SPY Selloff Slows as Doji Candle Forms...FOMC Announcement on Wednesday Afternoon...

Five of nine sectors moved higher on Tuesday …XLU, XLP and XLK were the strongest sectors while XLF was the weakest sector.  Oil futures fell .66 to close at 47.90.

Breadth strengthened as decliners led 1,968 to 1,047 on the NYSE and led 1,542 to 1,061 on the NASDAQ.

Tuesday – strengthened, decliners led, +5

Monday – strengthened, decliners led, +0

Friday – weakened, decliners led, +1

Thursday – weakened, decliners led, +3

Wednesday – strengthened, advancers led, +8

SPY down .41 at 208.04 on 125.0 million shares, 55% above average volume

VIX down .47 at 20.50

TLT down .10 at 135.28…on 9.0 million shares, 34% above average volume

Technical Commentary:

QQQ 0.00%, SPY -0.20%,  IWM -0.29%, DIA -0.31%,

SPY has fallen -2.14% over the past four trading days since its high on June 8.

The May Retail Sales report was 0.5% vs. 0.3% forecast. 

The FOMC announcement on Wednesday afternoon 2 pm ET.

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:  NVDA, RRC, CVX, XOM, TMUS, INCY, MU, PAYX, SPY, DIA, IWM, AVGO, X, SWN, MXIM, MRK, AMZN, QQQ, CAT, AMAT, CTXS, PCLN, ESRX, TXN, UNH, WDC, STLD, NUE, AKS, CMCSA, WFM, DD, DISH, DLTR, EA, STX, SCHN, NXPI, ULTA, VIAB, VRTX, MNST,

Bull Flag Bounces include: MYL,

Horizontal Breakout Setups include: IRM, NEM, MCD, WYNN, KHC, FISV, KO, DPS

Horizontal Breakout include: IRM,

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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 is pointed down at 76, time to be defensive

47 of 100 NDX stocks closed higher and one was unchanged on Tuesday.

59 NDX stocks are above their 30 DMA.

NDX Stocks to Watch on Wednesday:

Moving Above 30 DMA = 6

AKAM, ATVI, ENDP, MAT, SBUX, YHOO

Moving Below 30 DMA = 2

SBAC, TRIP

6-month Intermediate Term Market Trend: Neutral

3-day Short Term Market Trend: Down