ChartSmarter Tuesday Game Plan 11/10/15

Markets began the week on a soft note as it looks for a potential 7 week winning streak on the Nasdaq and S&P 500. Volume was lower and the handles on both the aforementioned indexes are now complete. The S&P 500 which dropped 1% did manage to find a bounce at its 200 day SMA. The Nasdaq declined 1% as well and its handle is also taking the shape of a bullish flag pattern. 9 of the 10 major S&P groups fell nearly 1% or more, with the utilities which were hit hard Friday the only one showing “relative strength” finishing higher fractionally. Merger Monday did not disappoint with some activity in the commodity space with PCL and WY and APA having a mysterious suitor. Retail names were pushed lower Monday with some leading names taking a hit. LB fell 3.3% and has now fallen 3 straight sessions after shying away from the round par figure. Other stocks in the sector which were dinged included GIII and BURL, both former leaders, that are now lower by 36 and 26% respectively from recent 52 week highs. M fell more than 5% today and is off close to 40% since highs made on 7/17 after a hedge fund manager touted it for its real estate value. JWN fell nearly 5% Monday and one has to remember just how soft back to school sales were. Many will ponder if this is a weak consumer, or has AMZN really dug into these names and is mall traffic just simply dead. Some biotechs names outperformed Monday and below is IMGN, a stock not very closely followed that was profiled in our Game Plan last Tuesday.