Tuesday, June 18, 2013

SPY, GOOG, CREE Horizontal Breakout...WLT Gains on Analyst Comments...FOMC Announcement on Wednesday...

All nine sectors moved higher again on Tuesday… XLI, XLY and XLV were the strongest sectors…XLP was the weakest sector.

Breadth strengthened… advancers led decliners…2.12 to 1 on the NYSE and 2.30 to 1 on the NASDAQ…


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



SPY up 1.30…volume 114.6 million shares
VIX down .19 at 16.61
TNX up .11 at 21.82
TLT up .06 at 113.28...
XLF up .12 at 19.86…volume 34.2 million shares                 

AAPL down .23 at 431.77volume 6.9 million shares
FB up .19 at 24.21volume 36.7 million shares


Technical Commentary:
 IWM + 1.18%, DIA + 0.87%, QQQ + 0.82%, SPY + 0.79%.

The SPY broke through June 10 horizontal resistance on the lightest trading volume of the past six trading days indicating that sellers were not interested in trying to hold resistance the day before the FOMC announcement on Wednesday.  The breakout gives the SPY a breakout target at 169.50 which is in the area of the May 22 resistance high of 169.07.

Look for increased volatility on Wednesday before and after the FOMC announcement.

GOOG +1.62% also broke out of short-term resistance towards it recent all-time high of 920.60.  TSLA +1.16% closed at 103.39.

WLT +16.50%, 13.63, gained after MS analysts set a $47 price target.  Coal stocks ANR, ACI and JRCC also gained on Tuesday.

MU led the NDX and closed up another 3.85% ahead of earnings which will be Wednesday after the closeAnalysts have recently raised price targets on MU to $18 – 20.

SNDK gained +2.96% closing at 63.04.  RAX, CLF, CREE, BBRY, FIVE and P also had strong moves up on Tuesday.


Trade what you see on the chart of your position.  The intermediate term trend is up and the short-term trend is up breaking through short-term resistance.  Adjust stops and trade to targets according to your rules.


Chart Signals Strategy Guidelines
When the market is trending up Chart Signals looks for support bounce and resistance breakout entries. 

When the market is trending down Chart signals looks for resistance pull back and support break entries. 

When the market is sideways in consolidation Chart Signals will look for support bounce, diagonal breakouts and pull backs at resistance where price action stays between support and resistance

Technical setups for short-term option trades be in and out by earnings release.
Over earnings release use earnings option strategies such as straddles, strangles, OTM calls or puts.
After earnings look for bullish setups in positive reaction stocks and bearish setups in negative reaction stocks.


EPS Reaction Summary
EPS Gainers –  ULTA, CIEN, GES, SPLK, PWRD, HPQ, NTAP, AZO, MDT, CSCO, A, MCP, WCRX, NVDA, PCLN, GMCR, GRPN, TSLA, EA, DVA, WFM, CTSH, DTV, LBTYA, AIG, ADP, CBOE, REGN, FB, BZH, EXPD, GM, MDC, STX, V, YELP, ICE, JRCC, VIAB, CMCSA, DDD, AVP, HLF, CERN, CVX, DHI, TWC, ANGI, AKAM, ALXN, ALTR, BIIB, COG, CLF, CROX, DOW, ESI, FFIV, HOG, LRCX, LVS, MO, PHM, RCL, SIAL, XLNX, BA, BRCM, GLW, HES, DAL, COH, DD, NFLX, ILMN, VECO, LCC, RF, ZION, TRV, LMT, CAT, CHKP, HAL, HAS, CMG, GOOG, KMB, STI, MSFT, BTU, PEP, UNP, VZ, MAT, AXP, JNJ, INTC, KO, C, APOL

EPS Losers – CPRT, COST, TSL, CRM, GME, SHLD, DISH, XRAY, ATVI, RAX, MNST, Z, LNKD, TPX, ZAGG, CTRX, GRMN, MRK, SWI, AMZN, BIDU, CRUS, DECK, EXPE, HSY, KLAC, MXIM, QCOM, PTEN, ABC, MMM, AMGN, T, JNPR, PNRA, VMW, GE, IBM, ISRG, MCD, MS, PM, UNH, SNDK, EBAY, BAC, USB, GS, LLTC


The Market Forecast Green Line is below the Upper Zone closed higher and is pointed up. 

____________________



Setups
H Breakout:  DELL, ESRX, FB, GOOG, GRMN, INTC, MSFT, NVDA, ORCL, PCLN, ROST, WFM, WYNN, YHOO, ALK, CIEN, CMG, DDD, FIVE, GMCR, GRPN, MFRM, NFLX, PWRD, SINA, SOHU, SPY, TSLA,

Diagonal Breakout:  AAPL, ADBE, ADSK, AKAM, AMGN, BRCM, CELG, CMCSA, SIRI, TXN, XLNX, BBRY, C, CLF, F, FAS, GLW, NTES, SWI, TPX, UAL, ZION,

Bull Flag:  BIDU, ESI, GME, VECO,

Potential Bullish Divergence:   

Gap Up:

Gap Down: 

Bear Flag: 

At Support:    



Moves
New Highs:  AMAT, AMZN, BBBY, CSCO, MU, MYL, NTAP, SBUX, SNDK, STX, WDC, CREE, SCSS,   

Gap Up:  

Gap Down:  GLD,

H&D Breakout:  DTV, EBAY, FFIV, MAT, NUAN, QCOM, BAC, CRM, SPLK, Z,

Breakout Test:

Bounce:  WLT,   

MACD Divergence Bounce:

Bear Flag:  

Support Break: 

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84 of 100 NDX stocks closed higher on Tuesday…


Leading NDX 100 stocks included:  REGN, MU, SNDK, DTV, LMCA, EXPE, AMGN, GRMN, STX, CELG, ISRG, FFIV, NTAP

Lagging NDX stocks included:  GOLD, CTRX, ATVI, EQIX, ADSK, FAST, NVDA, BIDU, AKAM

Leading stocks > +2% on Tuesday included: CLF, CREE, BBRY, ANR, AKS, ICE, SWKS, X, TPX

Lagging stocks < -2.0% included:  CDE, ESI


Stocks to Watch on Tuesday
Holding Above 30 DMA= 45
MSFT, LIFE, INTC, WFM, WDC, AMAT, STX, CA, CERN, PCLN, MU, NTAP, SPLS, HSIC, SNDK, AVGO, CSCO, ISRG, AMZN, MNST, MYL, SBUX, BBBY, CTRX, DELL, EXPE, KLAC, MCHP, ORLY, KRFT, LMCA, CHKP, COST, DLTR, ESRX, EXPD, GOOG, ORCL, PAYX, PCAR, XLNX, YHOO, ADI, NFLX

Moving Above 30 DMA =15
ADP, CHRW, DTV, FISV, FOSL, GRMN, LINTA, NUAN, ROST, SRCL, VOD, WYNN, MDLZ, DISCA, VRSK

Moving Below 30 DMA = 2
BIDU, NVDA

Staying Below 30 DMA
GOLD, SIAL, TXN, BIIB, CTSH, INTU, SIRI, VIAB, LBTYA, REGN, AAPL, ALTR, ADBE, FAST, LLTC, NWSA, AKAM, BMC, FFIV, XRAY, BRCM, CELF, GILD, ALXN, ATVI, CTXS, EBAY, MAT, CMCSA, SHLD, SBAC, QCOM, EQIX, ADSK, AMGN, SYMC, MXIM, FB

Five Month Intermediate Term Market Trend: Up
Short Term Market Trend: Up

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