Only one of nine sectors moved higher on
Friday…XLB, XLY and XLE were the
strongest sectors…XLU was the
weakest sector.
Breadth weakened…decliners
led advancers…1.06 to 1 on the NYSE and 1.41 to 1 on the NASDAQ…
Friday
– weakened – decliners led
Thursday – strengthened –
advancers led
Wednesday –
strengthened, decliners led
Tuesday – weakened,
decliners led
Monday - mixed
SPY
down .49…volume 91.8 million shares
VIX
up .68…at 13.41…
TNX
down .07 at 25.80…
TLT
up .17 at 107.26...
XLF
down .07 at 20.42…volume 20.8 million shares
AAPL
down 6.56 at 454.45…volume
9.5 million shares
FB
down .04 at 38.50…volume 43.6 million shares
Technical Commentary:
QQQ – 0.40%, DIA – 0.37%, SPY – 0.29%, IWM - 0.11%.
XLB Basic Materials sector led for the second straight day and was the only
positive sector on Friday. Steel stocks NUE
+4.02%, X +4.20%,
ATI +3.83%, VALE +5.58% were on the rise on Friday as was CLF +10.63% an
iron producer and metallurgical coal mining.
Other coal stocks WLT +13.75%, ANR +11.39%,
JRCC +11.80%, ACI +8.65%
breakout, BTU +7.83% breakout
and CNX +3.99% breakout, all soared on
Friday. Coal ETF KOL +3.24% was also strong.
From late June to late July small
caps IWM led the broad market. This week
seems to indicate that big money is rotating into basic materials which
has been a lagging sector. Both
moves seem to indicate that big money believes the economy is going to
continue to expand.
MSFT holds
above S1 and horizontal breakout level on Friday.
STX double
bottom MACD divergence setup on Friday.
WDC higher low
W pattern horizontal breakout on Friday.
With the majority of companies quarterly earnings
behind traders can now focus on the technical setup rather than avoiding setups
due to a pending earnings release.
Q2 Earnings Reactions
Positive Reactions – JRCC, RAX, SSYS, TMUS, SGMS, FWLT, MNST, GRPN, TSLA, AGU,
BOFI, FOSL, ADM, MGM, DSW, WPO, CNK, KORS, SATS, MGM, EAT, VIAB,
YOKU, AIG, CTRX, CHK, COP, LNKD, MELI, MYL, NUS, ZAGG, CMCSA, CTRP, GRMN, HES,
MA, MCHP, SODA, YELP, QCOR, FISV, BWLD, MTW, VRTX, WYNN, SWK,
SBUX, ALK, AMZN, CELG, CB, CLF, GILD, IP, MXIM, RCL, HSY, UA, UAL, V, FB,
BIDU, TRIP, COG, CTXS, ETFC, FFIV, AKAM, AAPL, EA, VMW, DAL, LCC, EMC, LLY,
MCO, AKS, FCX, BTU, UTX, HAS, TXN, GE, HON, SLB, STI, WHR, CHKP,
CMG, JCI, KEY, MS, OSTK, SWKS, UNP, UNH, BAC, IBM, SNDK, XLNX, CSX, GS, URI,
YHOO, C, WFC
Negative Reactions – MCP, GMCR, SCTY, SUNE, Z, CAR, CHRW, FSLR, LINTA, ANR, CVX, CME,
XOM, K, DTV, RVBD, X, COH, DISCA, ESRX, SOHU, DLR, CERN, CRUS, DECK,
DNKN, EXPE, KLAC, POT, PCP, SWI, TPX, EQIX, ABC, CROX, ANGI, ATI, CAT, WDC,
PNRA, STX, NSC, USNA, TRV, MCD, MO, NFLX, ZION, BHI, AMD, GOOG,
ISRG, MSFT, EBAY, INTC, MAT, SCSS, USB, AXP, KO, MOS
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.
The Market Forecast Green Line is
in the upper zone.
____________________
Setups
H Breakout: AKAM, BIDU, FFIV, MNST, MU, SNDK, STX, CREE,
DNKN, GMCR, GME, KKD, MFRM, P, SPLK, SWI, TIF,
Diagonal Breakout: ADSK, ANR, SOHU, TLT, WLT,
Bull
Flag: AAPL, AMGN, AMZN, ATVI, BBBY, CELG, CMCSA, CSCO, CTSH, FAST, GILD, GRMN, ROST,
SBUX, XLNX, BAC, CMG, ESI, RCL, YELP,
Potential Bullish Divergence:
Gap Up:
Gap Down:
Bear Flag:
At Support: COST, INTC, NVDA, GS,
Moves
New Highs: NTAP, SINA, Z,
Gap Up: PCLN, BBRY, CLF,
Gap Down:
H&D Breakout: ATI, CNX, RAX, SCSS,
Breakout Test:
Bounce:
MACD Divergence Bounce:
Bear Flag:
Support Break: JNPR,
______________________
36 of 100 Leading NDX stocks closed higher on Friday and three were unchanged.
Leading NDX 100 stocks included: GOLD, PCLN, BIDU, LINTA, WDC,
NFLX, YHOO, ADSK, SIRI, SPLS, AMZN, INTU
Lagging NDX stocks included:
BIIB, MDLZ, ATVI, COST, DTV, AAPL, NVDA, SHLD, AVGO, KLAC, NUAN, ESRX,
CTRX, BBBY
Leading stocks > +2% on Friday included: ANR, CLF, BBRY, X, UCO, ATI, CDE, TSL,
FCX, SINA, GMCR, CROX, AKS
Lagging stocks < -2.0% included:
MCP, JNPR, ESI, SSYS, UAL, MOS, CIEN
Stocks to Watch on Monday
Holding Above 30 DMA= 70
TSLA, SPLS, CSCO, GRMN, INTU,
BBBY, MCHP, PCLN, SRCL, ALTR, CA, ORLY, ROST, VOD, VIAB, FB, LMCA, CMCSA, HSIC,
VRSK, ADP, ALXN, CHKP, CTSH, NTAP, SYMC, WFM, NFLX, BMC, CELG, ESRX, FISV,
LLTC, XLNX, ADI, ATVI, CTXS, EXPD, GILD, LIFE, MYL, PAYX, XRAY, TXN, SIAL,
SIRI, AKAM, YHOO, AMGN, BIDU, FFIV, MDLZ, CTRX. QCOM, AAPL, FAST, XBUX, MXIM,
WYNN, NVDA, MNST, FOXA, NUAN, DISCA, DELL, MYM FOSL, ADSK, GOLD, WDC
Moving Above 30 DMA = 0
Moving Below 30 DMA = 7
ADBE, COST, DLTR, EBAY, KLAC, PCAR, LBTYA
Staying Below 30 DMA
AMAT, AMZN, BIIB, CERN,
CHRW, KRFT, GOOG, LINTA, SHLD, REGN, DTV, SBAC, EXPE, VRTX, SNDK, EQIX, STX,
AVGO, MSFT, BRCM, MAT, ISRG, INTC
Four-Week Intermediate Term Market Trend: Up
Short Term Market Trend: Neutral
1 comment:
Thanks Dave!
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