At the expense of sounding like a broken record markets once again came out of the gates sturdy, and we unable to hold those gains. They did manage do finish in the black to their credit. The Nasdaq for the third consecutive day did hold its 200 day SMA. I get the feeling that we are in for a good deal of softness ahead, but would not be surprised to see a pop before the decline. Looking at one of my old favorite ETF, the SDS, it now has climbed above its 10 week for the first time since late June. Perhaps a new trend has taken hold. It did pierce its 10 week line to the upside in early May, only to resume its downtrend in late June. Will this be another head fake? The tape will tell, but the action I am seeing from some leaders is disconcerting. Recent leaders melting below their 10 week MAs today were RAX JAH SHW VAL, and CAB which fell a stunning 16%. Others that had negative outside days today were FAF FNF TOL INXN. The latter two were able to hold their 50 day MAs. Another ETF I am closely monitoring is the greenback UUP which is headed for a clash with its 10 week MA just above at 22. A move through that line, could have consequences for commodities. After the close, and as of this writing both AAPL and AMZN missed earnings. AAPL in the after hours is trading right at 40 week support.
Stocks that can be shorted as they lose 10 week support and their sell stop spots are MDC 37, VIAB 52.55, KORS 53, WMT 73.75. Stocks that lost 10 week support today were IP FAST AZPN FWLT VAL AMX EL.
Stocks that can be shorted as they lose 40 week support and their sell stop spots are CAM 50.50, COV 53.90, ATU 27.15. Stocks that lost 40 week support today were ARUN TDC NOV.
Stocks that can be shorted at 10 week support are URBN 37.20, ABT 67.70, AEO 21.25. Stocks that met 10 week resistance today were SNPS PKI VZ FLR CELG IPXL XXIA TWTC UNP KMB APH GGC STI N GPS CRUS PLD HSY. Stocks that can be shorted at 40 week resistance are EAT 31, DOV 59, NCR 22. Stocks that met 40 week resistance today were HAL UTX ETN ITT MMM.
Stocks which can be bought as market climate improves and when they take out the following specific triggers on firm trade are cup with handles EC 64.11, YUM 72.25, DE 87.23, GME 24.59. Flat bases are CHS 19.53, FLS 135.67, PPG 119.96, ITW 62.19, DOX 33.89. 3 week tight triggers are MHP 56.74, FNF 23.37.
Stocks that can be bought as they retest prior breakout triggers are CMCSA BAX MRK. CMCSA took out a 35.26 flat base trigger on 9/19. Just so happens its 10 week MA resides their as well. It hails from the media industry where some concern is starting to percolate. SNI is best in breed, but others like NWS are holding onto 10 week support tenuously. Look what happened to NYT today. BAX took out a 60.08 cup with handle trigger on 9/12, and sticking in the same sector is MRK which took out its own flat base trigger of 45.27 on 10/2. Some bifurcation in the pharma sector is popping up as some like WPI, are acting well while others like ABT ALXN seem to have lost their way.
Stocks that can be bought as they reclaim their 10 week MAs and their buy stop spots are WFC 34.85, PKI 29.10, SMBL 12.25, DDS 76.45, HLS 23.35, MR 34.80, TGT 63.90. Stocks that reclaimed their 10 week MAs today were MYL ROP ARRS AKAM EOG SYMC LUK. Stocks that can be bought as they reclaim their 40 week MAs and their buy stop spots are ITT 21.25, TX 21.25. Stocks that retook their 40 week MAs today were HES BMY PCAR.
Stocks that can be bought at 10 week support are CCK 37, ACN 65.75, TIF 62. Stocks that met 10 week support today were NTRS PSX DLPH AIG LKQ NRG WMB FOSL.
Stocks that can be bought at 40 week support are FDX 89.90, FIS 32, ARG 84, WWW 41, LNKD 101. Stocks that met 40 week support today were TYC TSCO ALKS STX TTM CME TEX TRN OII.
The author is flat.