SPX Pulls Back as Momentum Turns Negative...NFLX Leads SPX, NDX on Positive EPS Reaction...Energy, Communication Services Lead Sectors Higher...

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The SPX -24.82 opened lower, followed by a volatile trading range, closed lower and formed a spinning top.    The SPX pulled back even after positive earnings reactions from NFLX, ISRG, BKR, UAL and ELV.

QQQ, DIA, SPY and IWM each opened lower and closed lower as momentum turned negative.

DXY, TNX and /CL closed higher, while GLD and TLT moved lower.

65 SPX companies report EPS this week:  BAC, BK, SCHW, Tuesday: GS, HAS JNJ, LMT, SBNY, STT, TFC, ISRG, JBHT, NFLX, OMC, UAL, Wednesday: ABT, BKR, CFG, CMA, ELV, MKTX, MTB, NDAQ, NTRS, PG, PLD, TRV, CCI, EFX, IBM, KMI, LRCX, LVS, PPG, TSLA, Thursday: AAL, ALK, DGX, DHR, DOV, DOW, FCX, FITB, GPC, KEY, MMC, NUE, NVR, PM, POOL, SNA, T, TSCO, UNP, CSX, RHI, SIVB, WHR, Friday: AXP, HBAN, HCA, IPG, RF, SLB, VZ

First day reaction:

Positive: NFLX, ISRG, BKR, UAL, TRV, ELV, LMT, SBNY, GS, BAC, BK, USB, WFC, JPM, DAL, DPZ, FAST, PGR, WBA, BLK, PEP = 21

Neutral: PG, JBHT, CFG, STT, JNJ, C, UNH = 7

Negative: MTB, NTRS, CMA, ABT, PLD, MTKX, NDAQ, OMC, TFC, HAS, FRC, SCHW, MS, PNC = 14

SPY down 2.63 at 368.50, on 79.7 million shares, below average volume, down on lower volume.

VIX up .26 at 30.76, volatility remains elevated.

QQQ down .99 at 270.49

TRV, CVX, PG, WBA led the DJIA, 12 advancers, -13

NFLX, BKR, VLO, APA, UAL led the SPX, 116 advancers

NFLX, ISRG, ASML, AMAT led the NDX 28 advancers

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

Up:

Down:  QQQ, DIA, SPY, IWM,

Two of eleven sectors were higher on Wednesday, led by XLE and XLC and sector momentum declined.

Energy leaders:  BKR, VLO, APA, HAL

Communication Services leaders:  NFLX, NWSA, TTWO, DIS

Advancers weakened on Wednesday as decliners led 2,455 to 774 on the NYSE and led 3,408 to 1,259 on the NASDAQ.

The SPY MFC green line is pointed up at 28.1 and is short-term bullish.  SPY opened lower and closed lower and formed a doji candle.

Uptrend sectors:  XLE,

Neutral sectors:  XLF, XLI,

Down trend sectors:  XLB, XLY, XLK, XLV, XLU, XLP, XLRE, XLC,

The 6-month intermediate trend is down.  The ten-day trend is down.

3-month Intermediate Term Market Trend: Down

3-day Short Term Market Trend: Up

28 of 100 NDX stocks closed higher on Wednesday

26 NDX stock are above their 30 DMA:   BIIB, VRTX, ORLY, DXCM, GILD, PCAR, AMGN, KHC, PEP, SIRI, ABNB, ADP, ADSK, ILMN, KDP, NFLX, VRSN, CPRT, EA, FTNT, HON, MAR, CSCO, ISRG, MU, WBA,

NDX Stocks to Watch on Thursday:

Moving Above 30 DMA = 4

CSCO, ISRG, MU, WBA,

Moving Below 30 DMA = 9

CTAS, CTSH, IDXX, MNST, MRNA, ODFL, REGN, SBUX, ZM,

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