June 19, 2014
Mish's Daily
By Mish Schneider
Commodities were all the rage on Thursday-gold (21st biggest move ever!), silver, sugar, gold miners, to name a few. Interest rates firmed with the long bonds back challenging the 50 DMA.
Equities were relatively flat with some profit taking in solars, Netflix, and Green Mountain Coffee-all the ones that began the week with an upswing.
The end of the session brought buyers in Biotechnology. Friday, main focus is there, Homebuilders, Short Interest Rates and yes, China (FXI) which closed with an inside day at an extremely critical weekly chart point.
I’m finding myself about that James Taylor song, “I’ve seen fire and I’ve seen rain.” In market terms, depends what sector you hang in for the day.
S&P 500 (SPY) Nice close once again
Russell 2000 (IWM) All that matters is that this level 117.48 held on the close
Dow (DIA) Rested but looks good
Nasdaq (QQQ) Pivotal are now 92.80-watch here
XLF (Financials) Inside day and good rest
KRE (Regional Banks) 40.76 to clear for this to join in
IBB (Biotechnology) A gap over 250 next stop around 270
XRT (Retail) Now has to clear the March highs 87.53
ITB (US Home Construction) Like this over 24.25-a lot on a closing basis
GLD A rare time I eat my words when I said it didn’t look bad but there are better trades-I add now, unless of course you get a gigantic gap over a major moving average
USO (US Oil Fund) Sideways and holding the gap-not what a sustainable market wants, but for now, not impacting
XLE (Energy) Overbought but amazing
TAN (Guggenheim Solar Energy) Rested but still the love child Subscribers: TAN could be an add over 44.35 as it will be a good confirm of a bottoming formation
PHO (Power Shares Water Resources) 27.23 2014 high
TBT (Ultrashort Lehman 20+ Year Treasuries) TLT Second day confirmation needed under the 50 DMA-then I think its day is done
UUP (Dollar Bull) Actually, FXY may be more interesting here at the 50 DMA
FXI (China Large Cap Fund) Weekly close over 38.14 huge! Thursday an inside day
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