June 14, 2012
Mish's Daily
By Mish Schneider
Friday Quote: I had a stick of CareFree gum, but it didn't work. I felt pretty good while I was blowing that bubble, but as soon as the gum lost its flavor, I was back to pondering my mortality.
Mitch Hedberg
Good accumulation day in volume in S&P 500 and NASDAQ. So it's "Trader Who Lives in a Bubble" time. That means we know nothing of the world, only the charts. What do the charts say? The humongous red candle on June 11th-well, still in that range. Russell 2000-in the lower end of that range. Phase-strong warning. Inverted head and shoulders-still possible. The gap higher on June 6th, holding. In other words, other than the fun of being in the world and not in a bubble, not much has changed since the week began other than time has passed.
S&P 500 (SPY) Over 133.55 hard not to follow.
Russell 2000 (IWM) Inside day and hovering on the 200 DMA. In other words, go here for weakness should the market falter.
Dow (DIA) Let's call 125.90 area pivotal-weak below, strong above.
NASDAQ 100 (QQQ) Consolidating and hanging onto the fast moving average. Under 61.80 with weakness in AAPL and AMZN suspect. Over 63.15 a relief.
ETFs:
GLD Sure looks like it wants to rally from here.
XLF (Financials) I would be even happier now to see a weekly close over 14.30 if 13.80 holds up.
IBB (Biotechnology) Inside that same big red candle from 6/11
SMH (Semiconductors) Down today in a huge up one. Hmmmm. Semis-love when they join the party.
XRT (Retail) Inside day. Typically good to follow up or down on range break.
IYT (Transportation) Over 91.92 looks interesting again
IYR (Real Estate) On the 50 DMA-but won't confirm bullish phase unless closes above for 2 days
OIH (Oil Services) Kind of impressive now how many times 34.50 has held recently
XLE (Energy) Remember my 5 kids on a slide? Or was it a seesaw?
Every day you'll be prepared to trade with:
