ChartSmarter Tuesday Game Plan 2/16/16

Markets concluded the week on a high note Friday as the major indexes never threatened going into the red. The S&P 500 rose 1.95% and the Nasdaq by 1.7%. Looking back at the last 5 Fridays and one will see the moves on the Nasdaq have been energetic. Last Friday it slumped 3.2%, but the prior two rose by 2.4 and 2.7%. Interestingly the one that preceded the 3 day weekend on 1/15 fell 2.7%. For the week it dropped .6% and YTD it has slipped 13.4%. The S&P 500 declined .8% for the week and now has fallen 8.8% in 2016. This week was the first occasion that the Nasdaq outperformed the S&P 500 in 6 weeks. Of course oil was probably the biggest story of the day rising more than 12%. When OPEC has to talk about cuts, it must really be fearing the price as it is finally hitting their funding for their social programs, and lets not forget Saudi Arabia is now funding a war too against ISIS. It is very premature but perhaps shale technology will prevail if the Middle East and other crude dependent states believe they must begin propping up the price at these levels. Banks were another big story Friday with the XLF motoring higher by more than 4%. Insider buys have been given press, namely Dimon to the tune of $25M. He was not alone as executives at C ZION and KEY among others have been accumulating stock. In Thursdays Game Plan we mentioning the myriad of issues they are taking head on, yet I forgot to mention two more. The dearth of IPOs which to some banks is a substantial part of their revenue. There was not one new issue that came to the market in January. Add to that the possibility of negative rates here in the US, way down the road, as Yellen alluded to in testimony on Thursday, just a couple months after its first rate hike since 2006. The aura of uncertainty still exists, but as we know markets do not go straight up or down, except in the month of January 2016. The only reality is that these times are going to be talked about for a very long time to come. Speaking of financials one finnie that we profiled in this Tuesdays Game Plan is JNS, and below is the chart exactly as it was presented in our daily report. The trigger was never hit but it is certainly one to watch as it recorded its fourth weekly bullish hammer candle now off its 200 day SMA.