Tuesday Recap

Markets responded very well to a new bailout for Greece Tuesday. The indexes almost always anticipate, and when they took out there 50 day MAs last week, and stocks were breaking out, it was time to take notice. The difference today was the solid volume that backed the move up. And it did so in the wake of poor economic reports. Consumer confidence, business activity in the Chicago area and housing data all were soft. Good action in response to bad news is reassuring. Markets lost steam midday, only to storm back in the last hour to close upon their highs for the day. More bullish behavior. Did end of the month buying contribute to the days gains? Who knows. Just respect the market and its actions. The Nasdaq led with a 1.4% gain, compared to the S&P 500s 1.1% gain. Dollar weakness, due to Euro strength, helped some commodity sectors. Ags did well, and SQM staged a breakout within the ag group. It also hit an all time high. Others hitting all time highs included NFLX PM UNP. AAPL, the 800 pound gorilla had a stellar day, rising more than $10, or 3%. PVH gained in after hours trading on earnings. Tomorrow not much on the earnings front with the stocks we follow, but economic reports include construction spending, car sales, mortgage applications, and the ADP employment report.

With the improving market leading stocks can now be bought as they emerge from bases in solid volume. They include 3 week tight patterns TWC 78.75, DTV 50.90, WYNN 151.83, EL 104.40, TPX 66.43, MWV 34.61, SAPE 14.88, WAT 100.04. Cup with handles are SYK 64.71, ABB 27.68, NSC 75.06, MOLX 28.20, TEL 38.16, HK 27.40, HON 62.38. Square box ALB 71.45, AGP 71.81, VIAB 52.03, CSX 79.59, ACN 58.31, TDC 56.68, CHKP 56.01. Double bottoms are APC 81.68, CLR 69.72, POT 61.90, MON 74.56, PLL 58.99, RRC 57.63. Flat bases are PX 108.55, SBUX 38.31, EMC 28.80, FAST 34.98. Cup bases are HOT 65.61, AN 36.32, CY 24.03. Double bottom with handles are EXPD 55.40, EXPE 28.19, TRW 59.04. Cup with high handles are VMW 99.29, AVT 38.10, XLNX 36.59.

Stocks which can be bought as they reclaim their 50 day MAs and their buy stop spots are VFC 100.25, ANR 55.25, ATW 43.60, FMC 85.25, CAR 18.15, VPHM 19.55, CBE 65, PLL 57, SAP 63.25, TRN 34.85, APH 54.60, TTMI 17.60, IVZ 25.25, KKR 17.65, TROW 64.50, ATI 68.10, APA 126, CHK 32.25, CVX 106, DO 75.20, EOG 111.50, XOM 84.25, FTI 45.60, HP 64.25, HES 80.75, NBR 29.15, NE 42.80, RDSA 73, SLB 87.25, SU 43.50, SPN 38.10, VLO 28.20, DD 54.50, ETN 53.10, ARMH 28.90, KLAC 44.10, SPRD 20.20, AA 17.10, BHP 96.75, RIO 71, CLF 93.50. Stocks that retook their 50 day MAs today were SOA PAG ORCL FDX GSM TS NBL SE TCK MMM PAYX APKT CMCSA TXN MCP GM. Stocks near 50 day support are HBI 29.70, APD 92, UNH 47.10, CHRW 77.75, ABV 30.50, WYN 33, ARBA 32.85, DHR 53.20, PKI 27.25, MXIM 26.45, LYB 41.50, PPO 61, ROC 50.50, LTD 38.45, YUM 53, WCN 30.25, TTWO 15.80, A 48, COF 53, BHI 72, HAL 48, IFF 63, CCK 39, TYC 48.50, PCS 17, AVGO 33, SMTC 26.80. Stocks that found 50 day support today were SBUX HUN JWN IR EXXI RRC SGY UPL WNR WMB IP TIN UTX JDSU MCHP OVTI.

Stocks near 200 day support are NKE 82.50, UA 58, DOW 34, BTU 59.80, ANN 25, JCP 32.95, JOYG 83, MDRX 19.60, VRSN 33.25, DE 84, JPM 42.45. WRC RHT JNPR all found 200 day support today while MUR SUN SWC all reclaimed their 200 day MAs. Stocks that can be bought as they reclaim their 200 day MAs and their buy stop spots are LRCX 48.25, VALE 32.85, MOS 72.25. Stocks that can be shorted at 200 day resistance are LVS 43, NUE 42.95, CAM 49.80, EMR 56, F 15.10, SWKS 27.10. MAR BID MTL RIG PAAS all encountered 200 day resistance today.

Stocks that can be shorted at 50 day resistance are RCL 39.60, STJ 52, LULU 93.50, EBAY 32, WFM 63, CAT 108, PH 92, ADSK 43.75, DFS 24.40, FCS 19, BRCM 37. Stocks that found 50 day resistance today were NOV WLL AEM SCCO RL VFC RDC FCX DKS DIS KO. Stocks that can be shorted as they lose their 50 day MAs and their sell stop spots are DECK 89, ABC 40.30, COV 54, BBBY 53, EXPR 20.60. TIBX lost its 50 day MA today.

Good luck.

We sold FCX just above 52 early today and for a time being looked great. We also sold BTU right about 62. We profited handsomely on both. Both rallied off their days lows but below were we sold them. We will look to reenter if they show continued strength.

The author owns HK TIBX.

Weekend Warrior

Markets rose Friday in light, pre-holiday trade. For the week, both the Nasdaq and S&P 500 fell, although very slightly. Both indexes did manage to reclaim their 50 day MAs for the week. The only missing component has been volume. But we are seeing some leading stocks break out recently. For the week NFLX COH INFA RKT NTAP all broke out of bases. Many stocks have weathered the correction nicely and are setting up valid buy points that we will discuss in the next paragraph. Defensive sectors such as healthcare and utilities have backed off their leadership roles this week, leading the way to the risk trade being back on. The dollar lost about 1% for the week, giving commodities a nice boost. Copper, coal, gold ETFs all rose between 1.5 and 2% for the week. Silver rocketed ahead more than 8%. Oil finished above $100. Economic reports for the week were soft, which has to be construed as positive given the markets decent showing. Durable goods orders and pending home sales were weak. Manufacturing numbers from both China and Europe decelerated. Tuesday brings Case-Schiller, Chicago PMI and consumer confidence. PVH reports earnings after the bell On Tuesday.

Stocks near specific buy points include: 3 week tight patterns ADP 54.96, TWC 78.75, UNH 51.56, ANF 76.86, ERTS 24.15, DTV 50.90, WYNN 151.83, M 30.10, CHRW 81.31, EL 104.10, TPX 66.43, MWV 34.61, CTAS 32.73, SAPE 14.88, QCOM 57.93, WAT 100.04. Square boxes are APD 71.45, WYN 35.60, AGP 71.81, VIAB 52.03, ARBA 35.94, CSX 79.59, UNP 104.87, DHR 55.92, ACN 58.31, MCO 39.58, TDC 56.68. Double bottoms ANR 59.30, APC 81.68, ATW 45.20, CLR 69.72, BTU 68.40, RDC 42.31, FCX 56.59, POT 59.55, MON 74.56. Cup with handles are SYK 64.71, ABB 27.68, ITW 58.89, NSC 75.06, MOLX 28.20, TEL 38.16, PTN 31.89, HK 27.40, HON 62.38, MXIM 28.50. Cup with high handles are APD 96.10, WCRX 26.02, ABV 33.34, VMW 9.29, AVT 38.10, XLNX 36.59. Cup bases are GOT 65.61, AN 36.32, JBL 23.19, IRM 35.60, CY 24.03. Flat bases are PX 108.55, SBUX 38.31, SCSS 17.96, EMC 28.80. Double bottom with handles are NKE 86.63, EXPE 28.19, TRW 59.04. 4 week tight is PKI 28.85.

Stocks that can be bought as they reclaim their 50 day MAs and their buy stop spots are VFC 100, FMC 85, CAR 18.20, VPHM 19.50, PAG 20.60, PH 92.40, ORCL 34.25, APH 54.50, TTMI 17.60, IVZ 25.20, KKR 17.70, TROW 64.50, TS 48.50, TKR 52.20, APA 126, CHK 32.45, CVX 106, CXO 101, XOM 84.25, HP 64.25, NOV 75.25, NBL 93.60, SPN 38.15, TCK 53, WMB 31.30, WL 68.40, DD 54.50, ETN 53.30, HON 59.45, MMM 94.30, PAYX 32.30, AAPL 343, ARMH 28.80, TXN 35, AEM 65.50, BHP 96.50, MCP 65.50, RIO 70.75, SCCO 37.45, AGU 88. Stocks that retook their 50 day MAs Friday were SOA DOV GTI CLR DRC SGY WNR TIN JDSU ALV. Stocks near 50 day support are HBI 29.50, CE 47, EMN 101.40, LYB 41.50, ROC 50.30, AET 40, HS 40.20, WLP 74, AMZN 188, COST 78, JWN 46, IR 49, WCN 30.05, CHKP 52.70, TTWO 15.80, A 48, BP 45.25, BHI 72, EXXI 34, HAL 48, MRO 52, NFX 72, SUG 28.55, IFF 62.95, CCK 39, IP 30.10, VCLK 16.10, RVBD 35.75, PCS 17, ALTR 45.25, ADI 39.60, SMTC 26.50. Stocks that found 50 day support Friday were HUN TIBX EXPD ARW COF TYC UTX IBM MCHP.

Stocks near 200 day support are WRC 54.25, DOW 33.95, EBAY 29.50, CBE 58, MDRX 19.60,
RHT 43, VRSN 33.15, FDX 90.15, OMC 45.15, JNPR 36.10, KLAC 40, SPRD 17.55, SLW 34.25, CMI 101, DE 83.75, JPM 42.45. Stocks that can be bought as they reclaim their 200 day MAs and their buy stop spots are BID 43, SUN 40.45, MOS 73, SWC 20.25. Stocks that can be shorted at 200 day resistance are LVS 42.75, RCL 40, MTL 27.55, NUE 42.90, ACI 30.75, CAM 49.80, WFT 20.40, EMR 56, LRCX 48, VALE 32.50. RIG PAAS both found 200 day resistance, while MAR found support there. SWKS lost its 200 day MA Friday.

Stocks that can be shorted at 50 day resistance are RL 127.50, UA 69.50, STJ 52, LULU 93, ANN 30, JCP 37, WFM 63, WSM 41.75, DIS 42.05, GC 43.95, ADSK 43.65, TRN 34.60, UPS 73.60, DFS 24.35, FTI 45.50, HES 80.50, NE 42.75, SU 43.50, FCS 19, NXPI 30.50. Stocks that found 50 day resistance Friday were SCCO GM SLB SE CMCSA BRCM RIO PCLN DKS KO ATI APA ATW. Stocks that can be shorted as they lose their 50 day MAs and their sell stop spots are DECK 88.50, ABC 40.30, COV 53.70, UNH 47.70, BBBY 53.10, FAST 32.40, LTD 37.70, MKC 48.50. VRSN APKT lost their 50 day MAs Friday.

Please wish every veteran you know a wonderful Memorial Day and any day you see a current serviceman or woman please thank them for their service.

Good luck.

The author owns HK TIBX BTU FCX.

Thursday Thoughts

Are markets back to climbing the proverbial wall of worry? The last few days they have been shrugging off some bad news to finish higher. Today indexes ignored a weak GDP and jobs report. Good reaction to bad news is a start. Both the Nasdaq and S&P 500 finished right at 50 day MA resistance. Volume was higher on the Nazz, and lower on the S&P. We are back to seeing breakouts which should inspire a little bit of optimism. Yesterday NFLX broke out. Today COH picked up the baton and took out a 61.54 4 week tight buy point on TIF earnings. Tech leader ADS ramped up 3% today after finding solid 50 day support. CRM hit an all time high today, KSU is nearing one. So diverse sector leaders are showing some muscle. The risk on trade seems to be coming back as energy continues its rebound. Retail which seems to be getting shellacked everyday performed feebly today. LULU, a retail stalwart, lost its 50 day MA today in huge volume. Could this sector rotation out of retail recently be signaling stronger commodity prices going forward. That thesis seems to be holding right now. The Nasdaqs strength with weakness from AAPL has to be construed as a positive as well. Not much on the earnings front tomorrow, and we receive pending home sales, consumer sentiment, and personal income.

Stocks near specific buy points are: Cup with handles SYK 64.71, ABB 27.68, CHRW 81.63, MOLX 28.20, TEL 38.16, QCOM 58.56, MXIM 28.50. Cup bases are HOT 65.61, IRM 35.60, CY 24.03. Double bottoms EXPE 28.01, ATW 45.20, CLR 69.72, RRC 57.63, MON 74.56. Cup with high handles are HBI 33.20, WCRX 26.02, ABV 33.34, VMW 99.29. Double bottom with handles are NKE 86.63, EXPD 55.40. 3 week tights are ALB 71.45, ITW 58.89. SBUX 38.31 in a flat base.

Stocks that can be bought as they reclaim their 50 day MAs and their buy stop pots are HUN 19.20, SOA 24.75, VPHM 19.70, PAG 20.60, DOV 65.80, ORCL 34.25, ATI 67.75, GTI 21.25, TER 52.15, APC 79, APA 126.25, CHK 32.40, CVX 106, FTI 45.75, HP 64.25, HES 81, NE 43, NBL 93.50, SLB 87.75, SGY 32.20, WNR 17.15, HON 59.40, TIN 23.25, MMM 94.25, APKT 75.25, JDSU 20.30, NXPI 30.50, TXN 35, BHP 96.50, RIO 70.35, POT 56.25. Stocks that retook their 50 day MAs today were AN JWN SBUX ARBA CSX ARW GSM BP EXXI HLX. Stocks near 50 day support are CE 47, EMN 101, LTD 38, VIAB 48.40, VIAB 48.40 WCN 30, FTNT 44, CNI 75, NSC 70, A 47.90, BHI 72, MRO 52, PTEN 29, TUP 61, CCK 39, DHR 53, MWV 32, ACN 55.50, ADP 52.60, PCS 17, TWC 74, ALTR 45, ADI 39.50, B 22.60. Stocks that found 50 day support today were APD LYB PX ROC WCRX FAST WM AVT JBL PKI CRZO NFX HK IFF IP UTX IBM MCHP TRW.

Stocks near 200 day support are DOW 33.85, EBAY 29.50, JOYG 83, FDX 90.10, UPS 71.05, TROW 60.25, ESV 51.30, PXD 85, DD 49.90, ETN 47, JNPR 36.05, KLAC 40, SPRD 17.50, SLW 34.20, ALV 72.85. Stocks that found 200 day support today were RHT APH IVZ ANR DE JPM. WRC BTU retook their 200 day MAs today. Stocks that can be bought as they reclaim their 200 day MAs and their buy stop spots are MAR 38.20, CAM 50, SUN 40.40, TCK 51.35, RIG 71.25, WFT 20.55, SWKS 27.35, ABX 49.25, FCX 51.40, AGU 85.50. MUR encountered 200 day resistance today. Stocks that can be shorted at their 200 day MA, if they act as resistance are LVS 42.50, BID 42.50, NUE 42.90, EMR 56, PAAS 34.50, SWC 20. PVH is up a quick $4 in 2 days after finding solid 200 day support.

Stocks that can be shorted at 50 day resistance are VFC 99.50, FMC 84.35, CAR 18.05, STJ 52, ANN 30, DKS 40.50, JCP 37, WFM 63.10, DIS 42.05, ADSK 43.60, TRN 34.60, AMP 61.90, DFS 24.20, RDC 40.75, VLO 28, OMC 48, FCS 19, AA 17. Stocks that found 50 day resistance today were EXPR WMB CMCSA AEM. Stocks that can be shorted as they lose their 50 day MAs and their sell stop spots are ABC 40.20, COV 53.70, UNH 46.55, BBBY 52.85.

Good luck.

The author owns HK TIBX BTU FCX.

Wednesday After Market

Markets rallied Wednesday in decent volume, but finished well off of their highs. A test of the 50 day MA in the next day or two could establish whether this rally will resume or the correction will deepen. Oil rallied to finish above $101, giving the energy and commodity sector a boost which began yesterday after a Goldman call. No surprise that the stocks within those sectors that rallied the firmest, where the ones the have displayed the best relative strength. BHI bulged 5% higher and retook its 50 day MA. HAL also rallied 5% and recaptured its 50 day in the process. KEG leapt 8%. Chemical stocks, a recent leading group, showed some muscle today. EMN PX received solid 50 day support, while groupmates APD LYB ROC all retook their 50 day MAs to the upside. TO demonstrate that the strong get stronger, and the weak get weaker, retail continued its horrific action Wednesday. Today the culprits were RL and EXPR. They fell 11% and 12% respectively undercutting their 50 day MAs on earnings. NFLX hit an all time high today. The market does however remain in correction mode, but a move above the 50 day MAs for the indexes in healthy volume would reenergize the bulls. After the close today NTAP reported and was up 4&, and SMTC also reported and was up 7% as we wrote. OVTI TIF both report earnings after the close, and Thursday as always bring jobless claims and GDP.

Stocks near specific buy points are double bottoms EXPE 28.01, ATW 45.20, RRC 57.63, SLB 91.02, MON 74.56. Double bottom with handles are NKE 86.63, BYI 41.34, CHRW 81.63, MOLX 28.20, MXIM 28.50, SYK 64.71. 3 week tight patterns are ALB 71.45, ITW 58.89. COH 61.54 in a 4 week tight base and CY 24.03 in a cup base. VMW 99.29 in a cup with high handle pattern.

Stocks that can be bought as they reclaim their 50 day MAs and their buy stop spots are HUN 19.15, VPHM 19.60, AN 34.25, JWN 46.25, PAG 20.60, ARBA 32.80, CSX 77.50, ARW 43.55, AVT 35.25, ATI 67.75, GSM 22.25, APC 78.75, APA 126, BP 45.35, CHK 32.50, CVX 106, CLR 66.40, EXXI 34.25, NE 43, RDC 41, SGY 32.15, WNR 17.20, HON 59.50, TIN 23.20, AAPL 342, ALV 75, POT 56.25. Stocks that retook their 50 day MAs today were RES WMB TRW OXY OIS FAST IR TIBX. Stocks near 50 day support are WYN 32.55, CI 45.15, HS 40, UNH 46.95, COST 78, LTD 37.65, CBS 25.15, ABV 30.10, PM 67, ABB 25.10, WCN 30, INFA 52.25, ADS 88, NFX 72, TUP 61, MWV 32, ACN 55.25, ADP 52.55, IBM 166, MCO 36, VCLK 16, ADI 39.50. Stocks that found 50 day support today were DECK HBI BBBY WM CHKP CNI EXPD A JBL PKI TEL COG CPX IFF IP UTX RVBD EMC PLCM AVGO MCHP.

Stocks near 200 day support are EBAY 29.50, CBE 57.75, FDX 90.10, UPS 71.05, TTMI 14.15, IVZ 23.50, TROW 60.20, TKR 46, MDR 19.50, OMC 45.10, OPEN 79. Stocks that found 200 day support today were PVH HOT RHT APH JNPR BWA CMI DE. WRC lost its 200 day today. Stocks that can be shorted at 200 day resistance are LVS 42.50, MAR 37.90, BID 42.40, MTL 27.50, NUE 42.90, ACI 30.75, CAM 49.75, EMR 56, SWC 20, F 15.05. PAAS found 200 day resistance today. Stocks that can be bought as they reclaim their 200 day MAs and their buy stop spots are MUR 68.50, BTU 59.85, SUN 40.40, RIG 71, SWKS 27.25, FCX 51.

Stocks that can be shorted at 50 day resistance are DOW 38, FMC 84.25, CAR 18, ANN 30, DKS 40.45, WFM 63, DIS 42.05, ADSK 43.50, DFS 24.20, HES 80.50, CMCSA 25, AA 17. SBUX ARW AVT JDSU encountered 50 day resistance today. Stocks that can be shorted as they lose their 50 day MAs and their sell stop spots are ABC 40.20, KO 66.40, CCK 39.70. COF TYC lost their 50 day MAs today.

Good luck.

The author owns HK TIBX BTU FCX.

Tuesday Recap

Markets displayed classic bearish behavior opening at their highs and closing hard upon their lows. A benign call on commodities before the bell by Goldman gave the market an early bump, but that faded as the day went along. Volume was up on the Nasdaq and lower on the S&P. The indexes have made a series of higher lows, but living below their 50 day MAs. They need to take those trendlines out soon. Was the recent 50 day violation a product of stops being blown out, and now the rally can resume its uptrend. Im skeptical, but as always the market action, not my opinions are what is most important. Transports and semis were weak today. Even healthcare, a recent leading group and defensive, was soft. A sign of risk on being put back into place with the rise in energy today? Again I doubt it with many energy stocks closing upon their lows of the day, but let see how the markets behave. Tomorrow we get reports on durable goods and earnings before the bell from COST HRL RL and after the close from NTAP SMTC.

Stocks that can be put on a watch list and their specific buy points are cup with handles SYK 64.71, CHRW 81.63, MOLX 28.20, TEL 38.16. Double bottoms are EXPE 28.01, ATW 45.20, MON 74.56. 3 week tight patterns are ALB 71.45, ITW 58.89. COH 61.54 in a 4 week tight pattern. VMW 99.29 in a cup with high handle and NKE 86.63 in a double bottom with handle base.

Stocks near 50 day support are HBI 29.20, CE 46.40, PPO 60, WYN 32.50, AGP 64.70, CI 45.05, UNH 46.80, WCRX 23.75, LULU 92, AMZN 186, BBBY 53, LTD 37.50, CBS 25.15, VIAB 48, MKC 48.70, ABV 30.05, ABB 25, WCN 30, CHKP 52.55, INFA 52.05, TTWO 15.60, KSU 54.15, NSC 69.60, UNP 98.75, A 47.25, ADS 88, COF 52.70, CPX 30.95, EQT 49, NFX 72, HK 24.70, MWV 32, ACN 55, ADP 52.50, IBM 166, IRM 32, MCO 36, VCLK 16, EMC 27.05, PCS 16.85, QCOM 55, TWC 74, ALTR 44.90, ADI 39.50, MXIM 26.10, B 22.50. Stocks that found 50 day support today were EMN PX SBUX AVT IFF IP TYC UTX RVBD PLCM MCHP. Stocks that can be bought as they retake their 50 day MAs and their buy stop spots are APD 92, HUN 19, ROC 50.85, JWN 46.25, PAG 20.60, IR 49, ARBA 32.85, ORCL 34, KKR 17.75, ATI 67.75, GSM 22.25, APC 78.50, APA 126, BP 45.30, BHI 72, CLR 66.50, EXXI 34, HAL 48.10, KEG 16, NE 43.20, WNR 17.15, WMB 31.25, HON 59.25, TIN 23.20. Stocks that retook their 50 day MAs today were PTEN MON DECK CRZO CPX MRO OXY.

Stocks near 200 day support are PVH 62, DOW 33.75, PPG 82.15, SOA 21.50, VPHM 17, DKS 35, EBAY 29.50, WSM 35.35, DIS 38.65, CBE 57.60, JOYG 82.75, MTW 15.05, MDRX 19.55, FDX 90.10, TTMI 14.20, IVZ 23.50, TROW 60.20, TKR 46, DVN 78, DO 70, MDR 19.50, RDSA 66.40, SPN 32.95, DD 49.60, ETN 48.75, MMM 88.90, CTSH 71.10, OMC 45.10, JNPR 36, OPEN 78.75, KLAC 40, SPRD 17.45, TXN 32, BHP 88, CMI 101, SLW 34.15. Stocks that found 200 day support today were WRC FTI RIO BWA POT DE JPM. Stokcs that found 200 day resistance today were NUE ANR MUR BTU SUN SWKS. Stocks that can be shorted at 200 day resistance are MAR 37.90, LVS 42.25, RCL 39.95, BID 42.30, WFT 20.15, F 15.05, LRCX 48. Stocks that can be shorted as they lose their 200 day MAs and their sell stop spots are HOT 57, RHT 42.60, APH 51.80, ALV 72, NETL 33.60. RIG can be bought thru 71, if it can regain its 200 day MA.

Stocks that can be shorted at 50 day resistance are VFC 99.35, FMC 84.25, LYB 41.25, CAR 18, STJ 51.90, ANN 29.90, AN 34, DKS 40.45, WFM 63, DIS 42, DOV 65.50, ADSK 43.50, CSX 77.15, AMP 62, HES 80.50, OIS 76, RDC 40.80, SGY 31.80, OMC 48.05, CMCSA 25, JDSU 20, AA 17, TRW 54.15. Stocks that found 50 day resistance today were RES RRC SE UPL WMB TRW PVH ROC EBAY FAST UPS GSM. Stocks that can be shorted as they lose their 50 day MAs and their sell stop spots are ABC 40.25, CVO 53.60, CNI 74.45, PKI 26.60, COG 52.30, CCK 37.50. Stocks that lost their 50 day MAs today were DFS ARW GTI APKT.

Good luck.

The author owns HK TIBX BTU FCX.

Monday Thoughts

Markets sold off Monday with ongoing overseas concerns in Europe and China. The Euro hit a 2 month low against the dollar and the Shanghai Composite was down 3%.The Nasdaq took the worst of the beating with a 1.6% fall. Both the Nasdaq and S&P 500 lost their key 50 day MAs for the third time since mid-March. Last Tuesday both indexes moved below that key line intraday and rallied to close above it. No such luck today, although volume did cool off compared to Fridays levels. The market has been flashing signs of weakness for sometime now, with sector rotation moving to defensive sectors. One of those was healthcare, which was not immune to the days selloff (excuse the pun). More definitive of the markets fragility has been the lack of breakouts among leading stocks. Monday saw some more leaders pierce their 50 day MAs to the downside. EMN ROC EBAY ORCL MMM AVGO to name a few. Ags bucked the trend today and finished higher. A few other stocks avoided the damage including NFLX EXPE. Take notice when stocks finsih green on a weak tape. Some retail even managed to finish in the black. No coincidence that they were some of the leaders. LULU M ANF EXPR BBBY to name a few there. But buying in this environment is risky. See how the indexes and leading stocks behave around key MAs. The greenback strength continued today which hurt commodities. As we noted on Fridays post commodities somewhat escaped the barrage of selling but not so today. One bullish item to take note of, and a secondary indicator, was the low ratio of bullish money managers. The survey showed just 23% of money managers now bullish. Perhaps some froth getting taken out of the market here. Tomorrow earnings are reported from AMAT AVGO EXPR TTWO after the close. We also hear about housing starts, and retail same store sales.

Stocks near specific buy points which should be considered just a watchlist until the market can muster some strength are: Cup with handles SYK 64.71, CHRW 81.63, MOLX 28.20, TEL 38.16, MXIM 28.50. Double bottom with handles are NKE 86.63, BYI 41.34. EXPE 28.01 in a double bottom base and COH 61.54 in a 4 week tight pattern.

Stocks near 50 day support are CROX 19.40, HBI 29.15, CE 46.10, PPO 60, WYN 32.50, AGP 64.25, COV 54, HS 40, WCRX 23.75, CBS 25.10, VIAB 48, KO 66.75, ABV 30, ABB 25, ITW 55.50, CHKP 52.25, INFA 52, CNI 74.80, KSU54.05, NSC 69.50, A 47.40, AVT 34.80, PKI 27, ADS 87.75, COF 52.60, DFS 24.05, IVZ 23.50, EQT 49, NFX 72, EL 96, TUP 60.50, CCK 38.85, MWV 31.85, TYC 48, ACN 55, ADP 52.40, IBM 166, IRM 32, MCO 36, VCLK 16, EMC 27.05, MSI 44.50, ALTR 44.45, ADI 39.45, MCHP 38.70, SMTC 26.15, B 22.50. Stocks that found 50 day support today were PX BBBY SBUX TIBX VRSN EXPD ARW COG HK IFF IP UTX PLCM. MON can be bought thru 68 i it can take out its 50 day MA.

Stocks near 200 day support are APD 87, DOW 33.60, PPG 82.10, SOA 21.50, VPHM 17, EBAY 29.45, CBE 57.50, DOV 58.35, JOYG 82.65, PH 82.50, MTW 15, ROK 75, RHT 42.95, FDX 90.10, APH 52.05, TTMI 14.15, TROW 60.10, PAY 40, TS 44.50, TKR 46, CXO 86, CLR 57, DVN 77.75, EOG 100, ESV 51.05, HES 72.60, MDR 19.50, NOV 63.20, NE 38, NBL 84.25, PXD 85, RDC 35, RDSA 66.30, SLB 78.15, SPN 32.90, WLL 58, DD 49.60, ETN 48.60, TIN 21.60, MMM 88.80, OMC 45.05, JNPR 36, OPEN 78, NETL 33.95, SPRD 17.50, AA 14.80, BHP 87.80, CLF 80, BWA 65.50, CMI 101, ALV 72.25. Stocks that found 200 day support today were WRC HOT MDRX DO FTI KLAC SLW DE AMAT JPM. Stocks that lost their 200 day MAs today were RCL SWKS F RIO. Stocks that can be shorted at 200 day resistance are LVS 42.30, RCL 39.80, BID 42.50, CAM 49.60, MUR 68, TCK 50.40, RIG 70.30, WFT 20.25, EMR 56, LRCX 48, PAAS 34.20, TTM 27. POT retook its 200 day MA today. Put a buy stop in on ANR at 51.50 if it can retake its 200 day. Put a sell stop in on CTSH at 70.60, if it loses its 200 day MA.

Stocks that can be shorted at 50 day resistance are DECK 88.40, UA 69.50, VFC 99.25, FMC 84.05, LYB 41.10, ROC 50.15, CAR 18, ANN 29.80, AN 34, DKS 40.50, WFM 63, DIS 42.05, ADSK 43.25, KKR 17.50, EXXI 33.80, OIS 76, VLO 28, SGY 31.80, WMB 31, HON 59, NXPI 30.50. Stocks that met 50 day resistance today were DECK JWN RRC UPL. Stocks that can be shorted under their 50 day MAs and their sell stop spots are RL 126.50, ARW 42.75, COG 52.25, TDC 51.60, APKT 73.50. Stocks that lost their 50 day MAs today were PVH PCLN FAST IR RHT AMP GTI ADTN CMCSA JDSU FCS TXN.

Good luck.

We sold most of our BTU today as it lingers below its 200 day MA. We started a small position in FCX today.

The author owns HK TIBX BTU FCX.

Weekend Stock Reflections

Markets finished poorly Friday, to close hard upon their lows. A midday rally was squelched and volume rose. The question is, was the volume the continuation of the correction developing or due to options expiration? The indexes remain above their key 50 day MAs. For the week the Nasdaq fell 0.9%, and the S&P 500 0.3%. The retail carnage prolonged itself on Friday, as it has done all week, with RL GPS PVH VFC ANN ARO all getting pounded. Banks also were hit hard this week, as the GS assault persisted. Interestingly, amidst all the weak economic news, and the dollar rallying, commodities performed satisfactorily. UUP, a US Dollar ETF, regained its 50 day MA last Friday for the first time this year and enjoyed support their all week long. However,a close look at some commodity ETFs paints an intriguing picture. JJC, the copper ETF, retook its 200 day MA, for the second time in 3 days Friday. USO, the oil ETF, found strong 200 day support Friday for the second time this week. GLD found 50 day support this week as well. SLX, the steel ETF, looks dismal however with the likes of MT, MTL NUE X floundering. Overall, a solid showing for energy and commodities. Monday TECD reports earnings before the bell.

Stocks near specific buy points include: Cup with handles are GR 92.59, JBL 22.02, ABB 27.68, ITW 58.89, CHRW 81.63, QCOM 58.56, MXIM 28.50. 3 week tight patterns (which show solid consolidation during this ongoing correction) are ALB 71.45, WM 39.79, HS 45.21, UNH 51.56, WPI 63.95, ADP 55.06, TXN 35.76, XLNX 36.59. 4 week tight patterns are COH 61.54, CHKP 56.01, IBM 173.64. Cup bases are CY 24.03, SYK 65.31. Square box bases are WYNN 151.83, EMC 28.83.

Stocks which can be bought as they retake their 50 day MAs and their buy stop spots are SOA 24.60, APA 125.75, BHI 72, CRZO 36.25, EXXI 34, HAL 47.90, OXY 102.50, PTEN 28.90, RRC 54.55, WMB 31.25, ARBA 32.70. Stocks that retook their 50 day MAs Friday were CPX SUG CSX. Stocks near 50 day support are ICON 22, CE 46, EMN 100, ROC 50, IR 48.75, BBBY 52.70, EBAY 32, SBUX 36.20, ORCL 33.85, A 47.20, DHR 53, CPO 52, ABV 30, ADS 87.40, DFS 24, CNI 74.75, KSU 54, UNP 98.25, B 22.40, IP 29.85, MWV 31.75, UTX 85.65, RVBD 36, PLCM 52.40, JDSU 20, ALTR 44.50, MCHP 38.55, RAX 41.75, BEAV 36.40. Stocks that enjoyed 50 day support Friday were PVH HUN RHT HON MM CMCSA TRW.

Stocks near 200 day support are APD 87, CBE 57.25, DOV 58.25, MTW 15, PLL 49, PH 82.30, VPHM 17, CLR 57, DVN 77.70, MDR 19.35, NOV 63.25, PXD 85, SLB 78.10, VLO 23, WLT 110, FDX 90.10, DD 49.50, OMC 45, AAPL 320, BHP 87.60, CLF 80, KLAC 40, SWKS 27, AGCO 48, DE 83.05, MON 64.05, ARUN 25, JPM 42.20, ALV 72.15, TKR 46. Stocks that enjoyed 200 day support Friday were FTI RIO SLW F. Stocks that lost 200 day MAs Friday were BTU SUN NUE POT HMC. MUR RIG encountered 200 day resistance Friday. Stocks that can be shorted at 200 day resistance are LVS 42.50, KMX 31, BID 42.10, ANR 51, ACI 30.55, CAM 49.40, EMR 56, PAAS 34.05, SWC 19.90, IBN 48, TTM 27.WRC can be shorted as it loses its 200 day, with a sell stop spot of 53.70. Stocks that can be bought as they retake their 200 day MAs and their buy stop spots are TCK 51, RIG 71, FCX 50.50.

Gap ups still holding in this fragile environment are UHS VAIB AAN BBBY SCSS CTXS N NSC MCO.

Stocks that can be shorted at 50 day resistance are UA 70, LYB 41, CAR 18, AME 43.75, JOYG 94.80, PLL 57, STJ 51.80, DIS 42.05, ANN 29.80, AN 34, DKS 40.50, TSCO 60, WSM 41.50, HES 81, MRO 51.70, OIS 76, RDC 41, SGY 31.70, KKR 17.50, ATI 67, AA 17, NXPI 30.40. Stocks that met 50 day resistance Friday were AN EXXI OIS OMC AAPL. Stocks that can be shorted as they lose their 50 day MAs and their sell stop spots are DECK 86.75, PX 102, FAST 64.45, UPS 73.10. Stocks that lost their 50 day MAs Friday were STJ ANN PAG TSCO MRO ADSK.

Good luck.

The author owns HK BTU TIBX.

Preakness

We are dealing with a probable Triple Crown winner here ladies and gentleman. Am I saying Animal is Secretariat? Of course not. Just this years crop of 3 year olds is subpar. Here is the bet. $1 triple. 11 with 6,8,9,10 with all. $48 bet. $2 triple will cost you $96. You get the picture. Keep it simple. Handicapping the horses is very similar to trading the market. Don't over trade, discipline, risk/reward. Horses that scare me. 14 Mr. Commons, 7 Midnight Interlude. As always, good luck

Thursday Recap

Markets rose Thursday modestly on weak volume for the second consecutive day. A look at the daily charts of the Nasdaq and S&P 500 shows that the indexes are advancing from the lower left to the upper right. The troubling aspect is the emergence of rotation into traditional defensive industries. The stocks of healthcare, consumer staples and utilities have been providing the bulk of stocks hitting 52 wk or all time highs. Thursday, former leading sectors, ags and semis were weak. Another former strong group, retail, saw some big losers today. BKE LTD WSM AAP, all were soft today. ARO GPS were down big after hours on earnings. Today transports and credit cards companies outperformed. After hours CRM rose 7% on earnings. And of course LNKD basically doubled on its first day of trading. ANN reports tomorrow morning before the bell.

Stocks near specific buy points include: 3 week tights are CHKP 56.01, PKI 28.85, MWV 34.61, UTX 90.77, IBM 173.64, ITW 58.89, FAST 67.81, BBBY 58.00, COH 61.54. Cup with handles are PVH 71.91, EBAY 34.75, MOLX 28.20, TEL 38.16, QCOM 58.56, MXIM 28.50, MCO 39.75 (dates back to 9/08), ABB 27.68 (dates back to 6/08). Cup bases are SYK 65.31, UPS 77.10, CY 24.03. Double bottoms are NKE 91.22, EXPE 28.01, POT 61.90. Double bottoms with handles are TRW 59.04, EXPD 55.40. Flat bases are SBUX 38.31, AMP 65.22.

Stocks that can be bought as they reclaim their 50 day MAs and their buy stop spots are DOV 65.60, TROW 64.70, GSM 22.25, APA 126, BHI 72, CVX 106, EXXI 34, HAL 47.75, PTEN 28.90, UPL 47.85, WMB 31.25, DD 54.60, AAPL 344, JNPR 39.75, MON 68.25. Stocks that reclaimed their 50 day MAs Thursday were SE CMI TRW KEG MRO SUG HOT RBN CSX. Stocks near 50 day support are HUN 18.50, ROC 50, ABC 40, PAG 20.45, SBUX 36.25, ABV 30, IR 48.75, INFA 52, SAP 62.40, ADS 87.10, COG 52.15, EQT 48.90, NFX 71.95, HON 59, TIN 23, TYC 48, ACN 54.85, IRM 31.95, EMC 27, PLCM 52.20, CMCSA 25, JDSU 20, ALV 74.25. Stocks that found 50 day support today were APD FMC JWN JCP ORCL RHT GTI SWN ADTN TXN.

Stocks near 200 day support are RCL 39.75, VPHM 17, MDRX 19.55, PAY 40, APC 69, CHK 26.90, DO 69.90, EOG 100, FTI 41.20, CTSH 71, KLAC 39.85, NETL 33.90, SWKS 27, RIO 66.15, DE 83. Stocks that found 200 day support today were NUE FTI BTU KLAC SLW F. Stocks that met 200 day resistance today were LVS BID ANR TCK LRCX. BP retook its 200 day. Stocks that can be shorted at 200 day resistance are MTL 27.50, ACI 30.55, CAM 49.30, MUR 68, EMR 56, FCX 50.30, PAAS 34.05, SWC 19.90, TTM 27. Stocks that can be bought if they can reclaim their 200 day MAs and their buy stop spots are MAR 38, RIG 70.50, WFT 20.25.

Stocks that have gapped up recently and holding that gap nicely are FOSL M SCSS N ROVI NTGR DISH. Stocks trading tightly are WYNN WPI IP ADP.

Stocks that can be shorted at 50 day resistance are UA 70, WRC 58.25, DOW 38, PPG 91.75, SOA 24.40, CAR 18, DKS 40.50, WFM 63, DIS 42.05, CAT 108, CBE 65, JOYG 94.75, PLL 57, TRN 34.55, TS 48.05, XOM 83.90, HES 81, SGY 31.70, VLO 28, ETN 3, AA 17, NXPI 30.40. Stocks that met 50 day resistance today were ESV PAYX AAPL AA BHP MCP POT MON LYB CAR AN IVZ KKR GSM BHI. WSM ARBA BKE OXY all lost their 50 day MA today.

Good luck.

The author owns HK BTU IBX.

Wednesday After Market

Markets rebounded Wednesday but, before you breathe a sigh of relief, trade was very weak. Since yesterday when the Nasdaq and S&P 500 closed above their 50 day MAs, after piercing them intraday, they have behaved decently. The only thing missing is volume and leading stocks breaking out. However today, two leaders broke out. ADI took out a 41.80 cup with handle base after an earnings beat. VECO broke out of a cup base at 53.41. Oil and gas, chemicals, tech, health care and media stocks shined today. Commodities even rose despite the Fed signaling that tighter monetary policy ahead. A respectable amount of equities retook their 50 day MAs Wednesday as well. But lets wait for some volume to kick in before we get excited. Tomorrow we receive reports on jobless claims, housing starts and leading indicators. Earnings come from BKE WSM before the bell and ARUN ADSK CRM after the bell.

Stocks near specific buy points are: 3 week tights are COH 61.54, ITW 58.89, CHKP 56.01, CHRW 81.63, PKI 28.85, MWV 34.61, IBM 173.64, ALTR 49.69, MCHP 41.60. Cup with handles are PVH 71.91, EBAY 34.75, WM 39.79 (base dates back to 6/08), MOLX 28.20, TEL 38.16, MXIM 28.50, COG 57.68 (base dates back to 6/08 as well). Cup bases are CY 24.03, SYK 65.31. Double bottom is EXPE 28.01. Flat base is AMP 65.22. QCOM 58.56 in a 4 week tight base. EXPD 55.40 in a double bottom with handle pattern.

Stocks near 50 day support are HBI 29, ABC 40, PAG 20.40, EQT 48.55, CCK 38.60, UTX 85.25, RVBD 36, EMC 27, TDC 51.90, ALV 74.25. Stocks that found 50 day support Wednesday were DECK PX STJ JWN GDI IR ADSK ORCL RHT CNI KSU APH IFF APKT. Stocks that can be bought as they retake their 50 day MAs and their buy stop spots are AN 34.25, TROW 64.75, GSM 22.25, APA 126, BHI 72, CPX 30.80, ESV 51.75, HAL 47.60, MRO 51.90, PTEN 28.75, RRC 54.25, SUG 28.40, WMB 31.25, OMC 48.60, AAPL 343, JNPR 39.75, SPRD 20.25, BHP 96.30, RIO 69.90. Stocks that retook their 50 day MAs today were JDSU FCS TXN GM HOC NFX CMCSA VRSN FDX UPS GTI APD FMC ROC PCLN MAR RCL SBUX ARBA SAP CRM.

Stocks near 200 day support are WRC 54, VPHM 17, APC 69, FTI 41.20, NE 38, ETN 48.45, CTSH 71, SLW 34. Stocks that retook their 200 day MAs today were MDRX NUE ANR BTU SUN SWKS F. Stocks that met 200 day resistance today were BID BP TCK. Stocks that can be shorted at 200 day resistance are CAM 49.25, MUR 68, RIG 70, EMR 56, LRCX 48, TTM 27, PAAS 34.05.

Stocks that can be shorted at 50 day resistance are UA 70, DOW 38, SOA 24.40, CAR 18, HOT 58, DKS 40.55, WFM 63, CBE 65, CSX 77, TRN 34.50, SGY 31.50, VLO 28, AA 17, NXPI 30.50. Stocks that met 50 day resistance Wednesday were LYB KKR ATI TS HAL KEG OIS OMC CMI TRW. Stocks that can be shorted as they lose their 50 day MA and their sell stops are VFC 98.75, ANN 29.40, FAST 64.25.

Good luck.

The author owns HK BTU TIBX.

Tuesday Recap

Markets fell Tuesday, but did manage to finish off their lows of the day. In fact they finished at the highs of the day and the Nasdaq even managed to in the green, despite weakness in the semis. Both the S&P 500 and the Nasdaq fell below their 50 day MAs intraday but closed above them on good volume. The markets still are in correction as evidenced by the weakness in the machinery sector, a former standout. Today it was CAT, down 4%. JOYG has traded poorly in the group as well as DOV IR. Economic bellwethers UPS FDX both lost their 50 day MAs today. A close look at the all time high list is full of defensive equities. DPS HRL GIS WCN to name a few. The markets rebound off the 50 day MAs could be the start of something. Tech will be given a boost at the open on positive earnings reports from DELL ADI. AAPL IBM had positive intraday reversals. Even some energy stocks staged a comeback during the days comeback. Tomorrow we get earnings reports from ANF DE before the bell and AAP LTD after the close. Minutes on the FOMC meeting will be released as well as mortgage purchases.

Stocks near specific buy points are cup with handles TEL 38.16, MXIM 28.50, MOLX 28.20. Double bottoms POT 61.90 (POT retook its 200 day MA Tuesday), EXPE 28.01. Cup base SYK 65.31 and CHRW 81.63 in a 3 weeks tight pattern.

Stocks near 50 day support are HBI 28.80, PVH 65.50, CE 46, EMN 100, WYN 32.10, ABC 40, EBAY 31.95, PAG 20.40, WSM 41, VIAB 47.50, ABV 29.85, ITW 55.25, WM 38, CHKP 52, INFA 51.60, EXPD 51, NSC 69, AVT 34.50, PKI 27, TEL 35, ADS 86.50, EQT 48.50, IP 29.50, TYC 47.55, APD 52.05, EMC 27, PLCM 52, MSI 44, ALTR 44, AVGO 32.10, MCHP 38.25, SMTC 26, B 22.10, VECO 49.50. Stocks that enjoyed 50 day support today were VFC HUN PX NFLX CNI ARW CBS GDI ORCL RHT KSU COG SWN HON MMM TDC VIV OVTI ALV.

Stocks near 200 day support are WRC 54, APD 86.50, DOW 33.30, SOA 21.10, VPHM 16.95, DIS 38.50, CBE 57, DOV 58.15, JOYG 82.50, PH 82.20, ROK 74, FDX 90, UPS 71, APH 52, TTMI 14, IVZ 23.40, TROW 60, PAY 40, GTI 19.05, TKR 46, APC 69, CHK 26.85, CRZO 30, CPX 26.50, DVN 77.25, EOG 100, ESV 51, HES 72.10, MDR 19.30, NOV 63, NFX 66, NBL 84, RDC 34.90, RDSA 66.10, SLB 78, SPN 32.50, WLL 58, DD 49.40, ETN 48.20, CTSH 71, OMC 45, JNPR 36, NTAP 51, KLAC 39.75, SPRD 17.10, CLF 79.25, BWA 65, CMI 100, ALV 72, TRW 50. Stocks that found 200 day support today were EXPE RCL CRM DO FTI UPL RIO SLW F. Stocks that lost their 200 day MAs today were HOT MDRX NUE CAM SUN SWKS. ANR BTU met 200 day resistance Tuesday. Stocks that can be shorted at 200 day resistance are BID 42.10, MUR 68, RIG 70, WFT 20.10, TTM 27, LRCX 47.75.

M DISH both have traded tightly after recent gap ups, and MCO is trading very tightly. All bullish signals. COF DFS AXP all trading nicely as well.

Stocks that can be shorted as they lose their 50 day MAs and their sell stop spots are ANN 29.30, FAST 64.25, JWN 45.40, ADSK 42.70, UNP 97.50, JBL 20.10, ATI 66, IFF 61.60, TUP 59.75, TIN 22.80. Stocks that lost their 50 day MAs today were FMC CAR SAP ATLS JDSU TXN AA CMI TRW. Stocks that can be shorted at 50 day resistance are DOW 37, LYB 41, AN 34, WFM 63, PLL 57, ARBA 32.40, KKR 17.50, HOC 58.25, MRO 51.60, PTEN 28.50, WMB 31, BHP 95.90. Stocks that met 50 day resistance Tuesday were PCLN KEG OXY GM.

Good luck.

We bought TIBX today near its lows of the day near 50 day support. We also did something we do not like to do, but call it traders intuition we added slightly to our BTU. Just a feel. The overall position is still a small one overall, but we will add to BTU if it can regain its 200 day MA.

The author owns HK BTU TIBX.

Monday Thoughts

Markets fell again Monday in heavy volume to finish near session lows. The Nasdaq took the biggest hit, falling 1.6% finding support near its 50 day MA. Tech giants AAPL AMZN GOOG CRM OPEN all for the most part trading poorly. The S&P 500 also is hovering just above its 50 day MA. Utilities, alcohol, tobacco and healthcare outperformed Monday. Healthcare had some winners on a tough tape with BAX AGN AET all up. SYK even finished higher after announcing a takeover. Leading stocks also took a backseat today. DKS PCLN ARBA SBUX all lost their 50 day MAs today. Economic reports this morning were a weak Empire State Manufacturing Index. Tomorrow we get reports on housing starts, industrial production and same store sales from prominent retailers. DKS reports before the bell and ADI after the close.

Again with the market in correction, stock purchases are not really prudent. A few that acted decently today are cup with handles CHRW 81.63, MOLX 28.20. 3 week tight patterns are MWV 34.61, UTX 90.77, ALTR 49.69, MCHP 41.60.

Stocks near 50 day support are EMN 100, HUN 18.50, PPO 58, PX 102, WYN 32.10, WYNN 135, LULU 90, EBAY 32, JWN 45.65, PAG 20.35, WSM 41, YUM 52, CBS 25, IR 48.50, ADSK 43, INFA 51.50, ORCL 33.60, RHT 45, VMW 86, CNI 74.50, EXPD 51, FDX 92.50, EQT 48.50, HON 58, ACN 54.50, ADP 52, RVBD 36, EMC 27, PLCM 52, CMI 108, ALV 74.25. Stocks that found 50 day support today were FMC APD CAR KSU COF GTI TKR ATLS HK SWN JDSU TRW.

Stocks near 200 day support are WRC 54, RCL 39.50, VPHM 16.95, DIS 38.40, CRM 127, TTMI 14, TROW 60, PAY 39.90, GSM 18, APC 68.50, CRZO 30, CPX 26.50, CXO 85, CLR 56.40, DVN 77.25, EOG 100, ESV 51, HES 72, MDR 19.20, NOV 63, NBL 84, RDSA 66, SLB 78, ETN 48.20, CTSH 71, OMC 45, AAPL 319.50, SWKS 26.80, RIO 66. Stocks that found 200 day support today were MDRX NUE DO BTU SLW F. Stocks that lost their 200 day MA today were LVS BID CAM SUN UPL. Stocks that can be shorted at 200 day resistance are MUR 68, RIG 70, WFT 20.10, PAAS 34, TTM 27. Stocks that can be shorted as they lose their 200 day MA and their sell stop spots are HOT 56.50, FTI 40.60.

Stocks that can be shorted as they lose their 50 day MAs and their sell stops spots DECK 87, VFC 98.25, ROC 49.50, NFLX 228, MAR 35.60, FAST 64.20, SAP 62, COG 51.70, IFF 61.60, IBM 164.50, TDC 51.50, APKT 73, FCS 18.50. Stocks that lost their 50 day MAs today were CMCSA ARMH MCP WFM ARBA VRSN OXY PAYX ADTN SBUX PCLN DOW. Stocks that can be shorted at 50 day resistance are SOA 24.45, AN 34, SBUX 36.15, CBE 65, DOV 65.50, PLL 57, EXXI 33.50, MRO 51.60, RRC 54, VLO 28.10, WMB 31, DD 54.40, OMC 48.50, BHP 96, BWA 76. Stocks that met 50 day resistance today were CAT RBN KKR APA HOC JNPR KLAC GM. Stocks that trend looks to have changed, as prior strong uptrends now look to be broken are LYB CSX PAY DRC SGY NXPI. JCP had a terrible reversal on earnings today.

Good luck.

The author owns HK BTU.

Weekend Stock Reflections

Markets Friday continued to display corrective action. Finishing near the lows for the day. Volume did decline however, but a closer look reveals a more concise story. Leading stocks are maintaining a bearish mode with few if any breakouts, but more concerning, losing key moving averages that have been supportive through the uptrend. Thursday (we experienced some technical difficulties with the blogsite, our apologies) saw SOHU lose 8% on enormous volume. PAY lost 7%, AGCO 4% on Thursday as well. Friday saw market giants AAPL BIDU CAT CSX all lose their 50 day MAs. Recent rotation to more defensive related groups like healthcare and the like are adding to the concern of the bulls. The indexes themselves are still above their 50 day MAs however. The S&P 500, which lost 0.2% on the week, could test its 50 day near 1321. The Nasdaq, which was up barely on the week, is also above its 50 day which lies near 2775. Their is a lot of hot air between where it lies now at 2828 and 2775. The dollar strength this week, predominately on Euro weakness, clubbed commodity stocks. Here former leaders like FCX BTU lost their 200 day MAs. This could be a temporary move below that line, but more often than not it spells frustration. As commodities were the gel keeping this recent uptrend intact, could it prove its undoing on the way down? Time and the charts will tell, but the serious, violent nature in which these underlying resources looks not to be fundamental in nature to me. The recent actions by the CME to raise margin requirements on oil, silver and gasoline lately has led to the tremendous volatility we have experienced here. And as impressive as the dollar was this week, in my opinion its a dead cat bounce. Sure the boat is overloaded on the short side and needs some corrective action there but the chart looks weak. Energy is also wrecking havoc with former leading sectors such as transports and machinery. Again opinions mean nothing. Let the indexes and the price and volume activity determine your actions. JCP reports earnings before the bell Monday. On Monday morning we hear from the New York Fed on its monthly Empire State Index and also housing related data is reported. One quick thing to ponder. Is BID chart showing us the rich are feeling some pain? I know some will say COH TIF near all time highs, but they sell some stuff relatively inexpensively. Plenty under $100. Try going to bid on a Van Gogh painting for that amount.

With the market in correction mode, the following stocks should be considered a watch list. Wait for the market to see some accumulation before making purchases. That being said stocks near specific buy points include: 3 week tight patterns are COH 61.54, BBBY 58.00, ITW 58.89, CHKP 56.01, WCN 31.12, MWV 34.61, HRC 46.20, MCHP 41.60, UTX 90.77, UPS 75.68, PKI 28.85, HON 62.38, ALTR 49.69. Cup with handles are PVH 71.91, EBAY 34.75, VMW 99.29 (high handle), CHRW 81.63, MOLX 28.20, ATI 73.63, GTI 23.73, NSC 75.10 (cup dates back to 8/08 as seen on the weekly chart). 4 week tight patterns are IR 52.43, QCOM 58.56. Flat bases are RHT 48.48, DFS 25.21. Cup bases are SYK 65.31, JBL 23.19. EXPD 55.30 in a double bottom with handle base and NKE 91.22 in a double bottom pattern.

Stocks near 50 day support are DOW 38, EMN 100, HUN 18.55, PX 102, ROC 49.90, CAR 17.90, MAR 36, LULU 90, DKS 40.75, FAST 64.50, JWN 45.55, JCP 37.10, PAG 20.40, CBS 25, VIAB 47.50, ABV 29.55, ABB 24.50, WM 38, ARBA 32.15, ORCL 33.60, TIBX 27.50, FDX 92.10, UNP 97.50, TKR 51, EQT 48.20, IFF 61.90, IACI 32, RAX 41, HON 58.25, IP 29, TIN 23, ACN 54, ADP 52, RVBD 36.50, EMC 27, JDSU 20, TRW 55. Stocks that received 50 day support Friday were DECK RCL STJ SBUX VRSN APH AMP COF GTI OXY HK SUN ARUN AA MCP. No stocks that we follow retook their 50 day MA Friday, but some acted well and can be bought if they reclaim their 50 day MAs. They and their buy stop spots are APA 126, BHI 72, CRZO 36.30, NFX 73, JNPR 40.50.

Stocks near 200 day support are WRC 54, PPG 81.75, SOA 21.05, LVS 42, HOT 57, VPHM 16.95, JOYG 82, PH 82, MDRX 19.50, IL 21.50, TTMI 14, TROW 60, NUE 42.70, APC 69, ATW 37, CXO 85, COP 67, CLR 57, DVN 77, EOG 100, ESV 51, FTI 41, HES 72, MDR 19.10, NOV 62.50, NE 37.90, NBL 84, RDSA 66, SLB 77.50, SPN 32.20, WLT 109.75, WLL 57.50, DD 49.25, CLF 79, SWKS 26.40. Stocks that found 200 day support Friday were UPL EXPE LRCX BID RIO CAM SLW DO F SUN. Stocks that lost 200 day support Friday were MT ANR ACI BP. More and more energy stocks are now trading below their 200 day MA. An ominous sign. They include MTL X MUR PBR TCK ABX PAAS SWC VALE.

Stocks that can be shorted as they lose their 50 day MAs and their sell stop spots are DECK 87.25, VFC 98, FMC 82.55, WFM 62, SAP 61.75, CNI 74, KSU 53.60, COF 51.50, TDC 51.50, CMCSA 24.75, ARMH 28. Stocks that lost their 50 day MAs Friday were DOV CSX GSM BWA APD LYB CRL VPHM AN CAT. Stocks that can be shorted at 50 day resistance are UA 70, OPEN 100, WRC 58.25, LYB 41, AN 34, CBE 65, BGC 44, PLL 57, TRN 34.15, CVX 105, MRO 51.50, OIS 75.25, RRC 54, VLO 28. Stocks that found 50 day resistance Friday were TS BHI CPX EXXI HAL HLX MRO PTEN RES WMB ETN OMC KLAC NXPI GM.

We took a shot with BTU, again very small as it closed near at its 200 day MA.

Good luck.

The author owns HK BTU.

Wednesday After Market

Markets fell today as volume increased, squelching last Thursday-Mondays mini rally. The Nasdaq closed lower by .9%, while the S&P 500 slid 1.1%. Anything energy related was given a 2" by 4" to the head, as the greenback rose about 1%. We pointed to the energies sector weakness from the first day of the trading month of May. Could this dollar bounce be a dead cat bounce, or the beginning of something bigger. Time, and more importantly, the charts will tell. A multitude of leading stocks lost the 50 day support they have come to enjoy for quite a many months. Technically the S&P 500 can retreat to its 50 day MA near 1310 and have done absolutely no damage to the uptrend. CSCO was lower after hours on earnings. Tomorrow JWN reports after the bell. Economic reports Thursday include PPI, jobless claims and retail sales.

Stocks near 50 day support are APD 91, HUN 18.50, ROC 49.80, CAR 17.75, ABB 24.55, CAT 107, HS 39, AAN 25.70, PAG 20.30, OXY 102, SE 27.25, ARBA 32.25, INFA 51, ORCL 33.50, DHR 52.50, CPO 51.25, DFS 23.55, KSU 54, UNP 98, ACN 54.20, ADP 52, CMCSA 25, TWI 26.40, TKR 51. Stocks that enjoyed 50 day support on this weak tape were LVS DOV KEG HK EMC AA RAX WFM. RVBD showed strong relative strength today and a buy stop can be place at 37.20 on it, if and as it reclaims its 50 day MA.

Stocks near 200 day support are NKE 81.75, WRC 53.80, JOYG 82, PH 82, KMX 30.80, APC 68.25, BEXP 26.10, CXO 85, CLR 56.25, DVN 77, FTI 41, HES 72, NOV 62.25, NBL 84, BTU 58.75, RDC 34.60, SLB 77.60, SU 38, SUN 40, WLL 57.50, NUE 42.75, GG 45.50, RIO 66, SWKS 26.60, MON 64, POT 52, JPM 42.05. Stocks that lost their 200 day MAs today were CAM MUR TCK ADM FCX MT PAAS SWC AGU MOS BBD TTM. Stocks that found 200 day support today were BID ANR ACI BUD SLW. Stocks that can be shorted at 200 day resistance are RIG 70, EMR 56, FCX 50.10.

Stocks that can be shorted as they lose their 50 day MAs and their sell stop spots are TXN 34.50, AGCO 53.85, BIDU 136.50, BWA 75.75, DECK 87, VFC 98, FMC 82.50, LYB 40.50, PX 101.50, PCLN 500, AME 43.25, FAST 64, SOHU 90, APH 54.50, CSX 76.40, ATI 66, AAPL 343, TDC 51, MCP 61. Stocks that lost their 50 day MAs today were PPG SOA DIS (earnings) SBUX APA CPX EXXI HAL HLX MRO PTEN RRC SGY WLT WNR WMB BX TRN DD BHP NXPI DE ARUN. Stocks that can be shorted at 50 day resistance are UA 70, PPG 91.50, PLL 56.75, SGY 30.65, BRKR 19.75, PAY 52.25, OPEN 100, KLAC 45.10, NXPI 30.25. Stocks that found 50 day resistance today were VLO VSH CTSH GOLD KLAC CBE VPHM BHI MDR RDSA.

We sold FCX for a $1 loss today as it lost its 200 day, which was the catalyst for purchase. Discipline.

The author owns HK.

Tuesday Recap

Markets continued their rebound for the third consecutive day Tuesday. The Nasdaq rose 1% today in strong volume, while the S&P 500 advanced 0.8% in weaker volume. Leading stocks were relatively quiet although FOSL rocketed ahead 13% post earnings. Others leaders which achieved all time highs today were AMZN WSM BMC TPX CE. CROX rallied 5%, RAX rallied 3%. It a good sign when the market leaders outperform and show their muscle. A lot of stocks retook key moving averages Tuesday. More volume to give the emerging rally some legs. Groups which led today were tech, (buoyed by MSFT merger news),chemicals and healthcare related companies. Ags lagged. After hours DIS MCP reported. DIS missed and MCP was off in late trading. Tomorrow before the bell IL AH report, while SINA does so after the bell.

Stocks that are at specific buy points include are: Cup with handles are PVH 71.91, EBAY 34.75, CHRW 81.63, UPS 75.68, QCOM 58.56, TXN 36.08. Cup bases are JBL 23.19, ADI 41.76, MXIM 28.54, GR 94.22. Double bottom with handles are EXPD 55.40, AAPL 355.23. Double bottom is TRW 60.40, and flat base is DFS 25.21.

Stocks that can be purchased as they reclaim their 50 day MAs and their buy stop spots are CBE 65.50, PLL 57.25, VPHM 19.75, NBR 29.45, SUN 43.40, PAY 52.50, CTSH 79.35, RVBD 36.75, RIO 70.25, SWC 22.25, KLAC 45.80, SWKS 30.50. Stocks that retook their 50 day MAs today were PPG CRZO RRC RDSA VLO AMP BX TRN MT DE SYK SWK.
Stocks near 50 day support are LYB 41, CAR 17.50, AME 43.50, CAT 107.50, STJ 51.25, APA 125, CPX 30.50, KEG 15.60, OIS 76, WMB 31, IL 28.20, ORCL 33.50, KO 66.10, CPO 51, ADP 52, EMC 27, AA 17, MCP 62 (bad earnings after close), AGCO 54, BWA 76, TKR 51, HMC 38. Stocks that found 50 day support Tuesday were SBUX BHI HAL MRO PTEN WLT TS CMCSA BHP ARUN HOT.

Stocks near 200 day support are LVS 42, KMX 30.75, ANR 50.75, ACI 30.45, MUR 67.95, SU 38, FCX 50, SPRD 17, MON 64, POT 52, F 14.90, RCL 39, LRCX 47.60. Stocks that found 200 day support today were TCM CAM BID ADM AGU MOS IBN. EMR PAAS lost their 200 days today. BBD rettok its 200 day and TTM found resistance at ist 200 day line today. Stocks that can be shorted into 200 day resistance are PBR 36.40, RIG 70, MTL 27.40, ABX 49.10. WCRX has now had 2 solid moves off 200 day support since December last year.

Stocks that can be shorted into 50 day resistance are UA 70, WRC 58.40, JOYG 95, MTW 20.95, PH 92, APC 79.50, CVX 105.75, COP 78, XOM 84.10, HES 82, MDR 24, NBL 94, NUE 46, OPEN 100, GG 51, ROK 90, WY 23.50. Stocks that found 50 day resistance today were BRKR GOLD SWKS JPM. Stocks that can be shorted as they lose their 50 day MAs and their sell stop spots are DECK 87, VFC 98, SBUX 35.70. NXPI lost its 50 day MA today.

Good luck.

The author owns FCX HK.

Monday Monday

Markets rebounded Monday, traditionally as of late, a strong day. The move came in soft trade dampening the feel. The Nasdaq rose slightly more than the S&P 500s 0.5% advance. Commodities rebounded after the shellacking they took last week. In fact both hard and soft commodities rallied Monday. Healthcare was also strong while banks lagged. Leading stocks were quiet today. Economic reports tomorrow include small business optimism. Earnings on the companies that I follow for Tuesday include CRZO FOSL NOG before the bell and MDR MCP DIS after the bell.

Stocks near specific buy points include: Cup with handles are PVH 71.19, EBAY 34.75, CHRW 81.63, QCOM 58.56, TXN 36.08. Cup with high handles are DOV 69.35, VMW 99.29, VMW 37.44. Cup bases are JBL 23.19, ADI 41.76, MXIM 28.54. Double bottoms are KLAC 48.19, TRW 60.40. Double bottom with handles are EXPD 55.40, AAPL 355.23. Flat base is DFS 25.21 and COH 60.73 in a double bottom with handle base.

Stocks that can be bought as they retake their 50 day MAs and their buy stop spots are PPG 92.25, CBE 65.25, PLL 57, VPHM 19.60, BRKR 20, AMP 62.35, TRN 34.25, FCX 53.45, RIO 70.20. Stocks that retook their 50 day MAs today were CRZO EXXI FTO HAL MRO SGY WNR. Stocks near 50 day support are CAR 17.50, AME 54.50, IR 48, WM 37.75, STJ 51.05, KEG 15.55, IL 28.20, APH 55, KO 66, KSU 54, ACN 54, AH 26, ADP 51.80, EMC 26.95, AGCO 54, BWA 76. Stocks that found 50 day support today were LYB DKS APA CPX HLX OIS PTEN SUG WMB CRM BKI DD AA ARUN.

Stocks near 200 day support are LVS 42, KMX 30.60, FTI 41, ADM 33, POT 52, IBN 47.80, HMC 37.50. Stocks that found 200 day support today were MT NKE ANR TCK PAAS SWC AGU MOS. CAM retook its 200 day today. Stocks that can be shorted at 200 day resistance are RIG 70, MTL 27.40.

Stocks trading tightly after gapping up are MCO IACI. Very bullish.

Stocks that can be shorted at 50 day resistance are UA 70, WRC 58.30, JOYG 95.25, MTW 21, BID 48.40, APC 79.75, CHK 33, CVX 106, DVN 89.25, XOM 84.05, HES 82, MDR 24, NBR 29.10, NBL 94, VLO 28.25, PAY 52, NUE 46.30, OMC 48.60, OPEN 100, CLF 95.25, GG 51, MON 68.50. SWKS DE found 50 day resistance today. Stocks that can be shorted under 50 day support and their sell stop spots are DECK 87, VFC 98, SBUX 35.60, CMCSA 24.75, NXPI 30.15. RBCN lost its 50 day MA today.

We will as previously noted add to our FCX if it can regain its 50 day MA above 53.50.

Good luck.

The author owns FCX HK.

Weekend Stock Reflections

This past week the market changed its complexion. The Nasdaq "outperformed" the S&P 500 for the week. The Nazz finished last week down 1.6%, compared with the S&P 500s 1.7% loss. Friday saw a big bump early on due to a better than expected jobs report, but a classic bear market tell, finished well off their lows. The Nasdaq finished more than 30 points off its intraday high Friday alone. The S&P 500 looks like its destined for a 50 day MA test near 1315. This week saw some enormous developments. After a late mention of Bin Ladens death Sunday evening, futures were up huge. That day and this week continued to grind lower. Economic reports were mixed at best. Employment Friday came in a bit better, but we also had a Q1 GDP revised a lot lower than forecast. ISM factory index was weak, US service sector index was also soft. China manufacturing fell unexpectedly. A 2.5% gain in the US dollar this week engineered a commodity sell off, to put it mildly. For the week silver lost a whopping 26%, oil 14%, coal 6%, copper 5%. Leading stocks took it on the chin this week too. JOYG lost 11%, CXO 12%, OPEN 19%, HES 10%. However some leading stocks managed to hit all time highs Friday. They were HS WPI AVGO TRV VMED. Regarding all the big intraday volatile moves involving the high frequency trading, are the computer programmers of these complex algorithms the guys who will be looked upon as having the new "inside information"? Know how these programs work, you have an edge. Earnings reports Monday include SUG SLW before the bell, and RAX BID after the close.

Stocks near specific buy points include: Cup with handles PVH 71.91, CHRW 81.63, ALV 81.29, TXN 36.08, EBAY 34.75, QCOM 58.56. Cup with high handles are VMW 99.29, AVT 37.44, KSU 59.02, ATI 73.63. 3 week tight patterns are IR 51.67, AN 35.08, A 50.78, HON 62.38, YUM 55.08 (YUM closed within a 1 penny range for the last 3 weeks!! Thats tight, bullish action). Double bottom with handles are COH 60.73, CE 51.10, AAPL 355.23. Flat bases are SBUX 38.31, DFS 25.21. Cup bases are ADI 41.76, MIXM 28.54, GR 94.22. Double bottom is KLAC 48.19. Again be careful with these buy points. Look for the market to show some strength and demand as always volume at least 40% greater the average daily volume on the break out day.

Stocks near 50 day support are APD 91, EMN 98, ROC 49, CAR 17.45, ABB 24.50, AME 43.25, CAT 107, WCN 29.25, WM 37.75, STJ 51, ANN 28.25, PAG 20.15, SBUX 36, KEG 15.55, OXY 102, SE 27.05, ARBA 32, BMC 49.75, INFA 50.75, ORCL 33.25, QLIK 26.25, RHT 44, SOHU 90, DHR 52, JBL 20.30, KO 66, CPO 50.50, ADS 85, KKR 17.50, CNI 74, ACN 54, ADP 51.80, APKT 72.50, CMCSA 25, AGCO 53.50, RAX 40.25, FLIR 33.25, TWI 26, TKR 50.50. Stocks that found 50 day support Friday were LYB DOV APA CPX WMB CRM BUD DD EMC BHP ARW. Stocks that reclaimed their 50 day MAs Friday were WLT IL ARMH. WNR can be bought thru 17.50, its 50 day MA.

Stocks near 200 day MAs are NKE 81.50, LVS 42, KMX 30.50, BID 42, ANR 50.50, APC 68, ACI 30.20, CRZO 30, CLR 56, FTI 40.75, MDR 19, NOV 62, NBL 83, BTU 58, PXD 83, RDC 34.10, RDSA 66, SLB 77, SU 38, WLL 57, ADM 33, MT 34.75, NUE 42.55, RVDB 31, RIO 65.50, SLW 33.50, MON 64, POT 52, LRCX 47.50, WY 19.75. Stocks that found 200 day support Friday were FCX MUR TCK EMR SWC AGU MOS F. CAM RIG PAAS all closed below their 200 day MAs. SUN had a nice move off its 200 day Friday after finding support their intraday. Stocks that can be shorted at 200 resistance are MTL 27.25, BBD 19.75. TTM found 200 day resistance Friday,

Gap ups that hold for at least 4 days are very bullish. Some to keep an eye on, even though we are in a negative environment currently, are ALB GRA WYNN AET UNH VAIB EXPR SCSS CTXS NSC MCO PCLM.

Stocks that can be shorted at 50 day resistance are UA 70, CBE 65, JOYG 96, MTW 21, PLL 56.35, PH 92, BHI 71.25, CVX 105.50, EXXI 33.75, XOM 84, FTO 28, MRO 51.25, VLO 28.05, PAY 52, TRN 34, OMC 48.50, SWKS 30.25, DE 92.50, WFMI 62.25. Stocks that found 50 day resistance Friday were PPG PLL VPHM BHI CRZO XOM MRO RRC SGY AMP CTSH OMC GG SWKS DE JPM SWK. Stocks that can be shorted as they lose their 50 day MA and their sell stop spots are VFC 97.35, LYB 40.25, NFLX 222, DKS 39.50, FAST 63.55, OIS 74.10, NXPI 30.25. Stocks that lost their 50 day MAs Friday were WRC KMX HAL RDSA RBCN SPRD.

Good luck.

The author owns FCX HK.

Kentucky Derby

Animal Kingdom wins the race

Thursday Recap

Markets took another bruising Thursday, for the fourth straight day, as a dollar rally put a major assault on commodities. Oil, gas, coal, silver, gold all were hammered. Oil suffered a 10% decline in one day. Silver down 8%. You get the picture. The S&P 500 fell a little more than 1% on increased volume. The Nasdaq was down half of the S&P's decline and did so in flat trade. The damage did seem to be concentrated on energy. Some leading stocks actually advanced today amidst the horrid tape. PPO EL CE B all were higher on increased trade. Semis, retail, chemicals, healthcare and transports all bucked the sell off today. With the correction we have seen developing since Monday, and with David Tice (noted bear fund manager) getting air time this week, perhaps we can see a mild bounce back tomorrow. Of course with the big employment number Friday morning, even a bad number may be priced in. But a battle seems to be brewing in the markets lately. The margin clerks viciously stopping people out versus the fast buy program trading algorithms. We did not see the market coming off its lows that we have seem a few times this week. Man vs machine. The margin clerks are getting the best of it. Tomorrow brings earnings from CRZO XEC.

Stocks near specific buy points are: Cup with handles PVH 71.91, EBAY 34.75, QCOM 58.56, AVGO 33.92, SPRD 23.09. Cup base is MXIM 28.54. Again use caution as markets are in bear mode.

Stocks near 50 day support are KEG 15.50, OXY 102, SE 27.10, APD 90.75, EMN 97.75, LYB 40.60, PX 101.25, ROC 49, ABB 24.50, AME 43.20, CAT 107, IR 47.75, HLS 24.50, STJ 51, AN 33.90, SBUX 35.90, YUM 51.50, ADSK 42.50, CHKP 51, INFA 50.40, ORCL 33.20, SOHU 90, TIBX 26.90, ARW 41.90, DHR 52, KO 66, CPO 50.50, DFS 23.35, CNI 74, UPS 73.10, HON 58.10, MMM 93, ACN 54, ADP 51.50, BIDU 135, TKR 50.50. Stocks that found 50 day support today were RDSA VFC NFLX DOV DIS DKS ARBA APH BUD KKR CSX AAPL EMC APKT AMT AA TXN AGCO RAX BEAV TRW. Stocks that retook their 50 day MAs today were JBL JDSU RCL CCL. Stocks that can be bought if they can reclaim their 50 day MAs and their buy stops spots are VPHM 19.40, KLAC 46.

Stocks near 200 day support are ANR 50.20, ACI 30.25, BEXP 26, CLR 56, FTI 41, MDR 19, MUR 67.75, NBL 83.50, BTU 58.40, SLB 77, SUN 38, WLL 57, NKE 81.50, LVS 41.95, BID 41.90, ADM 33, TS 44, NUE 42.50, RVBD 31, RIO 65.90, SLW 33.50, MON 64, POT 51.95, WY 19.70. Stocks that found 200 day support today were GES MT FCX SWC F. Stocks that lost their 200 day MAs today were CAM TCK EMR PAAS MOS. Falling further below their 200 day MAs are NOG PBR MTL X ABX MS TTM BRCM.

Stocks that can be shorted at 50 day resistance are CRZO 36, EXXI 33.60, NBR 29.10, MTW 21, PLL 56.50, PH 92, AMP 62, PAY 52, TRN 34, CTSH 79, SWK 75.25. Stocks that met 50 day resistance today were HAL PPG OMC SWKS JPM BWA WFMI. Stocks that can be shorted as they lose their 50 day MAs and their sell stop spots are FMC 81.50, KMX 33.05, FAST 63.75, CMCSA 24.75, NXPI 30.25. Stocks that lost their 50 day MAs today were plentiful. They include APA BHI CRZO XOM MRO OIS PTEN RRC SGY WLT WMB SOA VRSN BX DD BHP GG GOLD ARMH DE.

Good luck.

We bought a very small amount of FCX at its 200 day MA not far from here, and some HK right about here as well as it found 50 day support. An energy stock up on the day displayed rare sector relative strength. Tight leashes on both.

The author owns FCX HK.

Wednesday Thoughts

Markets Wednesday flashed weakness, as they fell for the third consecutive day. Volume increased across the board. But they also cut their losses about in half. Perhaps its trading algorithms taking effect. The economic reports before the open were poor. ADP employment came up soft. Manufacturing data wasn't much better. This coming after we had a very feeble 1.8% GDP for Q1 this year. Most importantly leading stocks took a pounding once again. OPEN BEXP BID HES MCP all slumped today. Many more leaders, such as ARUN PPG JOYG CVX, are piercing their 50 day MAs to the downside. Retail and chips bucked the trend today while commodities once again sold off, today on a stable dollar. Earnings come tomorrow before the bell from TDC WNR EL HK and after the close from MCHP RBCN SPRD SUN. Thursday brings jobless claims, chain store sales and productivity.

Stocks near buy points, but once again, should be purchased very cautiously in this recent downtrend are: Cup with handles QCOM 58.56, AVGO 33.92, TXN 23.09, SPRD 23.09 (earnings after close Thursday). Double bottoms KMX 34.73, CXW 26.18. SBUX 38.31 in a flat base. XLNX 35.52 in a cup base. AAPL 355.23 in a double bottom with handle buy point. CBS broke out from a 26.27 cup with handle buy point on earnings.

Stocks near 50 day support are APD 90.75, EMN 98, HUN 18.05, LYB 40.75, PX 101, AME 43.15, CAT 107, STJ 51, ANN 28.20, DKS 40, FAST 64, YUM 51.40, APA 125, HLX 16.25, KEG 15.50, HK 23.60, ADSK 42.50, INFA 50.25, RHT 44, TIBX 26.75, KO 66, CPO 50.20, DFS 23.25, KKR 17.50, CNI 74, UPS 73.10, ATI 66, HON 58, ACN 54, AH 25.50, EMC 27, TDC 50.75, AMT 51.05, AGCO 53.95, FLIR 33.25, TKR 50.50. Stocks that found 50 day support VFC NFLX GES SBUX BHI CPX XOM HAL PTEN SUG WMB ARBA BX SOHU MT APKT BHP NXPI DE BIDU RAX BEAV HMC. KLAC can be bought through 46, as it reclaims its 50 day MA.

Stocks near 200 day support are VPHM 16.50, ANR 50.25, ACI 30.20, BEXP 26, FTI 41, MDR 19, BTU 58.25, TCK 50, CRM 125.50, ADM 33, FDX 89.75, RVBD 31, FCX 50, RIO 65.90, SWC 19.55, MON 64, POT 51.80, F 14.90. Stocks that found 200 day support today were MOS PAAS NKE CAM AGU SUN EMR. PBR RIG ABX all lost their 200 day MAs, while NOG MTL TTM all fell further below their 200 day MAs Wednesday. IBN found 200 day resistance Wednesday.

Stocks that can be shorted as they lose their 50 day MAs and their sell stop spots are RL 125, FMC 81.50, SOA 23.90, DOV 64.40, DIS 42, TSCO 47.70, XOM 83.75, MRO 50.75, OIS 75, SOHU 89, VRSN 35.75, CSX 75.75, DD 53.75. Stocks that can be shorted at 50 day resistance are DECK 87.45, CBE 65, MTW 21, PH 92, APC 80, NBR 29.20, BRKR 19.60, JBL 20.30, AMP 62, TRN 34, NUE 46.20, CTSH 79, JDSU 20.85, BWA 76, SWKS 30.70. Stocks that lost their 50 day MAs Wednesday were MTW PH BID EXXISD BMC IL TRN RIO JPM. JBL AMP BWA all found 50 day resistance today. LTD CMCSA both had negative outside days. Relative weakness was seen by ANR HES BUD today.

Good luck.

The author remains flat.

Tuesday Recap

Markets again finished lower Tuesday accompanied by strong volume. They did manage to finish off their lows, but the damage that is developing looks ominous. The indexes remain well above their key 50 day MAs, and perhaps they are headed that way to test them for support. Stocks are getting hammered on bad earnings reports, that were previously being shrugged off. Leading stocks are exhausted and fragile. JOYG BIDU MELI HES are looking feeble. Many are below buy points they formerly surged past. Others that had been building solid charts look like their trends have changed for the worse. Commodities again took the brunt of the beating today. Retail and internet issues also were soft. Relative strength was seen by defensive groups such as healthcare and utilities. Not a great sign. After hours OPEN LVS were plunging while CBS was up 5%. Tomorrow earnings reports before the bell include DVN K NXPI PPO TRW, and after the close from BMC CXO CLR MELI MUR. ADP employment report comes Wednesday morning as well.

Stocks near specific buy points are minimial. Defense time. KO 68.57 in a 3 weeks tight pattern. AAPL 355.23 in a double bottom with handle base. QCOM 58.56 in a cup with handle pattern. Other stocks which have broke out and are now falling below those buy points are CPX APKT SOHU. Handles could be forming on PVH EBAY CHRW ADI. Handles to be considered proper need a minimum of 5 days to develop.

Stocks near 50 day support are ROX 18.50, FMC 82, HUN 18.05, PPG 91, CAR 17.25, AME 43.10, DOV 65, LLL 56.25, LULU 87, ANN 28, FAST 64, SBUX 35.55, TSCO 58, APA 125, BHI 71.50, CPX 30.25, XOM 84.25, KEG 15.50, PTEN 28.35, SUG 28.35, SE 27, SGY 31, WMB 30.95, INFA 50.10, IL 28.10, APH 55, BX 18.10, KKR 17.50, CSX 76, TS 47.85, BKI 26, DD 54.25, ACN 53.85, EMC 26.95, BHP 96, AGCO 54, DE 93, TRW 54.75. Stocks that found 50 day support today were CVX HAL MRO SD ARBA CRM FCX GG RIO TXN ARUN. Keep in mind if these 50 day MAs fail exit the position. Even consider shorting it if the volume on the pierce is significant. JPM retook its 50 day MA today and CCL can be bought through its 50 day with a buy stop of 39.30.

Stocks near 200 day support are NKE 81.25, VPHM 16.50, WCRX 22.35, ANR 50.15, ACI 30.15, CAM 48.50, SUN 39.90, TCK 50, ADM 33, EMR 55.75, RVBD 31, SLW 33, SWC 19.50, KLAC 39, AGU 84, MON 64, MOS 70.20, POT 51.75, RCL 39, HOT 56.75. PBR PAAS both found 200 day support today. Stocks which lost their 200 day MAs today, and which is a big red flag, were NOG RIG MTL ABX IBN BBD TTM LRCX.

Stocks which can be shorted if they lose their 50 day MAs and their sell stops are ARUN 31.50, RAX 39.75, RL 125, VFC 97.50, SOA 24, JOYG 94.75, DKS 39.70, EXXI 33.50, VRSN 35.75, TRN 33.50, OPEN 99 (had earnings after close Tuesday), APKT 72.50, AVGO 31.70, NXPI 30 (earnings before bell Wednesday), SPRD 19.75. Stocks that lost CBE APC CHK FTI HES NBR NBL PXD SU TCK BRKR VSH ADM PAY EMR CTSH SWKS BWA. Stocks that can be shorted at 50 day resistance are CXO 105 (earnings after bell Wednesday), CLR 68 (earnings after bell Wednesday), NBL 93.75, VLO 28.50, PAY 52, CLF 94.25. APC had a negative reversal after attempting to retake its 50 day intraday Tuesday. Former leaders whose charts now look to have changed from uptrend to now a downtrend are UA COP FTO IO NOV PXD SM ROK SWK. Look to short these near their 50 day MAs if they return there.

Good luck.

We remain flat.

Monday Monday

Markets closed today in a negative fashion. After futures exploded Sunday night upon the wonderful news that Bin Laden was slaughtered, markets opened decently only to close on a whimper. Put aside the geopolitical success, Mondays and add to that the first trading day of the month, should have been firmer in my opinion. Perhaps the market is a little overbought here, powering ahead on many consecutive days. Energy and industrials were laggards today while healthcare shined. Volume rose on the indexes Monday. Stocks that will report earnings Tuesday before the bell are ANR AMT ADM EMR PRGO RDC and after bell are BEXP CBS CMCSA LVS OPEN PXD. Economic reports Tuesday include car sales, retail same store sales, and factory orders.

Stocks near specific buy points are: Cup bases EBAY 35.45, AVT 37.26, BUD 64.87, MXIM 28.54, XLNX 35.52. Double bottoms are LVS 50.75, KMX 34.73, GES 48.10, EXPD 55.21, OMC 49.88. Flat base is DIS 44.44, 3 week tight is KO 68.57. Cup with handle is CBS 26.27. IP broke out of a 31.10 3 weeks tight base today. Other stocks that are trending lower back to their buy points are EMC 27.57 (flat base), SOHU 102.52 (3 weeks tight), HK 25.25 (cup with handle), COH 58.38 (double bottom). AMZN was strong today, adding to its recent double bottom buy point 188.37, closing above 201.

Stocks near 50 day support are NKE 81.75, SBUX 35.50, CVX 105.50, XOM 84.15, HAL 47.25, PTEN 28.25, APH 55, BX 18.05, TRN 34, BKI 26, AAPL 345, AMT 51.05, FCX 53, RIO 70, AVGO 32, ARUN 32, TTM 26.75. Stocks that found 50 day support today were PXD TCK SWKS TXN. APC can be bought with a buy stop at 81, through its 50 day MA. HMC retook its 50 day MA today.

Stocks near 200 day support are VPHM 16.50, WCRX 22.45, GES 42.95, ACI 30.10, CAM 48.50, NOG 22.50, PBR 36.35, SUN 39.85, RIG 69.15, MTL 27.20, RVBD 31, ABX 49, PAAS 37.50, SLW 33, MON 64, MOS 70, IBN 47.50. MS can be shorted at 27, its 200 day MA.

Stocks that can be shorted as they lose their 50 day MA and their sell stops are RL 125, VFC 97.50, DOV 64.50, PH 91.50, DKS 39.50, TSCO 47.50, HES 82, NBR 29, SM 72, AMP 61.40, PAY 51.75, BWA 75.25. Stocks that can be shorted at 50 day resistance are DECK 87, UA 70, BEXP 34.40, COP 78.25, FTO 28, RDC 41.50, WLL 69, JPM 45.80. Stocks that lost their 50 day MAs today were AEM JPM HP IO NBL WNR WLL BRKR NUE VPHM ACI COP CXO CLR DVN. Stocks that met 50 day resistance today were WCRX APC XEC FTO BTU RDC SLB VLO JBL JDSU CLF POT. Relative weakness was seen today from LULU BHI NOV APKT GG. ICON had a negative outside day today.

Good luck.

We flattened out today. We do not like winners turning into losers. So we are in 100% cash. That can change tomorrow. We were profitable in all our trades, except F, where we took a very small loss.

The author is in cash.