Tuesday, February 18, 2014

RUT Leads Stocks Higher...KO Leaves Sour Taste on DJIA...GOOG, PCLN, CRM New All-time Highs...TSLA All-time High Above $200...MU New High...FB Pennies Away...

Seven nine sectors moved higher on Tuesday…XLV, XLE and XLU were the strongest sectors…while XLP was the weakest sector.  

Breadth strengthened as advancers led decliners 2.02 to 1 on the NYSE and 2.23 to 1 on the NASDAQ.

Tuesday – strengthened, advancers led
Monday – holiday
Friday – weakened, advancers led
Thursday – strengthened, advancers led
Wednesday – weakened, advancers led


SPY up .22 at 184.24 volume 80.2 million shares, below average volume
VIX up .30 at 13.87…
TNX down .35 at 27.11…
TLT up .24 at 106.82...
XLF up .04 volume 21.3 million shares, below average volume

AAPL up 2.00 at 545.99 volume 9.3 million shares, below average volume
FB up .21 at 67.30…volume 43.8 million shares, below average volume

Technical Commentary: 
IWM +1.04%, QQQ +0.49%, SPY +0.12%, DIA -0.11%.

On Tuesday the RUT played catch-up and led stocks higher while the NDX rose for the 8th straight day to another new high close.  The DJIA closed slightly lower with 15 of 30 stocks higher, led by gains in JPM, GS, MRK, DIS and UNH.   

GILD, GOOG, AAPL, BIDU, BIIB and PCLN were the point leaders in the NDX on Tuesday.

Many stocks again closed at or near their recent highs on Tuesday including: CIEN, CRM, FAS, GLD, IWM, MTW, QIHU, SCTY, SPLK, SWI, ADBE, ADSK, AKAM, FB, GOOG, MU, NFLX, PCLN, SNDK, TRIP, TSLA, TXN and XLNX.

KO -1.46, -3.75% moved lower after releasing earnings this morning.  PNRA -2.43, -1.40% fell in after-hours following release of its earnings after the close.

TSLA reports earnings after the close on Wednesday.

Trade with the trend of the chart you are trading and move your protective stops.  Be mindful of reversal patterns like double bottoms and MACD divergences.  Continue to follow your rules.


Short-term up trend Chart Targets:
SPY = 184.10, 187.99…
QQQ = 90.43, 92.25, 94.26
IWM = 115.39, 117.37…

Support Levels
SPY = 181.85, 180.29 179.04
QQQ = 89.00, 87.74, 86.97
IWM = 113.65, 111.21

Q4 earnings season
The majority of earnings season is done, however there are still several companies including ADSK, CRM, DISH, DTV, ESRX, GRMN, GRPN, MCP, MNST, PCLN, ROST, SCTY, SPLK, TSLA, WLT and YNDX that will report over the next several days…

Q4 Earnings Reactions
Positive Reactions – KRFT, AMAT, NVDA, SPWR, TRIP, REGN, CBOE, MCO, ATVI, AKAM, EXPE, GMCR, NXPI, ONNN, ORLY, SCSS, SWI, TWX, DIS, YELP, AGNC, KORS, KEYW, IDXX, XYL, YUM, NOV, SPG, TSN, ZNGA, ALXN, BRCM, BX, CMG, GOOG, JDSU, MTW, PHM, RYL, VIAB, V, BA, DOW, FB, LVS, QCOM, VLO, AKS, AAL, CHKP, EA, F, ILMN, LXK, CAT, RCL, JNPR, MSFT, KMB, PG, MXIM, SBUX, NFLX, FFIV, URI, UNP, EBAY, MCD, CREE, TXN, UTX, NUAN, XLNX, BHI, DAL, RF, MS, SLB, STI, AXP, SWKS, BAC, LLTC, WEN, MON, MU, STZ, APOL

Negative Reactions – KO, A, GNC, WTW, VFC, WFM, ANGI, CSCO, DISCA, NTAP, RAX, CI, LNKD, VRSN, ADP, CTSH, HUM, MDC, P, TSO, TWTR, ADM, BWLD, CERN, CHRW, GILD, CVX, MA, MAT, PCAR, AMZN, MMM, CELG, CL, XOM, ESI, HOG, OSTK, POT, SHW, WHR, BA, CTXS, EMC, TSCO, CRUS, GLW, DD, F, VMW, YHOO, AAPL, STX, ZION, HON, KSU, SWK, STT, ALTR, ISRG, KLAC, KEY, JCI, LMT, WDC, ABT, BAX, ATI, COH, FCX, AMD, IBM, HAL, JNJ, TRV, VZ, GE, COF, INTC, UNH, C, GS, CSX, FAST, AA, FDO, BBBY, SCHN (72)

Reversal of Initial Reaction – VRSN, CSCO, ADP, CTSH, HUM, P, TSO, ADM, CERN, GILD, PCAR, MMM, CELG, HOG, POT, SHW, EMC, GLW, DD, VMW, YHOO, ZION, HON, SWK, ALTR, ISRG, KLAC, LMT, HAL, FAST, FDO, AA (32, 45%)


The Market Forecast Green Line is above 80 and rising.

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Setups
H Breakout: C, CREE, DDD, GLW, IBM, JDSU, KKD, LVS, MCP, MTW, NTES, P, SCSS, SCTY, SPY, SSYS, SWI, SWKS, TPX, TSL, UNG, V, VRSN, XONE, YOKU, AKAM, BIDU, COST, CTSH, EBAY, GILD, GMCR, MSFT, SBUX, TXN, WDC, WYNN,
Diagonal Breakout: CSIQ, DRYS, GME, JNPR, MFRM, MS, SFUN, TBT, AMZN, CELG, YHOO
Bull Flag: RCL, YELP, Z, CMCSA, FFIV, QCOM,  
Potential Bullish Divergence: BX, UAL,
Gap Up
Gap Down
Bear Flag: RAX, TWTR, WLT, STX, WFM,
At Support:
C- Pattern:

Moves
New Highs: CIEN, CRM, FAS, GLD, IWM, MTW, QIHU, SCTY, SPLK, SWI, ADBE, ADSK, AKAM, FB, GOOG, MU, NFLX, PCLN, SNDK, TRIP, TSLA, TXN, XLNX
Gap Up:
Gap Down: KO
H Breakout: ESI, FSLR, QIHU, SINA, SOHU, SPWR, ADSK,
Diagonal Breakout: P, XONE, AAPL,
Breakout Test: X,
Bounce: CREE, DDD, NKE, RAX, TLT, UNG, GILD, GMCR, MNST,  
MACD Divergence Bounce: BBRY,  
Bear Flag: BAC, ROST,
Support Break

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67 out of 100 NDX stocks closed higher and on unchanged on Tuesday.


Leading NDX 100 stocks included: MYL, LBTYA, BIDU, GMCR, ILMN, GILD, TSLA, REGN, GRMN, TRIP

Lagging NDX stocks included: SYMC, MAT, ROST, SBUX, KLAC, WFM, AMZN, SIAL, QCOM, STX

Leading stocks > +2% on Tuesday included: SCTY, QIHU, FSLR, YOKU, SOHU, BBRY, P, SINA, UNG, DDD, CSIQ, XONE, CIEN, SPWR, RAX, TSL, Z, LNKD, ESI, MCP, SFUN, CREE, YNDX, YELP

Lagging stocks < -2.0% included: GRPN, ATI

Stocks to Watch on Wednesday
Holding Above 30 DMA= 71
ILMN, ESRX, EQIX, FFIV, SBAC, MU, BIIB, MXIM, TSLA, NXPI, NFLX, ALTR, REGN, ALXN, WYNN, FB, GMCR, GOOG, ADBE, ORLY, DISH, EBAY, ADSK, AKAM, BRCM, DTV, PCAR, VRTX, ATVI, AVGO, CERN, EXPE, GILD, MNST, MYL, NVDA, QCOM, SIAL, SNDK, TRIP, MAR, AMGN, MSFT, PCLN, XLNX, ADI, AMAT, CHKP, COST, KLAC, TXN, CTRX, AAPL, CTSH, GRMN, HSIC, LINTA, LLTC, VIAB, WDC, KRFT, BIDU, CA, CELG, VRSK, CMCSA, CSCO, FOXA, LMCA, MDLZ

Moving Above 30 DMA = 2
FISV, LBTYA

Moving Below 30 DMA = 2
SBUX, SRCL

Staying Below 30 DMA
CHTR, DISCA, NTAP, WFM, CHRW, AMZN, SYMC, SIRI, STX, EXPD, FAST, VIP, VOD, ADP, CTXS, INTC, INTU, YHOO, TSCO, PAYX, ROST, DLTR, BBBY, SPLS, MAT

Sixteen Week Intermediate Term Market Trend: Up
3-Day Short Term Market Trend: Up

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