Wednesday, March 22, 2017

Flags Flying, Indexes Find Support as Selling Slows and Buying Demand Increases...


Setups to Watch for Thursday

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Technical Commentary

All four indexes and their respective ETFs made a lower low on Wednesday and then rallied each forming a bullish candle.  Our Tuesday observation, “…suggesting the bottom was not likely today.  Look for at least another day of short-term downside” turned out to be accurate.  Look for a potential bounce on Thursday.
 
The intermediate and long-term trends are still up.


QQQ +0.68%, SPY +0.24%, DIA +0.03%, IWM +0.02%,

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Up Trend: XLK, XLP, XLU, XLV
Sideways: XLB, XLF, XLRE, XLI, XLY,
Down Trend: XLE

Breadth weakened as decliners led 1,602 to 1,423 on the NYSE and led 1,630 to 1,216 on the NASDAQ.

Wednesday – strengthened, advancers led on the NYSE, +7 sectors
Tuesday – weakened, decliners led, +1
Monday – weakened, decliners led, +4
Friday – strengthened, advancers led, +6
Thursday – weakened, advancers led, +3

SPY up .55 at 234.28 on 97.5 million shares, 24% above average volume,
VIX up .34 at 12.81
TLT up .48 at 120.62…on 11.6 million shares 31% above average volume

Oil futures were up .01 to close at 48.16 on Wednesday.

The SPY MFC green line is pointed down at 72, be defensive until SPY moves above short-term support/resistance at 234.72.

6-month Intermediate Term Market Trend: Up
3-day Short Term Market Trend: Down



SPX and NDX Highlights

SPX up 4 points at 2,348.

SPX gainers MAR, VTR, FMC, ILMN, UAL, XYL, WDC, FCX, COO, SYMC, BBY, CMG, FDX, MU, NVDA, AMD, WRK, IDXX, CSX, GLW, RCL, MLM, CNC, MCHP, HCP, CTSH, BWA, QRVO, RHT, KEY

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QQQ closes up .88 at 130.69.
   
NDX point gainers: AAPL, MSFT, FB, AMZN, INTC, NVDA, MAR, CSCO, TXN, CSX, TMUS, TSLA, PYPL and AVGO

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82 of 100 NDX stocks closed higher on Wednesday.

56 NDX stocks are above their 30 DMA.

NDX Stocks to Watch on Thursday:
Moving Above 30 DMA = 6
AKAM, AMZN, ILMN, JD, MSFT, VRTX

Moving Below 30 DMA = 0


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Strong Stocks: Setups and Moves You Can Use

Bull Flag Setups include: ADBE, AMAT, ATVI, AVGO, CTRP, EA, EXPE, FB, FISV, HAS, HOLX, KLAC, LRCX, MXIM, NFLX, NTES, NVDA, NXPI, PAYX, PCLN, SWKS, SYMC, TSLA, TXN, ULTA, YHOO, HD, JNJ, UNH, CLX, FLEX, DIS, MMM, SOXL, UTX, BABA, WIX, LVS,

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Bull Flag Bounces include: MNST, (1)

One Day Pullback: NRG,

MACD Histogram Bullish Divergence: X, STX, BA, IBM, PANW,

Horizontal Breakout Setups include: PYPL, MCD, AMD, EBAY, INTC, GDXJ, XLU, TLT,

Horizontal Breakouts include: RCL,

New Highs include: MAR, CCL, WYNN,

At Support Setups include: ADI, ADP, AMZN, WDC, GLW, CMCSA, V, ALK, LNG, ROST, IWM, NUE, AA, LUV, AAL, DAL, UAL, CF, RF, CSX, AMBA

Support Bounce:

Break of Support: GS, ZION, STI,


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Earnings

This week:
Monday
Tuesday – GIS, LEN, FDX, NKE
Wednesday – CTAS,
Thursday – ACN, PVH, CAG, MU
Friday

Earnings Reports
Positive earnings reactions
FDX +4.08, +2.13%

Negative earnings reactions
NKE -4.09, -7.05%

After-hours reports
CTAS


2016 Q4 EPS (since Mar 7)
EPS Positive Reactions
FDX, TIF, ADBE, ORCL, ULTA, SIG, HRB

EPS Negative Reactions
NKE, LEN, GIS, URBN,



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