SPX Closes Lower after 30-year Bond Auction and Powell Speaks...All Sectors Move Lower...DIS Positive EPS Reaction...

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The SPX -35.43 opened slightly higher, traded in a range until the 30-year bond auction at 1 pm ET when it broke morning support, it continued lower during Powell’s participation in an IMF Conference Panel Discussion on Monetary Policy with three other participants and closed lower.

There are seventeen Fed speakers scheduled this week with Bostic, Barkin, O’Neill Paese and Jerome Powell speaking today.  Powell stated the Fed will “continue to move carefully.”  Continue means that they will do what they are already doing.  This is NOT new information, however the market sold off as if policy was worse than it was yesterday.  Give credit to both the reporters and traders for their imagination that it was worse than yesterday. 

Breadth was turned negative on Thursday.

Thursday EPS reactions:  TDG +77.86, +8.70%, DIS +5.84, +6.91%,

BDX -23.68, -9.25%, CTVA -4.11, -8.45%.

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

SPY down 3.41 at 433.84 on 82.9 million shares, below average volume, closed lower on higher volume. 

VIX up .84 at 15.29

QQQ down 2.87 at 370.07

DIS, BA, UNH, PG led the DJIA, 7 advancers, -3

TDG, TPR, PARA, MOS led the SPX, 124 advancers

WBD, MU, MVRL, WDAY led the NDX, 22 advancers.

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

Up: 

Down:  DIA, QQQ, SPY, IWM,

All eleven sectors were lower on Thursday, least weak were XLC, XLI and XLE.

The SPY MFC green line is pointed up at 91.3 and is short-term bullish.  SPY opened slightly higher and closed lower.  If the green line turns down on Friday, our short-term posture will shift to counter-trend defensive.

Uptrend sectors:   XLE, XLC, XLK,

Neutral sectors:  XLF, XLY, XLI, XLB, XLV,

Down trend sectors:  XLU, XLRE, XLP,

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

3-month Intermediate Term Market Trend: Down

3-day Short Term Market Trend: Down a little

22 of 100 NDX stocks closed higher on Thursday.

57 NDX stocks are above their 30 DMA:  FAST, MSFT, LULU, NFLX, XEL, DLTR, ORLY, INTC, AEP, AMZN, CEG, CRWD, CTAS, ROST, TMUS, ADBE, ASML, CDNS, DXCM, GEHC, KDP, KLAC, MDLZ, MELI, SNPS, VRTX, AMD, AVGO, EXC, HON, META, MNST, MU, PEP, QCOM, SIRI, AAPL, AMAT, CPRT, EA, KHC, LRCX, NVDA, SBUX, WBD, COST, CSGP, PCAR, PDD, WDAY, ZS, BKNG, DDOG, INTU, MAR, MRVL, VRSK,

NDX Stocks to Watch on Friday:

Moving Above 30 DMA = 0

Moving Below 30 DMA = 7

ADI, ADSK, AMGN, GILD, IDXX, REGN, TTD,

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