Markets fell modestly Tuesday, as it continued to send conflicting signals. The Nasdaq briefly was positive in the morning, but the losses for both the Nasdaq and S&P 500 were small. The S&P 500 was lower for the 6th time in the last 8 sessions. The bifurcating action in some groups like retail and the internet are responsible for the mixed messages. The good news was the action of the top rated internet group which came to life today with FB TWTR LNKD. Pay attention to the leading sectors of the market, for they can provide good tells as to the genuine health of the overall markets. TWTR closed north of the round 50 number for the first time. Long time ChartSmarter readers now my affinity for the round numbers and TWTR was stopped there almost precisely at the round 50 number the first day it traded publicly on 11/7. FB is back above 50 as well today for the first time since 11/5, and LNKD which I was wrong about recently is now back above its 50 day for the third consecutive day. Volume could have participated more though. Retail names continue to be a worry except perhaps for today movement in PVH which found very friendly buyers precisely at the 50 day SMA after an earnings release. The norm in the group however seems to be unsettling with moves like Mondays 7% slashing of its 50 day. SBUX did the same today losing 3% after a long time love affair throughout 2013 with spooning that important moving average. BURL a recent IPO fell 8% after releasing sales data. It did finish well off its lows Tuesday, perhaps finding some warming insulation in one of its goose down jackets it peddles.
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