SPX Open Lower, Close Higher, Key Reversal Day...QQQ Bull Flag Setup...

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Markets opened lower Thursday, after the Weekly Jobless claims report was higher than expected, and reversed after the first hour of trading bouncing up from support where buyers took over from sellers. 

NDX +94.35, +1.05%, and SPX +32.50, +1.15%, opened lower and closed higher making a key reversal day.  Both NDX and SPX formed bullish piercing line candles.  also opened slightly higher and closed lower for the second straight day.  The NDX is a bull flag setup and the SPX is a channel bounce setup.   

Ten of eleven sectors were higher on Thursday, led by XLF, XLY and XLK

SPY up 3.37 at 284.97 on 121.7 million shares, average volume, up on lower volume.

VIX down 2.67 at 32.61

AXP, UNH, CSCO led the DJIA, 26 advancers, +25

LEG, COF, VNO, SIVB led the SPX, 381 advancers

CTAS, LRCX, KLAC, AMAT led the NDX, 85 advancers

The two-year trend term is up.  The one-year trend is sideways.

A seven-week uptrend has emerged following a higher low W pattern reversal in March. 

Up: DIA, SPY, QQQ, IWM,

Down:

Breadth strengthened on Thursday as advancers led 1,613 to 1,350 on the NYSE and decliners led 1,659 to 1,649 on the NASDAQ

The SPX MFC green line is pointed down at 85.7 and is counter-trend defensive.  Price action is day three of a counter-trend pullback and key reversal day.

Uptrend sectors:  XLV, XLK, XLP, XLY, XLC, XLB,

Neutral sectors:  XLE, XLU, XLRE, XLI, XLF,

Down trend sectors:

The 6-month intermediate trend is down a little.  The ten-day trend is sideways.

3-month Intermediate Term Market Trend: Sideways

3-day Short Term Market Trend: Down

85 of 100 NDX stocks closed higher on Thursday.

71 NDX stocks are above their 30 DMA:  SGEN, AMZN, CDNS, NFLX, REGN, TTWO, VRTX, INCY, AMGN, ATVI, CSCO, EA, ILMN, KHC, VRSN, AVGO, CHTR, IDXX, ISRG, KLAC, LULU, MSFT, MXIM, NVDA, ORLY, PEP, SNPS, SWKS, ADI, FB, QCOM, SBUX, AAPL, ADSK, EBAY, FAST, GOOGL, INTU, LBTYA, MCHP, MELI, MNST, PYPL, SPLK, WDAY, ADBE, ALGN, TSLA, BMRN, VRSK, FISV, NXPI, CPRT, CTXS, ZM, AMAT, JD, NTES, BIIB, TMUS, ALXN, AMD, CHKP, CSX, CTAS, EXPE, FOXA, INTC, LRCX, MU, NTAP,

NDX Stocks to Watch on Friday:

Moving Above 30 DMA = 10

AMD, CHKP, CSX, CTAS, EXPE, FOXA, INTC, LRCX, MU, NTAP,

Moving Below 30 DMA = 0

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