SPY, DIA, QQQ Forming Bull Flag Pullback...ENDP Sinks on EPS...SIG Shines...

Eight of nine sectors moved lower on Monday…XLU, XLP and XLY were the strongest sectors while XLV was the weakest sector.  Oil futures rose 1.03 to close at 33.87. 

                         

Breadth weakened as advancers led decliners 1.10 to 1 on the NYSE and decliners led 1.19 to 1 on the NASDAQ.

Monday – weakened, mixed

Friday – mixed, advancers led

Thursday - strengthened, advancers led

Wednesday – strengthened, advancers led

Tuesday – weakened, decliners led

SPY down 1.53 at 193.56 on 124.6 million shares, 20% below average volume

VIX up .74 at 20.55…

TNX down .22 at 17.40…

TLT up .57 at 130.98…on 8.0 million shares, 22% below average volume

XLF down .23 at 21.09…on 57.5 million shares, 23% below average volume

AAPL down .22 at 96.69 on 35.0 million shares, 30% below average volume

FB down 1.00 at 106.92 on 32.7 million shares, 26% below average volume

Technical Commentary:

IWM -0.45%, DIA -0.79%, SPY -0.78%, QQQ -0.90%.

SPY, DIA and QQQ pulled back on Monday and are forming a bull flag pattern from a higher high to a higher low as of today.  IWM also pulled back but was the strongest broad market segment today.

On Thursday SPY broke out of double bottom resistance at 194.58 on Feb 1 with a six-week chart target of 208.07.  Today’s pullback appears to be the test that we expect to occur about 70% of the time.

ENDP -11.13, -21.02% on negative earnings reaction.

SIG +9.27, +9.27% on positive earnings reaction, approves dividend increase and share buyback.

Stocks below support should generally be traded bearishly until a reversal pattern forms.

______________________

Strong Stocks: Setups and Moves You Can Use

Bull Flag Setups include:  SPY, DIA, XLI, DIS, XOM, EXPE, LBTYA, PCLN, CSCO, ADP, CA, EBAY, SBUX, CTRP, NTAP, UNH, FB, ILMN, MYL, HD, IBM, NKE, PG, TRV, DLTR, ATVI, FISV, KHC, ORLY

Horizontal Breakouts include: SWKS, WFM, TRIP, STX, IWM, XLB, AVGO, NCLH, ULTA, MAR

Horizontal Breakout Setups include: AMZN, NXPI, LRCX, CHTR, FAST, LLTC, PCAR, TXN,  XLY, AXP, DD, INTC, ADI, CHKP, CTSH, MXIM, NFLX, MMM, AAL, MAT

______________________

Short-term Movers:

SPX gainers:  FTR, OKE, FSLR, NFX, WY, MSI, MRO, CHK, CF, TGT, MHK, COH, XRAY, QRVO, PWR, SNI, EIX,MOS, CRM, VFC, HBI, HCN, TSO, GME, BBBY, M, SIG, VTR, SHW, WHR,L UTX, NAVI, WR, KR

SPX losers:  SWN, EOG, EQT, NBL, COG, MTB, CVX, ECL, CMA, CXO, RF, STI, RRC, WFC, CSX, EXR, XEC, USB, PDCO, BF.BZION, ZTS

NDX gainers:  TSLA, SNDK, VRSK,, PYPL, KHC, BMRN, LRCX, TMUS, LMCA, SWKS, BIDU, ADSK, AVGO, KLAC, SRCL, WFM, MDLZ, ISRG, ESRX, SBAC

NDX losers:  ENDP, WDC, DISCA, AMGN, SYMC, VRTX, MU, MYL, LBTYA, CELG, XLNX, MSFT, MNST, CTRP, ALXN, REGN, STX, CERN, EXPE

YTD:

SPX Leaders:  NEM, KORS, FOSL, M, SE, CTL, TSN, KMI, WYNN, COH (179, -11)

SPX Losers: ESV, CHK, DVN, WMB, MRO, MPC, RIG, URI, COP, LNC

NDX Leaders:  MAT, FAST, PCAR, KHC, PYPL, HSIC, FISV, DLTR, ISRG, ORLY   (22, -1)

NDX Losers:  INCY, VRTX, ENDP, REGN, WDC, TRIP, ALXN, MU, BMRN, ILMN

DJI Leaders:  VZ, WMT, MMM, XOM, JNJ, UNH, PG, UTX, KO

DJI Losers: AXP, BA, GS, JPM, INTC, DIS, DD, MSFT, AAPL, PFE  

Remember:  “It’s a market of stocks, not just a stock market.”

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 85. 

26 of 100 NDX stocks closed higher and two were unchanged on Monday.

73 NDX stocks are above their 30 DMA.

NDX Stocks to Watch on Tuesday:

Moving Above 30 DMA = 0

Moving Below 30 DMA = 7

BIIB, CELG, EBAY, ILMN, MU, TMUS, XLNX

6-month Intermediate Term Market Trend: Neutral

3-day Short Term Market Trend: Neutral

SPY, DIA QQQ Finish Slightly Lower on Friday, Up on Week...IWM Gains...BIDU BMRN, KHC, ADSK Higher on EPS Positive Reaction...

Four of nine sectors moved higher on Friday…XLB, XLF and XLE were the strongest sectors while XLU was the weakest sector.  

                         

Breadth weakened as advancers led decliners 1.60 to 1 on the NYSE and strengthened on the NASDAQ where advancers led 1.83 to 1.

Friday – mixed, advancers led

Thursday - strengthened, advancers led

Wednesday – strengthened, advancers led

Tuesday – weakened, decliners led

Monday – strengthened, advancers led

SPY down .45 at 195.09 on 129.8 million shares, 18% below average volume

VIX up .70 at 19.81…

TNX up .65 at 17.62…

TLT down 1.27 at 130.41…on 9.2 million shares, 10% below average volume

XLF up .15 at 21.32…on 81.2 million shares, 7% above average volume

AAPL up .15 at 96.91 on 28.9 million shares, 42% below average volume

FB down .15 at 107.92 on 26.6 million shares, 40% below average volume

Technical Commentary:

DIA -0.34%, SPY -0.23%, QQQ -0.13%, IWM +0.63%.

SPY, DIA, QQQ and IWM rallied for the second straight week.  SPY tested Thursday’s breakout of double bottom resistance at 194.58 on Feb 1 and closed at 195.08.  SPY has a six-week chart target of 208.07.

                   (click image to enlarge)

Just 10 of 30 Dow stocks rose on Friday led by DD, GS, BA, JPM, INTC and CAT.

                   (click image to enlarge)

BIDU, BMRN, KHC and ADSK had positive earning reactions on Friday.

                   (click image to enlarge)

NDX weekly leaders NCLH, TSLA, ULTA and VRSK had strong buying throughout the week…

                   (click image to enlarge)

Horizontal breakout patterns on LRCX, ESRX, NXPI and a bull flag pattern on STX are worthy of a close look…

                   (click image to enlarge)

Stocks below support should generally be traded bearishly until a reversal pattern forms.

______________________

Strong Stocks: Setups and Moves You Can Use

Bull Flag Bounces include: CTRP, NTAP, STX, WFM,

TRIP,

Bull Flag Setups include:  DIS, XOM, EXPE, LBTYA, PCLN, CSCO, ADP, CA, EBAY, SBUX, 

Horizontal Breakouts include: IWM, XLB, XLY, AVGO, NCLH, NXPI, ULTA, CHTR,

LRCX, MAR

Horizontal Breakout Setups include: SPY, DIA, XLI, UNH, AMZN, FAST, FB, ILMN, LLTC, MYL, PCAR, TXN,  XLY, AXP, DD, HD, IBM, INTC, NKE, PG, TRV, ADI, CHKP, CTSH, DLTR, MXIM, NFLX, SWKS, ULTA, MMM, AAL, ATVI, FISV, KHC, MAT, ORLY

______________________

Short-term Movers:

SPX gainers:  CHK, FTR, MRO, NFX, MSI, AA, CRM, FSLR, WY, OKE, TSO, FC, UTX, NRG, MOS, DVN, MUR, ALLE, IR, DHI, TGT, BBY, GME, MPC, PWR, WHR, AGN, HUM, OI, M,THC, ETFC, AN, SNI, MHK, COH, XRAY, APC, FCX, KORS, LUV, HCN, CBS, EIX, MNK, SEE, SHW, JWN, NAVI, ADM, URI, WYNN, VRSN, WRK, HBI, PVH, AET, NFLX,HAR, VTR, RCL, FOSL, JCI,BEN, HAS

SPX losers:  SWN, SIG, PPL, HON, SYY, EXR, EQT, ICE, EOG, K, O, FTI, CVX, BMY, MJN

NDX gainers:  NCLH, TSLA, ULTA, VRSK, NXPI, EA, TMUS, ADBE, NFLX, KHC, LRCX, BIDU, ATVI, DISH, SBAC, BBBY, SRCL, ENDP, QVCA

NDX losers:  MU, ALXN, EXPE, SYMC, PCLN, CA

YTD:

SPX Leaders:  KORS, NEM, FOSL, M, TSN, SE, CTL, KMI, WYNN, CPB (190, -6)

SPX Losers: ESV, CHK, WMB, DVN, MRO, MPC, RIG, URI, LM, COP

NDX Leaders:  MAT, FAST, PCAR, FISV, KHC, HSIC DLTR, AKAM, ROST, ISRG  (23, -2)

NDX Losers:  INCY, VRTX, REGN, WDC, TRIP, ALXN, MU, BMRN, JD, TSLA

DJI Leaders:  VZ, WMT, MMM, XOM, UNH, JNJ, PG, UTX, KO, NKE

DJI Losers: AXP, BA, GS, INTC, JPM, DIS, AAPL, DD, MSFT, PFE

Remember:  “It’s a market of stocks, not just a stock market.”

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 85. 

52 of 100 NDX stocks closed higher and two were unchanged on Friday.

80 NDX stocks are above their 30 DMA.

NDX Stocks to Watch on Monday:

Moving Above 30 DMA = 7

BIDU, BIIB, CELG, ESRX, ILMN, JD, MU

Moving Below 30 DMA = 3

GILD, MNST, MSFT

6-month Intermediate Term Market Trend: Neutral

3-day Short Term Market Trend: Up

SPY Double Bottom Breakout...Multi-week Target at 207.07...PANW Soars on EPS...

All nine sectors moved higher on Thursday…XLF, XLI and XLB were the strongest sectors while XLE was the weakest sector.  Oil futures rose. 

                         

Breadth strengthened as advancers led decliners 2.83 to 1 on the NYSE and weakened slightly on the NASDAQ where advancers led 1.48 to 1.

Thursday - strengthened, advancers led

Wednesday – strengthened, advancers led

Tuesday – weakened, decliners led

Monday – strengthened, advancers led

Friday – mixed, advancers led on NASDAQ

SPY up 2.34 at 195.54 on 109.7 million shares, 31% below average volume

VIX down 1.61 at 19.11…

TNX down .45 at 16.97…

TLT up .47 at 131.68…on 6.0 million shares, 43% below average volume

XLF up .29 at 21.17…on 71.2 million shares, 5% below average volume

AAPL up .66 at 96.76 on 27.5 million shares, 47% below average volume

FB up 1.19 at 108.07 on 29.8 million shares, 33% below average volume

Technical Commentary:

DIA +1.32%, SPY +1.21%, QQQ +0.98%, IWM +0.92%.

SPY breaks out of double bottom resistance at 194.58 on Feb 1, closes at 195.54.  SPY has a six-week chart target of 208.07.

All nine sectors rose, TLT bonds rose and TNX interest rates fell.

All 30 Dow stocks rose on Thursday led by UTX, NKE, DD, V, PFE, GS, GE, JPM, INTC, MSFT, AXP, WMT, JN IBM, MMM, MCD and BA.

PANW +12.35, +6.65% in front of earnings and in after-hours gains +6.21, +4.43% on a positive earnings reaction.

In after-hours trading…

BIDU +16.78, +10.61% on positive earnings reaction.

KHC +3.04, +4.06% on positive earnings reaction.

MNST -9.61, -7.22% on negative earnings reaction.

SBAC -3.35, -3.47% on negative earnings reaction.

BMRN -1.67, -2.19% on negative earnings reaction.

Stocks below support should generally be traded bearishly until a reversal pattern forms.

______________________

Strong Stocks:

Bull Flag Bounces include: CSCO, UNH, ADP, AMZN, CA, EBAY, FAST, FB, ILMN, LLTC, MYL, PCAR, SBUX, TRIP, TXN

Bull Flag Setups include:  DIS, XOM, CTRP, EXPE, LBTYA, NTAP, PCLN, STX, WFM

Horizontal Breakouts include: SPY, DIA, JNJ, KO, MMM, PGE, UTX, AAL, ADBE, ATVI, CHTR, CTXS, EA, FISV, ISRG, KHC, LRCX, MAR, MAT, ORLY, VRSK

Horizontal Breakout Setups include: IWM, XLB, XLI, XLY, AXP, DD, HD, IBM, INTC, MCD, NKE, PG, TRV, WMT, ADI, AVGO, CHKP, COST, CTSH, DLTR, MXIM, NCLH, NFLX, NXPI, SWKS, TMUS, ULTA

______________________

Short-term Movers:

SPX gainers:  CHK, FTR, MSI, FSLR, TSO, CRM, UTX, DHI, UAL, AA, XRAY, LO, LUV, MPC, ALLE, TGT, IR, WHR, NFX, EIX, ADS, SEE, PWR, COH, CCL, TSS, MAS, HCN, VTR, MRO, AGN, RCL, NKE, WY, WMT, KORS, EQIX, AIZ, DAL, HD, SLG, HCP, TSN, LEN, VFC, ETFC, EFX, QRVO, PNW, MLM, M, GPS, HOT, HAS, HUM

SPX losers:  SWN, RRC, CNX, ESV, EQT, SIG, NOV, CXO,

NDX gainers:  NCLH, TSLA, ATVI, EA, AMAT, VRSK, DISH, ADBE, LRCX, YHOO, CHTR, ULTA, NVDA, MYL, LMCA, AMZN, ORLY, MAT, QCOM, MAR

NDX losers:  MU, STX, EXPE

YTD:

SPX Leaders:  NEM, KORS, FOSL, TSN, M, ADT, CTL, SE, CPB, KMI, (196, +22)

SPX Losers: ESV, CHK, MRO, DVN, WMB, MPC, RIG, VRTX, URI, COP

NDX Leaders:  MAT, FAST, PCAR, FISV, HSIC DLTR, ORLY, ROST, AKAM, CA (25, +0)

NDX Losers:  VRTX, INCY, REGN, TRIP, BMRN, WDC, ALXN, MU, JD, TSLA

DJI Leaders:  WMT, VZ, MMM, XOM, PG, JNJ, UNH, KO, UTX, MCD

DJI Losers: AXP, BA, GS, INTC, JPM, DD, DIS, AAPL, GE, MSFT   

Remember:  “It’s a market of stocks, not just a stock market.”

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 77. 

84 of 100 NDX stocks closed higher on Thursday.

76 NDX stocks are above their 30 DMA.

NDX Stocks to Watch on Friday:

Moving Above 30 DMA = 16

AAPL, ADBE, AMZN, BMRN, DISH, EBAY, INTC, KHC, LMCA, MNST, NFLX, NXPI, SRCL, SYMC, TMUS, TSLA

Moving Below 30 DMA = 2

BIDU, JD

6-month Intermediate Term Market Trend: Neutral

3-day Short Term Market Trend: Up

Short-term Sellers Exhaust...Buyers Take Over Form a Bull Flag Higher Low...Watch for Bounce...FSLR Sizzles...

Eight of nine sectors moved higher on Wednesday…XLB, XLE and XLK were the strongest sectors while XLF was the weakest sector.  Oil futures rose 85 cents to close at 32.22. 

                         

Breadth strengthened as advancers led decliners 1.81 to 1 on the NYSE and 1.77 to 1 on the NASDAQ.

Wednesday – strengthened, advancers led

Tuesday – weakened, decliners led

Monday – strengthened, advancers led

Friday – mixed, advancers led on NASDAQ

Thursday- weakened, decliners led on NASDAQ

SPY up .88 at 193.20 on 150.8 million shares, 6% below average volume

VIX down .26 at 20.72…

TNX down .03 at 17.42…

TLT down .26 at 131.21…on 9.0 million shares, 16% below average volume

XLF down .05 at 20.88…on 72.3 million shares, 4% below average volume

AAPL up 1.41 at 96.10 on 36.2 million shares, 30% below average volume

FB up 1.42 at 106.88 on 34.4 million shares, 23% below average volume

Technical Commentary:

IWM +0.96%, QQQ +0.95%, SPY +0.46%, DIA +0.32%.

Oil and stock futures moved lower overnight Tuesday evening and continued moving lower for the first hour of trading where SPX formed a reversal pattern and started an uptrend moving higher into the close.

SPY, DIA, QQQ and IWM bounced off their respective 30 DMA on Wednesday forming a low day in a bull flag price pattern again closing above their 30 DMA.  Watch for a move above Wednesday high and potential bounce entry on Thursday into these index ETFs and many individual stocks.

Eight of nine sectors rose, TLT bonds fell and TNX interest rates fell.

Twenty-four of 30 Dow stocks were rose on Wednesday led by  UTX, AAPL, INTC, WMT, HD, JNJ, CSCO, MMM, TRV and KO.

FSLR +7.66, +12.40% on positive earnings reaction.

VRSK +3.64, +5.35% leads NDX on positive earnings reaction.

EIX +2.85, +4.39% on positive earnings reaction.

Stocks below support should generally be traded bearishly until a reversal pattern forms.

______________________

Strong Stocks:

Bull Flag Bounces include: CMCSA, PYPL, AVGO, MXIM, UTX

  

Bull Flag Setups include:  SPY, QQQ, DIA, XLE, XLB, XLK, NFLX, RCL, CCL, HAL, SLG, CTRP, JD, ADBE, PCAR, TXN, ADI, MU, AMZN, EBAY, EXPE, FB, TRIP, YHOO, CTXS, LRCX, PCLN, WFM, AXP, DIS, IBM, MSFT, DD, PG, VZ, CVX, GE, CNX, CSRA, GRMN, DO, FCX, KMI, QRVO, DO, FDX, URI

Horizontal Breakouts include: CHK, M, WHR, WMT, WY, OI, AA, RAI, AN, BCR, ES

Horizontal Breakout Setups include: ATVI, MAT, AKAM, MAR, EA, MDLZ, LUV, VIAB, AAL, JNJ, IWM, WMT, COH, DG, PVH, HD, PCG, DRI, DPS

______________________

Short-term Movers:

SPX gainers:  CHK, FTR, MSI, TSO, UAL, ADS, FSLR, WHR, HCN, EIX, OI, LUV, HPQ, GPS, DHI, TGT, VTR, ALLE, UTX, NRG, DAL, WMB, SLG, IR, SEE, KORS, SYF, HCP, JNPR, ADS, COH, MAS, IBM, HAS, ES

SPX losers:  SWN, PRGO, RRC, CNX, APC, RIG, EQT

NDX gainers:  NVDA, NCLH, AMAT, ATVI, QCOM, TSLA, NTAP, BBBY, EA, MNST, ADSK, YHOO

NDX losers:  TRIP, MU, EXPE, DISCA, ALXN, ILMN, NFLX


YTD:

SPX Leaders:  NEM, KORS, FOSL, TSN, M, ADT, SE, CTL, KMI, URBN, (174, +9)

SPX Losers: ESV, MRO, CHK, DVN, WMB, MPC, RIG, URI, VRTX, COP

NDX Leaders:  MAT, FAST, PCAR, FISV, HSIC DLTR, ROST, AKAM, ORLY, CMCSA (25, +5)

NDX Losers:  INCY, VRTX, TRIP, REGN, BMRN, WDC, ALXN, TSLA, MU, ILMN

DJI Leaders:  VZ, WMT, XOM, MMM, PG, KO, UNH, JNJ

DJI Losers: AXP, BA, GS, INTC, JPM, DD, DIS, AAPL, MSFT, V,   

Remember:  “It’s a market of stocks, not just a stock market.”

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 68. 

82 of 100 NDX stocks closed higher on Wednesday.

62 NDX stocks are above their 30 DMA.

NDX Stocks to Watch on Thursday:

Moving Above 30 DMA = 9

EA, GILD, INCY, MDLZ, MSFT, SBAC, SNDK, SWKS, VRSK

Moving Below 30 DMA = 1

SYMC

6-month Intermediate Term Market Trend: Neutral

3-day Short Term Market Trend: Neutral