Prospero Año y Felicidad!

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Jose Feliciano

If you’re looking to trade on a half a day before the Christmas holiday, you might fall into one of two or maybe both categories.

One: You just can’t stop no matter what and have to have action every single day bar none. Two: You are thinking that this is still a time to get into swing trades because 2015 will open up explosively higher or lower and you don’t want to miss the boat.

To any and all of the aforementioned possibilities I say this: the market is always here, low volume pre-holiday trading can be thin and hard to manage, plus, although the market looks great, we have no idea what will happen as the New Year begins.

Therefore, I continue to watch a few sectors that excite me at this time: Regional Banks, Solar, to name a couple, how the Russell 2000s fare, what the interest rates are telling us (obviously the GDP number was met with a perception that rates can rise) and what is best for managing the relatively light portfolio we currently have on.

Then, for the following short week, I will distribute my Phases and Forecasts 2015 to our MG subscribers, look ahead at those recommended setups as January begins and in the meantime, relish in the company of family and friends doing what the holidays are all about for us-reflection and fun!

Please enjoy this holiday message from the gang at Marketgauge.com!

https://docs.google.com/file/d/0B7kVeQcODWneOUkxRTBtRDBtLUU/edit?pli=1

Produced by Elnora Williams

Happy Holidays!

S&P 500 (SPY) 208.47 was the high, Tuesday it was 208.27 and it settled slightly below both numbers. 203.48 area remains the major support-otherwise, noise

Russell 2000 (IWM) Couldn’t meet the 2014 highs of 120.97 with Tuesday high 120.44. However, unless it breaks under 116.60, see any dip still good buy zone

Dow (DIA) New high close here so that’s something

Nasdaq (QQQ) Unless this gaps below 103.10 and continues to fail from there, has to clear 106 now for sure

XLF (Financials) Touched recent highs and close on new ones

KRE (Regional Banks) Still has to clear 41 level but a very interesting chart all around

SMH (Semiconductors) 54.70 support to hold as the fast moving average is declining in slope giving some pause

IYT (Transportation) Cleared second line of resistance-has more to go

IBB (Biotechnology) Nasty day here-makes you think about the bigger they are, the harder they fall

XRT (Retail) New highs but a weird hammer doji candle which could spell selling

IYR (Real Estate) It touched resistance on my weekly chart. Now, unless it breaks 77, mostly noise

ITB (US Home Construction) Nice looking chart and looks good for 2015-but for now, would stay aside

GLD (Gold Trust) Don’t believe this should bode well if rates continue to firm

USO (US Oil Fund) 21.94 the real point to clear and now 21.50 a place to hold

XLE (Energy) Did what I expected-now the 50 DMA is resistance point 82.87

XOP (Oil and Gas Exploration) Over 50 looks better

TBT (Ultrashort Lehman 20+ Year Treasuries) TLTs face plant after the realization that the FED will love the economic stats that came out and could actually raise rates-

UUP (Dollar Bull) New highs- yet again