FOMC No Change, SPX Closes 2,097...Oil Slides Lower...YELP, ABC, SHOP, HSIC Up on EPS...FB Sinks After Warning...

All ten sectors moved lower on Wednesday …XLP, XLI and XLV were the strongest sectors while XLRE was again the weakest sector.  Oil futures dropped .82 to close at 45.51, its lowest close since Sep. 27.

Breadth weakened as decliners led 2,314 to 720 on the NYSE and led 2,035 to 703 on the NASDAQ.

Wednesday – weakened, decliners led, +0

Tuesday – weakened, decliners led, +1

Monday – strengthened, advancers led on the NYSE, +6

Friday – strengthened, decliners led, +5

Thursday – weakened slightly, decliners led, +2

SPY down 1.27 at 209.74 on 103.3 million shares, 18% above average volume

VIX up .76 at 19.32

TLT up .57 at 131.58…on 8.6 million shares, 7% above average volume

Technical Commentary:

DIA -0.43%, SPY -0.60%, QQQ -0.80%, IWM –1.27%,

FOMC no change in rates, price volatility increased before the announcement at 2 pm ET and continued until the close

SPX continued below 2,120, closes at 2,097 near Tuesday’s low

Bearish on the SPX below 2,115

VIX rises for seventh straight day

IWM continues to fall and potential MACD bullish divergence disappears

FB reported earnings after the close and dropped 7% on guidance of slowing growth in mid-2017

Jobs report Friday

SPX Leaders: ABC, HSIC, ZTS, MCK, DVN, NBL, ANTM, DR, ESRX, ADP, PDCO, CMG, CAH, DLPH, XRAY, AVGO, CAN, FL and HPQ

Earning winners and losers again indicates institutional money is rotating based on earnings.  Tuesday’s winners included ABC, HSIC, ZTS, DVN, NBL, ANTM, ADP and EA.  Losers included FTR, CERN, PXD, SRE, AGN and OKE.

After-hours Trading

Higher: RIG

Lower: FB, AIG,

Earnings Announcements

Monday – CHKP, DO, SCTY, TSO,

Tuesday – ADM, COH, GILD, HRS, HLF, ILMN, MOS, NFX, NBL, PAYC, DATA, CAVM, VRSK, SQ, X

Wednesday – BABA, AIG, FB, FSLR, QCOM, HSIC, SHOP, FOXA, UVE, YELP, RIG

Thursday – DDD, APA, CHTR, CI, CS, FOSL, LVS, LBTYA, MNST, PRAA, SWKS, SBUX, SLCA, UBNT

Friday – MCHP,

EPS Positive Reactions

YELP, SHOP, ABC, SQ, HSIC, ZTS, DVN, NBL, ANTM, ADP, EA, VRSK, ADM, HRS, MOS, CHKP, COH, TSO, RCL, HBI, SRCL, HSY, EMN, VRSN, UBS, BIDU, CRUS, EXPE, MO, CVX, FFIV, WDC, COP, DOW, AKAM, JNPR, BA, NCR, OI, FLIR, ROL, TSS, LMT, KEY, FCX, VLO, BHI, SAVE, AKS, TMUS, MCD, PYPL, MSFT, MXIM, AXP, SNA, MAT, BK, STLD, WBA, ALK, URI, HAL, MS, USB, NFLX, HOG, UNH, GS, CE, DPZ, CMA, UAL, HAS, DAL, CSX, COST, RHT, FDX, ADBE

EPS Negative Reactions

PAYC, DATA, CAVM, BABA, X, GILD, HLF, ILMN, NFX, DO, SCTY, AMZN, MCK, ABC, CAH, GT, ABBV, LM, COG, CA, AMGN, AET, LITE, XOM, CLF, ORLY, NEM, POT, AAPL, EW, CMG, LUV, CMCSA, UA, P, WHR, PNRA, JBLU, GM, MMM, NLSN, WAT, SHW, MAS, PNR, MCO, EBAY, TRV, LRCX, TSCO, INTC, ISRG, ST, JNJ, IBM, AA, FAST, ILMN, MU, PAYX, CCL

EPS Neutral Reactions

FOXA, GOOGL, PSX, SKYW, BX, CA, TWTR, UPS, TSLA, MO, NXPI, STT, GD, KO, ESRX, VRTX, PCAR, AAL, NUE, XLNX, CTXS, LLTC, BAC, C, JPM, PNC

Consider moving up stops on short term bullish trades that could pull back.  All according to your profit protection rules.

Remember breakouts typically test about 70% of the time.

Technical analysis based trades should be closed before earnings. After-hours

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: MSFT, PYPL, AKAM, RCL, NCLH, CCL, CE, GS, USB, STLD, JPM, BAC, C, MS, TMUS, WDC, SCHN, ALK, NVDA, QCOM, NFLX, MXIM, AKS, SAVE, MDLZ, SRCL, MAT, CTXS, VRSN, TXN, ULTA, STI, NTES, EXPE, HAS, ZION, SOXL, CMA,

Bull Flag Bounces include:

Horizontal Breakout Setups include: NUE, UAL, SQ, NEM, AAL,  

Horizontal Breakouts include:

New Highs include: DAL, DPZ, HSY, MLM,

Horizontal Break of Support Setups include: ADSK, TRIP, CAVM, DO, ATVI, CMCSA, COST, DLTR, PCAR, SBUX,

Break of Support: AMZN, BBBY, BIDU, CERN, CTRP, JD, TSLA, 

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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 19, bearish. 

25 of 100 NDX stocks closed higher and two were unchanged on Wednesday.

27 NDX stocks are above their 30 DMA.

NDX Stocks to Watch on Thursday:

Moving Above 30 DMA = 4

ADP, AVGO, CSX, ESRX,

Moving Below 30 DMA = 11

CTXS, DISH, FB, KHC, MXIM, PCLN, SIRI, SRCL, TRIP, VIAB, WDC,

6-month Intermediate Term Market Trend: Up

3-day Short Term Market Trend: Down