Wednesday, July 11, 2012

SPY Range Bound as FOMC Releases Notes...XLF Up...


Three of nine sectors moved higher on Wednesday.  XLE, XLF, and XLU were the strongest sectors.

Breadth strengthened as advancers led decliners 1.09 to 1 on the NYSE and decliners barely led advancers 1.01 to 1 on the NASDAQ.

Exchange      NYSE    NASDAQ
Advancers     1,577       1,214
Decliners       1,441       1,233

SPY moved up 2 cents to 134.16 on 141.7 million shares, closing above its 30 DMA for the eleventh consecutive day.  The SPX moved down -0.02 at 1,341.45. 

The Market Forecast green line moved below the upper reversal zone and is pointed down today.

AAPL down -3.78 at 604.78 on 16.7 million shares formed a hammer...

FB down 50 cents at 30.97 on volume of 13 million shares...

GRPN -0.54, -6.50%

JPM and WFC will report on Friday.


Chart Patterns
Daily Bull Flags Setups: UCO, X, MOS, FAS, NFLX,COP, COF, POT,  COST, URE, FISV, VMED, GE, MU, ADP, SPY,  C,INTU, CL, TFM, DIS,  VMI, EXPE,
LLTC, IWM, HSY, VRSN, AMZN, PCLN,  DIA, QQQ, DE, AVGO, AKAM, SHW, CSTR, VECO, NVDA, LEN, ALXN, GOOG, SHLD, ALGN, MLNX, ZAGG, LNG, FMC, AAPL, GMCR

Flag Bounce:  TSLA, SPG,

 
Breakout Continuation: KMB,

Breakout Setup: ESRX, AKS, MNST, GOLD,

At Support: JDSU, APOL, MTW, GLW, ULTA, KLAC, MCP, CTXS, ADSK, F, MCHP,

Break of Support: CIEN, EBAY, ALTR, VMW, CRUS, AMAT, MRVL, CROX


Technical Commentary:
The SPY, DIA, QQQ and IWM each dropped after the FOMC notes were released and then rallied into the close forming hammer or hammer-like candles.  AAPL formed a hammer, NFLX was up and ROST was down 16 cents forming a potential hammer above the mid-section of a large white candle. 

Stay with the trend and watch for a potential bounce entry on Thursday or Friday until price breaks support.   


Wednesday Highlights:
SPY closes up 2 cents
The Euro moved down 17 pips, closed at 1.2235
TNX 0.00
VIX gained -0.77 at 17.95
XLF up 12 cents at 14.46


31 of 100 NDX stocks closed higher on Wednesday…


Leading NDX 100 stocks included FSLR, NFLX, VOD, AMGN, RIMM, ESRX, CMCSA, FFIV, PAYX, ORLY

Lagging NDX stocks included APOL, NUAN, VRTX, SHLD, LRCX, SIAL, DLTR, SNDK, SPLS, GOOG

Leading stocks > +2% on Wednesday included TSL, UCO, LDK, ANF, UAL, DECK, STI, BAC

Losing stocks < -2.0% included CIEN, JDSU, GES, GRPN, ZAGG, HLF, INFA, FCX

Stocks to Watch on Thursday

Holding Above 30 DMA = 23
ICE, CSTR, DLR, HLF, URE, MOS,  V, UAL, CHL, ESI, DE, FAS, STI, ZION, AKS,  X, ANF, ATI, SLB, VECO, TSLA, TLT, WDC

Moving Above 30 DMA = 3
GS, LNKD, UCO

Moving Below 30 DMA = 5
CIEN, GES, ZAGG

Staying Below 30 DMA
FCX, RCL, BAC, CREE, JDSU, LDK, MCP, SMH, CLF, CRM, CROX, CRUS, DHR, GLW, IBM, INFA, NTES, SWI, SWKS, TSL, A, C, CDE, SOHU, SWK, TBT, HUM, CMG, SINA, F, RVBD, GRPN, FAZ, NKE, LDK, VMW, TIF, ANR, JNPR, LVS,  TPX, COH

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

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