ChartSmarter Monday Game Plan 9/19/16

Markets fell Friday, but both the Nasdaq and S&P 500 gained ground with the Nasdaq advancing 2.3% and the S&P 500 by .5%. Tech continues to act bravely as the Nasdaq has now outperformed the S&P 500 for a ninth consecutive week. As well with the Nasdaq firmly outdoing the S&P 500 this week, it put its neck just ahead on a YTD basis, with the tech rich benchmark higher by 4.7% and the S&P 500 up 4.6%. Friday their was some notable divergence with the utilities rising 1% and healthcare being the only other major S&P sector to gain ground (the XLV was higher fractionally by 5 pennies). On a weekly basis there was some big bifurcation among the best and worst sectors. Technology, via the XLK, was the best performer with a gain of 2.7% and the utilities were a close second advancing 2.5%. Of course this was a big week for “old tech” names (below is the chart of GRMN which we examined in our Thursday Game Plan this week) like AAPL which jumped 11.4% for the week in the strongest weekly volume in over one year (it was only its second double digit weekly gain since the week ending 8/16/13 rose 10.5%). Friday it did post a bearish harami candle, which could put a pause to a big run that began with a bullish inverted hammer precisely at the very round 90 number on 5/13. INTC joined the party with a weekly pop of 6.3% on elevated volume. The was the stock best weekly gain in 10 months, since the week ending 11/20/15 rose nearly 8%. On a weekly chart INTC is a bit more appealing than AAPL as Friday if briefly traded above a very long cup bast trigger of 38, in a base that began the week ending 12/5/14. Energy was drilled lower, pun intended, to the tune of 2.6%, easily the worst performer for the week.