ChartSmarter Tuesday Game Plan 6/3/14

Markets were lackluster to begin the week Monday, and the old adage goes never short a dull market. The Nasdaq fell slightly weighted down by the big two AAPL and GOOG’s nearly 1% loss. The tech benchmark was going for a fifth consecutive Monday gain. The S&P 500 continues to trade well north of the round 1900 handle and closed at near all time highs. The index is now up 9 of the last 11 sessions. Material, industrial and financial groups were among the winners Monday. Looking at the XLI, the ETF has been up an incredible 14 of the last 17 weeks. It rose another .5% and is looking for a 5 week winning streak Friday. Largest component GE, comprising more than 10%, is up 15% over the last one year period and sports a very nice dividend yield of 3.3%. The stock currently is enjoying 50 day SMA support, after finding support at its 200 day SMA after a 4 week losing slide between the weeks ending 1/3-1/24. Look for a move above a 27.06 cup with handle trigger. The big oil giants XOM CVX are leaning bearishly at the moment, perhaps endangering the energy group. Both names are holding perilously close to their 50 day SMAs. Volume trends look negative for both. Examining BTU one has to wonder if someone knew something ominous was going on before this weeks carbon emissions announcement. The stock was down almost 15% in the last 2 weeks alone. BTU is higher just 5 of the last 22 sessions.