August 13, 2014
Mish's Daily
By Mish Schneider
Whoopie Goldberg
The divergence in the market continued today. As IWM under performed and staying under the 200 DMA in a distribution phase. The QQQ’s on the other hand show real strength today as they rallied back towards the highs at 97.51. Spy and DIA are still trying to get back over the 50 DMA and thus remain in a warning phase. A little more ominous is the slope of the 50 DMA in DIA that is turning down.
S&P 500 (SPY) Now approaching the 50 DMA still holding a warning phase. Would like to see hold PDL and clear R2 at 195.75 which also takes out the 50 DMA
Russell 2000 (IWM) Tested the 200 DMA but still not out of the woods. If it can clear 113.80 or R1 takes out the 200 DMA and on an intraday basis change phase to warning.
Dow (DIA) working on recovering its bullish phase, needs to hold 165 and ultimately clear the 50 DMA. Still looks weak. Plenty of work to do.
Nasdaq (QQQ) the crown jewel is in full bullish mode. Back over the 10 DMA and is the strongest of the U.S indices.
XLF (Financials) Next test is at the 50 DMA or 22.71 but lackluster performance today.
KRE (Regional Banks) Cleared the 10 DMA but still needs to clear 38.30. Lackluster performance on a strong day.
SMH (Semiconductors) Unconfirmed phase change to bullish, led by INTC, which is on fire.
IYT (Transportation) Closed just shy of the 50 DMA. 147.50 would get this back in gear.
IBB (Biotechnology) Back to unconfirmed bull phase with a nice move today.
XRT (Retail) Back below 200 DMA in an unconfirmed distribution phase. One of the weaker sectors.
IYR (Real Estate) Nice move back up to 2014 highs.
ITB (US Home Construction) Very weak relative performance in a bear phase. Breaking down on all time frames.
GLD Inside day, bullish phase and sitting on its key long and very long term support levels.
Metals and Mining (XME) compressing. Could be one to watch.
USO (US Oil Fund) confirmed Distribution phase.
XOP (Oil and Gas Exploration) Inside day. One of the weaker sectors, and even with the Middle East turmoil, a very muted action across the board.
TBT (Ultrashort Lehman 20+ Year Treasuries) TLT-114.70 is a key level of support. If breached we might have seen a potential top put in.
UUP (Dollar Bull) Strongest currency out there. Which makes sense considering the Chinese are back to buying U.S debt.
EEM (Emerging Markets) In gear.
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