is up.
The four-month trend is up.
The twelve-month trend is up.

Continue to focus on and trade setups on the charts of the stocks you watch trade with the trend and follow your rules.

Adjust your stops according to your rules for up and down trending trades.

AAPL -0.33
QCOM -0.11
GOOG +0.36
BIDU -6.21
NDX 100 stocks stronger than the NDX include GRMN, CELG, LINTA, LBTYA, FAST, CERN, DELL,NVDA, ORLY, NIHD, MICC, INFY, AMAT, PCAR, CTAS, KLAC, XLNX, AKAM, ADBE, PDCO, ATVI, ERTS, FISV, CA, LLTC, SBUX, INTC, ORCL, ADP, STX, MCHP, FLEX, HANS, MSFT, YHOO, IACI, CHRW, ADSK, EBAY, CTSH, COST, SIAL, LOGI, EXPE, MXIM, ALTR, CMCSA, PCLN, LRCX, PAYX, CSCO, HSIC, SRCL and SPLS.

Stocks to Watch on Thursday
Holding Above 30 DMA
CBST, DLB, NFLX, BA, UAUA, AGU, CAM, CREE, VPRT, WHR, WLT, BDX, CAT, GR, ICE, PCLN, PCP, SPG, SWK, UNP, USO, V, BAC, DE, DHR, ESI, URE, HANS, JEC, WMT, FAS, GES, GMCR, SNDK, TDG, USD, UYG, X, DECK, FUQI, MELI, POT, FLS, HDB, HLF, MHS, MYGN, VAR, CGA, IPI, FCX, ATI, MOS, WAB, GS, DOW, AMD, AMX, WFC, ATW, ACN, CEDC, MA, PWRD, ZION, BKC, MCD, ALGT, GME, SYNA, AMED, HEAT, WCG, CHL, STT, K
Moving Above 30 DMA = 0


Moving Below 30 DMA = 3
CHL, FUQI, HEAT
Staying Below 30 DMA
SWN, TSL, BYI, FAZ, UNG, MON

Intermediate Term Market Trend: Up
Short Term Market Trend: Up