Markets for the second consecutive Monday were lower and each of those sessions both the Nasdaq and S&P 500 lost their 50 day SMAs. Mondays used to have the “mutual fund Monday” designation but that no longer seems to be the case. The Nasdaq lost .8% today and 1.6% on 1/5 and the S&P 500 fell .8% today and % 1.8% on 1/5. Looking back a little further at the Nasdaq it slumped 1 and .8% on 12/15/14 and 12/8/14. Evidence for both the bulls and bears remain, which makes a market, and the retail sector provided just that today. Guidance was offered at a few firms today and TIF was just smashed to the tune of 14%. Perhaps some foreshadowing was on display as it lost ground 5 of the last 6 weeks. More sanguine news was brought forth by names like BURL LULU and EXPR. BURL is a best of breed name that we have an affinity for and it rose 2.7% however backed off from the very round 50 handle hitting it for the first time since coming public in October 2013. LULU was very upbeat about its holiday and it rang up more than 7%. The stock has been on a tear up 11 of the last 12 weeks and with todays move that hot streak looks likely to continue. The stock is now up almost 15% from a cup with handle trigger we profiled in our Monday 12/22/14 Game Plan (chart how it was written below). EXPR is the only laggard of the 4 aforementioned names, but it was jolly after releasing guidance rising 3% but finding its 200 day SMA to hard to pierce to the upside.
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