After the market, GOOG reported weak and got hit hard. But, were there clues? Yes. The week of January 6th, GOOG ran to new all time highs and closed on the lows that week. Then, it began the following week with a gap lower. As I am quick to remind you not to ignore gaps to the upside (NASDQi.e.); nor should you ignore key reversals and gaps lower such as in GOOG.
S &P 500 (SPY) Low volume day and not yet overbought. Could there be a dip? Of course. But for now, dips should be viewed as buy opportunities. At this point, this is not what a top looks like.
Russells 2000 (IWM) Comparing this chart to SPY, this has not matched the high of the move for the same week ending August 5th. In IWM it is 81.00. I see that as 2 possible scenarios developing. One is that we have another possible leg up. The other, a weekly close tomorrow under 76.95, ominous.
NASDQ (QQQ) All time high was made in July at 59.83. Today's high 59.97 with closing price 59.86. Could this turn out to look like GOOG? Tomorrow is key. A close on the weekly low would not bode well. But, unless that happens, would view anything less dramatic as a correction to work off overbought conditions.
ETFs:
GLD Could not clear 161.65 which means for now, a possible triple top in the works but with inside day-yet unclear. Subs-Pivots positive and still watching carefully
XRT (Retail) What dream follow-throughs are made of.
XLF (Financials) 14.17 the October 27th high.
IYR (Real Estate) Resistance still resides at 60.00.
IBB (Biotechnology) Took a breath before it got to 116. Support now at 112.
SMH (Semiconductors) Subs-Target reached on weekly Bollinger band but unless it breaks and closes under 32.75, still very positive.
XLE (Energy) 2 closes above the 200 DMA confirms the phase change. 70.80 now the place to hold.Subs-not as powerful a move as other sectors which could mean has more to go. Big eyes on 71.98 January 10th high.
TBT (Ultrahort 20+ Year Treasury Bonds) Took off ½ as it stopped at the 50 DMA. Subs-in balance for swing to see if it can clear the 50 DMA with a no loss stop.
Longs: SPG NSC and some OR reversal trades dominated the long side today. JCP, a stock featured earlier is highlighted on today's video. NFLX we bought at 92.40 and yielded 12.00 with today's move. Miniswing traders locked in 10.00.
SINA Still an underperformer in the Tech and internet software group as it struggles against the 50 DMA. But, it has cleared the 200 weekly MA and the 80 monthly as well. Would not risk more than today's low 60.10 with positive pivots at 61.75. Has to clear the 50 DMA at 62.50 and if does on a closing basis, looks like it could go to 67-70.00 next. Day to Short-term Swing
CLF DOJI day with positive pivots at 72.06. Risk today's low 71.15 and looking to see if can clear for a second close above the 160 EMA and head to 79.00 before earnings. Day to Short-term Swing
VFC Held the pivots and had a 30 minute OR breakout which failed even though it closed above the pivots. Have a small long position as it also closed with a DOJI day with some recent interesting candle formations. Now pivots are positive at 132.97 with new risk for this thin stock, under 130.36 for now. Could see 142-143. Day to Short-term Swing
QCOR Inside day after huge drop and appears stalled. Exercise flexibility here since could be a follow the range either way as the overall phase is positive, but it is trading under the 50 DMA with a declining slope. 2 days under the FTP which is negative at 37.42 and must clear R1 37.97 to trigger long. For short, must break 36.65. Day to mini
Honorable Mention: Must Now Clear: X (Back to wanting to see this clear 28.95 once and for all) Pivots OR Reversal Candidates: JPM (NR 12) SPG PXP PRGO
Shorts: GDX was a beauty today.
INFY Neutral pivots after gap lower last week and inside day. Under today's low lines up well with S1 51.38. Risk 52.30 max. Could see 48.75 level next if not lower. Day to Swing
RRC Under today's low should continue the trend down. We featured this as a bear for 2012 and that has been right on. Next support at the 200 weekly moving average 49.50 Day to Swing
PANL negative pivots at 40.45 with risk 41.40. Some support at 37.00. Once that breaks, could see 34.00 or lower. Day to Swing
Goodnight!