August 26, 2013
Mish's Daily
By Mish Schneider
Today seemed unremarkable, but was actually a rather healthy and necessary digestion day in the major indexes. Nasdaq (QQQ) actually made a multi-year high today, but closed near the opening price. The most volatile moment came shortly after US Secretary of State John Kerry’s statements on the conflict in Syria, when all four major indexes suddenly began to slide. I don’t think this is cause for too much alarm, as all indexes managed to hold support and closed relatively well. All indexes are on key support levels, however resistance is also overhead. Biotech (IBB) had an impressive day today. It is the last week of August, and volume will likely remain low. Look for stocks with good volume and good support.
S&P 500 (SPY) Now in an unconfirmed warning phase. Watch for 163.64 to hold and the 50 DMA to clear
Russell 2000 (IWM) Watch for 103.00 to hold.
Dow (DIA) Approaching the negatively sloping 10 DMA.
Nasdaq (QQQ) Made multi year highs today but closed below with a doji day.
ETFs:
XLF (Financials) Unable to break the 50 DMA. Watch for 19.90 to hold.
SMH (Semiconductors) Sideways consolidating action. The 10 DMA needs to clear.
XRT (Retail) Warning Phase and unable to break the 50 DMA.
IYT (Transportation) Confirmed the bull phase. Digesting the big move from last Thursday. Two doji days in a row.
IBB (Biotechnology) Impressive move today.
IYR (Real Estate) Holding the 10 DMA.
XHB (Homebuilders) Consolidating over the 200 DMA.
GLDStrong close today.
USO (US Oil Fund)Inside day and closed with a doji candle. Strong close.
OIH (Oil Services)Digesting the nice move up from Friday.
XLE (Energy) Confirmed the bullish phase and is consolidating over the 50 DMA.
TBT (Ultrashort Lehman 20+ Year Treasuries) Closed on support. If today’s low breaks, look to 77.89 to hold.
UUP (Dollar Bull) Inside day with a doji candle.
Every day you'll be prepared to trade with:
