SPX Forms Hammer...GOOG EPS Miss After Close...

Dave was in Boston this evening with Tom Sosnoff teaching about 350 traders. 

The SPX formed a spinning top on Thursday closing up +0.11 at 1,314.52. The SPX held just above its 30 DMA for the third straight day.

SPX hammer, above 30 DMA +0.01%
INDU hammer, above 30 DMA, +0.12%
COMPQ white candle, above 30 DMA, -0.05%
RUT bullish engulfing, above 30 DMA, +0.43%

Breadth strengthened slightly as advancers led decliners 1.16 to 1 on the NYSE and 1.29 to 1 on the NASDAQ …

Exchange      NYSE      NASDAQ
Advancers     1,601         1,461
Decliners       1,377         1,129

Index    Chg.     Close     Direction     Confirmation
VIX       -0.65       16.27      Down            Yes – SPX
SOX    +0.52     428.41      Up                 Yes – COMPQ

Leading stocks > +2% on Thursday included MCP, NVDA, SINA, URE, UCO, DLR, FAZ

Losing stocks < -2.0% included CDE, HAS, STI, GS, UAL

Positives – BIDU, GOOG, VIX, Euro, breadth and sectors strengthened

Negatives – XLF, AAPL, NFLX


Interest rates TNX +0.19 moved up and bond ETF TLT moved down 7 cents. Financial stocks XLF was down -14 cents. The Euro moved up 43 pips to 1.4485 at 5 pm on Thursday.


Five of nine sectors moved higher on Thursday. Energy XLE +0.68% and Utilities XLU +0.60% were the strongest sectors.

GOOG reported EPS below and revenues above guidance after the close and traded down -31.91 in after-hours trading.  BAC reports BMO on Friday.

Look for selectivity and rotation to occur with positive earnings attracting big money buying and negative earnings attracting big money selling.

SPX

Resistance: 1,321, 1,330, 1,344
Support: 1,311, 1,300, 1,288

The short term 3 day trend is neutral.
The six-month trend is up.
The twelve-month trend is up.

Trade with the trend of the chart you are trading.

Bullish entry signal is a bounce off support and a break above the high of the low day or a break out of horizontal resistance.

Bearish entry signal is a break of short term support or a bounce down from the 30 DMA or other resistance.

AAPL -3.71 – black candle
AMZN -0.47 – hammer, bull flag
BIDU +1.32 – spinning top bounce, bull flag
GOOG -2.02 – small bullish engulfing at support
NFLX +4.83 – spinning top, bounce in bull flag
QCOM -0.08 – white candle

NDX 100 stocks stronger than the NDX include NVDA, STX, CHKP, INTU, BIIB, CHRW, JOYG, MAT, GILD, LLTC, QGEN, BIDU, ORLY, BBBY and CELG.

Stocks weaker than the NDX include DELL, FSLR, RIMM, EXPE, MYL, ALTR, NWSA, VRSN, URBN, NIHD, AAPL, VMED, ROST and LIFE.

Stocks to Watch on Friday
Holding Above 30 DMA
HUM, GMCR, HLF, SINA, UCO, CAT, CSTR, WDC, DHR, NTES, MCP, A, DE, WLT, ACN, F, SOHU, TSL, CMG, ANF, DECK, DLR, CF, CRM, LVS, TIF, V, NDAQ, NYX, ZION, SNDK, CIEN, IL, VMW, UNP, CHL, CLF, FAZ
Moving Above 30 DMA = 6
ARUN, IAG, NVDA, SWK, UNG, URE
Moving Below 30 DMA = 2
GS, TLT
Staying Below 30 DMA
CDE, FAS, FCX, STI, TBT DOW, ESI, FWLT, HAS, JEC, NETL, PCX, SLW, SMH, AGU, AKS, POT, SLB, SWN, VECO, ATI, VLO, ATW, MOS, IPI, X, AMD, ICE, CAM, RVBD, JNPR, BAC, GLW, JDSU, CRUS, SWKS, GES, MHS, LDK, UAL

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