Wednesday, October 5, 2011

Wednesday After Market

First and foremost, lets all begin tonight with an immense respect, admiration and condolences for a truly one of a kind, Steve Jobs. Our world will never be the same. Thank you for making all our lives easier and more enjoyable. RIP.

Markets forged ahead for the second consecutive day Wednesday. And for the second straight day the markets closed strongly into the close. This type of behavior has been rare recently. The S&P 500 outperformed the Nazz by a 2.3% to 1.8% margin. The Nazz is now 60 points away from its 50 day MA which has posed problems for the index repeatedly for the last month. Speaking of round numbers like we did yesterday the Nazz rallied from a low of basically 2300 and now sits just over 2460. 160 handles in 2 days. The S&P 500 now rests just under 40 points from its 50 day MA. Commodities regained the spotlight today as risk seems to have come back on for the last couple of days. Lets see if that trend continues. Copper stocks were up handsomely today with SCCO up 10%, FCX 7%. Ags rose again with POT AGU DE all up over 4%. BHI rose 8%, SU 9.5%, wll 10% in the energy sector. SDS is once again nearing a 50 day test around 24. VXX, a fear indicator has backed off now 12% in the last couple of days. As we still remain in a correction, remember bear market rallies are swift and volatile, a couple of stocks must be included in your watch list building valid bases. They are VFC 132.92 in a cup with high handle base, and DLTR 79.45 in a 3 week tight pattern. DSW is in the process of structuring its right side of its base. Can this rally be the start of something different? Who knows. As always let me indexes, and their leading stocks and volume be the best guide as to when to begin allocating capital. We did retest the lows. Perhaps plenty of stops were taken out and now things may be for real. About the only sector that lagged today were the gold/silver miners group.

that can be bought as they reclaim their 50 day MAs and their buy stop spots are RL 136, BBBY 56.25, DPZ 27.10, SBUX 38.45, TGT 50.20, BUD 53.95, ABV 32.30, ADS 92, V 86.50, NTGR 28.40, WFC 25.15, MTZ 19.50, QCOM 51.10, ADP 48.85, HS 36.50, WPI 66.45, NUE 34.25, WAT 78.40, NVLS 28.90, XRT 48.30. Stocks that retook their 50 day MAs today were UA WFM XOM USB TWC TIBX PX NDAQ BIIB JAZZ UPS ADI BRCM MCHP LLTC WPRT AKAM FFIV. Stocks near 50 day support are ORLY 64.25, XOM 73.40, UPS 65, AKAM 21.80, FFIV 80. Stocks that found 50 day support today were NEM DECK NKE COST FAST ROST TSCO ED QCOR. Stocks that can be shorted at 50 day resistance are MON 68, COH 55.50, IACI 39, RAX 36, ANF 65, CMG 310, MCD 87.50, PAG 18, PETM 42, SCSS 14.95, CVX 96.40, PENN 37, AAPL 385. Stocks that met 50 day resistance today were HANS K ANN PETM SBUX CMCSA ATHN MCO BAX WPI FE.

Stocks that can be bought as they reclaim their 200 day MAs and their buy stop spots are CBOE 25.50, CVI 22, EP 18.15, EXPE 26.30, ARBA 30.25, TIBX 25.15, PX 99.85, JBL 19.65, KLAC 42, SWI 22.90. Stocks that retook their 200 day MAs today were PCP MTZ KSU INTC. Stocks near 200 day support are ACN 54.25, KSU 53.60. UA LULU M CHKP all found 40 week support today. Stocks that can be shorted at 40 week resistance are EBAY 31.05, IFF 59.60, TPX 56, HFC 29.75, IRM 30.45, UNH 45.85. Stocks that met 200 day resistance today were ANF AN SCSS CVI EP IRM HUM.

Good trading.

The author owns FCX DE.

No comments:

Post a Comment