Thursday, August 8, 2013

QQQ, IWM, SPY Bounce in Bull Flag Pattern...PCLN Gaps 50 in After-hours...RAX Gaps 5...

Eight of nine sectors moved higher on Thursday…XLB, XLY and XLE were the strongest sectors…XLV was the weakest sector.
 
Breadth strengthened…advancers led decliners…1.90 to 1 on the NYSE and 1.46 to 1 on the NASDAQ…
 
Thursday – strengthened – advancers led
Wednesday – strengthened, decliners led
Tuesday – weakened, decliners led
Monday - mixed
Friday – mixed
 
 
SPY up .62…volume 102.1 million shares
VIX down .25…at 12.73…
TNX down .13 at 25.87…
TLT up .29 at 107.09...
XLF up .05 at 20.49…volume 43.1 million shares
 
AAPL down .92 at 461.01volume 9.1 million shares
FB down .33 at 38.54volume 41.2 million shares
 
Technical Commentary:
 
QQQ + 0.50%, IWM + 0.41%, SPY + 0.37%, DIA + 0.10%.  
 
TSLA gapped up to new high today closing at 153.48 on 27.2 million in volume…Up 19.25 or 14.34%.  SSYS broke above horizontal resistance after earnings report closing up 12.10 or 14.04%.  Volume was 3.4 million.
 
CLF gapped up and rose above horizontal resistance closing up 1.80 or 8.91% on 10.6%.  CRPN has a positive reaction to earnings gapping up and breaking above horizontal resistance on 91.4 million in volume closing up 1.88 or 21.56%.
 
PCLN +50.29 and RAX +5.15 gained in after-hours trading while MNST and MCP moved lower.
 
Earnings announcements continue as the fifth week of earnings season begins on Monday.  Chart Signals is focusing on stocks with announcements and stocks that have had a positive earnings reactions over the past two weeks.
 
This Week Earnings of Interest
Tuesday – ADM, CAR, CHRW, DIS, DISH, EXPD, FSLR, FOSL, LINTA, LMCA, MGM, Z
Wednesday – AGU, BOFI, GMCR, GRPN, SCTY, SUNE, TSLA, TWX
Thursday – AAP, FWLT, MCP, MNST, NVDA, RAX, SGMS, SSYS, TMUS,
Friday – JRCC
 
Q2 Earnings Reactions
Positive Reactions – FOSL, 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 – 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 and is in the upper zone. 
 
____________________
 
Setups
H Breakout: BIDU, CMCSA, FFIV, MNST, MU, NVDA, QCOM, SBUX, ALK, ATI, C, CRM, GLW, GME, KKD, PWRD, RCL, SPLK, SPY, STI,
 
Diagonal Breakout: ADBE, YHOO, ANR, MFRM, SOHU, TLT, UAL, VECO, ZION,
 
Bull Flag: AAPL, AMZN, ATVI, BBBY, COST, CTSH, FAST, GILD, ROST, XLNX, DNKN, YELP,
 
Potential Bullish Divergence:  
 
Gap Up:  PCLN, RAX
 
Gap Down:  MNST, MCP
 
Bear Flag:   
 
At Support: INTC,
 
 
Moves
New Highs: SYMC, WFM, SINA,
 
Gap Up: TSLA, CLF, GRPN, SWI, TSLA,
 
Gap Down:    
 
H&D Breakout: ADSK, DTV, NUAN, SNDK, DDD, SSYS,
 
Breakout Test: 
 
Bounce: MSFT, STX, WDC, ANGI, GLD, JCP, WLT,
 
MACD Divergence Bounce:  
 
Bear Flag:  
 
Support Break: AMAT, SCTY,  
 
______________________
 
 
66 of 100 Leading NDX stocks closed higher on Thursday and two were unchanged.
 
 
Leading NDX 100 stocks included: TSLA, GOLD, WDC, MDLZ, FOXA, MSFT, SNDK, DTV, FFIV, STX, ADSK, DRFT, NTAP, QCOM
 
Lagging NDX stocks included:  AMGN, BRCM, COST, GILD, AMAT, CTSH, DLTR, INTC, LINTA, FB, LBTYA, CMCSA
 
Leading stocks > +2% on Thursday included: GRPN, TSLA, SSYS, TSL, CLF, CDE, LDK, ANR, X, MOS, SWI, MCP, FCX, SINA, ATI, ZAGG, SOHU, VMW, RVBD, AKS, UAL, HUM
 
Lagging stocks < -2.0% included: CROX, GMCR
 
Stocks to Watch on Friday
Holding Above 30 DMA= 71
TSLA, SPLS, CSCO, DLTR, GRMN, INTU, BBBY, MCHP, PCLN, SRCL, ALTR, CA, ORLY, ROST, VOD, VIAB, FB, LBTYA, LMCA, CMCSA, HSIC, VRSK, ADP, ALXN, CHKP, CTSH, NTAP, SYMC, WFM, NFLX, BMC, CELG, ESRX, FISV, LLTC, XLNX, ADI, ATVI, COST, CTXS, EXPD, GILD, LIFE, MYL, PAYX, XRAY, TXN, SIAL, SIRI, AKAM, KLAC, YHOO, AMGN, BIDU, FFIV, MDLZ, CTRX, QCOM, AAPL, FAST, SBUX, MXIM, WYNN, NVDA, MNST, FOXA, NUAN, DISCA, DELL, MU, FOSL
 
Moving Above 30 DMA = 6
ADBE, ADSK, EBAY, GOLD, PCAR, WDC
 
Moving Below 30 DMA = 0
 
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

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