Three of nine sectors moved higher on Wednesday…XLP,
XLU and XLI were the strongest
sectors…XLE was the weakest
sector.
Breadth weakened… as decliners
led advancers…1.21 to 1 on the NYSE and 1.53 to 1 on the NASDAQ.
Wednesday – weakened, decliners led
Tuesday – strengthened,
advancers led
Monday – weakened,
decliners led
Friday – weakened,
advancers led
Thursday – strengthened,
advancers led
SPY down .84 at 174.57…volume 105.4 million shares
VIX up .09 at 13.42…
TNX down .27 at 24.85…
TLT up .42 at 108.31...
XLF down .17 at 20.74 volume 35.8 million shares
AAPL up 5.09 at 524.96…volume 11.2 million shares
FB down .78 at 51.90…volume 57.02 million shares
Technical Commentary:
QQQ – 0.61%,
SPY – 0.48%, IWM
- 0.33%, DIA – 0.28%.
Futures moved lower overnight after
markets moved lower in China. Broad indexes moved lower during
the first hour and then worked their way higher to close near the open on
Wednesday. The Euro remains
strong, interest rates were down as bonds moved higher again. The VIX was up slightly.
AAPL bounced while FB pulled back in
day three of a bull flag pattern that was a test of last Thursday’s horizontal
breakout. FB formed a white
spinning top.
GOOG and CMG moved to new highs. NFLX found support and rose after Tuesday’s
unusual reversal. VMW is setting up
and earnings’ flag and formed a hammer candle.
APOL +5.86,+27.98% following earnings.
CAT -5.41,
-6.07% following
EPS this morning. AKAM was down
in after-hours trading.
Resistance Chart Targets:
QQQ = 81.87, 83.17…closed
at 82.45
IWM = 110.96, 112.83…closed
at 110.76
SPY = 177.85, 180.99…closed
at 175.41
Remember it is big money
that creates and sustains the trend. As Granville once
wrote, “technical analysis is the art of tracking the market, following
the footsteps of the ‘smart money’ crowd.
The ‘smart money crowd’ is no mysterious ‘THEY.’ It is simply a collection of people who are
reading the market correctly, seeing through the maze, unconfused by this hall
of mirrors.”
Short-term market posture
is SPY up.
Support Levels
ES = 1,726
SPY = 172.76
QQQ = 81.87, 79.76,
78.40
IWM = 107.83
Earnings to Watch
Earnings releases continue with a large list of major companies reporting
next week.
Q3 Earnings Reactions
Positive Reactions – APOL,
BCR, NDAQ, NSC, WHR, ILMN, NUS, GNTX, LXK, DD, VFC, CMG, GOOG, BHI, GE, KSU, MS, SLB,
STI, LVS, VZ, SNDK, NUE, BTU, AXP, KEY, STLD, URI, USB, INTC,
JNJ, SCHW, COST, AA
Negative Reactions –
CREE, CAT, NFLX, COH, ZION, WAT, EMC, UTX, TXN, HON, ISRG, GS, UNP,
UNH, EBAY, IBM, XLNX, SCSS, SWK, MU, FAST
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 above
80.
____________________
Setups
H Breakout: CIEN, RAX, SWI, ADBE,
Diagonal Breakout: AMGN, CTSH,
Bull Flag: A, CLF, CNX, CRM,
DDD, FAS, FIVE, FSLR, GLD, GME, IWM, SPY, QQQ, LNKD, LVS, NKE, P, QIHU, SCTY,
SINA, SOHU, SPLK, SPWR, SSYS, STI, V,
STI, X, XONE, YNDX, YELP,
YOKU, BIDU, CELG, FB, MNST, MSFT, PCLN, SNDK, STX, TXN, WDC, WYNN,
Potential Bullish
Divergence: Z, MU, TSLA, ADSK,
Gap Up:
Gap Down: AKAM,
Bear Flag: TPX,
At Support: AMAT, CSCO, FFIV,
XLNX,
Moves
New Highs: CMG, ESI,
AAPL, GILD, GOOG, ROST, WFM,
Gap Up: GLW, APOL, SWY,
BCR, NSC
Gap Down: CREE, CAT
H&D Breakout: ANR,
ATI, GILD, GOOG,
Breakout Test:
Bounce: ZION,
MACD Divergence
Bounce:
Bear Flag:
Support Break: GRPN, JNPR,
SWKS, VECO, NTAP,
______________________
21 of 100 NDX stocks
closed higher on Wednesday.
Leading NDX 100 stocks included: GOOG, NFLX, ISRG,
ALXN, SIAL, GILD, ROST, FOSL, EQIX, AAPL
Lagging NDX stocks included: ALTR, FFIV, TSLA,
NTAP,MCHP, AMAT, XLNX, GOLD, AVGO, MXIM, WDC, BRCM, AKAM
Leading stocks > +2% on Wednesday
included: GLW, ANR, JCP, ESI, AKS, SCSS, ANR, ZONE, FAZ
Lagging stocks < -2.0% included: CREE, JNPR, SWKS, CDE, YELP, CRUS, LDK,
TSL, COH, SMH, RVBD, CLF, DECK, CIEN
Stocks to Watch on Thursday
Holding Above 30 DMA= 73
GRMN, FB,
WYNN, AVGO, CTSH, VOD, MXIM, ROST, YHOO, ADBE, DLTR, SNDK, WFM, CHTR, BIDU,
SBUX, STX, AMAT, CERN, CMCSA, BBBY, MSFT, XRAY, VRSK, AAPL, HSIC, SPLS, AKAM,
ATVI, CELG, FISV, FOSL, GILD, INTC, INTU, KLAC, LINTA, ORLY, PAYX, PCAR, PCLN,
SIRI, SRCL, SBAC, WDC, LMCA, FOXA, CHKP, DTV, MNST, VIAB, NFLX, ESRX, GOOG,
QCOM, ADP, AMGN, AMZN, BIIB, COST, MAT, MDLZ, DISCA, KRFT, CA, ADI, CHRW, EXPD, CTRX, GOLD, SIAL, LBTYA,
REGN
Moving Above 30 DMA = 0
Moving Below 30 DMA = 12
BRCM, DELL, FAST, FFIV, MCHP, MXIM,
MYL, NVDA, QCOM, SYMC, VRTX, ADI
Staying Below 30 DMA
ALTR, TXN, TSLA, ADSK,
ISRG, XLNX, EBAY, LLTC, MU, EXPE, SHLD, ALXN, NTAP, EQIX, CSCO, CTXS, NUAN,
GMCR
Sixteen Week
Intermediate Term Market Trend: Up
5-Day Short Term Market
Trend: Up
No comments:
Post a Comment