Thursday, August 2, 2018

QQQ, SPY Open Lower on Trade Posturing, Then Strong Bull Flag Bounce with Bullish Engulfing Candle...AAPL Hit Trillion $ Market Cap...SQ Strong EPS Move...




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TSLA +48.70, +16.19%, SQ +5.79, +8.66% rose on a strong EPS reaction and AAPL +2.92%, rose for the second day following a strong EPS on Tuesday.


Six sectors were higher on Thursday, led by technology XLK +1.26% and discretionary XLY +0.69%.

The DJIA, closed down 7 points at 25,326, as weakness in BA, GS, CVX and MMM was offset by strength in AAPL, UNH, PG and MSFT.  This is the fifteenth consecutive close above 25,000 since June 15.

SPY up 1.53 at 282.39, on 63.3 million shares, 4% below average volume. Up on higher volume.
VIX down .96 at 12.19
Oil up 1.14 at 68.99
TLT up .17 at 118.63 on 4.4 million shares.

AAPL +2.92%, PG +1.67%, led the DJIA, 13 advancers, +3.
PKI +8.32%, GPN +6.51% and ZTS +6.29%, led the SPX.
TSLA +16.19%, REGN +7.00%, ESRX +4.76%, and TMUS +4.75%, led the NDX.

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

Up: QQQ, IWM, SPY,
Down: DIA

Breadth strengthened on Thursday, as advancers led 1,705 to 1,162 on the NYSE and led 1,750 to 1,194 on the NASDAQ

The SPY MFC green line is at the upper zone pointed down at 79.97, short-term yellow alert.  

Uptrend sectorsXLV, XLP, XLY, XLK, XLU, XLRE,
Neutral sectors: XLE, XLB, XLF, XLI,
Down trend sectors:

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

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

74 of 100 NDX stocks closed higher on Thursday.


63 NDX stocks are above their 30 DMA.  COST, AMGN, REGN, HAS, MDLZ, HOLX, HSIC, ISRG, AMZN, CTRP, GILD, IDXX, SHPG, BMRN, CELG, VRTX, CHKP, EXPE, BIIB, CA, CTAS, FB, GOOGL, MELI, ORLY, CTXS, MSFT, FAST, AAPL, DLTR, QCOM, WBA, ASML, PCAR, ROST, XLNX, CSX, XRAY, CERN, MAR, SBUX,  AMAT, CMCSA, LRCX, KLAC, MXIM, ILMN, VRSK, LBTYA, SNPS, ADBE, ALGN, CDNS, CSCO, JBHT, MCHP, MNST, NVDA, PAYX, TMUS, TSLA, TXN, WDAY,


NDX Stocks to Watch on Friday:
Moving Above 30 DMA = 13
ADBE, ALGN, CDNS, CSCO, JBHT, MCHP, MNST, NVDA, PAYX, TMUS, TSLA, TXN, WDAY,

Moving Below 30 DMA = 5
ALXN, CHTR, CTSH, MYL, VOD,

Intermediate-term trending stocks
ADBE, ETFC, MA, V, ISRG, WIX, NDAQ, VRSN, COP, CRM, NTAP, RNG, SQ, ALGN, GRUB, AKAM, CDNS, FISV, BA, MU, CMA, HRS, SHOP, EL, NVDA, CME,
MAR, ANET, KORS, IBKR, RACE, WYNN, TAL, AA, WUBA, FCAU,


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4 comments:

Devoir said...

What a great day to pick up cash from the market...

Dave Johnson said...

Definitely a profitable bounce...DJ

snp said...

made coin shorting sq on the rsi rollover. rising F flags are fadable. sq now in divergent territory: every new high is shortable. earnings were only in line.

not sure i would describe index movement as strong, tho certainly price movement was profitable. its more like a super low volume, no participation, algo bot melt up, usual for summer. each new high in the market is divergent also now so the closer to 3000 it gets the more likely there will be a january repeat. imo only.

Dave Johnson said...

snp...thanks for sharing and you're right, strong compared to what? Strong is a relative term Thursday may not seem strong depending on what you are comparing it to. Compared to the spinning tops on Tuesday and Wednesday and the red candles on the previous Friday and Monday, Thursday's bounce candle was strong. Also the bullish engulfing pattern is generally considered the strongest of the bullish candles. Thursday's strong bounce was also the largest (strongest) white candle since May 4. If one ignores all those facts and all that data, Thursday's bounce may not seem that strong. Continued success to you. DJ