July 9, 2014
Mish's Daily
By Mish Schneider
Steven Wright
How did my “go to’s” do on FED minutes day?
Russell’s-Once again held 116 but never got close to 117.50. Plus, with the market up, the nearness to 116 remains troubling. With the inside day, (when the trading range of the day is inside the trading range of the day prior), we are not the only ones tentative on new commitments long or short.
Semiconductors-50.53 was the number to clear to negate confirmation of a topping formation (new high then failure over 2 days). And 49.65 is the July low, the place to hold. So what did they give us? An inside, indecision day! But, they also gave us the most dangerous of emotions for traders-HOPE!
Interest Rates- the 20 Year Treasury Bonds confirmed the move back above the 50 DMA for a confirmed Bullish Phase.
The S&P 500 likes sitting on the 10 DMA for now. The Dow looks like it wants 17,000 back. Maybe, maybe not. And NASDAQ, danced on its 10 DMA with an inside day just as IWM and SMH had.
Market clearly showing waning internal strength. But, like a cat, seemingly has 9 lives-which life are we up to??? I lost count!
One more point-as I scanned 500+ equities and their charts after the close, I saw lots of amazing setups-meow!
S&P 500 (SPY) Held the July calendar range low at 196.13. Tried 197.07 or the Resistance Point intraday, and in the final seconds, closed above it.
Russell 2000 (IWM) 116 held with 117.50 a pivotal area to clear
Dow (DIA) Cleared 169.50 –like to see it stick
Nasdaq (QQQ) Inside day, held important support over 95.28 to start the day, would be nice.
XLF (Financials) Inside day under the fast moving average-like it if it opens over 22.82
KRE (Regional Banks) Inside day and needs to push over 40.74
SMH (Semiconductors) Inside day. Another one to follow over 50.62
IYT (Transportation) Over 148.789 close your eyes
IBB (Biotechnology) If this can clear back over 259 back in biz-otherwise, the 250 level is substantial support
XRT (Retail) 87.59 is the point to clear
IYR (Real Estate) Partied like low rates are sticking around for awhile
GLD 128.24 a place to clear
OIH (Oil Services) Another good group to watch over 57.00
XLE (Energy) With this group still in the picture, another reason to focus on the leading groups of 2014 for the beginning of the second half
FCG (First Trust ISE Reserve NatGas) On the 50 DMA
TAN (Guggenheim Solar Energy) Big drop-very interested in seeing what happens around the major moving averages.
TBT (Ultrashort Lehman 20+ Year Treasuries) TLT 112.20 is the 50 DMA to hold or not
EEM (Emerging Markets) The chart looks really good over 44.19
FXI (China Large Cap Fund) 37.95 is the number to hold.
Every day you'll be prepared to trade with:
