Stocks Gains On News Of Weekly Jobless Claims...Claims Fall by 42K...Biggest Drop In 13 Months...DJIA sets 50th Record Close For The Year...S&P 500 Sets 44th Record Close...

Eight out of nine sectors moved higher on Thursday…XLV, XLY and XLE were the strongest sectors…while XLU was the weakest sector. 

Breadth weakened slightly as advancers led decliners…1.16 to 1 on the NYSE and 1.07 to 1 on the NASDAQ.

Thursday – weakened slightly, advancers led

Wednesday – Closed Christmas

Tuesday – weakened, decliners led

Monday – strengthened, advancers led

Friday – strengthened, advancers led

SPY up .92 at 183.85 volume 63.2 million shares

VIX down .15 at 12.33…

TNX up .07 at 29.90…highest close since June 2011

TLT down .40 at 102.10...

XLF up .05 at 21.80 volume 14.9 million shares

AAPL down 3.77 at 563.90 volume 7.2 million shares

FB down .23 at 57.73…volume 55 million shares

Technical Commentary: 

IWM +0.01%, QQQ + 0.33%, SPY + 0.51%, DIA + 0.80%.

The positive push behind today’s trading…extending their record run was the weekly jobless claims which reported that jobless claims fell 42,000…the biggest drop in 13 months. Investors reacted with the DJIA surging 122.33 points to mark its 50^th record close this year closing at 16,479.88.  The SP& 500 gained 8.70 points to close at 1,842.02 setting a record for the 44^th time this year.

Many stocks closed at record highs including…SPY, CMCSA, CTSH, ESRX, DDD,  INTC, WYNN, ATI, BX, LVS, TPX, TWTR, and V.

DDD closed a record high gain 6.96% gaining 5.99 to close at 92.06.  Although MFRM did not set a record close today it did gain 2.46 or 5.85% and is close to a horizontal breakout of 46.85 made in early July of this year. 

Take this time to evaluate your 2013 trading performance and identify specific improvements that you can make for 2014.

Continue to follow your rules.

Albert Einstein: “Insanity: doing the same thing over and over again expecting different results.”

Remember it is big money that creates and sustains the trend.  As Granville 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 up trend chart targets:

Chart Targets:

SPY = 183.37, 185.02…

QQQ = 87.79, 88.74…

IWM = 117.15, 119.00…

Q3 Earnings Reactions

Positive Reactions – LEN, BBRY, RHT, WAG, ORCL, AVGO, MFRM, SPLK, MRVL, GMCR, JCP, LZB, JKS, BRCD, TSN, YOKU, SINA, NTAP, SLXP, PCLN, NVDA, GRPN, AWAY, PRU, TPX, TSO, CTSH, FSLR, TRMB, MDVN, NATI, SPR, ONNN, EXPE, CRR, HAR, GTI, ATML, THOR, TRN, FLT, MCHP, ITT, DICSA, ANR, SWKS, FB, CMCSA, GILD, DWA, LVLT, EA, SEE, SPW, TFX, JCI, X, XRAY, XYL, JLL, PBI, ALR, HUN, ACT, DECK, AMZN, MSFT, FLS, AVY, ALXN, WOOF, COG, BA, CLGX, ESI, EQIX, WLL, TSCO, RRD, PHM, RCL, ALXN, 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 – ROST, GME, BBY, CPB, JEC, TSL, CRM, CSCO, RAX, MNST, QCOM, SCTY, IPGP, AIG, BRKR, HME, NEM, XLS, Z, NIHD, AVP, WTW, ROVI, GRMN, JDSU, OSK, CNW, ITRI, CTRX, KRFT, GRMN, MYL, DLR, XCO, WU, LNKD, IACI, MSM, INGR, HTS, VRTX, AAPL, PMCS, MWV, SOHU, AGNC, AGCO, PCL, GT, CMI, VSH, ALSN, ROP, EW, MRK,  RYN, RMD, NCR, KBR, FSL, ESRX, EMN, FIO, SIRI, CAM, TKR, SYMC, CVA, CDNS, AKAM, XRX, CRI, ORLY, CAT, NFLX, COH, ZION, WAT, EMC, UTX, TXN, HON, ISRG, GS, UNP, UNH, EBAY, IBM, XLNX, SCSS, SWK, MU, FAST

The Market Forecast Green Line is above 80 and pointed up.

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Setups 

H Breakout: AMAT, AMZN, DTV, FFIV, GILD, MAT, NVDA, QCOM, SYMC, TXN, C, CIEN, CMG, DDD, DNKN, GLW, IBM, JNPR, MFRM, SCTY, Z,

Diagonal Breakout: FAST, TSLA, FSLR, GOGO, NKE, UAL,

Bull Flag: NFLX, A,   

Potential Bullish Divergence: 

Gap Up:

Gap Down:

Bear Flag: 

At Support: 

C- Pattern:

Moves

New Highs: CMCSA, CTSH, ESRX, INTC, WYNN, ATI, BX, LVS, SPY, TPX, TWTR, V,

Gap Up: TBT,     

Gap Down:     

H Breakout: YNDX,  

Diagonal Breakout: 

Breakout Test: 

Bounce:  

MACD Divergence Bounce: 

Bear Flag:  

Support Break:  

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70 out of 100 NDX stocks closed higher and one was unchanged on Thursday.

Leading NDX 100 stocks included: TSLA, AMGN, FAST, ALXN, AMZN, GMCR, MAT, BBBY, REGN, INTC, CELG

Lagging NDX stocks included: EBAY, NVDA, AKAM, BIDU, AAPL, ADSK, MXIM, CTRX, WFM, ATVI, YHOO, FB

Leading stocks > +2% on Thursday included: DDD, MFRM, GOGO, TWTR, XONE, SSYS, YNDX, JCP, YOKU, SCTY

Lagging stocks < -2.0% included: BBRY, ANGI, SOHU, SFUN

Stocks to Watch on Friday

Holding Above 30 DMA= 80

CTSH, AAPL, FISV, INTU, WDC, GOOG, AMZN, ILMN, LLTC, MU, EXPE, NFLX, ADSK, ESRX, ALXN, PCLN, MDLZ, MNST, YHOO, QCOM, DISH, SIAL, CELG, BIIB, CMCSA, LBTYA, GMCR, DTV, STX, BIDU, BRCM, WYNN, FB, AVGO, INTC, EQIX, TSLA, ORLY, ADBE, AKAM, EBAY, VIAB, VRSK, CA, CHKP, FFIV, LINTA, PCAR, VOD, TSCO, SNDK, VRTX, XLNX, ADP, ATVI, CTXS, GILD, PAYX, WFM, ADI, CTRX, DISCA, KRFT, FOXA, NXP, AMAT, EXPD, KLAC, MAT, NVDA, SPLS, TXN, VIP, ALTR, BBBY, CSCO, HSIC, SYMC, SBAC, CHTR

Moving Above 30 DMA = 4

AMGN, DLTR, FAST, MYL

Moving Below 30 DMA = 0

Staying Below 30 DMA

NTAP, GRMN, MSFT, CERN, SRCL, TRIP, COST, SBUX, LMCA, LMCA, SIRI, REGN, ISRG, ROST, GOLD, CHRW, MXIM

Sixteen Week Intermediate Term Market Trend: Up

3-Day Short Term Market Trend: Up