SPX Falls after JPM Earnings Reaction and Middle East Concerns Rise...All Sectors Move Lower...AAPL Leads DJIA and NDX...

© 2024

The SPX -75.65, 5,123.41, opened lower after JPM reported EPS and news reports of a potential attack of Israel by Iran sent /CL oil futures and the DXY dollar index higher, while /ES futures moved lower. 

As I have stated for years “markets are efficient for liquidity, not value or price. “A small volume of one to three percent (or less) of outstanding shares can result in large percentage drops in a stock price when supply outweighs demand.  Market makers and other buyers make rapid adjustments when they see more supply than demand and as bid side size drops, prices can fall quickly. 

This week the SPX fell immediately after the CPI report Wednesday morning and again Friday morning after JPM earnings reaction and reports of increasing middle east tensions.  The SPX closed -1.56% and the NDX -0.58% for the week.

Friday was the unofficial start of earnings season with BMO reports from JPM, C, WFC, BLK, STT, PGR.  Other SPX EPS this week: DAL on Wed, FAST, KMX, STZ on Thur.

Monday:  GS, MTB, SCHW report BMO.

First day reaction: Q1

Positive:  STT, STZ = 2

Neutral:  PGR, WFC = 2

Negative:  JPM, BLK, C, KMX, FAST, DAL = 6

AAPL +1.51, +0.86%, led the DJIA and NDX on Friday after Wedbush said Apple has ‘best installed base in the world’ for its AI future. 

NVDA -24.30, -2.68%, 906.16, opened higher and trended higher after Raymond James raised its price target from $850 to $1,100.

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

SPY down 7.15 at 510.85 on 92.5 million shares, above average volume,

VIX up 2.40 at 17.31

QQQ down 7.10 at 438.27

AAPL, TRV, V, WMT led the DJIA, 4 advancers, -8

GL, STT, KIM, AAPL led the SPX, 40 advancers 

AAPL, FAST, ODFL, MNST led the NDX, 4 advancers

Up:   

Down:  DIA, SPY, QQQ, IWM,

All eleven sectors were down on Friday, with the smallest declines by XLU, XLP and XLRE

The SPY MFC green line turned down at 57.5 and is defensive.

Uptrend sectors:  XLF, XLI, XLC, XLE, XLB, XLK, XLV, XLP, XLY,

Neutral sectors:  XLU, XLRE,

Down trend sectors: 

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

3-month Intermediate Term Market Trend: Up

3-day Short Term Market Trend: Down

4 of 100 NDX stocks closed higher on Friday.

28 NDX stocks are above their 30 DMA:  CTAS, AMZN, DASH, NFLX, CEG, QCOM, FANG, MU, BKR, AZN, DXCM, PYPL, MSFT, GOOGL, KHC, TTD, AVGO, KDP,  META, XEL, AMAT, MAR, MRNA, PAYX, DDOG, TEAM, AAPL, ODFL,

NDX Stocks to Watch on Monday:

Moving Above 30 DMA = 0

Moving Below 30 DMA = 15

ABNB, ADI, ASML, BKNG, CSCO, CSGP, ISRG, KLAC, LRCX, MCHP, NVDA, PANW, PCAR, PDD, TTWO,

Add Comments here: