Markets once again finished the day slow, but off the highs Wednesday. The Nasdaq continues to trade in a very tight range, and the last four days, on a closing basis finished within 5 handles of each other. The S&P 500 did basically the same. We managed a few more breakouts today, which lends to the bullish action the tape has been portraying. MON took out a 89.83 flat base trigger, IPXL took out a 25.41 cup with handle trigger. The transports were in the spotlight today, as of course FDX cut guidance yesterday. It gave many the opportunity to jump into some transports in the early morning, notably UNP KSU, and ended the day well off their lows. IYT finished right at 40 week resistance, and you can put a buy stop above that line at 92. Perhaps FDX, could be replaced as an economic bellwether by GE. GE has acted well since taking out a cup with handle trigger of 21.29 on 9/6. Other economically sensitive stocks building the right side of their bases which warrant inclusion onto your watch lists are SWK ETN UTX. For that matter other constructing their right sides nicely are CELG EMC RY. Semis are starting to bifurcate with the likes of KLAC TER, acting poorly. But QCOM which was lagging earlier in the year, while other semis were starting to shine, is now gaining leadership status. It has acted well since taking out a cup with handle trigger of 63.44 on 9/13.
Stocks that can be bought as they take out the following specific triggers on firm trade are flat bases DHR 56.55, MRK 45.27, GET 41.27, T 38.38, ALKS 20.09. 3 week tight trigger is HLSS 16.54, DK 27.51. GPS 36.70 in a square box, cup base is SLW 40.46, and cup with handle is LTD 50.85.
Stocks that can be bought as they retest prior triggers are BAX TS HST. BAX took out a 60.08 cup with handle trigger on 9/12. It hails from the strong pharma group with ABT PFE among many others doing well. TS took out a 42.52 cup with handle trigger 9/13. HST took out a 16.33 double bottom trigger on 9/10. Lodging seems to be making a comeback, a telltale sign of a tepid economic recovery. MAR H WYN all behaving themselves in the sector.
Stocks that can be bought as they retake their 10 week MAs and their buy stop spots are UPS 75.60, DG 51.60, CERN 74.40, ENB 40.25, AMX 26.20. PETM KMB POT all retook their 10 week MAs today.
Stocks that can be bought as they retake their 40 week MAs and their buy stop spots are KMT 39.60, MJN 78.15, MCD 94.10, NTAP 36.30, COL 54.15, LUK 24.20.
Stocks that can be bought at 10 week support are OI 18.50, GGC 36, LKQ 18.50, TV 23, IP 33.50. Stocks that found 10 week support today were SKS NOC OXY ABV GNC.
Stocks that can be bought at 40 week support are MAN 39.40, MET 34, CNQ 32.50. Stocks that found 40 week support today were CXO BEAM IPI WLL MUR.
Stocks that can be shorted as they lose 10 week support and their sell stop spots are MPWR 20.20, MAT 34.80, NE 36.90. AMT lost 10 week support today. CCJ can be shorted with a sell stop of 21, as it loses 40 week support.
Stocks that can be shorted at 10 week resistance are DDD 38.70, VRSK 48.60, STX 31. FB ALK DPS SBH MBT all met 10 week resistance today.
Stocks that can be shorted at 40 week resistance are NUE 40, SPR 23.50, ERJ 28.15.
The author owns JACK XXIA.