Friday, April 8, 2011

SPX Gives Back Early Gains, Closes Lower...SPX, COMPQ and RUT Bearish Engulfing...


The SPX formed a small bearish engulfing pattern on Friday closing down -5.34 at 1,328.17.   The SPX continues to trade near resistance.
(click image to enlarge)
SPX small bearish engulfing, close above 30 DMA -0.40%
INDU spinning top, close above 30 DMA, -0.24%
COMPQ bearish engulfing pattern, close above 30 DMA, -0.56%
RUT bearish engulfing pattern, continues above horizontal resistance, -1.01%

Breadth weakened further on Friday as decliners led advancers 1.97 to 1 on the NYSE and 2.22 to 1 on the NASDAQ

Exchange       NYSE          NASDAQ
Advancers         993                811
Decliners        1,959             1,807

Index              Chg.    Close    Direction      Confirmation
VIX                 +0.76      17.87     Up                 Yes – SPX
SOX                -3.67    439.58     Down            Yes – COMPQ

(click image to enlarge)
Leading stocks > +2% on Friday included UCO, SLW, VMW, WDC, FAZ

Losing stocks < -2.0% included UAL, GLW, NVDA, VLO, FAS, SNDK, ATI, AKS, NDAQ, NYX

Positives – Euro, TLT, BIDU, NFLX, QCOM

Negatives – SPX, VIX, COMPQ, RUT, XLF, AAPL, GOOG, PCLN, breadth weakened, XLV, XLU, XLP were the strongest sectors following XLE

Interest rates TNX +0.15 rose and bond ETF TLT dropped -48 cents.  Financial stocks XLF fell -15 cents. The Euro rose 176 pips to 1.44482 at 5 pm on Friday.

Eight of nine sectors fell on Friday with Energy XLE +0.35% and Healthcare XLV -0.06% the strongest sectors. 

Gold and silver stocks that rose more than 2% on Friday included GDX, GG and SLW.

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

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 -3.02 large black candle
AMZN -0.20spinning top
BIDU +2.78 white candle support bounce
GOOG -1.84dark cloud cover
NFLX +0.90black spinning top
QCOM +0.40 black spinning top
(click image to enlarge)
NDX 100 stocks stronger than the NDX include EXPE, STX, VRTX, BIDU, MRVL, MYL, QCOM, LINTA, ILMN, CTRP, FFIV, ATVI and NFLX.

Stocks weaker than the NDX include NVDA, PCAR, SNDK, WFMI, SPLS, DLTR, WYNN, LRCX, SHLD, ERTS, DELL, COST, INFY and CSCO.

Stocks to Watch on Monday
Holding Above 30 DMA
HUM, GMCR, CDE, HLF, HAS, SINA, SWN, UCO, CAT, CSTR, WDC, IAG, SLW, DHR, FCX, NTES, VECO, MCP, A, CLF, DE, PCX, WLT, ACN, F, NETL, SOHU, TSL, CMG, DOW, SLB, AKS, ANF, DECK, DLR, FWLT, JEC, CF, CRM, LVS, POT, TIF, V, AGU, ESI, CHL, FAS, NDAQ, NYX, ZION, SNDK, CIEN, SMH, GS, STI, TBT, IL
Moving Above 30 DMA = 1
VMW
Moving Below 30 DMA = 5
ATI, SWK, UNP, URE, VLO
Staying Below 30 DMA
ATW, MOS, ARUN, IPI, TLT, UNG, X, FAZ, AMD, ICE, CAM, RVBD, JNPR, BAC, GLW, JDSU, CRUS, SWKS, GES, MHS, LDK, NVDA, UAL

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

1 comment:

Peggy said...

Dave,
Thanks for your insight on your blog as well as on the weekly Market Wrap. I was hoping that oil would have been covered in your conversation, either /CL or the USO. Curious to hear your thoughts and price projections. What I'm seeing is that on all time frames..daily, weekly and monthly, the USO is very bullish. When you see a MACD cross above zero, it's proven to be a very bullish indicator that confirmed around the first of this month. Stochastics cross above 80 about the same time. Was wondering your thoughts about this. A bit over extended, but thinking another great entry might be when it pulls back and catches a moving average, maybe the 10 or 21. I have a position but am looking to add.
Thanks as always for all that you do for so many!
A former student, forever follower,
Peggy