Note: If the market can hold these levels, see a lot of opportunities in the coming days. Cash now has been a great position.

Open Trade Update

Existing Position: GE Long 23.86

Current Price: 22.91

Stop:  22.29

Target: 27.00 (first target for ½ off) Lowered

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Market Analysis for Trading on 7/5/2013

Half a day on Wednesday with firming action and no real change to the phases in any of the indexes or sectors. Friday, especially if follows the direction established on Wednesday, should be decisive on whether or not the S&P 500, NASDAQ and the Dow can follow the Russell 2000 back into a bullish phase or not. Let’s put it this way, with the delicate situation in Egypt, the upcoming jobs report and some leading sectors already in a bullish phase (Retail, Biotechnology and Financials), theinflection point for the market is here.

S&P 500 (SPY) Under 160 that lower end of the range should be a fair target. Over the 50 DMA, would go with that as well

Russell 2000 (IWM) Still in bullish phase and inside day. Looks pretty good

Dow (DIA) 148.25 to 150.50 the range this week so far-seems logical to follow that range break up or down

NASDAQ 100 (QQQ) 71.35-72.27 this week’s range so far-again seems logical to follow it up or down from here

ETFs:  

XLF (Financials) 19.20 is a key point here. 19.50 pivotal and 20.00 a great breakout

SMH (Semiconductors) Not only has to clear the 50 DMA, but fill the gap from June 19^th. Meanwhile, 37.50 pivotal-still very optimistic here

XRT (Retail) Remains in bullish phase with inside day

IYT (Transportation) 108.20-108.65 an area to hold. And, the 50 DMA is the area to clear

IBB (Biotechnology) Above the 50 DMA-holding the bullish phase

IYR (Real Estate) Figuring it out-over the 200 DMA good sign under Wednesday low, vulnerable

GLD Holding Monday’s gap low so far and hasn’t cleared the fast moving average-consider those prices the range to break either way

USO (US Oil Fund) Took out 2013 high 35.50 with the gap higher. Running into resistance at 36.00

OIH (Oil Services) Back to unconfirmed warning phase, but not bad over Wednesday’s high

XLE (Energy) 80 is number to clear or could see the 200 DMA

XOP (Oil and Gas Exploration) Another inside day. Watch the 50 DMA here too

TBT (Ultrashort Lehman 20+ Year Treasuries) Still friendly longer term. Subscribers: Was long, got out with teeny profit ahead of jobs report, but will not hesitate to reenter if sets up Friday

UUP (Dollar Bull) 22.42 is place to hold.