Tuesday, December 8, 2015

Biotechs Rock NDX to Gain...LUV Hits Turbulence Leads Airlines Lower...AMZN, FB, ADBE, COST, ATVI, NXPI Rise...

One of nine sectors moved higher on TuesdayXLV, XLU and XLK were the strongest sectors while XLB was the weakest sector

Breadth strengthened as decliners led advancers 2.02 to 1 on the NYSE and 1.43 to 1 on the NASDAQ.

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


SPY down 1.40 at 206.95 on 102.5 million shares, lower than Friday’s up volume
VIX up 1.76 at 17.60…below Thursday’s closing VIX of 18.11
TNX up .13 at 22.38…
TLT up .06 at 121.81…on 7.2 million shares
XLF down .31 at 24.24…on 28.8 million shares

AAPL down .05 at 118.23 on 34.2 million shares
FB up .88 at 106.49 on 20.3 million shares

Technical Commentary:
QQQ +0.01%, IWM -0.55%, SPY -0.67%, DIA -0.88%.

Media sources cite weak Chinese export data as the reason stocks moved lower on Tuesday.  If they are right those sellers could be out of the way moving into Wednesday.

QQQ again closes above Friday’s S1, led by gains in AMZN, ALXN, FB, BIIB, CELG, ADBE, GILD, REGN, AMGN, COST, ILMN, ATVI and NXPI

SPY closes above Friday’s S2 but below S1.

Down volume continued lower on Tuesday compared to Friday’s buying volume on many ETFs and stocks including SPY, XLF, XLY and AAPL.

Airline stocks hit turbulence as LUV lowers revenue forecast: UAL, DAL, AAL, JBLU, ALK drop

DLTR, LULU, PBYI, LC, LRCX and EA continue to rise on a down day.

IWM, XLY and XLK are bull flag setups.

Setups for Wednesday:
Bull Flags NXPI, BIDU, TSLA, YHOO, FSLR, NKE, AIG, CSIQ, ETFC, STI
Breakouts SWKS, AAPL, CRM, JBL, PANW
Diagonal Breakouts – FB, PYPL
30 DMA Breakout – CTXS, PYPL, ADP, BIIB, AMGN, TSCO, REGN, CERN, CELG, SBAC, WDC, STX

Trade with the trend of the chart you are trading and continue to move your profit protection stops.  Continue to follow your rules.

The SPX MFC green line is down at 55. 

Short-term Chart Targets:
SPY =...209.97
QQQ = 115.47
IWM = 117.93…
                   
Support Levels
SPY = 204.75
QQQ = 111.84
IWM = 113.36

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Setups
Horizontal Breakout: SONC, SBUX, W,  
Diagonal Breakout: QQQ, SPY, GRMN, INTC, AMBA, PYPL,
Bull Flag: ADBE, ADSK, AVGO, BIDU, GOOGL, JD, MNST, NFLX, SWKS, TSLA, YHOO, AIG, BABA, CIEN, CRM, CSIQ, FSLR, NKE, QRVO, RAX, SCHW, STI, TSL, VRSN, CRUS, GOGO, SEDG, ETFC
C- Pattern: JNPR,  

Moves
New Highs: ATVI, COST, GMCR, LRCX, ROST, NTES, PANW, ULTA, DLTR,
H Breakout: LRCX
Bull Flag Bounce: AMZN, ILMN, YELP, MFRM
Bounce: LNKD
Gap Down: LUV, AA, CIEN

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51 of 100 NDX stocks closed higher on Monday.

48 NDX stocks are above their 30 DMA.

NDX Stocks to Watch on Wednesday:
Moving Above 30 DMA = 2
ADBE, EA,

Moving Below 30 DMA = 7
CHTR, DISCA, EBAY, INTU, LLTC, VOD, WBA,

6-month Intermediate Term Market Trend: Neutral
3-day Short Term Market Trend: Neutral

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