AAPL Back Under Key Moving Average

December 6, 2011

Mish's Daily

By Mish Schneider


AAPL ChartInside day in S & P 500, NASDQ and almost Russells (took out prior day low by a few ticks). Placement of the inside day especially in SPY most fascinating-tickling the 200 Daily Moving Average. Did not do enough correcting to work off the 2-day overbought RSI, but, did enough to make a move either way from here very compelling to follow.

SPY: 5-day trendline on the intraday chart. 123.25 underlying support. The 200 DMA at 126.62, which it needs to close above.

QQQ: Broke the 4-day trendline on the intraday chart. All about 56.00 level now. And AAPL.

IWM: Doji day, pretty good resistance at 75.40 which if clears looks good to 77.00 and under 74.00 I wouldn't say the party is over, but more than likely more correction follows.

ETFs:

GLD Why we respect a phase. Touched down on that upward sloping 50 DMA and rallied. Not a bad time to check out some mining stocks as well.

XRT (Retail) A correction which relieved some overbought conditions. Could see 51.00, but could also see more upside over 53.50

SMH* (Semiconductors) Second doji and now inside day. If there's a chance for a group to take out the 200 DMA, it seems that has the best chance. Otherwise, under today's low would start to look like correction in store.

XLF (Financials) Unless this gaps under 12.90, see dips as buy opportunities with next overhead resistance at 13.48

XLE (Energy) Even MORE sideways action off the 200 DMA. Can't argue with a close over the 200 DMA, but a correction not so bad either.

IBB (Biotechnology) A correction to 99.70 support is not out of the question. Then we will see what this leading group is made out of.

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