Markets staged nice intraday reversals with the Nasdaq lower by 1.2% in the late morning, powering into a strong gain of .4% and recording a bullish hammer in the process. Investors saw value with the benchmark off 6% from recent all time highs, but we are in the camp that a long term double top is in. It looks like the very brief break to new all time highs in July could have potentially been a bull trap. The S&P 500 rose by .5% and it CLOSED above its round 2000 figure. Of course time will tell, but the averages took their cue from the reversal in oil. The renewable sector, most notably the solar names put in a good session after the weekend developments in Europe. If it lasts is questionable but for now the price action in some names has to be respected. One name in particular is a solar play RUN. It came public in late August, but is well off recent highs, to the tune of 31%. FSLR and SPWR were higher roughly by 6 and 8% respectively. Some names in the energy space itself acted well today too as crude staged an impressive rebound as pre market it traded well below 35. Interesting was the bifurcation between the WTI and Brent benchmarks, as the ingenuity and innovation of the domestic shale players will perhaps bide them extra time as they continuously find new technology to lower the costs for them staying profitable as the underlying asset dwindles. Names like PDCE CXO and EOG to name a few all advanced handsomely, all gaining more than 2.5% Monday.
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