SPX Inches to New High Close by 1/2 Point...

DJIA              10,698.75     +45.19    +0.42%
SPX                1,127.79       +6.15    +0.55%
COMPQ           2,305.69     +17.22    +0.75%
Russell 2000       659.52       +8.84    +1.36%

Exchange     NYSE   NASD
Advancing    2,206     1,779
Declining         838       896

SOX         354.05   +2.30
VIX            22.14   +0.40

Index   Direction   Confirmation
VIX       Up              No – SPX
SOX     Up              Yes – COMPQ

Leading stocks on Monday included UAUA, CLF, GMCR, A, V, MA, FFIV, S, SNDK, ESI, CRUS, DOWN, URE, ATI,TLS, DE, UCO, CRM, HANS, FAS, MCD, AIV, NYX, NTRI, UNP, CREE, WHR, HLF, AGU, ICE, LXK, USD, BUCY, ZION, USO, VMW, HAS, SPG, NETL, WLT, DECK, DLR, X, LVS

Dave will be in Virtual Coaching Options on Thursday at 11 am mountain, 1 pm eastern time.

Take the time to read Monday mornings comments and my response.  Unbelievable!

As I wrote over the weekend, the jobs report is a non-issue since it failed to generate more than a two hour selloff. The SPX is at resistance. The fact that price held this level for six trading days, the weak jobs report could not keep the market down and the SPX and many stocks have bounced off a higher low, suggests a higher probability of a breakout that break down. Trade the chart.

The VIX did NOT confirm Monday’s higher close. Breadth got stronger as Advancers led Decliners 2.6 to 1 on the NYSE.

Stay focused on and trade according to the chart.

Look at the setups on NYX, CSTR, CAM, CLF, CTSH, DHR, DECK and other leading stocks from today’s watchlist.

Guidance:
SPX
Resistance: 1,130, 1,141
Support: 1,115, 1,100, 1,086

Enter strong stocks up with a bounce off support (old resistance). Stay with stocks in a bounce continuation. Look for breakout opportunities in the SPX and many individual stocks.

Wait for a break of the low of the high day for bearish entries.

The VIX rose +0.40 and closed at 22.14 and is still well below the important 25 level confirming the current up trend since July 7.

The short term 3 day trend is neutral.
The two-month trend is neutral.
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 of the chart and follow your rules.

AAPL +1.66 – spinning top
QCOM +1.10 – large white breakout candle following small bullish engulfing
GOOG +5.13 – white candle support bounce following return move to breakout
BIDU +1.03 – spinning top
NDX 100 stocks stronger than the NDX include: LINTA, RIMM, AKAM, CSCO, QCOM, WCRX, FWLT, EBAY, WYNN, ROST, GRMN, HANS, URBN, MRVL and CHRW.

Stocks weaker than the NDX: DISH, HOLX, STX, GENZ, ESRX, DELL, PCLN, RYAAY, SPLX, HSIC, AMGN, ORCL, NTAP, CERN and EXPE.

Stocks to Watch on Tuesday
Holding Above 30 DMA
TLT, CRUS, GMCR, HANS, TSL, BUCY, CAT, CREE, CRM, HLF, PCLN, TIE, VMW, AGU, MCD, DE, GS, IPI, AKS, MOS, POT, CAM, ATW, FCX, FLS, GES, GME, PCP, UAUA, WLT, WMT, X, SWK, ACN, AIV, AMX, BA, CHL, CLF, FFIV, GR, LVS, SPG, UNP, URE, CMG, FAS, STI, DECK, HAS, NYX, LXK, DHR, SKX, UCO, USO, CSTR, SNDK, USD, A, ATI, MA, NFLX
Moving Above 30 DMA = 4
DLR, DOW, ICE, V
Moving Below 30 DMA = 0

Staying Below 30 DMA
PNC, SWN, ZION, UNG, VECO, WFMI, NETL, SKX, AMD, BYI, JEC, NTRI, FAZ, ESI, HSY, BAC, MHS, WHR

Intermediate Term Market Trend: Neutral
Short Term Market Trend: Neutral