Eight of nine sectors
moved higher on Wednesday…XLE, XLV and XLF were the strongest sectors and XLE
was the weakest.
Breadth strengthened as advancers
led decliners 2.77 to 1 on the NYSE and
2.28 to 1 on the NASDAQ.
Wednesday – strengthened, advancers led
Tuesday – weakened,
decliners led
Monday – Memorial Day
Friday – weakened,
decliners led
Thursday – strengthened,
advancers led
SPY up 2.00 at 212.70 on 93.1 million shares, 6% above average volume
VIX down .79 at 13.27…
TNX down .02 at 21.35…
TLT up .28 at 122.74…
XLF up .27 at 24.85 on 25.8 million shares, average volume
AAPL up 2.42 at 132.04 on 45.8
million shares, 7% below average volume
FB up 1.22 at 80.55
on 14.1 million shares, 43%
below average volume
Technical Commentary:
QQQ +1.61%,
IWM +1.23%, SPY +0.95%, DIA +0.64%.
A broad
rally led by SOX +27.60, +3.86% semiconductor stocks following news that AVGO +7.76% was
in discussion to acquire BRCM +21.81% sent all stock in the SOX index higher. Ten of the top twelve NDX gainers were
semiconductor stocks: BRCM, AVGO,
NVDA, SNDK, NXPI, KLAC, MU, LRCX, ADI and TXN.
The SPX/SPY
recovered almost all of Monday’s correction and along with DIA, XLF, XLP
and XLY are still in a bull flag pattern. QQQ, IWM, XLK, and XLV made a bull flag
bounce entry on Wednesday.
Many other stocks also triggered an
entry today and many are stil in a bull flag price pattern with potential entry
on Thursday.
Trade with the trend of
the chart you are trading and
continue to move your profit protection stops. Continue to follow your rules.
Short-term Chart Targets:
SPY = 212.91, 213.91...
QQQ = 110.38, 111.16…
IWM = 124.04, 125.47…
Support Levels
SPY = 208.62, 206.76...
QQQ = 108.76, 106.80, 105.55…
IWM = 122.52, 120.87, 120.24...
The SPX Market Forecast is at 81.
___________________
Setups
Horizontal Breakout: QQQ,
IWM, SPY, MS, RCL, SEE, DATA, MNK, TTWO, ADM, JNPR, JCP, JUNO, LC, MBLY, SVXY, YY,
SFUN,
Diagonal Breakout: STX,
CYBR, SCTY, SINA, SLCA, SOHU, VSLR, X, ATI, TASR,
Bull Flag: AIG, BABA, BAC, BG, BMY, BURL, BX, C, CMCM,
COG, CTRP, CVS, FAS, FEYE, FL, GIMO, GLUU, GOGO, GPRO, HCA, HPQ, JD, MCK, NCLH,
PRE, QLIK, SABR, SCI, SKX, SNE, TSL, VMC, YOKU, ZION, ZNGA, ADBE, CTSH, ESRX, EXPE,
INTU, VOD, NKE, UNH, V, UNG, SHAK,
Potential Bullish
Divergence: CMGE, SWI, TPX, UA
Bear Flag: ATHM
Moves
New Highs: AMBA, CIEN,
GT, JNPR, SUNE, SWKS,
H Breakout: BRCM, EA
Bull Flag Bounce: BRCM,
IWM, QQQ, EA, AKAM, CCL, MS, RCL, SCHW, SEE, STI, DATA, MNK, TTWO, ADM, JNPR, NEM,
ETFC, MBLY, NTES, P, SVXY
______________________
Watch List Stocks
Leading stocks > +2% on Wednesday:
SWKS, SVXY, JNPR, AMBA, YY, LC, CYBR, CIEN, FAS, P, MS, RCL
Lagging stocks < -2.0% included: YOKU, VXX, SFUN, SINA
91 of 100
NDX stocks closed higher and one was
unchanged on Wednesday.
Leading NDX 100 stocks included: BRCM, AVGO, NVDA, VRTX, SNDK, VIAB, NXPI,
KLAC, MU, LRCX, ADI, TXN
Lagging NDX stocks included: CHKP, GMCR, CHTR
NDX Stocks to Watch on Thursday
Moving Above 30 DMA = 16
BIIB, COST, CSCO, FB, GOOG, KLAC, LMCA, MU, MYL, NVDA, PCAR,
SNDK, TXN, VIA, BRTX, WBA
Moving Below 30 DMA = 0
6-month Intermediate
Term Market Trend: Up
3-day Short Term Market
Trend: Neutral
