Complete Monday Game Plan

Markets on the surface ended the week without much fanfare, but the eye sore of an outside day Monday, left more questions than answers. The market spent all week battling back to recover those intraday highs set Monday unsuccessfully, but both benchmarks found decent 50 day SMA support. The Nasdaq did it Friday for the second time rallying 40 handles from its Friday morning low. A look at the S&P 500 weekly chart shows amazingly tight trading with the last 4 weekly closes either up or down .3%. Some leading stocks in their sectors also managed to find solid 50 day SMA support this week. ASML in the semi space, MON in the ag space, and DHI HD in the homebuilder group. Just the type of action you would like to see as the benchmarks pause after a big move. We even had some breakouts Friday, which have been scarce and the main reason for my concern in this market. Friday SYK took out a 4 week tight trigger of 64.56, and the greenback ETF UUP a double bottom pivot of 22.40. The volume on UUP was the heaviest for a single day since mid September of last year. Some interesting bifurcation is going on in the tobacco space as PM is showing some impressive relative strength compared to peers MO RAI. While the latter hover 8% off their most recent highs, PM is less than 3% from its own 52 week high. We also had some weak performance from some economically sensitive stocks this week. On a weekly basis FWLT lost 18%, MDR 17%, TWI 16%, FLR 5.5%. More evidence that the most recent GDP contraction was real?