Markets closed the week Friday with mild gains, but well off their intraday highs. The Nasdaq turned an early 1.25% advance to a flat finish, meeting resistance at the round 4200 number and 50 handles off its highs for the session. The index lost its 50 day SMA this week, and is now off 5% from its most recent 52 week high made in the first week of March. The Nasdaq is lower 2 of the last 3 weeks in heavy trade and both closing near the lows for the weekly range, a negative sign. The loss this week put the Nasdaq in negative territory YTD down .5%. Heavyweights in the tech benchmark like GOOG, almost 5% of the index, faltered this week. It undercut its 50 day SMA Monday, a line it has been above since last October, just before its 14% earnings move on 10/18/13. MSFT however, 4.4% of the index, continues to impress as it eked out a .35% weekly gain, after a very impressive 6.5% the prior week taking out a 38.58 cup with handle trigger last Tuesday. We love the way it is holding the round 40 handle too. Software continued to soften, and some names are starting to look interesting with DATA approaching its 200 day SMA near the round 70 handle. Biotechs can not seem to catch a break with names like CELG now on a 6 week losing streak, a feat that has not occurred in at least 5 years. IPOs continue their abundance, indicating possible frothiness, with names like KING coming to market this week. Coming in the pipeline is a smaller restaurant name El Pollo Loco. Market indigestion?

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