Trading Higher XLF, SPX Breakout...AAPL New High...

All nine sectors moved higher on Tuesday.  XLF, XLI and XLK were the strongest sectors. 

JPM +7.03% announced a dividend increase and share buyback to help lead bank stocks higher.

Breadth strengthened as advancers led decliners 4.38 to 1 on the NYSE and 3.31 to 1 on the NASDAQ.

Exchange        NYSE       NASDAQ

Advancers       2,496          1,961

Decliners           569             592

Monday, was a typical pause at resistance and Tuesday was the blowout breakout as the SPY jumped 1.80% on a 74% volume increase.  The SPY moved up 2.48 on 181.6 million shares.

The SPX, INDU, NDX, COMPQ and AAPL all made a Bull Market New High Close.  The SPX closed at 1395.95 just 31 points short of the 1,427 price target Chart Signals has had you focused on since Jan 18.  AAPL made a New High Close at 568.

The COMPQ closed above 3,000 for the first time since Dec 11, 2000.  Hey, that’s Mom’s birthday!  AAPL made a New High Close at 568.

                 

Money Flow

Euro       -72 pips    1.3083

TNX       +0.76          21.07

TLT        -2.04        113.91

XLF       +0.57          15.42

SPX     +24.86     1,395.95

VIX         -0.84          14.80

RUT +2.08%

NDX +1.91%

COMPQ +1.88%

SPX +1.81%

INDU +1.68%

Money Flow was mixed on Tuesday as the Euro moved lower.  The Fed announced they were keeping short-term rate target between 0% and 0.25% and XLF and SPX moved higher.   TNX moved up and bonds TLT dropped to their lowest close since Oct 28, 2011.

The VIX moved lower and made its lowest close since April 29, 2011.

(click image to enlarge)

The Jan 18 SPX breakout has an intermediate term chart target of 1,427 within 12 weeks of the breakout on Jan 18.

I cannot see the future.  Even if I could see the future, I would not be allowed to tell you that I can see the future.  For purposes of this post, let’s assume I’m on the level with you when I say I cannot see the future.

Did you know that in the headline of the Jan 18 post is the SPX price target of 1,428?

Did you know I’ve boringly repeated that number in almost every post since that date?

Did you know that at the bottom of each end of day post the Intermediate Term Trend has been listed as Up since that date?

Did you know that last week when the MF Green Line moved below 80 I pointed out in the live webcast that this was one of those instances where nuance prevailed and that intermediate term trades should still be entered?

Did you know that in Monday night’s webcast even though I fairly pointed that a sideways trend could develop, that the higher probability based on the weight of the technical evidence favored a resistance breakout?

Bottom Line - Even if you can't see the future, you can believe the chart and remember that prices move in trends.

Did you know that we placed breakout paper trades on SPY, TPX, LULU, WDC, SINA and CTXS?

The TPX, LULU, CTXS and SPY option orders filled.   CTXS +23.5%, LULU +1.5%, Mar Qtrly SPY +98.9%, Apr SPY +51.3% and TPX +8.7%

Pretty good first day when the SPX gained 1.81%

(click image to enlarge)

Leading stocks > +2% on Tuesday included FAS, SOHU, CIEN, X, GS, TSL, C, BAC, FFIV, VMW, ENTR, LDK, ZION, INFA, JDSU, LNDK, CAT, SWK, URE, ARUN, TBT, CRM, A, NDAQ, RCL, GLW, CDE, PCX, MCP, STI, KKD, LVS, WLT, ATI, AKS, SWI, DOW, CROX, ANR, DE, ICE, SWKS, SMH, CRUS, IL, F, FCX, NTES, DECK, RVBD, DHR, CSTR, UNP, VECO, CLF

Losing stocks < -2.0% included FAZ

NDX 100 stocks stronger than the NDX included FSLR, FFIV, ADSK, MU, NUAN, BRCM, CTSH, WYNN, CTXS and EBAY.

Stocks weaker than the NDX include SIRI, GOLD, TEVA, WCRX, ORLY and SRCL.

Twelve NDX stocks ADSK, AMZN, BMC, BRCM, CSCO, GOOG, LLTC, LRCX, MCHP, MU, VMED and XLNX  closed above the 30 DMA and one TEVA moved below leaving 79 NDX stocks above their 30 DMA.

Stocks to Watch on Wednesday

Holding Above 30 DMA = 43

CMG, NKE, CRUS, SWKS, NGLS, CHL, TPX, HLF, LNKD, LVS, CSTR, CRM, INFA, SWI, VMW, IBM, TSLA, GES, V, ICE, TIF, UCO, DLR, SNDK, SINA, ANF, BAC, C, COH, FAS, GS, NTES, SWK, VECO, ZION, CREE, DHR, TBT, WDC, FFIV, MCP, GLW, URE

Moving Above 30 DMA = 15

A, ARUN, CAT, CIEN, DOW, F, JDSU, KKD, NDAQ, RCL, SMH, SOHU, STI, SWN, ZAGG

Moving Below 30 DMA = 0

Staying Below 30 DMA

PCS, CF, FAZ, TLT, RVBD, CROX, MOS, POT, SLW, CDE, LDK, SLB, ENTR, HAL, JNPR, UNP, ESI, IL, NVDA, DECK, TSL, HUM, UAL, WLT, DE, CLF, FCX, X, GRPN, ANR, PCX, AKS, ATI

Five Month Intermediate Term Market Trend: Up

Short Term Market Trend: Up