Thursday, September 5, 2013

TNX Makes 25-month High...Bonds, Euro Lower...SPY Inches Higher...FB Breakout, New High Close...

Seven of nine sectors moved higher on Thursday…XLE, XLF and XLI were the strongest sectors…XLU was the weakest sector. 
 
Breadth weakened…decliners led advancers…1.11 to 1 on the NYSE and advancers led decliners 1.52 to 1 on the NASDAQ…
 
Thursday - mixed
Wednesday – strengthened, advancers led
Tuesday – strengthened, advancers led
Monday – Labor Day Holiday
Friday – weakened, decliners led
 
 
SPY up .21 at 165.96…volume 63 million shares
VIX down .11…at 15.77…
TNX up .82 at 29.79…
TLT down 1.45 at 102.54...
XLF up .04 at 19.80…volume 30.2 million shares
 
AAPL down 3.42 at 495.27volume 8.4 million shares
FB up .88 at 42.66volume 4.9, new high close horizontal resistance breakout
 
Technical Commentary:
 
SPY + 0.13%, IWM + 0.16%, QQQ + 0.17%, DIA – 0.04%.  
 
SPY rose .13% and is nearing is diagonal breakout while QQQ rose .17% and is nearing its horizontal breakout.  IWM likewise is nearing a diagonal breakout and rose .16%.
 
SHLD gained 2.83 or 6.27% breaking through horizontal resistance of early August on 1.8 million shares.  FAST gapped up today and gained 2.76% or 6.02% after coming out of a double bottom with a positive MACD divergence. JCP also have a double bottom with a positive divergence and added .72 or 5.33% on 47.3 million shares.
 
YELP made new high close is near a horizontal resistance breakout setup gaining 2.96 or 5.29% today.  WLT is at its August horizontal resistance having gained .83 or 6.15% today on 13.4 million shares. 
 
Short-term market posture continues defensive.
Support Levels
ES = 1,647, 1,629, 1,611
SPY = 165.15, 163.35, 161.55
 
Q2 Earnings Reactions
Positive Reactions – CIEN, SPLK, CRM, GES, DSW, ADSK, ROST, GME, JRCC, RAX, SSYS, TMUS, SGMS, FWLT, MNST, GRPN, TSLA, AGU, BOFI, FOSL, ADM, MGM, 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 – P, SHLD, PWRD, CREE, 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 pointed up. 
 
____________________
 
Setups
H Breakout: AAPL, AMAT, AMGN, CELG, CTSH, FFIV, NUAN, NVDA, PCLN, ROST, SNDK, STX, TXN, XLNX, YHOO, ANR, BBRY, CMG, CNX, DNKN, ESI, F, PWRD, SINA, WLT, YELP,
 
Diagonal Breakout: DTV, EBAY, MNST, WDC, ALK, BAC, C, CLF, FAS, GLW, GS, JCP, SWI,
 
Bull Flag: CRM,
 
Potential Bullish Divergence:  
 
Gap Up: 
 
Gap Down: 
 
Bear Flag: 
 
At Support: MSFT,  
 
Moves
New Highs: QCOM, LNKD,
 
Gap Up: COST, FAST, NFLX, SIRI, GRPN, TBT,
 
Gap Down: TLT,  
 
H&D Breakout: AKAM, ESRX, GOOG, MU, SHLD, ATI, SPY,
 
Breakout Test:
 
Bounce: FSLR, SCTY,
 
MACD Divergence Bounce:  
 
Bear Flag:  
 
Support Break:
 
______________________
 
 
60 of 100 NDX stocks closed higher on Thursday and two were unchanged.
 
Leading NDX 100 stocks included: SHLD, FST, BRACM, SIRI, MU, COST, FB, LMCA, SNDK, CTRX, FFIV, SPLS, LINTA
 
Lagging NDX stocks included:  GOLD, EXPE, LBTYA, CERN, BIIB, CMCSA, FOSL, MCHP
 
Leading stocks > +2% on Thursday included: JCP, YELP, SINA, LNKD, ANR, TSL, GRPN, ATI, TBT, F, BBRY, ANR, MCP, PWRD
 
Lagging stocks < -2.0% included: CDE, ZONE, DE
 
Stocks to Watch on Friday
Holding Above 30 DMA= 51
TSLA, GRMN, PCLN, VIAB, FB, NFLX, QCOM, AAPL, WYNN, DELL, GOLD, NVDA, ADSK, AMGN, AVGO, BMC, CTSH, GILD, MYL, VOD, SBAC, NUAN, SHLD, AKAM, ALTR, BIIB, CELG, EXPD, LIFE, MU, MXIM, NTAP, ROST, SBUX, YHOO, EQIX, REGN, VRSK, FOXA, ADBE, ADP, ALXN, ATVI, CHRW, DLTR, INTC, INTU, KLAC, SNDK, XLNX, TXN
 
Moving Above 30 DMA = 13
AMAT, AMZN, BRCM, FAST, GOOG, LINTA, SIRI, VRTX, WFM, XRAY, CTRX, WDC, LMCA
 
Moving Below 30 DMA = 1
LBTYA
 
Staying Below 30 DMA
BIDU, SYMC, FOSL, MSFT, CTXS, CA, CHKP, FISV, ISRG, ORLY, FFIV, MDLZ, PAYX, SPLS, SIAL, HSIC, CSCO, EBAY, LLTC, MCHP, SRCL, ADI, BBBY, CMCSA, ESRX, PCAR, DISCA, MNST, COST, CERN, KRFT, DTV, EXPE, STX, MAT
 
Thirteen Week Intermediate Term Market Trend: Neutral
5-Day Short Term Market Trend: Up

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