Q2 Comes to an End as Stocks Rally and Pullback Following Canadian Tariff Pronouncement...

© 2018

SPY, DIA, QQQ and IWM closed lower for the week.  Buyers started to take the market higher on Tuesday, Thursday and Friday and were met with selling that occurred after global trade developments occurred.  On Friday afternoon Canada announced retaliatory tariffs on US imports including strawberry jam, toilet paper, playing cards and ball-point pens.  Smucker’s SJM and Kimberly Clark KMB pulled back, as did the broad market following the Canadian announcement

2018 is half over.  Notwithstanding the 3%+ pullback in the broad market in the past three weeks, the opportunity to earn positive returns has been available during the first six months of 2018.

YTD Performance

QQQ +10.61%

IWM +7.67%

SPY +2.52%

DIA -0.97%

Top Sectors

XLY +11.37%

XLK +9.35%

XLE +6.55%

The DJIA, closed up 55 points at 24,271, led by strength in NKE, AXP and BA.

Seven sectors were higher on Friday, led by energy XLE +0.62% and materials XLB +0.35%.

SPY up .39 at 271.28, on 97.5 million shares, 30% above average volume. Up on higher volume

VIX down .76 at 16.09

Oil up .97 at 74.25

TLT down .42 at 121.72 on 11.1 million shares.

NKE +11.13%, AXP +1.06%, led the DJIA, 16 advancers -9.

WFC +3.37%, IPGP +3.19% and FCX +2.80%, led the SPX.

VRTX +15.16%, CELG +3.60%, BMRN +3.35%, and NTES +2.45%, led the NDX.

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

Up: QQQ, DIA, SPY,

Down: IWM

Breadth was stable on Friday, as advancers led 1,691 to 1,201 on the NYSE and led 1,596 to 1,348 on the NASDAQ

The SPY MFC green line is pointed down at 36, short-term bearish. 

Uptrend sectors:  XLY, XLK, XLRE, XLE, XLU,

Neutral sectors: XLV, XLF, XLI, XLB, XLP

Down trend sectors:

The 6-month intermediate and long-term trends are still up.  The three-month trend is sideways.  The ten-day trend is down.

3-month Intermediate Term Market Trend: Sideways

3-day Short Term Market Trend: Sideways

67 of 100 NDX stocks closed higher on Friday.

39 NDX stocks are above their 30 DMA.  COST, FB, NFLX, FOXA, ALGN, EA, AMGN, KHC, REGN, ROST, TSLA, CHTR, HAS, MDLZ, MNST, DISH, TMUS, HOLX, HSIC, NTES, CTSH, ALXN, ISRG, AMZN, ATVI, CMCSA, CTRP, GILD, IDXX, INTU, PAYX, SHPG, TTWO, BMRN, CELG, GOOGL, ILMN, MELI, VRTX,

NDX Stocks to Watch on Monday:

Moving Above 30 DMA = 6

BMRN, CELG, GOOGL, ILMN, MELI, VRTX,

Moving Below 30 DMA = 2

ADP, CHKP,

Intermediate-term trending stocks: 

RACE, ADBE, IBKR, ETFC, MA, V, ISRG, WIX, NDAQ, WYNN, VRSN, TAL, COP, CRM, NTAP, RNG, AA, WUBA, FCAU, NVDA, SQ, ALGN, AKAM, SHOP, EL

BA, MU, MAR, CMA, CME, ANET, HRS, KORS,

DLTR, WB, TPR,

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