Inside day in all indexes including in a couple of sectors/groups IYT (Transportation) and EWZ (Brazil). SPY QQQ etc all had lower volume so no troubling patterns there. Generally, traders follow the range break of an inside day.
The leaders were not happy. But are these key reversals or just a way of working off the overbought condition? Typically, APPL needs a couple of days after earnings to digest and show true colors. Relative to market performance, Energy (XLE) was the one of the strongest groups. Alternative and domestic energy policies (or lack thereof) as well as foreign dependency all really big topics these days. XRT (Retail) was strong as well.
SPY: Last night wrote about 123.50 area. Still a powerful level to clear. 120.00 support to hold
DIA: 117.03 August high. 114.25 support. Subs-only index with positive pivots at 115.26
QQQ: 56.30 the 200 DMA. 57.00 pivotal today's high 57.85 with an inside day.
IWM: 68.60 nearby support. Through 71.15 looks good. Then need a close above 71.34 August high 73.89 next with the 160 EMA at 74.28.
ETFs:
GLD (Gold) Everyone is waiting for this to collapse. I find it interesting that afte a humongous move, it 's consolidating at the 1600 level (pretty darn high) in cash. When GLD wakes, we will know.
XLK (Technology) Broke 25.50 the 200 DMA but needs 2 days below to confirm the phase change from Accumulation to Recovery.
SMH (Semiconductors) 30.63 last week's high with an old gap to fill at 32.00. Looking at 30.00 pivotal number. Subs-pivots positive at 30.39.
IBB (Biotechnology) 94.00 the 50 DMA support. Through 97.50 clears the 160 EMA. Subs-pivots positive at 95.69.
XLF (Financials) Over 13.05 clears last week's high and the 70 EMA. 12.45 daiy chart support.
OIH (Oil Service Holders) Subs-positive pivots at 119.27
XLE (Energy) The 160 EMA next resistance. 69.64 August high. 64.45 underlying support. Subs-pivots positive at 67.18.
XRT (Retail) If this is a bottom, could see big move to 58.00. Must continue to close above 50.00.Subs-positive pivots at 50.87
FCG (Reserve Natural Gas) 17.99 the 50 DMA to hold. Subs-positive pivots at 18.21. Would like to see a weekly close over 18.37 the 200 weekly moving average.
Longs:
RHT Inside day with 2 days under the FTP at 45.76. Can buy ½ and if clears today's high 46.50 could add. Risk is under yesterday's low 44.75. Last December all time high made at 49.00. Has potential to 65.00 if market stays firm. Day to swing
TSCO Reported today well. Rallied in after market. On chart, R1 is 67.61 with today's high 68.06-this should now be areas of support. Recent high 70.10 with July high 73.09. Also huge potential should market stay firm. Day to swing
PVH (Nov 28) Not a classic condition 1, but over the moving averages and inside day. Positive pivots at 65.94 with S1 a good daytrading risk 65.07. The 50 DMA is swing risk at 62.40. Has resistance at 75.00Day to swing
Honorable Mention: Must clear R1 RAX (Nov 7) Over 38.86 R1 NTES* (R1 Today high, 200 DMA all over 45.56) MRX (R1 38.03) INTU (R1 52.59) CELG (R1 65.91)
OR reversal DLTR JWN (Inside day) BIIB SPG TJX HUM
Shorts: All negative pivots and beneath moving averages
VRTX (Oct 27) Pivots at 75.77 and R1 76.54 which must not clear. Inside day so under today's low 40.05 could see drop to 37.00. Day to mini
BLK (Reported) Pivots at 150.30 and R1 152.55 which should not clear. Recent low 137 and if breaks can 120.00 Day to swing
TAP I realize soda companies keep coming up on the short list. Pivots at 41.31 and must not clear today's high 41.86. Recent low 37.99. Then support at 35.00. Day to swing
LVS Same thing goes for shorts as longs when there's compression of the moving averages. Cannot clear 45.07 R1. Pivots are 44.19 and under 42.50 could see 33.00 Day to swing
Honorable Mention: NFLX HBC (must not clear 41.58) BIDU (Must not clear R1 131.69)
Goodnight!
