Thursday, October 25, 2018

SPX Rally Today...AMZN, GOOGL Sink in After Hours on Revenue Miss..




© 2018

Earnings season continued on Thursday. Positive reactions included TWTR, XLNX, MORN, SHOP, IP, F, TSLA, AAL and MSFTNegative reactions: ALGN, FF, AMD, EFX, TRN.

The DJIA, closed up 401 points at 24,984led by strength in BA, UNH, V, MSFT and GS.  This is the second close below 25,000 since July 12.

SPX staged a terrific rally, a 58% recovery of Wednesday’s selloff.  After the close AMZN -7.42% and GOOGL -3.95% reported EPS with strong earnings but missing on revenue and the stocks dropped.  This will likely have a dampening effect on Friday’s open

Ten of eleven sectors were higher, led by technology XLK +3.44% and communication XLC +3.31%.

SPY up 4.76 at 270.08, on 137.9 million shares, 32% above average volume. Up on lower volume.
VIX down 1.01 at 24.22 
Oil up .59 at 66.98
TLT down .48 at 114.30 on 12.6 million shares. 

MSFT +5.84%, V +4.66%, led the DJIA, 23 advancers, +18.
TWTR +15.47%, IP +10.25% and FOSL +10.07%, led the SPX.
XLNX +15.01%, TSLA +9.14%, TTWO +8.77%, and AMZN +7.09% led the NDX.

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

Up: QQQ, IWM, SPY, DIA
Down:

Breadth strengthened on Thursday, as advancers led 2,135 to 801 on the NYSE and led 2,133 to 894 on the NASDAQ

The SPY MFC green line is pointed down at 17 and is short-term bearish.

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


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

3-month Intermediate Term Market Trend: Down
3-day Short Term Market TrendDown

93 of 100 NDX stocks closed higher on Thursday.


10 NDX stocks are above their 30 DMA.  SBUX, WBA, CDNS, TSLA, PEP, CMCSA, ESRX, PYPL, QRTEA, XLNX,


NDX Stocks to Watch on Friday:
Moving Above 30 DMA = 5
CMCSA, ESRX, PYPL, QRTEA, XLNX,

Moving Below 30 DMA = 0



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