SPX Rebounds...NFLX Rises 9.26% After Reporting Earnings...

The SPX rose +12.27 or +1.05% on Wednesday closing above the low of the high day and at the high of the low day (Tuesday is the low day) in what may turn out to be a one day bull flag pattern.  The SPX closed above its 1,170 support level.  Advancers led decliners 3.15 to 1 on the NYSE...

(click image to enlarge)

Exchange     NYSE    NASDAQ

Advancers    2,294       1,882

Decliners        726          788

(click image to enlarge)

Index     Direction    Confirmation

VIX            Down          Yes – SPX

SOX          Up                Yes – COMPQ

Leading stocks on Wednesday included UAL, UCO, WLT, MOS, AGU, LVS, URE, VECO, ESI, CSTR, CLF, FAS, BUCY, BA, IPI, TSL, AKS, GME, DOW, STI, FCX, AIV, GMCR, USO, ATI, NFLX, V, AMX, GR, CAM, LXK, CAT, HLF, NDAQ, SPG, VOD, FDX, DE, USD, NTES, WFMI, A, GS, UNP, CRUS, NTRI, JEC, TIE

Losing stocks included CREE, SKX, FAZ, AMD, SWK, MHS, POT, CMG, WHR, PNC, RMBS, BAC, ZION, TBT, CHL

Interest rates closed slightly lower, bonds rose, the EURO rose, the SOX closed higher and the VIX closed lower -0.84 at 19.79.

All nine sectors moved higher on Wednesday with Materials XLB +2.07% and Industrials XLI +1.42% leading all sectors.

SPY rose +1.14% closing at the high of the low day in a bull flag pattern and traded 200million shares.

NFLX rose +14.18 in after-hours trading after reporting adjusted EPS 78 cents vs. 72 cents consensus, revenuses above consensus.

Bull Flag Entries on Wednesday –
AGU, LVS, VOD, AIV, DOW, WLT, IPI, FLS, DE, AMX, HSY, FDX, ATI, SPG, HANS, MOS, WFMI, CF


Post Earnings Bull Flag Entry -
BA

(click image to enlarge)

Bull Flag Patterns to Watch on Thursday – SWK, HLF, SINA, HAS, PCLN, JEC, GES, USD, DECK, UCO, VECO, TBT

Bull Flag Patterns with Pending Earnings –
Oct 21 – CMG, DHR, FCX, GR, HSY, MCD, SNDK, UAL, UNP, UPS

SPX
Resistance: 1,182, 1,190
Support: 1,170, 1,148, 1,130

Enter bullish trades with a bounce off support and a break above the high of the low day or a break out of horizontal resistance.

Enter bearish entry signals on a close below of the low of the high day or a bounce down from resistance on stocks that are closing below support.

The short term 3 day trend is up.
The three-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 +1.04 –white spinning top
QCOM +0.16 – inverted hammer
GOOG +0.15 – potential tombstone doji
BIDU -0.81 – black candle confirms bearish harami

NDX 100 stocks stronger than the NDX include: NIHD, GILD, NWSA, CHKP, ADSK, RIMM, WYNN, JOYG, LINTA, SIAL, WCRX, STLD, PCAR, RYAAY and EXPD.

Stocks weaker than the NDX: ISRG, ALTR, ORCL, VRTX, APOL, XLNX, ERTS, CELG, ATVI, BIDU, TEVA, FSLR, STX and CTXS.

Stocks to Watch on Thursday
Holding Above 30 DMA
HLF, PCLN, AGU, MCD, LVS, CMG, FCX, SINA, VOD, AIV, DE, DHR, DOW, SWK, UNP, URE, WLT, A, HAS, IPI, JEC, LXK, CAT, ICE, FLS, MHS, ATW, ACN, AMX, GES, NDAQ, UAL, USD, MA, HSY, CHL, FDX, NTRI, AMD, V, ATI, BA, DECK, GR, UCO, USO, WHR, BYI, CF, GS, SPG, HANS, MOS, SNDK, SWN, UPS, VECO, SKX, CSTR, RVBD, TBT, WFMI, NYX, ZION
Moving Above 30 DMA = 6
BUCY, CLF, FAS, NFLX, NTES, PCP
Moving Below 30 DMA = 1
CREE
Staying Below 30 DMA
AKS, NETL, TIE, WMT, FAZ, POT, RMBS, TSL, ESI, STI, BAC, GME, CRUS, X, FFIV, TLT, PNC, DLR, VMW, CRM, GMCR, UNG

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