SPX, NDX, DJIA and Oil Rally on Friday...Ready...Set...

Eight of nine sectors moved higher on Friday…XLF, XLB and XLE were the strongest sectors while XLU was the weakest sector.  Oil rallied $1.72 to close at 29.02. 

                         

Breadth strengthened as advancers led decliners 3.83 to 1 on the NYSE and 3.25 to 1 on the NASDAQ.

Friday – strengthened, advancers

Thursday- weakened, decliners led

Wednesday – strengthened, advancers led on the NYSE

Tuesday – strengthened, decliners led

Monday – mixed, decliners led

SPY up 3.77 at 186.63 on 127.6 million shares, 25% below average volume

VIX down 2.74 at 25.40…

TNX up 1.04 at 17.48…

TLT down 2.22 at 131.50…on 13.8 million shares, 27% above average volume

XLF up .83 at 20.49…on 97.1 million shares, 30% above average volume

AAPL up .29 at 93.99 on 40.3 million shares, 29% below average volume

FB up .10 at 102.01 on 36.1 million shares, 17% below average volume

Technical Commentary:

SPY +2.06%, DIA +2.03%, IWM +1.90%, QQQ +1.52% .

SPY holds 181 support area again on Thursday as it did on Aug 24 and Jan 20 and finished with a late rally closing at 182.86.  Futures rally overnight and SPY gaps higher near 185 on the open on Friday, then tests the gap by pulling back to 184 after which buyers took over driving SPY to a 186.63 close.

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

The NDX +1.44% and QQQ +1.52% were led by point gainers MSFT, GILD, BIDU, QCOM, AMGN, CSCO, INTC, CMCSA, AMZN, AVGO, REGN, CELG and ALXN.  An impressive 95 NDX stocks rose while thirty-six of those gained 2.50% or more.

All 30 Dow stocks rose on Friday led by gains in JPM, GS, TRV, DD, AXP, GE, CVX, V, CAT, IBM and HD.

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

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Bull Flag bounces occurred on Friday in ADP, CA, CHKP, CMCSA, FAST, MAT, FISV, PCAR, PYPL, CAT, DD, MMM, WMT and WMT.

Bull Flag Setups include:  FB, STX, ROST, XLNX, JNJ, PG, VZ

Chart Signals likes the following patterns:  FB, STX, MAT, PYPL, CAT, DD, PG, WMT.  Take a close look to see if any of these patterns can meet your criteria if they bounce or continue to rise on Tuesday.

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YTD:

SPX Leaders:  NEM, SWN, KORS, SE, O, CTL, EQT, MAT, CHRW, TSN (106, +26)

SPX Losers: CHK, WMB, ESV, MRO, MPC, URI, LNC, ADS, VRTX, TSO

NDX Leaders:  MAT, PCAR, FAST, FISV, XLNX, CMCSA, HSIC (7, +2)

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

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

DJI Losers: BA, AXP, GS, INTC, DIS, JPM, DD, IBM, HD, AAPL 

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 down at 14. 

Chart Signals is watching for the MFC green line to rise on Tuesday after flattening out on Friday.

95 of 100 NDX stocks closed higher on Friday.

22 NDX stocks are above their 30 DMA.

NDX Stocks to Watch on Tuesday:

Moving Above 30 DMA = 9

ADP, CA, INTU, MAR, PAYX, PYPL, TSCO, TXN, WFM

Moving Below 30 DMA = 0

6-month Intermediate Term Market Trend: Neutral

3-day Short Term Market Trend: Neutral