Markets were underwater most of the session Thursday, but the losses were minimal and I thought could have been worse. When all was said and done the Nasdaq and S&P 500 fell by .1%. For the week headed into Friday both are also trying to avoid three week losing streaks with the Nasdaq advancing .5 and the S&P by .4% thus far. The Nasdaq is spooning its 50 day SMA (perhaps MSFT will alter that Friday) and although it can not seen to regain the important line it has to be admired as INTC sank nearly 6% Wednesday after delivering earnings. The tech rich benchmark has finished the last 3 days extremely taut, all within just 5 handles of each other and that type of coiling action could produce big moves in either direction. Earnings as one would expect were bifurcated. Today we witnessed some more evidence that the consumer could be picking up with earnings reports from URI and MAT lifting the stocks 4.7 and 6% respectively. But on the other hand some transports have been putting up some weak showings. UNP was derailed to the tune of 6.7% after numbers were released and remember KSU CLOSED 4% off intraday highs Tuesday in a nasty reversal and JBHT lost 2% Tuesday as it reported an number that did not excite shareholders. Sectors showing strength Thursday were healthcare as the XLV was higher by .6% although its 1% gain through today in paltry weekly volume has barely made a dent into the prior weeks 3.1% drop. Some other large reactions after earnings came from EBAY which slumped nearly 11% and is now below the very nice looking cup base trigger of 29.93 taken out the week ending 7/22 which romped higher by 13.8% in the second best weekly volume in all of ’16. The base was more than 8 months long too and those longer patterns tend to have greater success tendencies. Some names that are working and perhaps this name should be considered a staple, as everyone is always looking for love, (sad try at humor) is MTCH. Below is the chart and how it was profiled in our Tuesday Game plan this week.
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