SPY Reaches Pre-Brexit Resistance Area...MU Drops on EPS...

Seven of nine sectors moved higher on Friday …XLY, XLV and XLE were the strongest sectors while XLF was the weakest sector.  Oil futures rose .88 to close at 49.28.

For the week ended July 1, XLV +4.14%, XLU +3.69%, XLY +3.57%, XLP +3.37%, 
SPY +0.12%,
Lagging sectors XLI +3.33%, XLF +2.99%, XLK +2.81%, XLE +2.73%, XLB +0.74%,

YTD 126

Leading Sectors: XLU +21.26%, XLE +13.73%, XLP +8.71%, XLB +6.77%, XLI +6.00%,

SPY +2.97%,

Lagging Sectors: XLK +1.49%, XLY +0.91%, XLV +0.18%, XLF -4.57% 


Breadth weakened as advancers led 1,909 to 1,088 on the NYSE and led 1,563 to 1,001 on the NASDAQ.

Friday – weakened, advancers led, +7

Thursday – weakened, advancers led, +9

Wednesday – strengthened, advancers led, +9

Tuesday – strengthened, advancers led, +9

Monday – strengthened slightly, decliners led, +1

SPY up .45 at 209.92 on 106.0 million shares, 5% above average volume

VIX down .86 at 14.77

TLT up 1.67 at 140.57…on 15.4 million shares, 85% above average volume

Technical Commentary:

QQQ +0.50%, IWM +0.36%, SPY +0.21%, DIA +0.17%,

XLY was the strongest sector after being weakest sector for two days.

SP futures form doji.

SPY near 15-month resistance.

Move stops to protect profits as SPY and indexes near resistance.

Signs of slowing buying momentum near resistance.

Earning’s Announcements:

Positive Reactions: 

Negative Reactions: MU,

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:  NFX, SYMC, RRC

Horizontal Breakout Setups include: NKE, EA, INCY, ATVI, MLM, JD, MSFT, MUR, CELG, FAST, EQT, AVGO, XEC, CERN, CTRP, TMUS, COG, CVX, AVB, EQR, ESS, GGP, EQIX, NRG, FB, DLTR, UNH, ROST, TXN, ESRX, DVN, FCX, AKAM, AMAT, BIDU, BBBY, BMRN, EXPE, QCOM, TRIP,

Horizontal Breakout include: RIG, OKE, NFLX, GPS, AMZN, ULTA, MNST, AES, BCR, AIV, CHTR, CTRP, MMST,

New Highs include: NEM, SYK, IRM, NI, CNP, JNJ, DLR, FRT, O, VTR, PNW, SPG, SE, CNP, AIV, XOM, INTU, KIM, MAC, CCI, AWK, EIX, DG, CMS, WEC, NEE, CNP, CINF, AMT, HCN, CINF, UDR, ADP, FISV, SBAC, CMCSA

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Short-term Movers:

SPX gainers:  HOG, HSY, RIG, MPC, MNK, GIS, WY, NEM, UA, HES, URBN, MRO, NRG, LUK,  FCX, STZ, KMX, VRTX, MUR, TRV, ADP, FE, SE, WYN, AIV, AAP, CINF, ABC, MCK, LLY, CBS, UDR, CTAS, XL, O, CPB, EXC, PHM, IRM, COH, FOSL, LVLT, NKE, K, MS, AIZ, FRT, GWW, KIM, GE, AON, PEG, GPC, ESS, FIS, AJG, NAVI, FSLR, MAC, EQR, NI, BF/B, SNA, EFX, AWK, DLR, ADM, FTI, KORS, PSA, HRB, CTL, SO, CB, SPG, HCN, TWX, CHK, XEC, +5, 98

SPX losers:  DRI, CBG, HUM, CF, SCHW, DOW, GCI, WMB, TDC, MA, PBCT, MON, DD, RGH, VLO, STT, UHS, -2, 19, < 0 total 63

NDX gainers:  ENDP, TSLA, NFLX, PAYX, AAL, NTES, CHTR, VRTX, ATVI, BIIB, ADP, CERN, MDLZ, SBAC, INTU, WFM, MAR, MAT, QVCA, CMCSA, EXPE, BMRN, REGN, INCY, FISV, GILD, LMCA, KHC, AMGN, ALXN, YHOO, TMUS, CELG, TRIP, SBUX, MNST, AKAM, +4, 38

NDX losers:  MU, WDC, NXPI, NTAP, CTSH, -1, 5, < 0 total 8

YTD: 126

SPX Leaders:  NEM, OKE, SWN, RRC, FCX, SE, EQT, IRM, COG, MUR (314, +15 > 10p 198, +58)

SPX Losers:  MPC, PRGO, SIG, TSO, CF, HRB, LB, ABC, VLO, FSLR

NDX Leaders:  NVDA, ULTA, AMAT, CHTR, ISRG, DLTR, KHC, FISV, MAT, INTU (47, +12, >10p 18, +8)

NDX Losers:  ENDP, LMCA, ALXN, STX, REGN, JD, AAL, VRTX, NCLH, LBTYA

DJI Leaders:  VZ, XOM, UNH, WMT, JNJ, MMM, CVX, CAT, IBM, MRK (18, +2)

DJI Losers:  GS, AXP, NKE, BA, AAPL, MSFT, JPM, DIS, INTC, 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 SPY MFC green line is pointed up at 55, bullish. 

59 of 100 NDX stocks closed higher on Friday.

56 NDX stocks are above their 30 DMA.

NDX Stocks to Watch on Tuesday:

Moving Above 30 DMA = 10

AMGN, CSX, ENDP, FAST, GILD, INCY, MAT, NFLX, TSLA, WFM

Moving Below 30 DMA = 1

AVGO

6-month Intermediate Term Market Trend: Neutral

3-day Short Term Market Trend: Up