“If you have an apple and I have an apple and we exchange these apples then you and I will still each have one apple. But if you have an idea and I have an idea and we exchange these ideas, then each of us will have two ideas.”

George Bernard Shaw

AAPL held the fast moving average, but still has the reversal candle looming and will confirm the reversal if it gaps and closes lower than today's low. Conversely, it will negate it if closes above the body of Wednesday's candle or above 514.00.

QQQ as stunningly as it sold off, it equally stunningly came back. Longs got tricked out on Wednesday and those who went short had a quick opportunity to scratch and reverse. But since it did not clear Wednesday's high, it remains vulnerable under the 10 DMA. The rotation of money continued with Semiconductors (SMH) the winner (featured yesterday) and Water Resources (PHO) featured Monday and Tuesday this week.

ETFs:

XLF (Financials) Filled the island bottom gap but holding in the 14.40-14.70 range. The longer it holds up in this range, the better the chances of a new leg up and over the 200 weekly moving average.

XRT (Retail) incredibly did not disappoint and held the 10 DMA.

IBB (Biotechnology) 120.00 has to hold otherwise has to break 122.45.

SMH (Semiconductors) I liked the chances but never expected them to be as amazing as the price action turned out! And still not overbought so watch for an opening range reversal.

IYT (Transportation) Here's my bold statement-if this market is to hold up, go here for the next best move up. Inside day with a move above 94.50 a break over the 10 DMA. Then could see 98.00.

USO (United States Oil Fund) 39.75-40.00 next if holds today's low

TBT (Ultrashort 20+ Year Treasury Bonds) Back long today over 19.00 but really needs to get back over 19.90 now.

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