Thursday, January 19, 2023

SPX Closes Lower as Sellers and Buyers Find Balance...Energy, Communication Services, Health Care Lead Sectors...META, GOOG Lead NDX...


© 2023
 
-The SPX -30.01 opened lower and closed higher.
-The SPX regained some balance between sellers and buyers on Tuesday.
-QQQ and IWM closed lower today and remained above its 30 DMA.  SPY closed just below its 30 DMA and above its Dec 21 resistance high that now is theoretically support.
-VIX closed above Wednesdays close but below Thursdays open.
-Fed’s John Williams said in his speech today, “I should also give the standard Fed disclaimer that the views that I express today are mine alone and do not necessarily reflect those of the Federal Open Market Committee (FOMC) or others in the Federal Reserve System.” 
 
Get that?  The views that he expresses are his “alone.”  When Fed members speak, they are expressing their view, which could also be stated opinion.  In fact, the word view is one of the synonyms for the word opinion.  Why is the market gyrating almost daily because a Fed member expresses a personal view (opinion), rather than waiting for an actual FOMC policy decision or statement?
 
/CL, GLD and TNX closed higher, while DXY and TLT moved lower.

Mega caps META, GOOGL, AAPL rose and NVDA, TSLA, AMZN, MSFT fell on Thursday.


iBB:  In our model account we maintain a net long position.  We had one LPV position hit its profit target, and we continued to reduce our Jan 20 exposure and added bearish LPVs and increased slightly our Jan 27 risk exposure with a new position.


Day 4 of Q4 Earnings Season today with four SPX companies reporting BMO:

First day reaction: Q4 through Jan 19…
PositiveCMA, MTB, TFC, FITB, KMI, JBHT, PLD, MS, SBNY, WFC, JPM, BAC, BK, C, FRC = 15
Neutral: DFS, BLK = 2
Negative:  NTRS, KEY, PG, FAST, PNC, UAL, SCHW, GS, CFG, DAL, UNH = 11

26 SPX companies report EPS this week:
Tuesday:  CFG, GS, MS, SBNY, UAL,
Wednesday:  JBHT, PLD, PNC, SCHW, DFS, KMI,
Thursday:  CMA, FAST, FITB, KEY, MTB, NTRS, PG, TFC, NFLX, PPG, SIVB,
Friday:  HBAN, RF, SLB, STT


SPY down 2.85 at 388.64, on 86.9 million shares, above average volume, down on lower volume.
VIX up .18 at 20.52
QQQ down 2.73 at 275.15

UNH, MRK, CVX, CRM led the DJIA, 11 advancers, +11
CMA, MTB, TFC, EXPE led the SPX, 115 advancers
META, GOOG, WDAY, FANG led the NDX, 19 advancers.

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

Up:
DownDIA, SPY, IWM, QQQ,

Three of eleven sectors were higher on Thursday, led by XLE, XLC and XLV.

The SPY MFC green line turned down at 55.7 and is defensive.  SPY opened lower and closed lower.

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

The 6-month intermediate trend is sideways.  The ten-day trend is up.

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


19 of 100 NDX stocks closed higher on Thursday.

48 NDX stock are above their 30 DMA:   AZN, AVGO, ALGN, BKNG, META, SGEN, CMCSA, PDD, PYPL, SBUX, EBAY, IDXX, MU, NFLX, WBD, BKR, CHTR, AMAT, ASML, CTSH, FANG, INTC, KLAC, LRCX, ODFL, TMUS, ADBE, ANSS, CDNS, MELI, ADSK, AMZN, ISRG, NXPI, QCOM, ABNB, AMD, FISV, LCID, MAR, NVDA, TEAM, CPRT, GOOG, GOOGL, OKTA, VRTX, AAPL, EA,

NDX Stocks to Watch on Friday:
Moving Above 30 DMA = 1
EA,


Moving Below 30 DMA = 13
BIIB, COST, CPRT, CSX, DLTR, GFS, ILMN, MCHP, MRVL, ROST, TXN, VRSK, ZS,




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