Stocks Drift Lower on Friday While Closing Higher for the Week...

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Futures rose overnight and fell from the open on Friday after indications from Russia about possibly not selling titanium to BA if sanctions were imposed.  The SPX closed down 7.69 points.  QQQ, IWM, SPY and DIA all closed higher for the week.

Initial positive EPS reaction on JPM and C turned negative after the SPX pulled back on Friday.  A look at the charts indicates that it is common for JPM and C to have price fluctuation in the opposite direction following an EPS reaction.  In the past pullbacks following an initial positive reaction have little impact on the intermediate term trend.  Earning season continue on Monday.

The DJIA, closed down 122 points at 24,360, led by weakness in BA, GS, JPM, IBM, TRV, and MMM. (125 points) 

Four sectors were higher on Friday, led by energy XLE +1.10% and industrials XLU +0.79%.

SPY down .78 at 265.15 on 85.0 million shares, 22% below average volume. Down on higher volume.

VIX down 1.08 at 17.41

Oil up .23 to 67.39

TLT up .28 at 120.90 on 4.9 million shares.

GE +2.35%, KO +1.09%, led the DJIA, 12 advancers.

ALK +6.11%, FFIV +4.52% and CXO +3.21%, led the SPX.

AVGO +3.14%, TSLA +2.13%, ULTA +1.41%, and STX +1.24%, led the NDX.

Intermediate and long term up trend intact.  3-day short term trend is up.

Up:

Down: SPY, DIA, QQQ, IWM,

Breadth weakened on Friday, as decliners led 1,609 to 1,265 on the NYSE and led 1,725 to 1,160 on the NASDAQ.

The SPY MFC green line is pointed up and is at 38, bullish. 

Uptrend sectors:  XLRE, XLU,

Neutral sectors: XLY, XLF, XLV, XLI, XLB, XLE, XLK

Down trend sectors: XLP,

Intermediate-term trending stocks:  Many of these stocks have had significant pull backs over the past two months and it is appropriate to wait for the uptrend to resume before considering entry… ADBE, IBKR, ETFC, EL, TPR, WIX, NDAQ, WYNN, MU, VRSN, ANET, AKAM, COP, CRM, HRS, KORS, NTAP,

SQ, CMA, CME, RNG, AA, WUBA, FCAU, MA, V, ALGN, TAL,

BA, DLTR, NVDA, MAR, ISRG, WB, RACE, SHOP,

22 of 100 NDX stocks closed higher on Friday.

29 NDX stocks are above their 30 DMA.  WYNN, SHPG, ADBE, HSIC, SBUX, VRSK, DLTR, ULTA, VOD, ADP, ASML, CTXS, INTC, PCAR, STX, SYMC, AAPL, ADI, ALGN, BMRN, CELG, CHKP, COST, ILMN, MSFT, NFLX, AVGO, FOXA, HAS,

NDX Stocks to Watch on Monday:

Moving Above 30 DMA = 3

AVGO, FOXA, HAS,

Moving Below 30 DMA = 8

ADSK, CSCO, CSX, CTAS, INTU, MYL, ROST, TMUS,

The intermediate and long-term trends are still up.  The three-month trend is sideways.  The ten-day trend is sideways.

6-month Intermediate Term Market Trend: Up

3-day Short Term Market Trend: Up

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