SPX and RUT Another New High Close...

On Thursday the SPX closed at 1,233 a new high close, up +4.72 or +0.38%.  The COMPQ moved up +7.51, the INDU fell -2.42.  The RUT rose +3.59.

(click image to enlarge)

Breadth strengthened on Thursday as advancers led decliners 1.26 to 1 on the NYSE and 1.43 to 1 on the NASDAQ…

Exchange       NYSE          NASDAQ

Advancers      1,692              1,543

Decliners        1,340              1,078

(click image to enlarge)

Index Direction      Confirmation

VIX       Down            Yes – SPX

SOX     Up                 Yes – COMPQ

Leading stocks on Thursday included SINA, BAC, WLT, RVBD, ZION, FAS, CREE, UAL, SOHU, WHR, HSY, PNC, STI, ATI, FCX, NETL, X, AKS, LVS, V, GME, NFLX, FDX, NTRI, FFIV, GES, DOW, CLF, A, NYX, ARUN, SKX, TIE, ATW, CAM, JEC, VECO, IPI, BYI, SWK, TLT, FLS, SLB, F

Losing stocks included ESI, UNG, FAZ, AKAM, AMD, DLR, NTES, HANS, URE, MCD, AMX, SPG, CRM, ACN, TBT, BA, INFA, LXK, LDK, AIV, CRUS, AGU, SNDK, PCP, MOS 

Interest rates pulled back, bonds rose, the Euro fell and the SOX rose +0.23% closing at 416.40 on Thursday.  The SOX is a leading group at this time.  The VIX moved down -0.49 to close at 17.25, its lowest close since April 23.

All nine sectors moved higher on Thursday with Financials XLF +1.23% and Materials XLB +0.54% leading all sectors. The SPX closed above its horizontal resistance on the strength of Financials XLF.

On Thursday

Horizontal Resistance Breakout – ZION

Bull Flag Bounce – FDX, RVBD, WLT

MACD Divergence Bounce - HSY

Setup Charts to Watch

Bull Flag Setups – CMG, HANS, ICE, RMBS, SKX, X, VECO, CF, AIV, AKS, UCO, F, PCLN, AKAM, ATI, FCX, PCP, SNDK

Horizontal Breakout – ATW, CSTR, GR, AMD, TBT, SWK, WHR, SOHU, ESI, GS, BAC, GME

Bear Flag Setups – GOOG, NTRI

Continue to trade with the up trend and look for a potential break of horizontal resistance next week.

SPX

Resistance: 1,220, 1,241, 1,256

Support: 1,209, 1,200, 1,190

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.  Thursday was an entry signal for many stocks.

Wait to enter bearish trades for break of short term support or a bounce down from the 30 DMA.

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

AAPL -1.25 – dark cloud cover at resistance

AMZN -1.44 – black candle

QCOM +0.20 – spinning top near resistance in consolidation

GOOG +0.96 – spinning top in potential bear flag

BIDU +0.00 – bullish harami

NDX 100 stocks stronger than the NDX include TEVA, FWLT, COST, VRTX, LRCX, ROST, AMAT, CSCO, ATVI, ILMN, WCRX, JBHT CTSH, HSIC, SIAL and PCAR.

Stocks weaker than the NDX: APOL, ADBE, URBN, MRVL, NVDA, PAYX, MCHP, BIIB, LOGI, EXPD, XLNX, ALTR, GRMN, NTAP and GILD.

Stocks to Watch on Friday
Holding Above 30 DMA
HLF, PCLN,  CMG, SINA, CAKE, CAM, UNP, WLT, ATW, SLB, NDAQ, USD, DECK, GR, VECO, CSTR, RVBD, WFMI, NFLX, BYI, MHS, NETL, FFIV, CAT, X, CREE, GES, HAS, UNG, CLF, CRM, INFA, VMW, RMBS, SNDK, CRUS, GMCR, AIV, AKAM,  ATI, PCP, SKX, FCX, FDX, AKS, A, AMD, DHR, DOW, FLS, GME, ICE, MA, PNC, TBT, UCO, DE, FAS, JEC, STI, SWK, WHR, ZION, SOHU, ACN, ARUN, BAC, GS, NYX, V
Moving Above 30 DMA = 1

CF
Moving Below 30 DMA = 3

ESI, MCD, SPG

Staying Below 30 DMA
HANS, IPI, SWN, URE, AGU, AMX, LVS, POT, TIE, NTRI, UAL, FAZ, TLT, MOS, NTES, LDK, CHL, TSL, BA, HSY, LXK, DLR

Intermediate Term Market Trend: Up – 2 months
Short Term Market Trend: Up