SPY New High Close...Small Caps and Healthcare Lead...SPY at Resistance Day 4, Sellers Control Open, Sellers Control Close Again...

Seven of nine sectors moved higher on Thursday…XLV, XLY and XLB were the strongest sectors while XLE was the weakest sector.  Oil futures rose .15 to close at 49.06.

Breadth weakened slightly as advancers led 1,962 to 1,052 on the NYSE and led 1,573 to 1,009 on the NASDAQ.

Thursday – weakened slightly, advancers led, +7

Wednesday – strengthened, advancers led, +7

Tuesday – weakened, advancers led, +3

Monday – Memorial Day Holiday

Friday – strengthened, advancers led, +8

SPY up .64 at 210.91 on 63.0 million shares, 20% below average volume

VIX down .57 at 13.63

TLT up .94 at 131.36…on 5.8 million shares, 16% below average volume

Technical Commentary:

IWM +0.77%, DIA +0.31%, SPY +0.30%, QQQ +0.21%,

SPY makes new high close at resistance on dividend adjusted chart.

IWM leads on Thursday after horizontal resistance breakout.

XLV leads sectors on horizontal resistance breakout with gains in HUM, ENDP, AET, ABBV, MDT, CNC, ALXN, EW, CELG, VRTX, AGN and ABC.

Jobs report Friday morning.

Earning’s Announcements:

Positive Reactions:  JOY, DCI…after hours AVGO, AMBA

Negative Reactions:

Technical analysis based trades should be closed before earnings.

Trade what you see, not…

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

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Strong Stocks: Setups and Moves You Can Use

Bull Flag Setups include:  XLB, AAPL, ATVI, CTSH, GOOG, QCOM, MSFT, NFLX, BIDU, NTES, NXPI, BMRN, MLM, STLD, MS, AMAT, EQIX, ALB, ADSK,

Bull Flag Bounces include:  DIA, BMRN, FMC, WYNN, ISRG, KHC, XEC, CHKP, COST, CERN, ADSK,

Horizontal Breakout Setups include: XLI, XLF, JPM, BAC, C, NUE, ULTA, EQIX, TXN, FTNT, WM, RRC, SWKS, STI, CERN, GLPI, OKE, EQT, MAT,

PCAR, TSCO, UTX, ADP, LUK, JEC, CLR, EA, BSX, YELP, RSPP, WRK, CRZO, FLIR, SWKS,

Horizontal Breakout include:  SWN, FISV, AMZN, FAS, JNJ, WWAV, CTXS, ZION, WMB, AXP,

New Highs include: NVDA, DLTR, CNP, MU,

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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 SPY MFC green line pointed up at 90, bullish.

84 of 100 NDX stocks closed higher on Thursday.

84 NDX stocks are above their 30 DMA.

NDX Stocks to Watch on Friday:

Moving Above 30 DMA = 11

CERN, CTRP, EBAY, FOXA, LVNTA, MAR, PCAR, PCLN, SBAC, WBA, YHOO

Moving Below 30 DMA = 0                                                                        

6-month Intermediate Term Market Trend: Neutral

3-day Short Term Market Trend: Up