Stocks Float on a Sea of Red as Volume Falls...2015 Final Day of Trading on Thursday...Happy New Year...

All nine sectors moved lower on Wednesday…XLU, XLP and XLV were the strongest sectors while XLE was the weakest sector.  All nine sector ETFs recorded volume drops of 12% to 60% below average.

Breadth weakened as decliners led advancers 2.45 to 1 on the NYSE and 2.36 to 1 on the NASDAQ.

Wednesday – weakened, decliners led

Tuesday – strengthened, advancers led

Monday – weakened, decliners led

Friday – Christmas Holiday

Thursday- weakened, advancers led

SPY down 1.47 at 205.93 on 63.3 million shares, 42% below average volume

VIX up 1.21 at 17.29…

TNX down .04 at 23.03…

TLT down .12 at 120.04…on 5.5 million shares

XLF down .17 at 24.07…on 15.7 million shares, 60% below average volume

AAPL down 1.42 at 107.32 on 25.2 million shares, 34% below average volume

FB down 1.04 at 106.22 on 13.1 million shares, 33% below average volume

Technical Commentary:

DIA -0.67%, SPY -0.71%, QQQ -0.90%, IWM -1.01%.

EIA weekly Petroleum Status Report showed and increase of 2.6M barrels and oil fell 50 cents to 36.83 on Wednesday leading energy sector stocks lower including: SWN, RRC, CNX, MRO, CHK, COG, DVN, KMI, NBL, RIG, MUR, EQT, APC, ESV, NFX, OKE,HP, COP and HES.

Solar stocks SEDG, SCTY, TERP and FSLR found a little sizzle on Wednesday.

Trading volume continued to fall on Wednesday before New Year’s Eve on Thursday with SPY 42% below average volume, QQQ 33% below average volume, DIA 51% below average volume and IWM 29% below average volume.

Expect volume to continue to be light on Thursday except in the case of 2015 tax-loss selling on some down-trending stocks.  Markets are closed on Friday, January 1 in celebration of New Year's Day.  Have a wonderful and safe 3-day Holiday weekend.

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 pointed up at 64. 

Short-term Chart Targets:

SPY =...208.49, 209.75…

QQQ = 114.94, 115.40…

IWM = 115.56, 117.16…

                   

Support Levels

SPY = 203.94

QQQ = 111.51

IWM = 112.95

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Setups

Horizontal Breakout: IWM, CRM, KR, NTES, PLAY, TBT, W, YELP, ADBE, ADSK, ATVI, AVGO, COST, EBAY, FB, GOOGL, INTC, LRCX, MSFT, MYL, NVDA, ORLY, ROST, SWKS, TSLA, XLNX,

Diagonal Breakout: FAS, ETFC, PANW, SCHW, SOHU, STI, V, VRSN, VXX, ZION

Bull Flag: QQQ, SPY, AA, BXLT, CSIQ, DAL, FINL, FIVE, FSLR, GOGO, JASO, KWEB, MPEL, RUN, SCTY, SOHU, SPWR, SUNE, SVXY, TERP, TSL, YNDX, AMZN, JD,

Potential Bullish Divergence: SLCA

At Support: AAPL, NFLX,

C- Pattern: SBUX

Moves

New Highs: RCL, SEDG, SONC

Bull Flag Bounce: SEDG

Bear Flag: LNKD, TXN

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10 of 100 NDX stocks closed higher on Wednesday.

59 NDX stocks are above their 30 DMA.

NDX Stocks to Watch on Thursday:

Moving Above 30 DMA = 0

  

Moving Below 30 DMA = 6

AAL, INTU, PCAR, SBUX, SIRI, YHOO

6-month Intermediate Term Market Trend: Neutral

3-day Short Term Market Trend: Neutral