Makin' Me Crazy $SPY $QQQ $IWM

October 7, 2012

Mish's Daily

By Mish Schneider

Looking at last week, the market closed higher clearing the fast moving averages, which is what we looked for as the week began. On an intraday basis, choppy, thin and what sometimes seems like manipulated trading prevailed. This is a step back, take a stance, know your risk and ignore the noise in between environment. The market is in a bull phase with pockets of weakness. But, the sectors that matter to move an economy forward-real estate, homebuilders, financials, transportation, retail and semiconductors, all also closed higher. Plus, the final 2 days of the week brought in decent volume. Looking ahead:

S&P 500 (SPY) Except for some midday selling, this held up well. 144.80 is an area to hold or concerns will arise.

Russell 2000 (IWM) Although this could not sustain over 84.65, it did manage to close over the fast moving average which is better than how began the week. That will be the level to keep watching

NASDAQ 100 (QQQ) Friday low will be important as the week begins.

ETFs:

GLD After Thursday's new high close for the year, Friday seemed like a disappointment. But this too closed above the fast moving average.

XLF (Financials) Held 16.00 which is positive

SMH (Semiconductors) Hammer candle close at the level it needs to clear, 32.00

XRT (Retail) Like everything on Friday, had a great open, worked its way lower, but still looks darn good

IYR (Real Estate) Inside day which is interesting

USO (US Oil Fund) Inside day

OIH (Oil Services) Changed phases 3 times last week-definitely coiling to do something big-and right now, that could be either way up or down, although down seems more likely

TBT (Ultrashort Lehman 20+ Year Treasuries) Reverse split changed prices. Watch what TLTs do at the 200 DMA.

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