SPX Four Days, Four Percent to End Q2...

The SPX started June from the 1^st to the 6^th, four trading days, by falling 59 points or just over four percent.  The SPX ended June from the 27^th to the 30^th, four trading days, rising 52 points or just over four percent.

The SPX ended Q2 moving up +13.23 to close at 1,320.64, six points above its closing price on June 1.  For the six months the SPX was up 63 points or +5.0%.

(click image to enlarge)

SPX large white candle, above 30 DMA +1.01%

INDU large white candle, above 30 DMA +1.25%

COMPQ large white candle, above 30 DMA +1.21%

RUT white candle, above 30 DMA +0.92%

Breadth strengthened as advancers led decliners 2.72 to 1 on the NYSE and 2.39 to 1 on the NASDAQ …

Exchange       NYSE        NASDAQ

Advancers      2,215            1,834

Decliners          814               765

Index              Chg.    Close    Direction    Confirmation

VIX                 -0.75     16.52      Down         Yes – SPX

SOX             +10.18   410.35      Up              Yes – COMPQ

Leading stocks > +2% on Thursday included MCP, CY, CRUS, SINA, TSL, VMW, CREE, LDK, JDSU, CAT, COH, VECO, F, GLW, SOHU, SHM, SWK, CAM, SNDK, FCX, CLF, JNPR

Losing stocks < -2.0% included CF, V

Positives – SPX, VIX, INDU, COMPQ, RUT, TNX, TBT, BIDU, GOOG, PCLN, QCOM, Euro, and breadth strengthened,

Negatives – TLT, NFLX, AMZN

All nine sectors moved higher on Wednesday.  Industrials XLI +1.58%, Energy XLE +1.48% and Technology +1.26% were the strongest sectors.

Interest rates TNX rose +0.50, bond ETF TLT fell 15 cents and Financials XLF rose 6 cents, its largest gain in more than 3 months.  The Euro moved up 67 pips to close at 1.4501 at 5 pm on Thursday.

Resistance:, 1,321, 1,330, 1,344

Support: 1,310, 1,300, 1,288

The short term 3 day trend is up.

The six-month trend is neutral.

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 +1.63– potential hanging man, above 30 DMA

AMZN +0.31 – white candle, breakout setup, above 30 DMA

BIDU +2.55 – white candle horizontal breakout, above 30 DMA

GOOG +8.81 – white candle, 30 DMA setup, below 30 DMA

NFLX -2.25 – spinning top, above 30 DMA

PCLN +8.05 – white candle, breakout setup, above 30 DMA

QCOM +1.36 – large white candle, close above 30 DMA

NDX 100 stocks stronger than the NDX include JOYG, NTAP, EBAY, BRCM, STX, INTC, XLNX, GRMN, MRVL and AMAT.

Stocks weaker than the NDX include VMED, BIIB, NFLX, FFIV, DLTR, LIFE, URBN, VRTX, VRSN and FLEX.

Stocks to Watch on Friday

Holding Above 30 DMA

TIF, KKD, CROX, GMCR, HUM, INFA, TPX, AGU, CMG, CRM, HLF, NETL, VMW, ATW, NGLS, CHL, CLF, ENTR, ESI, ACN, CSTR, ARUN, FFIV, ICE, POT, RVBD, TBT, A, AKS, CAM, CAT, COH, CRUS, DECK, DLR, DOW, FCX, LDK, LVS, NKE, NTES, PCX, SLB, TSL, UNP, WDC, ZION, ATI, DE, FAS, GES, MCP, MOS, NDAQ, SWN, URE, V,  X

Moving Above 30 DMA = 4

DHR, SINA, SMH, SWK

Moving Below 30 DMA = 3

BAC, CF, WTW

Staying Below 30 DMA

FAZ, TLT, UAL, UNG, IAG, CY, VECO, CREE, ANF, NVDA, ANR, FWLT, SNDK, STI, MHS, HAS, JDSU, JNPR, GLW, CIEN,  F, IL, SWKS, WLT, SOHU, UCO, SLW, GS, CDE

Intermediate Term Market Trend: Neutral

Short Term Market Trend: Up

Futures Point to a Slightly Higher Open...FSLR is Gap Up...

BMO – ES +2.50 and NQ +6.25 futures are higher about 70 minutes before the open in pre-market trading and point to a higher open on Thursday…volume is light for pre-market with slightly more stocks quoting up than down…Financial stocks, XLF is quoting up 3 cents on 200 volume in pre-market…

FSLR +9.89 is gapping up…

TLT is up 25 cents and the Euro is up 22 pips in premarket trading …

NDX leaders AAPL, BIDU, GOOG and PCLN are quoting higher on light volume in pre-market trading…AMZN and NFLX are lower…QCOM is unchanged…

Dave’s Insight for Thursday:  Stay with your support bounce and breakout trades according to your rules…Exit and move your stops up to protect your profits as always according to your rules…Expect momentum to continue to slow as we head into the weekend...enjoy quarter ending window dressing…follow your rules, take trades accordingly … Continue to watch XLF as a key factor for support bounce continuation…Get ready for a 3-day weekend…

SPX

Resistance: 1,310, 1,321, 1,330

Support: 1,300, 1,288, 1,278

Quoting Down – ATI, CAM, CRM, FFIV, GES, UCO, AMZN, APOL, NFLX, VOD, DLTR, FFIV

Quoting Up – FSLR, GOOG, EBAY, MCP, SINA, CAT, DE, CLF, TSL, V, TLT, GS, QGEN, CTSH, NTAP, AAPL

SPX and INDU Close Above 30 DMA as Financial Stocks Rise...

Dave will be teaching his Thursday Stocks Trading Room at 7:30 MDT Thursday morning, AT Trading Room Thursday evening and will be in the Weekly Wrap on Friday...

The SPX rose for the third straight closing above its 30 DMA for the first time since May 31 as Financials XLF +2.07% finished as the strongest sector on Wednesday.  The SPX closed up +10.74 at 1,307.41. 

Positive comments separately from Fitch and Moody’s preceded a rise in BAC +2.96% on above average volume of 301 million shares.  ZION +4.33% also rose.  V +15.00% and MA +11.31% rose after Fed released a debit card draft that was more positive than expected.

NDX leaders AAPL, NFLX and QCOM slipped on Wednesday.

Earnings this week include FDO, GIS and MON on Wednesday, APOL, STZ, DRI and MKC on Thursday.

Technically the SPX stalled near its 1,310 resistance area at 1,309 before closing at 1,307.  This is the SPX’s highest close since June 2.

Short term signs of exhaustion after three days up include weakening breadth and slowing momentum in COMPQ, RUT, SOX, AAPL, NFLX and QCOM.  The coming 3-day weekend may also be a contributing factor. 

(click image to enlarge)

SPX large white candle, close above 30 DMA +0.83%

INDU large white candle, close above 30 DMA +0.60%

COMPQ potential hanging man, above 30 DMA +0.41%

RUT doji, above 30 DMA +0.32%

Breadth weakened as advancers led decliners 2.28 to 1 on the NYSE and 1.13 to 1 on the NASDAQ …

Exchange       NYSE        NASDAQ

Advancers      2,100            1,373

Decliners            920            1,213

Index              Chg.    Close    Direction    Confirmation

VIX                 -1.39     17.27      Down         Yes – SPX

SOX               -0.35   400.17      Down          No – COMPQ

Leading stocks > +2% on Wednesday included V, FAS, X, AKS, MOS, NDAQ, ZION, ATI, UCO, IAG, CSTR, POT, RVBD, CAM, BAC, STI, SLW, TSL, GS, COH, FCX, URE, FFIV

Losing stocks < -2.0% included FAZ, SWKS, JDSU, LDK

Positives – SPX, VIX, INDU, COMPQ, RUT, XLF, TNX, TBT, AMZN, BIDU, GOOG, PCLN, Euro,

Negatives – TLT, breadth and sectors strengthened, AAPL, NFLX, QCOM

All nine sectors moved higher on Wednesday.  Financials XLF +2.07%, Materials XLB +1.59% and Energy XLE +1.17% were the strongest sectors.

Interest rates TNX rose +0.63, bond ETF TLT fell 63 cents and Financials XLF rose 31 cents, its largest gain in more than 3 months.  The Euro moved up 65 pips to close at 1.4434 at 5 pm on Wednesday.

SPX

Resistance: 1,310, 1,321, 1,330

Support: 1,300, 1,288, 1,278

The short term 3 day trend is up.

The six-month trend is neutral.

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 -1.22– spinning top, above 30 DMA

AMZN +1.83 – spinning top, above 30 DMA

BIDU +1.41 – potential hanging man, above 30 DMA

GOOG +3.92 – potential hanging man, below 30 DMA

NFLX -0.15 – spinning top, above 30 DMA

PCLN +8.48 – white candle, above 30 DMA

QCOM -0.02 – spinning top, below 30 DMA

NDX 100 stocks stronger than the NDX include EBAY, ERTS, FSLR, VRTX, DELL, VRSN, VOD, AKAM, FLEX, FFIV, RIMM and MYL.

Stocks weaker than the NDX include NTAP, AMGN, LIFE, CTXS, ROST, URBN, SHLD, KLAC, VMED, MSFT, SNDK and CELG.

Stocks to Watch on Thursday

Holding Above 30 DMA

TIF, KKD, CROX, GMCR, HUM, INFA, TPX, AGU, CMG, CRM, HLF, NETL, VMW, ATW, NGLS, CHL, CLF, ENTR, ESI, ACN, CSTR, ARUN, FFIV, ICE, POT, RVBD, TBT, A, AKS, CAM, CAT, CF, COH, CRUS, DECK, DLR, DOW, FCX, LDK, LVS, NKE, NTES, PCX, SLB, TSL, UNP, WDC, ZION

Moving Above 30 DMA = 13

ATI, BAC, DE, FAS, GES, MCP, MOS, NDAQ, SWN, URE, V, WTW, X

Moving Below 30 DMA = 1

FAZ

Staying Below 30 DMA

TLT, SWK, UAL, UNG, IAG, CY, VECO, CREE, ANF, NVDA, SINA, ANR, DHR, FWLT, SMH, SNDK, STI, MHS, HAS, JDSU, JNPR, GLW, CIEN,  F, IL, SWKS, WLT, SOHU, UCO, SLW, GS, CDE

Intermediate Term Market Trend: Neutral

Short Term Market Trend: Up

Futures Point to a Higher Open...XLF Up Strong...

BMO – ES +5.00 and NQ +7.00 futures are higher 20 minutes before the open in pre-market trading and point to a higher open on Wednesday…volume is moderate for pre-market with more stocks quoting up than down…Financial stocks, XLF is quoting up 21 cents on 460,800 volume in pre-market…

BAC is gapping up and may be an indication that financials are ready to move up…

TLT is up 12 cents and the Euro is up 40 pips in premarket trading …

NDX leaders AAPL, AMZN, BIDU, GOOG, NFLX, PCLN and QCOM are quoting higher on moderate volume in pre-market trading…

Dave’s Insight for Wednesday:  Stay with your support bounce and breakout trades according to your rules…take entries as they occur…enjoy quarter ending window dressing…follow your rules, take trades accordingly … Continue to watch XLF as a key factor for support bounce continuation…

SPX

Resistance: 1,300, 1,310, 1,321

Support: 1,288, 1,278, 1,267

Quoting Down – FAZ, HLF, WTW, ARUN, CHL, EXPD

Quoting Up – SINA, CMG, SOHU, CF, FFIV, MOS, POT, AGU, X, WLT, DECK, UCO, GS, DE, SLB, ATI, FAS, VMW, CRM, SWKS, FCX, HAS, RVBD JNPR, CLF, LVS, MCP, UNP, ANR, SWK, PCX, SLW, ZAGG, AKS, BAC, TSL, SNDK, CDE, IAG, CROX, SWN, DHR, PCLN, GOOG, NFLX, WYNN, BIDU, JOYG, AAPL, CTSH, FFIV, DTV, ILMN, GILD, VOD, AMZN, QCOM, BRCM

Pre-Market Pause Leads to SPX Bounce Continuation as XLF Rallies and NKE Races Higher...

Dave will be teaching his Thursday Stocks Trading Room Thursday morning, AT Trading Room Thursday evening and will be in the Weekly Wrap on Friday...

The pre-market pause this morning led to a SPX support bounce continuation as the SPX closed up +16.57 at 1,296.67.  Interest rates TNX rose +1.18 as bonds TLT fell 77 cents and Financials XLF rose 7 cents.

The rally followed a strong earnings report from NKE +10.14% which closed +8.28 at 89.90.

NDX leaders AAPL, AMZN, BIDU, GOOG, NFLX, PCLN and QCOM all rose on Tuesday.  Only GOOG and QCOM remain below their 30 DMA.

Earnings still to come this week include FDO, GIS and MON on Wednesday, APOL, STZ, DRI and MKC on Thursday.

Technically the SPX broke through its 1,288 resistance area and closed at just below its 1,300 resistance.  This is the SPX’s highest close since June 6.

(click image to enlarge)

SPX large white candle, below 30 DMA +1.29%

INDU large white candle, below 30 DMA +1.21%

COMPQ large white candle, close above 30 DMA +1.53%

RUT large white candle, close above 30 DMA +1.51%

Breadth strengthened as advancers led decliners 4.01 to 1 on the NYSE and 2.79 to 1 on the NASDAQ …

Exchange       NYSE        NASDAQ

Advancers      2,432            1,903

Decliners           605               681

Index              Chg.    Close    Direction    Confirmation

VIX                 -1.39     19.17      Down         Yes – SPX

SOX               +5.25  400.52      Up              Yes – COMPQ

Leading stocks > +2% on Tuesday included NKE, SINA, ARUN, CRUS, LVS, UCO, HLF, SLB, GMCR, ATI, CAM, SOHU, FCX, A, ANR, ACN, AKS, RVBD, CAT, CAT, PCX, TSL, ATW, SWKS, SLW, ANF, ENTR, DECK, MHS, JDSU, ESI, COH, LDK, WTW, HUM, TPX, AGU, SWN, FWLT, UNG, KKD, NETL, NGLS, NTES, WLT, CLF, DE, CF, CROX, CDE, TIF

Losing stocks < -2.0% included

Positives – SPX, VIX, INDU, COMPQ, RUT, XLE, XLF, XLF, TNX, TBT, BIDU, GOOG, NFLX, PCLN, QCOM, Euro, breadth and sectors strengthened

Negatives – TLT

All nine sectors moved higher on Tuesday.  Energy XLK +2.92%, Materials XLB +1.94% and Consumer Discretionary XLY +1.90% were the strongest sectors.

The Euro moved up 84 pips to close at 1.4369 at 5 pm on Tuesday.

SPX

Resistance: 1,300, 1,310, 1,321

Support: 1,288, 1,278, 1,267

The short term 3 day trend is up.

The six-month trend is neutral.

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 +3.22– spinning top, close above 30 DMA

AMZN +1.10 – spinning top, above 30 DMA

BIDU +3.00 – white candle, above 30 DMA

GOOG +10.85 – large white candle, below 30 DMA

NFLX +4.97 – white candle, above 30 DMA

PCLN +4.13 – white candle, close above 30 DMA

QCOM +0.56 – white candle, below 30 DMA

NDX 100 stocks stronger than the NDX include CTRP, FSLR, GMCR, VRTX, FAST, ERTS, WYNN, BIIB, WFM and SBUX.

Stocks weaker than the NDX include VOD, FLEX, GRMN, FFIV, VMED, ADBE, VRSN and MRVL.

Stocks to Watch on Wednesday

Holding Above 30 DMA

TIF, KKD, FAZ, CROX, GMCR, HUM, INFA, TPX, AGU, CMG, CRM, HLF, NETL, VMW, ATW, NGLS, CHL, CLF, ENTR, ESI, ACN, CSTR, ARUN, FFIV, ICE, POT, RVBD, TBT

Moving Above 30 DMA = 21

A, AKS, CAM, CAT, CF, COH, CRUS, DECK, DLR, DOW, FCX, LDK, LVS, NKE, NTES, PCX, SLB, TSL, UNP, WDC, ZION

Moving Below 30 DMA = 0

Staying Below 30 DMA

TLT, GES, SWK, UAL, UNG, IAG, SWN, CY, V, VECO, CREE, ANF, NVDA, SINA, ANR, WTW, DHR, FWLT, SMH, SNDK, STI, URE, MHS, HAS, JDSU, JNPR, GLW, ATI, CIEN,  F, IL, NDAQ, SWKS, MCP, WLT, FAS, SOHU, UCO, DE, SLW, GS, CDE, MOS, X, BAC

Intermediate Term Market Trend: Neutral

Short Term Market Trend: Up

At This Early Hour Futures Point to a Flat Opening...

Dave will teach in the Basic Options Trading room this morning, Tuesday at 9 am EDT a half hour before the market open for those that have been requesting to hear him teach a Basic Options trading room...

BMO – ES -1.00 and NQ -1.00 futures are near even about 90 minutes before the open in pre-market trading and point to a flat open on Tuesday…at this hour volume is light for pre-market with slightly more stocks quoting up than down…Financial stocks, XLF is quoting down 6 cents on 3,400 volume in pre-market…

NKE is gapping up in the pre-market following earnings…ACN is also gapping up…

TLT is down 11 cents and the Euro is down 16 pips in premarket trading …

NDX leaders AAPL, AMZN, BIDU and GOOG are quoting lower on light volume in pre-market trading…PCLN is flat and NFLX and QCOM are higher…

Dave’s Insight for Tuesday:  following Monday’s broad rally, pre-market is looking like a pause start to see if buyers will follow through for a second day…watch price in relationship to Monday’s S1 which is short term support on many stocks…earnings season starts in two weeks …follow your rules, take trades accordingly … Continue to watch XLF as a key factor for a support bounce to happen…

SPX

Resistance: 1,278, 1,288, 1,300

Support: 1,267, 1,257, 1,244

Quoting Down – HLF, A, FFIV, URE, FFIV, AMZN, GRMN, SRCL, GOOG, AAPL, SHLD, BIDU, VOD, CELG, CHKP

Quoting Up – NKE, ACN, CMG, UCO, NETL, FWLT, TIF, VMW, SLW, CRM, V, SOHU, ILMN, NFLX, BMC, WYNN, BIIB

Support Bounce in SPX...COMPQ, RUT, Leading Stocks Even Stronger...

Dave will teach in the Basic Options Trading room tomorrow morning, Tuesday at 9 am EDT a half hour before the market open for those that have been requesting to hear him teach a Basic Options trading room...

Dave will be teaching his AT Trading Room tonight and his Thursday Stocks Trading Room Thursday morning, AT Trading Room Thursday evening and will be in the Weekly Wrap on Friday...


The SPX opened near Friday’s close and began rising after the first 10 minutes of trading, formed a piercing line candle and closed up +11.65 at 1,280.10.

(click image to enlarge)

SPX piercing line, below 30 DMA +0.92%

INDU piercing line, below 30 DMA +0.91%

COMPQ bullish engulfing, below 30 DMA +1.33%

RUT bullish engulfing, below 30 DMA +0.92%

Breadth strengthened as advancers led decliners 2.16 to 1 on the NYSE and 1.89 to 1 on the NASDAQ …

Exchange       NYSE        NASDAQ

Advancers      2,074            1,725

Decliners           959               908

Index              Chg.    Close    Direction    Confirmation

VIX                 -0.54     20.56      Down          Yes – SPX

SOX              +2.77   395.27      Up               Yes – COMPQ

Leading stocks > +2% on Monday included SINA, RVBD, LDK, KKD, SNDK, VMW, ARUN, FFIV, BAC, POT, FAS, CRUS, CMG, TBT, LVS, CF, JDSU, AGU, CROX, DECK, MHS,

Losing stocks < -2.0% included FAZ, NVDA

Positives – SPX, VIX, INDU, COMPQ, RUT, XLF, TNX , TBT, AAPL, AMZN, BIDU, GOOG, NFLX, PCLN, QCOM, Euro, breadth and sectors strengthened

Negatives – TLT

All nine sectors moved higher on Monday.  Technology XLK +1.34%, Consumer Discretionary +1.22% and Financials XLF +1.02% were the strongest sectors.

Bond ETF TLT moved down -$1.33 as TNX moved up +0.56.  Financials XLF moved up 15 cents.  The Euro moved up 99 pips to close at 1.4285 at 5 pm on Monday.

SPX

Resistance: 1,278, 1,288, 1,300

Support: 1,267, 1,257, 1,244

The short term 3 day trend is down.

The six-month trend is neutral.

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 +5.69– white candle, below 30 DMA

AMZN +8.70 – large white candle, above 30 DMA

BIDU +4.49 – white candle, above 30 DMA

GOOG +7.92 – bullish engulfing, below 30 DMA

NFLX +3.16 – white candle, above 30 DMA

PCLN +4.13 – spinning top, below 30 DMA

QCOM +0.56 – white spinning top, below 30 DMA

NDX 100 stocks stronger than the NDX include AMZN, MSFT, SNDK, CTXS, EXPD, BIDU, FFIV, ADBE, DTV and CMCSA.

Stocks weaker than the NDX include GRMN, BRCM, NVDA, RIMM, STX, QGEN, FLEX, XRAY, ERTS and EXPE.

Stocks to Watch on Tuesday

Holding Above 30 DMA

TIF, KKD, FAZ, CROX, GMCR, HUM, INFA, TPX, AGU, CMG, CRM, HLF, NETL, VMW, ATW, NGLS, CHL, CLF, ENTR, ESI, ACN, CSTR

Moving Above 30 DMA = 6

ARUN, FFIV, ICE, POT, RVBD, TBT

Moving Below 30 DMA = 1

TLT

Staying Below 30 DMA

A, COH, GES, NTES, SWK, UAL, UNP, WDC, CAM, DLR, DOW, SLB, ZION, CF, FCX, NKE, AKS, UNG, IAG, SWN, CY, V, VECO, CREE, ANF, NVDA, SINA, ANR, WTW, CRUS, DECK, DHR, FWLT, SMH, SNDK, STI, URE, MHS, HAS, JDSU, JNPR, GLW, ATI, CIEN,  F, CAT, IL, NDAQ, SWKS, MCP, WLT, FAS, LVS, SOHU, UCO, DE, PCX, LDK, TSL, SLW, GS, CDE, MOS, X, BAC

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

Futures Point to a Slightly Higher Open...

Dave will teach in the Basic Options Trading room tomorrow morning, Tuesday at 9 am EDT a half hour before the market open for those that have been requesting to hear him teach a Basic Options trading room...


1:15 pm EDT - Big money buyers step in as expected...SPY +1.07...SPX +0.87%...


Dave will be teaching his AT Trading Room tonight and his Thursday Stocks Trading Room Thursday morning, AT Trading Room Thursday evening and will be in the Weekly Wrap on Friday...


BMO – ES +1.50 and NQ +4.25 futures are higher about 30 minutes before the open in pre-market trading and point to a slightly higher open on Monday…volume is light for pre-market with a more stocks quoting up than down…Financial stocks, XLF is quoting up 1 cent on 1,700 volume in pre-market…

TLT is down 18 cents and the Euro is up 8 pips in premarket trading …

NDX leaders AAPL, AMZN, BIDU and GOOG are quoting higher on light volume in pre-market trading…NFLX is lower and PCLN and QCOM are unchanged…

Dave’s Insight for Monday:  With the broad indexes near recent support of 1,258 and after forming weekly bullish candles last week, look for big money to buy at these levels again, while staying prepared if price does break support…watch price in relationship to Thursday’s S1 which is short term support on many stocks…earnings season starts in two weeks …follow your rules, take trades accordingly … Continue to watch XLF as a key factor for a support bounce to happen…

SPX

Resistance: 1,278, 1,288, 1,300

Support: 1,267, 1,257, 1,244

Quoting Down – UCO, HLF, SWN, CRM, CHL, ACN, CLF, FCX, A, NFLX, WFM, LRCX, TEVA, CMCSA, ESRX

Quoting Up – SINA, CMG, DECK, SWK, CF, SOHU, AGU, CROX, ESI, GMCR, LDK, MCP, GS, NGLS, AMZN, AAPL, ISRG, DTV, ROST, BIDU, GOOG, GILD, ALTR, FSLR, WYNN, HSIC, JOYG

SPX Reverses, Closes Lower and Above Recent Support...

After regaining on Thursday, most of the gap down in the ES on Wednesday night, the SPX sold off on Friday down -15.05 to close at 1,268.45.  The sell off followed a weak earnings report from Micron MU after the close on Thursday.  MU -14.47% on Friday was the weakest stock in the NDX 100. Semiconductors SOX -2.50% led the NDX -1.68% lower.

On Friday the Euro, interest rates and financial stocks were down and the dollar was up.

Perhaps the most intriguing part of Friday’s action was that the RUT -0.61% was the strongest broad index.  Another factor to consider is that NDX leaders AAPL, AMZN, BIDU, GOOG, NFLX, PCLN and QCOM were relatively stronger compared to Thursday's price action and stayed above Thursday’s S1 level.  NFLX +1.24 was up.

Next week is the last week of the quarter so expect end of quarter portfolio dressing.  While earnings season starts on July 11, reports next come from NKE on Monday, FDO, GIS and MON on Wednesday, APOL, STZ, DRI and MKC on Thursday.

Technically the SPX is holding above its 1,257 support area.  After falling 102 points in six weeks, the SPX has traded in a 40 point range between 1,258 and 1,298 the past two weeks.  While big money has shown they are buyers at the 1,260 area, good technical traders will expect support to hold and stay alert and prepared for a potential break of support.

Look at the bullish weekly candles on the SPX, RUT, INDU and COMPQ and the price in relationship to its 6 week moving average which is equivalent to the 30 DMA.

(click image to enlarge)

SPX large black candle, below 30 DMA -1.17%

INDU large black candle, below 30 DMA -0.96%

COMPQ black candle, below 30 DMA -1.26%

RUT black candle, below 30 DMA -0.61%

Breadth strengthened as advancers led decliners 5.86 to 1 on the NYSE and 3.87 to 1 on the NASDAQ …

Exchange       NYSE        NASDAQ

Advancers      1,086            1,092

Decliners        1,913            1,538

Index              Chg.    Close    Direction    Confirmation

VIX                 +1.81     21.10      Up              Yes – SPX

SOX              -10.06   392.50     Down         Yes – COMPQ

Leading stocks > +2% on Friday included ENTR, MCP, CAN, FAZ, HANS

Losing stocks < -2.0% included SNDK, UAL, IAG, WDC, ZAGG, CIEN, SLW, JDSU, COH, ANF, CDE, X, NVDA, CRUS, SLB, LDK, V, SWK, ARUN, DECK, SMH, FAS, DE, VECO, NAR, MHS

Positives – NFLX, TBT, XLF and BIDU were less weak

Negatives – TNX, TLT, SPX, VIX, INDU, COMPQ, Euro, breadth and sectors weakened, AAPL, GOOG, PCLN, QCOM

Eight of nine sectors moved lower on Friday.  Utilities XLU +0.31% and Financials XLF -0.61% were the strongest sectors.

Bond ETF TLT moved down 41 cents.  Financials XLF moved down 9 cents.  The Euro moved down 69 pips to close at 1.4186 at 5 pm on Friday.

SPX

Resistance: 1,278, 1,288, 1,300

Support: 1,267, 1,257, 1,244

The short term 3 day trend is down.

The six-month trend is neutral.

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.

Look at the bullish weekly candles on the leading NDX stocks and last week's price action relative to their 6 week MA which is equivalent to the 30 DMA.

(click image to enlarge)

AAPL -4.88– black candle above Thursday’s S1, below 30 DMA

AMZN -1.61 – spinning top above Thursday’s S1, above 30 DMA

BIDU -0.54 – spinning top above Thursday’s S1, above 30 DMA

GOOG -5.34 – black candle, below 30 DMA

NFLX +1.24 – doji above Thursday's S1, above 30 DMA

PCLN -7.03 – black candle above Thursday’s S1, below 30 DMA

QCOM -0.77 – black candle above Thursday’s S1, below 30 DMA

NDX 100 stocks stronger than the NDX include BIIB, VRTX, FLEX, MYL, NWSA, NFLX, INFY and SPLS.

Stocks weaker than the NDX include MU, SNDK, FSLR, ORCL, RIMM, NTAP, CTRP, CSCO, EBAY, NVDA, URBN, AMAT, SHLD, MRVL and BMC.

Stocks to Watch on Monday

Holding Above 30 DMA

TIF, KKD, FAZ, CROX, GMCR, TLT, HUM, INFA, TPX, AGU, CMG, CRM, HLF, NETL, VMW, ATW, NGLS, CHL, CLF, ENTR, ESI

Moving Above 30 DMA = 2

ACN, CSTR

Moving Below 30 DMA = 10

A, COH, FFIV, GES, ICE, NTES, SWK, UAL, UNP, WDC

Staying Below 30 DMA

CAM, DLR, DOW, SLB, ZION, CF, FCX, NKE, POT, AKS, UNG, IAG, TBT, SWN, CY, V, VECO, CREE, RVBD, ANF, NVDA, SINA, ANR, WTW, CRUS, DECK, DHR, FWLT, SMH, SNDK, STI, URE, MHS, HAS, JDSU, JNPR, ARUN, GLW, ATI, CIEN,  F, CAT, IL, NDAQ, SWKS, MCP, WLT, FAS, LVS, SOHU, UCO, DE, PCX, LDK, TSL, SLW, GS, CDE, MOS, X, BAC

Intermediate Term Market Trend: Neutral

Short Term Market Trend: Neutral