Wednesday, February 27, 2013

TPX Wakes Up as AWAY Flys...Bull Flags Bounce as SPY, Euro Take Off...


All nine sectors moved higher on Wednesday with XLI, XLB and XLF were the strongest sectors .   XLP was the weakest sector for the second straight day. 

Breadth strengthened as advancers led decliners3.26 to 1 on the NYSE and 2.03 to 1 on the NASDAQ…

Wednesday – strengthened, advancers led
Tuesday – strengthened, advancers led
Monday – weakened, decliners led
Friday – strengthened, advancers led
Thursday – strengthened, decliners led


SPY up 1.89 at 151.91...volume 150.7 million shares…
VIX down -2.14 at 14.73
TNX up .24 at 19.03…
TLT down 35 cents at 118.29…
XLF
up 27 cents at 17.62…volume 62.6 million shares

AAPL down -4.40 at 444.57…volume 21 million shares…
FB down 52 cents at`26.87on volume of 44.3 million shares…


Technical Commentary:
Bull flag bounces occurred on many charts as stocks rallied for the second straight day recovering Monday’s Italian election fear driven selloff was reversed with the SPY closing two cents higher that Friday’s close.  Traders that follow the re-entry tactic were rewarded again.  DIA +1.31% made a new high close on Wednesday leading ETFs SPY +1.26%, IWM +1.05% and QQQ +1.02%.

RCL bounced while other at support stocks APPL, BIDU, AKAM and CRUS lagged the market.  FB fell 52 cents formed a black candle while continuing to form a potential MACD bullish divergence.

The Euro bounced at horizontal support from November and January and rose 78 pips to close at 1.3138 on Wednesday.

Trade what you see on the chart of your position. Many stocks gave support bounce entry signals either Tuesday or today.   This is why we guided readers If positions were exited, begin to look for potential re-entry according to your rules.

The SPY’s neutral trend on Wednesday as XLY shifted from negative to neutral.  XLB continues negative; XLE, XLF, XLI, XLY and XLK are neutral with XLP, XLU and XLI positive.   New bull flag bounce pattern emerges today. 


The Market Forecast Green Line is pointed up below the upper reversal zone. 

____________________


Setups
Breakout:  JPM, GRPN, CPA, MDRX, CBOE, MWV, TXN, MCHP, ATVI, TW, CLB, ORLY

Diagonal Breakout: BBRY, PBI, HES, GME, SINA, CTXS,

Bull Flag:  NFLX, PM, P, KORS, ADM, BPOP, STRZA, NTES, JDSU, SPWR, AVP, GES,  AIZ, IM, AVX, GNC, MJN, PRGO

Potential Bullish Divergence:  FB, BBRY, EQIX, ACI, ANR

Gap Up: PCLN, DLTR, VRSK, LNKD,

Gap Down:

Bear Flag:  LVS, CTL, RAX

Break of Support:  AMZN, SWKS, HSP, CNX, OC, NBR, PPO, AVGO, ROST, WDC, JRCC, DNDN, MGM, A, QCOM, PAY


Moves
Highlights: NFLX, NTES, TPX, BBRY, FB, P, ANGI,

Gap Up:  PCLN, CWH, ZNGA

Gap Down:  FSLR, GTI, CRI,

Breakout: TPX, LNKD, AWAY, AMGN, STZ, FIVE, FTNT, HPQ, COG,
 
Bounce:  P, ANGI, SHLD, MDRX, Z, FAST, CSTR, CRR, MWV, CBG, JPM, CNW, AOL, STI, SWKS, TEX, ZION, PTEN, CBOE, ICE, CRM, IBM, SLB, CCL, DE, XRX, FTI, VMI, PMCS, IPI, DDS, NDSN, GRMN, LIFE, TSCO,  


MACD Divergence Bounce:  CTSH, ORCL, VECO, STX, RCL, WHR

Bear Flag:  TFM, ULTA, AKAM

Support Break:  FFIV, WLT, BTU, CLF, INT

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90 of 100 NDX stocks closed higher on Wednesday…



Leading NDX 100 stocks included:  DLTR, VRSK, VRTX, SHLD, SYMC, DISCA, EXPD, MU, CHRW, FAST

Lagging NDX stocks included:  FB, FFIV, ADSK, GOLD, AAPL, ALTR, BIDU, EQIX, NUAN, LINTA

Leading stocks> +2% on Wednesday included: TPX, GRPN, LNKD, CSTR, FAS, UAL, SWKS, HLF, F, MOS, GMCR, COH, YELP, WDC, ATI, GS, GLW, RCL, SSYS, CRM, SWK, SWI, C, VECO, ANF, ANF, SLB, CREE

Lagging stocks < -2.0% included:  LDK, FAZ, TSL


Stocks to Watch on Thursday…
Holding Above 30 DMA = 44
VMED, ADI, LLTC, DELL, NWSA, AMAT, CHKP, FAST, MCHP, SNDK, STRZA, ADP, SYMC,GILD, HSIC, SPLS, ATVI, CERN, ISRG, GOOG, ORLY, BIIB, MAT, PAYX, PRGO, YHOO, ALTR, DLTR, CTRX, ESRX,
MNST, AMGN, DISCA, MU, SBAC, TXN, ADBE, BRCM, CELG, CMCSA, FISV, INTU, NVDA, QCOM

Moving Above 30 DMA = 14                      
CA, KLAC, LBTYA, MDLZ, MSFT, MYL, PCAR, PCLN, SHLD, SRCL, VRSK, VRTX, WDC, XLNX                                                                                                   

Moving Below 30 DMA = 0

                                                                             
Staying Below 30 DMA
CTXS, LINTA, MXIM, VIAB, ADSK, CSCO, EBAY, FFIV, NTAP, XRAY, AMZN, AVGO, BBBY, CTSH, EQIX, FOSL, GRMN, LIFE, ORCL, ROST, SIAL, SIRI, COST, WYNN, EXPE, SBUX, STX, VOD, WFM, EXPD, DTV, NUAN, AKAM, GOLD, BMC, CHRW, BIDU, ALXN, FB, INTC, REGN, AAPL

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

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