Monday Monday

To all my loyal readers I apologize, but I will not be posting a recap tonight. I have a case of food poisoning. Will certainly be writing back tomorrow. Have a great night.

Weekend Warrior

Are the markets climbing the proverbial wall of worry? Contagion, oil prices, massive amount of European debt coming soon, Irish and German elections. I could go on and on. Just follow the price and volume action of the indexes and leaders themselves. Markets delivered some big gains, but they did come on weak volume. Leading stocks like DECK had a 6% intraday reversal after hitting an all time high after earnings. Not the type of action you would like to see during an aging bull market. TLT, a bond ETF, reclaimed its 50 day MA Friday. Could that be an ominous sign for equities? Fridays strong price action still left the major indexes with decent sized losses for the week. The S&P and Nasdaq finished lower by 1.7 and 1.9% for the shortened 4 day week. But that being said the indexes did find support at their 50 day MAs during the week. The SOX, one of the strongest sectors of the year, outperformed Friday and ramped up 2%. AAPL found formidable support at its 50 day MA this week. Thats why its important to keep an eye open for both long and short set ups. Simply because we can have our own bias to where the market is headed, but I really do not know, and I have news for you. No one really does. Earnings to look for Monday include JKS before the open, and RRC BID after the close. Pending home sales and the Chicago Purchasers Index are released Monday.

Stocks near specific buy points include. Cup with handles are NUE 49.34, NOV 82.08, POT 64.07, EBAY 35.45, NDAQ 29.81, JPM 48.46, GLW 23.53, AMAT 16.77, NCR 20.72, UA 70.53 (which cup goes back 4 years). Flat bases are MXIM 28.54, HES 86.22, WAG 43.28, FISV 63.98, CTSH 77.84. Double bottoms are ABX 54.03, FCX 57.74, BBD 20.89, SCCO 47.73. 3 week tight pattern buy points are EMC 27.48, ROST 72.80, ADP 50.05, ADS 80.07. MON 76.79 in a double bottom with handle formation and XLNX 34.22 in a 4 weeks tight pattern. Stocks that recently took out buy points are faring ok. APC is back above its 80.70 flat base buy point it took out 2/17. BHI back above its 70.09 3 weeks tight pattern. SLW back above its 40.10 double bottom buy point. RIO, however remains below its 73.10 flat base buy point.

Stocks that can be bought if they reclaim their 50 day MAs are MCP 49.30, TRW 58.25, MT 37.50, TKR 50.20, A 42.75, ACI 34.25, VALE 35.10, PVH 61.25, FFIV 128, SINA 82.75, AAP 64.25, LVS 47.40, BUD 56.80, FWLT 36.50. Stocks which reclaimed their 50 day moving averages Friday were APA PETM HUN ADSK ORCL WFC CBI. Stocks nearing 50 day support are ADI 39, ATML 14, CY 20.75, KLAC 44, LRCX 52, NVLS 36, NVDA 21.05, SPRD 20.50, TXN 34.10, RS 53.75, DHR 48, CAT 97, DOV 61.40, JOYG 90.50, BP 46.50, MDR 21.10, OXY 99, BTU 62, WLL 60, BHP 91, GFI 16.90, TDC 44.75, RTN 49.50, COST 73, JWN 43, RAI 32.90, AMP 60.50, BX 16, ACN 50.75, CHKP 47, CNI 68.30, ARW 37.75, RIMM 62.50, APH 54.30, CRZO 34, RES 18, ERJ 32, WLP 62, SHLD 79, COF 48, PAG 18, NWL 18.80. Stocks that found solid 50 day support this week were ALTR ATML CY SWKS BHP PAAS NKE OPEN MOS POT RAX LULU CMG PPG WYNN TROW LEN INFA SNPS VRSN KSU BLL AMT SWC CCJ GRA.

Stocks near 200 day support are F 14, MGA 45, MIPS 10.15, AEM 68.25, LOGI 17.10, NTAP 48, MCD 74, ABV 25,CHRW 69, EXPD 46.25, TSM 11, NXL 18, BEAV 32.25, CBD 37, WM 35, UPL here. Stocks that found good 200 day support this week were BRCM ORLY INFY RHT ROVI VMW EXPD BBD. TTM can be bought thru 24.75, reclaiming its 200 day MA. TGT can be shorted near 54, its 200 day MA which may prove to be resistance. IBN LO both back below their 200 day MAs. BUD TAP both languishing below their 200 days. Look at SAM, an illiquid stock, but an indication that the beer market has too much competition from the smaller and more nimble, local, crafty guys? Although BUD has under its umbrella of brands Stella Artois, Becks, Michelob, Hoegaarden among many others. Maybe you learned something about BUD there. I did.

CXO, a chart of beauty, is up $10 after recently breaking through par on Valentines Day. CVX PXD now both over par. AGU PX next?

Gap up stocks holding tightly still which is very bullish behavior are EL RL IBM HP AET CMCSA WMB MMC. RDC had a nice gap up Friday. Put it on the watch list.

Natural gas plays are getting firm again. CHK EOG RRC leading the way. RJF is my favorite financial play. A beautiful chart hitting an all time high this week. ETFs again exposing the old BRIC names that I continue to find fascinating. PIN, India and FXI both under their 200 day MAs, EWZ finding tenuous support at its 200 day MA, but RSX continues higher to 2 1/2 year highs. Tax cuts work. Whoever thought tax cuts and autocrats would go hand and hand? Even they get it.

Stocks showing weakness include UNP NOC GOOG AMZN MCD SBUX TIF FLR COH VALE X all of which hit 50 day resistance and could not perforate those lines. They could next week but to not to do on a strong Friday might raise a little caution. XOM was a notable energy laggard. Stocks that can be shorted at their 50 day and its proves resistance are TEN 42.25, BRCM 44, LLTC 35, MSCC 23, MTL 31.50, TEL 36.30, BBBY 49, CE 42, SOA 24, HOT 62, GR 90. Stocks that can be shorted if they pierce their 50 day MAs to the downside are FCS 17, PH 87.75, NFLX 200, UPS 72.50.

Leading stocks that I am looking to enter very soon are CLR SWC BHI DVN BTU. Patience and discipline.

Good luck.

The author is flat.

Thursday Thoughts

Markets closed in a mixed fashion today as volume fell. Indexes did manage to finish well off the lows however. Economic news was uneven also with jobless claims and durable goods orders impressed, while new home sales depressed. The Nasdaq did find support at its 50 day MA today. With many prognosticators still calling for a correction, who knows? I for one feel like we are headed lower. But again my opinion doesnt matter much. Its the markets price and volume action. Groups that lagged today were refiners and gold miners and winners came from select tech sectors. After the close CRM DECK were up sharply post earnings. Tomorrow JRCC JCP RDC WCRX report.

Stocks near 50 day MAs are BWA 72, ADI 39, ATML 14, MXIM 25.50, NVDA 21.10, TXN 34.05, ATI 62, GSM 19, RS 53.50, DHR 48, WAT 78.10, CAT 97, CBE 61.15, DOV 61, JOYG 90, BP 46.25, HES 80, MDR 21.05, OXY 78.50, SLB 86.30, WLL 60, AEM 49.50, TDC 45, AGU 91, GD 74, BIDU 114, RAX 34, COST 73, FOSL 73, JWN 43, DD 51, EMN 89, PX 94.50, WYNN 116, RAI 32.90, URI 27, ACN 50.80, INTU 49, CSX 69, CNI 68.40, KSU 50.90, JPM 44.50, ARW 37.40, PAY 42, LAZ 42, CVLT 32, CBG 22.50, CBS 20.50, PAG 18, MWV 28, ASML 40.50, AMAT 15, ADS 74, ERJ 32. ETFs SLV 29, GLD 134. Stocks that found 50 day support Thursday were ATML CY FCS LRCX MCHP WFT AAPL LULU WAG PPG AMT HON. Stocks that can be bought as they reclaim their 50 day MA are PUDA thru 12.80, VALE thru 35.10, PVH 51.60, UNP thru 95.25. ETF EWZ thru 75.15.

Stocks near 200 day support are F 14, MIPS 10.10, JRCC 19, PVH 57.90, NTAP 48, MCD 74, MAR 36.80, ABV 25, CHRW 69, EXPD 46.60, FDX 86, BAC 13.60, HXL 18, BEAV 32.40. ORLY INFY found good 200 day support today. TTM lost its 200 day. HPQ found resistance at its 200 day today. LO back below its 200 day, TAP is falling further below it. OVTI can be shorted at 200 day resistance aT 24.75. AEM can be shorted under its 200 day at 68. BUD can be bought thru its 200 day at 55.50.

Gap ups still holding despite this very recent correction are DHR even after it gapped up on 2/7 after announcing to buy BEC. Others that are still showing great price action after gapping up are PLL RL EL TER AET CMCSA WMB MMC.

Even though my bias toward the market is lower I have to be aware of potential buy points that can arise at anytime. Two copper names setting up possible double bottom buy points are FCX 57.74, SCCO 47.73.

Stocks that can be shorted at their 50 day MAs are BBBY 49, PETM 40.40, SBUX 32.70, DOW 36, SOA 24, HOT 62, ADSK 41, WFC 32, ALB 57, ETN 106, GR 90, WBC 60, GNTX 31, TRW 57.60, LLTC 35, MSCC 23, TKR 50, A 42.40, AVT 34.70, JBL 21, TEL 36.30, ITW 34.40, PH 88.50, ACI 34, COH 55, MON 72, SINA 81, AMZN 182. Stocks that can be shorted under their 50 day MAs are APC under 76, NBL under 86, SUN under 41, ANF under 54, WSM under 35, FISV under 61, TROW under 65.25, GRA under 35.75. CNQ had an outside day today, as many oil names reversed hard from their intraday highs.

Good luck.

The author is flat.

Wednesday Thoughts

Stocks fell again Wednesday but managed to finish off the lows. An oil spike and fear of contagion in the Middle East threw fear the markets way. Energy related names starred once again and retail, steel and transports fell. Volume came in higher for a second consecutive day. Stocks winners unrelated to energy were hard to find although AAPL managed to rally off its 50 day moving average in good volume. Leading stocks are not breaking out of bases and many are slicing through important moving averages. Some of finding support at long term trend lines. As always respect the markets price action whether it agrees with your beliefs or not. PCLN up 5% after the close on earnings. Tomorrow we have earnings from FWLT GM NEM SHLD TGT before the open and AMAT DECK OVTI CRM after the close.

Although we are not recommending buying stocks breaking out from bases while the market is in correction mode its always wise to keep your watch list handy because the rally can resume at anytime. Some stocks that remain above their recent buy points are BHI above its 70.09 3 weeks tight buy point. CVX above its 98.33 cup with handle buy point. SLW above its 40.10 double bottom buy point. Keep an eye on relative strength during correction mode.

Stocks near 50 day MAs are BWA 72, ARMH 25, AVGO 29.60 (had good earnings reaction after the close), MXIM 25.50, NVDA 21, TXN 34, ATI 61.75, GSM 19, NUE 45.80, DHR 48, WAT 78, CAT 96.75, DOV 61, JOYG 90, PLL 51.60, APC 76, BP 46.25, MDR 21, NBL 86.25, CLF 86, JNPR 39, OPEN 80, TDC 45, GD 73.60, BIDU 110, RAX 34, JWN 43, WAG 41, PPG 84.50, NFLX 200, ACN 50.60, IBM 155, CHKP 47, INTU 49, TIBX 22, CNI 68.25, KSU 50.40, ARW 37.20, GE 19, RJF 35.10, RIMM 62.25, PAY 42, CBG 22.50, CBS 20.30, TJX 47, MWV 27.90, ASML 40.50, AMAT 15, ERJ 32, ADS 74. Stocks that found support at their 50 day MA today were ADI ATML FCS SWKS TQNT RS VSH JKS BTU WFT BHP AAPL RVBD TEX LULU CMG COST FOSL BID WSM LYB WYNN KBR ORCL VRSN BLL TTMI LAZ AMT CCJ WM GGC WCRX.

Stocks near 200 day MAs ALV 66, F 14, MRVL here, MSCC 19, MIPS 10, MT 33.10, MTL 25, JRCC 19, PUDA 10.10, PVH 57.50, LOGI 17.10, NTAP 48, AAP 59, MCD 74, ORLY 53.75, MAR 36.70, ABV 25, INFY 65.50, ROVI 50, VMW 80, CHRW 69, FDX 86, STT 41.10, HXL 17.95, BEAV 32.40. BRCM ROVI EXPD UPL all found solid 200 day support today. LO has been moving higher and away from its 200 day MA. IBN lost its 200 day, and OVTI plunged below its 200 day MA today. OVTI has been a recent laggard in the semi space as the group has been among the strongest. Red flag on a plunge below the 200 day. Remember TGT.

PXD became a par member today. It originally broke through 100 on 2/16.

Stocks that showed weakness today slicing their 50 day MA were MGA TRW LLTC SPRD TKR X A AVT JBL TEL PH COH XXIA DE NOC BBBY PETM TIF HUN HOT CTSH FLR ADSK INFA BMC PMTC CRM JBHT UNP FWLT DKS MPEL WBC CBI QLIK SBUX. Stocks that can be shorted under their 50 day MA are JCI under 39.50, FCS under 17, LRCX under 51.60, ATU under 27.25, ANF under 54, FISV under 61, ADP under 48.10, ETN under 103.50, EMR under 58.65, AFL under 57, HON under 55. Stocks that can be shorted at their 50 day MA are ITW 54.30, SINA 80, ADSK 41, WFC 32. ANN had an outside day, RHT down 6% today after losing its 50 day Tuesday.

Good luck.

The author is flat.

Tuesday Recap

Markets sold off Tuesday after the long holiday weekend in heavy volume. Blame it on Libya, blame it on an overbought condition. It happened today and it may last for awhile. Many leading stocks were hit hard, accentuating the strength of the selloff. Gold miners and some spots of energy bucked the trend, but that was about it. The SOX was off 4%, transports were pummeled. EXPD got hammered on bad earning s as did CHRW did also in that sector recently. AAPL BIDU NFLX PCLN all were smacked around. The uptrend we have been enjoying since last summer seems due for some sort of break. HPQ CHK both fell after hours which could set the stage for tomorrow. Cash seems king right now, and thats where I am. Buying stocks breaking out of bases is hazardous and we will look for shorting opportunities, and to see if leading stocks find support at moving averages. Earnings come tomorrow from TJX SKS AMT before the open and AVGO CLR CXO LMT MGA PCLN WLL after the close. Existing home sales and same store chain sales are among the economic reports Wednesday.

Stocks near 50 day MAs are GNTX 31, MGA 56.25, TRW 57.25, ARMH 25, ALTR 38, ADI 39, ATML 14, AVGO 29.50, CY 20.50, FCS 17.10, IRF 31, LRCX 52, MXIM 25.50, MCHP 36.10, NVDA 21, SPRD 20, TXN 34, AVT 34.75, DHR 48, JBL 20.60, VSH 16, ATU 27.75, PLL 51.50, BP 46, HAL 42, MDR 21, NBL 86, OXY 98, BTU here, WFT 23.30, AA 16.25, BHP 91.50, COH 55.25, NKE 85.50, XXIA 17.05, RVBD 37.05, AGCO 52, AGU here, DE 88.25, MOS 78, LLL 76, RTN 49, RAX 34, ANF 54, COST 72.90, JWN 43, PETM 40.30, SBUX here, TIF 61.95, WAG 41, YUM 40.05, DOW 36, EMN 89.25, WYN 30, TROW 66, ACN 51, ADP 48.25, FLR 69, KBR 31.90, LEN 19.50, ADSK 41, BMC 48.25, INFA 46, ORCL 32, TIBX 22, VRSN 34, KSU 50.40, UPS 73.25, BAC here, JPM 44.50, GE 19.50, ETN 105, APH 54.50, FWLT here, HXL here, PAY 42, LAZ 42, AMT 52, SWC 22, EMR 59, CCJ here, CBS 20.25, HON 55, GRA 36.25, AMAT 15, ONNN 10.75, WCRX 23.40, ERJ 32.

Stocks near 200 day support are BRCM 38.75, MSCC 19, MIPS 10, OVTI 24.60, MT 33.15, JRCC 19, PUDA 10, AEM 68.10, NTAP 48, AAP 59, MCD 74, CCL 39.25, INFY 65.50, VMW 80, CHRW 68.75, SCCO 38, BEAV 32.50, TTM 24.10. PVH ORLY both found 200 day support today amidst a nasty selloff. IBN UPL both lost their 200 day today, and BUD hit its 200 day and headed lower. MRVL can be shorted under 18, its 200 day MA.

Some stocks did manage to demonstrate relative strength today and that bears watching if this selloff proves short and shallow. CXO CVX XOM PTEN PBR CLR SU PVH ANN.

Stocks that look weak are MTL ITW APA RIO VALE SINA AMZN CE SOA MAR LVS CCL RHT UNP GS REE TSM all of which lost their 50 day MA today. Stocks that lost their 50 day in a big way today and look like trend changers are CMI WLT SQM GR. Stocks that can be shorted at their 50 day MA are TEN 42.25, LLTC 35, SCHN 64, ACI 34. Stocks that can be shorted under their 50 day MAs are HOT below 61.50, FISV below 61, CTSH below 74, ALB below 57, DKS below 36.50, CAVM below 41, TKR below 49.50, A below 42, PH below 88, HES below 79.50, AAPL below 337, AGU below 90, HUN below 17, LYB below 35. FFIV ROVI TCK all continue their miserable ways after recently losing their 50 day MAs.

Sold both positions today for losses. APC which traced an outside reversal we sold for a $1.50 loss, and EMN we sold for a $1.45 loss. EMN is approaching 50 day support.

Good luck.

The author is in cash.

Weekend Stock Reflections

Markets Friday finished in the black again after some afternoon weakness. For the week the Nasdaq and S&P were both up 1%. Volume was higher due to option expirations, but the action of leading stocks posed some cause for concern. AAPL was down almost $8 Friday, and has had some heavy down volume days this year. That type of volatility when a stock is near a high is often associated with a short term top. That being said we must respect the price action of the indexes and understand leading stocks are still setting up buy points in abundance. Some leaders did demonstrate strength as ARUN bolted higher on earnings. Stocks hitting all time highs Friday include COST CAT APC JOYG PM TROW. Strong groups Friday were defense related as newspapers, food and HMOs out shined while refiners, miners, networkers struggled. Markets are closed Monday for Presidents Day and we can expect earnings Tuesday from HD M WMT before the open and CHK HLF HPQ after the close. Economic reports Tuesday include Case Schiller Home and consumer confidence.

Stocks near specific buy points include. 3 week tight patterns are LLTC 36.07, PETM 42.46, WAG 43.28, IBM 166.35, BLL 37.53, XLNX 34.22. Cup bases are COH 58.65, NKE 92.59, LTD 35.58, JNS 15.82, JPM 48.30, MS 32.39, WFC 34.35. Double bottoms are ABX 54.03, RHT 46.56, EXPD 55.88, BBD 20.89, SLW 40.10. Flat bases are TRW 63.36, BBBY 51.05, ONNN 12.05, ALB 60.80. Cup with handles are NBL 92.26, BK 32.60, AMAT 16.77. 4 weeks tight is HPQ 38.68. WAT broke out of a 81.10 cup base buy point on Friday, as did MUR from a 73.53 double bottom buy point. Two stocks which broke out but we did not purchase were PM, a double bottom buy point at 60.24, and TROW a 3 weeks tight pattern at 69.08. Both because volume was not above the minimum 40% volume burst or more. Sometimes volumes kicks in later, but discipline remains paramount.

Stocks that can be purchased as they reclaim their 50 day MAs are ABV thru 28.80, and ETF EWZ thru 73.25. Stocks that reclaimed their 50 day MA Friday include AB GFI PAAS. LYB is another leader that delivered earnings that were received poorly on to find 50 day support on the downside then rally furiously to the upside. AMP comes to mind as well there. Stocks near 50 day support are CMI here, GNTX 31, MGA 56, CY 20.50, SPRD 20, MT MTL here, TEL 36.10, ITW 54.15, PH 88, BP 46, BTU 62.50, PBR 36.40, BHP 91, RIO VALE here, AGU 90, MON 71, SINA 80, MCD 75.50, CE 42, HUN 17, SOA 24, ADSK 41, INFA 46, ORCL 32, UNP 94.50, ETN 105, GR 90, SWC 22, CCJ 40.

Stocks near 200 day support include JRCC 19, ORLY 53.60, IBN 45, UPL 44.90. BUD can be purchased if it can reclaim its 200 day MA thru 55.50. TGT is good evidence of ominous times ahead once you lose the 200 day. Was down another 2.5% Friday. TAP found 200 day resistance Friday, after losing its 200 day recently. Stocks that look like they have had a sea change since reclaiming their 200 day MAs since December include HPQ PBR LLL LMT RTN BBT BAC PNC SANM SPWRA. Summary, respect the 200 day.

Stocks that have taken out par in the last week or so and have performed strongly were CAT up $6, CXO up $5.50, OXY up $7 all in a very short period of time. JOYG closed above $100 Friday. Stocks very close to par now include FDX CVX PX SLB. Hmm, just being silly, but 5 of the 8 symbols mentioned in this short paragraph have an X in them. I love looking for patterns but that was wacky.

Stocks that are behaving bullishly by holding very tightly after recent gap ups include RL WFMI EL LAZ AET DIS MMC.

Stocks looking weak include copper names SCCO FCX which look shaky at best now living comfortably below their 50 day MAs. FFIV MIPS NTAP ROVI TCK continue to struggle below 50 day resistance after recent earnings reports. MSCC TTM both found 50 day resistance again on Friday. AEM WLT sliced their 50 day Friday. Stocks that can be shorted near their 50 day MAs include BEAV 38, STT 47, OVTI 28.40. Other stocks that lost their 50 day Friday are CCL VMW REE MCP.

Recent purchases EMN APC both finished lower Friday, but above buy points.

Good luck.

The author owns EMN APC.

Thursday Recap

Markets once again demonstrated their "comeback kid" style as of late. Opening weakly after less than rosy economic reports, markets steadily rose for the remainder of the day. Volume was on the soft side though. Disappointing jobless claims and inflation were the culprits for the early weakness. One bright spot early was the Philly Fed Manufacturing report. It was its best in 7 years. More stocks broke out of bases again. Remember the true strength of a bull market is how its leaders perform. Footwear stocks and chips excelled while auto parts struggled. ARUN was up big after the bell Thursday. Earnings calendar is light today with HS EGO UPL all reporting before the bell.

Stocks near specific buy points are: Cup bases X 71.05, LTD 35.85, WAT 81.10. Double bottoms are MUR 73.53, ABX 54.03, EXPD 55.88. Cup with handles are ITW 56.46, CVX 98.33, NBL 92.26, RIG 83.32, GD 78.31, LDK 14.70, AMAT 16.77. ANF broke out of a 58.60 cup base Thursday. DECK flew past its 87.98 cup base buy point as well. APC broke out of a 80.70 flat base buy point. EMN broke out of a 94.52 flat base buy point. BHI finished ahead of its 70.09 3 weeks tight pattern it cleared on Wednesday. AGCO also finished ahead of its buy point which it cleared Thursday in a 56.28 cup with handle base.

Stocks that can be purchased as they reclaim their 50 day MAs are MSCC thru 23.50, OVTI thru 28.60, GFI thru 17.20, ANN thru 24.75, IBN thru 47, TTM thru 27.50. Stocks that found good 50 day support Thursday were CMI NBL WLT VALE EXPD. SCHN reclaimed its 50 day Thursday, however the stock is on the illiquid side. Stocks near their 50 day MAs are MGA 56, MT 37, MTL 31, A 42, TEL 36.10, PH 88, PBR 36.25, BHP 91.50, RIO 71, BBBY 48, SBUX 32.70, SOA 24, ORCL 32, REE 13, GR 90.

Stocks near their 200 day MAs are MRVL 18.10, PUDA 10, PVH 57.75, ORLY 53.75, CBD 36.60. TAP is nearing its 200 day after plunging below it last week. See if it can reclaim its 200 day near 46.50, or if it becomes resistance. LO reclaimed its 200 day Thursday, but it is looking ominously like a bearish head and shoulders base. SWN TGT both finished below their 200 day MAs in big volume Thursday.

JOYG CLF both near par. AEM down on earnings, ABX up on earnings exhibiting bifurcation in the gold miners group Thursday. NTAP had a big down day slicing its 50 day MA on earnings, but finishing on its highs for the day.

Stocks which have found 50 day resistance this week, which used to have support their indicating a possible trend change are ALV MIPS FFIV AAP VMW. Stocks that can be shorted as they near their 50 day MAs are STT 47, BEAV 38. AAPL, the tech general was down $5 in higher volume Thursday.

Portfolio changes Thursday were buying APC EMN as they broke out of flat bases mentioned above.

Good luck.

The author owns APC EMN.

Mid Day Moves

Markets are trying once again to combat early losses with mid day rallies. Volume is mixed. DECK broke out of a 87.98 cup base buy point in healthy volume after early losses were met with 50 day support then a huge move past the buy point. Earnings from fellow footwear maker TBL definitely helping. Chinese solar stock LDK nearing a 14.70 cup with handle buy point. EMN has broke out from a 94.52 flat base buy point. SCHN trying to reclaim its 50 day MA here. If it can get thru that a potential add on would be a cup base buy point of 69.53. Let it first prove itself taking out the 50 day though. ABX has reclaimed its 50 day and GFI is trying as we speak to do the same. TTM is trying to take out its 50 day right here and again if it can do that a potential add on average up buy point would be30.31 in a double bottom base. SHLD JOYG sniffing out par sometime in the near future. BRCM looking to close lower 8 days in a row after losing its 50 day. TCK is struggling after its recent plunge below its 50 day on 2/9 after earnings disappointment.

Wednesday Thoughts

Markets finished higher in good volume today, with energy, tech and retail leading the way. Before the open some good economic and earnings related data helped the indexes close near highs for the day. Breadth, merger activity and stocks such as AAPL DE DIS all hitting all time highs today contributed to the days broad gains. Equities moving on earnings were mixed today with DE moving higher while leading tech ROVI plunged. After the close CLF soared while NTAP whimpered. Earnings come Thursday from APA ABX HUN RS TRW WM before the open and ARUN INTU after the close.

Stocks near specific buy points are: Cup with handles AMAT 16.77, LDK 14.70, GD 78.31, HES 86.22, RIG 83.32, LEN 21.37, MS 30.97, CVX 98.33, ITW 56.46 (which found good 50 day support today). Double bottoms are AEM 77.48, EXPD 55.88, BBD 20.89. Flat bases are BBBY 51.05, EMN 94.52. 3 weeks tight is WM 38.68 and cup base is WAT 81.10. BHI broke out of a 70.09 3 weeks tight pattern, but finished just below it. X followed thru from yesterdays 61.50 cup with handle buy point. CNQ broke out from a 46.12 cup with handle buy point. SU broke out from a 43.49 cup with high handle buy point. AGCO broke out of a 56.28 cup with handle buy point, but also closed just below it. SKS had a nice move today after the 12.32 cup base breakout last Friday.

Stocks that can be purchased as they reclaim their 50 day MA are ALV thru 79.50, OVTI thru 28.80, SCHN thru 64, ABX thru 50, FCX thru 57.50, GFI thru 17.20, TTM thru 27.70. MUR EXPD BBD GS all reclaimed their 50 day MAs today. Stocks near 50 day support are CMI 110, GNTX 31, MGA 56, IRF 31, MTL 31, TEL 36, PH 88, APC 74.50, NBL 85.90, CLR 60.25, WLL 118, BHP 91, RIO 71, GR 90, SBUX 32.65, CE 42, SOA 24, CCL 46, CTSH 74, ADP 48, ORCL 31.90, REE 13. NOC found good 50 day support today.

Stocks near 200 day support are IBN 45, CBD 36.60. RIMM has been behaving real well ever since it retook its 200 day MA on 11/30/10 on solid volume. Stocks that can be purchased as they reclaim their 200 day MA are BUD thru 55.60, LO thru 79.

WFMI has now held its gap up for 4 days. TER HP finished nicely higher after recent gap ups. PXD broke thru par today. CXO OXY both up over $4 this week after taking out par. PX DE JOYG all nearing par now. JNS SHLD both building the right side of their bases. We now have to add PAG to a strong auto group.

Stocks looking soft today were ROVI which sliced its 50 day MA in heavy volume today post earnings. LLTC can be shorted under 35, its 50 day. Stocks that can be shorted at their 50 day are BRCM 44.80, MSCC 23.30, TCK 60, STT 47. FFIV BEAV have found recent 50 day resistance.

Good luck.

The author is flat.

Tuesday Recap

Markets finished lower today as volume increased. Not the healthiest action. Could the indexes be in for a minor correction? Perhaps, but as always let the stocks and indexes price and volume action dictate your moves. Agriculture, chips, energy stocks took a breather today. Gold and silver securities outperformed. GLD closed above its 50 day MA for the first time in a month. DELL was up nicely after hours while ROVI is struggling. Tomorrow earnings reports come from ANF CMCSA DE DVN before the open and AEM CBS CLF NTAP NVDA after the close. We also get housing starts, industrial production and PPI Wednesday.

Stocks near specific buy points include: Double bottoms are SLW 40.10, AEM 77.48, YUM 51.40, PM 60.24, EXPD 55.88, CRM 146.72. Cup with handles are MS 30.97, LEN 21.37, RIG 83.32, CVX 98.33. SU 43.49 in a cup with high handle formation, and BHI 70.09 in a 3 weeks tight pattern. SKS managed to finish above its 12.32 flat base buy point breakout from last week.

Stocks that can be purchased as they reclaim their 50 day MAs are ABX thru 50.25, PAAS thru 37.25, ORLY thru 59.10, EXPD thru 54.25, BBD thru 19.60, GS thru 168.50, IBN thru 47, TTM thru 27.75. Stocks near their 50 day MA are CMI 110, MGA 56, MCHP 36, NVDA 20, MT 37, MTL 31, A 42, ATU 27.50, ITW 54, APC 74.25, HES 79, NBL 85.90, CLR 60.10, WLL 118, BHP 91.25, RIO 71, VALE 34.90, NTAP 56.25, AGU 90, MON 70, NOC 67, BBBY 48.80, COST 72.40, MCD 75.50, PETM 40.15, SBUX 32.70, CE 41.90, SOA 24, CCL 46, CTSH 74, ADP 48, ADSK 40.60, ORCL 31.80, ROVI 62, NSC 63.10, UPS 73, REE 13, FWLT 36, GR 90, CCJ 40.

Stocks near 200 day support are MRVL 18.10, JRCC 19, PUDA 10. PBR showing strength since breaking thru its 200 day MA on 12/29/10. BUD still flirting with its 200 day MA.

Gap ups now holding for 4 days include ATML RL DIS. CXO OXY both of which broke thru par Monday, finished strongly today despite a general weakness in the energy sector.

Stocks that can be shorted at their 50 day MA are SCHN 64, MUR 72, TCK 60, PVH 62.15, AAP 65, ANN 24.75, VMW 90, STT 47, BEAV 38. Stocks that can be shorted as they pierce their 50 day MA to the downside are LLTC under 34.80, RCL under 46, BK under 30.75. FFIV was stopped right at its 50 day MA today and closed meakly. OVTI MIPS both of which were stopped at their 50 day MAs on Monday, continued lower today.

Perhaps was a little lucky selling the FCX yesterday. It has been weak relatively to its peers CLF BHP RIO, all of which are above their 50 day MA, unlike FCX.

Good luck.

The author is flat.

Mid Day Thoughts

Markets are weaker today, with volume accelerating. Stocks we mentioned yesterday that are seeing action today are AEM breaking through its 50 day MA in decent volume. X breaking through its cup with handle buy point of 61.50 on a Goldman Sachs upgrade. SKS right back to its 12.32 flat base buy point which occurred Friday. MT MTL both nearing 50 day support. Lets see if those lines act as support.

Monday Recap

Markets did not feel to rosy on Valentines Day. They finished mixed on weaker volume, discontinuing a recent trend in which Mondays are usually very strong. That put me into cash and on the sidelines. Leading stocks did outperform however. NFLX for example bolted ahead leaving many shorts uncomfortable at the dinner table Monday evening. Hopefully they celebrated Valentines Day over the weekend. Energy related names, including solar, were the big winners. After the close Monday A fell slightly, WLT was down about 4%, and FDX sliced its own earnings estimates for this quarter. Tuesday brings retail sales and business inventories. Earnings Tuesday include FOSL before the open and ADI DELL ROVI after the close.

Stocks near specific by points are: Cup with handles X 61.50, ACM 30.08, CVX 98.33, ITW 56.46, RIG 83.32, AGCO 56.28, LDK 14.70. Cup bases are SQM 60.43, TIF 65.86, WAT 81.10, COH 58.65, DECK 87.98. Double bottoms are OVTI 31.37, RHT 46.56, CRM 146.73, PM 60.24. Three week tight patterns are WM 38.68, BHI 70.09. Flat bases are EMN 94.52, APC 80.70. SKS broke out Friday from a 12.32 cup base buy point.

Stocks that can be purchases as they reclaim their 50 day MAs are TTM thru 27.75, IBN thru 47.30, GS thru 168.50, EXPD thru 54.25, FFIV thru 130.25, TC thru 14.30, FCX thru 57.50, ABX thru 50.15, AEM thru 74, TCK thru 60.25, OVTI thru 28.95, MIPS thru 15.25, ALV thru 79.50. Stocks that reclaimed their 50 day MA Monday were APA ACI VALE VMW RHT. BTU RAI continued to climb higher after piercing their 50 day on Friday. BP found strong 50 day support Monday. Other stocks near their 50 day MA are CMCSA 22.50, AXL 14, GNTX 30.60, MGA 56. IRF 31, MT 37, MTL 31, NBL 86, PBR 36, CLR 60.25, NKE 85.50, BBBY 48.75, MCD 75.50, PETM 40.25, CCL 46, RCL 46, CTSH 74, ADSK 40.50, ALB 56.50, REE 12, GR 90.

Stocks near 200 day MAs are PUDA 10, DLTR 48, ABV 24.75, UPL 44.90. BUD lost its 200 day MA Monday, while TAP continued falling further below its 200 day MA. TGT lost its 200 day again Monday. An ominous sign ahead of retail sales.

Big moves by stocks that made recent gap ups and held for 4 days Monday included XOM CAM. OXY CXO both broke thru par Monday, and keep an eye on PSS PNC which are both creating constructive action building the right side of their bases. Be patient and wait for a proper pattern and buy point to materialize.

Stocks that can be shorted at their 50 day MA are BRCM 44.80, SCHN 63.50, MUR 72. STT lost its 50 day MA Monday. MSCC MIPS both found 50 day resistance Monday. NFLX just sucking the life out of any irrational shorts in the stock.

Portfolio flat after selling BUD for a small loss as it violated its 200 day. If it can reclaim it we may reenter. FCX took a $2 gain as it approaches its 50 day which has been resistance for some time now and I felt somewhat uneasy about the recent weakness in the stock. LULU which we bought on 2/4 at 74.70 as it broke from a flat base we sold for almost a $10 winner. Retail sales today and the stock looking extended here prompted the move.

Good luck.

The author is flat.

Mid day Update

Being that Mondays are usually very strong will be flattening out by end of day. BUD lost its 200 day MA so that was going to be sold either way. BUD being sold here for a 40 cent loss. Selling FCX here for a $2 gain. Will reenter FCX if it can break above its 50 day this week above 57.70. Selling LULU for almost a $10 gain. Looks extended. A pullback toward its 50 day MA will be healthly and purchased.

Weekend Warrior

At the expense of sounding like a broken record markets closed near their highs after showing weakness at the open. Volume was above average but did not exceed Thursdays levels. For the week, constructive action pushed the Nasdaq and S&P 500 ahead by 1.5%. Leading stocks continued to behave wonderfully. Many breakouts are working and more leading stock are setting up bullish buy points. Retail was among the strong groups while energy and miners lagged. Next week is chock full of earnings with WLT A reporting after the close Monday.

Stocks near specific buy points are. Cup with handles are LDK 14.70, CCL 48.24, BK 32.53, AGCO 56.28, CNQ 46.04, ITW 56.46, NUE 48.72. Cup bases (without handles) are DECK 87.98, WAT 81.10, COH 58.65, LTD 35.58, TIF 65.86, JNS 15.82. Flat bases are TRW 63.36, JBL 22.18, APC 80.70, BBBY 51.05, EMN 94.52, CTSH 77.18. Double bottoms are MAR 42.19, PM 60.24, CRM 146.72. SIGM 15.12 in a double bottom with handle and BHI 70.09 in a 3 weeks tight pattern. CMG broke out of 262.87 cup base buy point in enormous volume despite several downgrades. LEN stalling at its 20.80 cup with handle buy point. Look for volume confirmation this week. RIO still holding its 73.10 flat base buy point nicely.

Stocks that can be bought at they reclaim their 50 day MAs are ALV thru 80, MSCC thru 23.60, MIPS thru 15.20, APA thru 120.50, BTU thru 63.30, VALE thru 35.10, ANN thru 25.15, ORLY thru 59.25, BUD thru 57.25, LO thru 79.50, RHT thru 45.70, EXPD thru 54.25, BBD thru 19.75. Stocks that reclaimed their 50 day MAs Friday include NSC ANF BID SQM LVS CRM RAI. Stocks near their 50 day MAs are CMI 110, ALTR 38, MXIM 25, TXN 33.60, MT 37, MTL 30.90, RS 52, X 57, BP here, HES 78.50, NBL 85.25, PBR 36, CLR 60, SLB 85, SU 38.25, RIG 75, WLL 117.50, BHP 91, CLF 83, ICON 20, NKE 85.50, NOC 67, GR 89, SWC 21.10, CCJ 40, COST 72, HD 35.50, MCD here, PETM 40, SBUX 32.60, YUM 49, CE 41.75, HUN 16.60, SOA 23.85, RCL 46.10, FISV 60.20, KKR 14.95, ADP 48, FOE 15.05, ADSK 40.25, CA 24.60, INTU 48.25, ORCL 31.60, ROVI 62, SNPS 27, JBHT 41, ALB 56.40, BLL 70, BEAV 38.

Stocks near their 200 day MAs are MRVL 18, JRCC 19, PUDA 10, ABX 46.30, GFI 15.15, RTN 48, DLTR 48, INFY 65, TGT here. TTM screamed 9% higher Friday after finding recent 200 day support. BBD IBN both retook their 200 day MAs Friday. TAP violated its 200 day Thursday and the selling persisted Friday.

Gap up stocks that have been consolidating for 4 days now are ATW HXL LAZ AET. Holding the gap ups and trading sideways tightly is a bullish sign. Gap ups that are holding and can be bought within the consolidation are DHR 50.25, CAM 55.75, XOM 82. CAT was up 3% today after taking out par recently. Look for UNP AGU to take out par very soon.

Stocks that can be shorted at their 50 day MAs are BRCM 45, CNX 48.25, WLT 125, AEM 74, NEM 58.50, VMW 90, FISV 129.

Good luck.

The author owns LULU BUD FCX.

Thursday Thoughts

Markets showed good resilience Thursday battling back from early big losses. The hallmark of a bull market is one which shows late strength especially after early weakness . The indexes did just that the last two days to finish near session highs. Leaders displayed muscle as well and volume increased from Wednesdays levels. Big cap tech is continuing to show its leadership yesterday with EBAY JNPR RIMM flexing today after HPQ AAPL EMC BIDU AMZN did the same yesterday. Friday brings us the Michigan consumer sentiment index and no real big earnings reports on deck. CMG PNRA up huge after hours.

Stocks near specific buy points are. Cup with handles GLW 23.63, ADP 49.83, CCL 48.24, AGCO 56.28, RIG 83.32, OXY 99.85, COP 72.25, BHI 69.81, ITW 56.46. Flat bases SOA 25.10, JBL 21.88 and TROW 69.08 in a 3 weeks tight pattern. RIO held its 73.10 flat base buy point almost to the penny. It rallied $1 dollar from there. CHKP followed through almost 3% today after clearing a 48.88 cup base buy point.

Stocks near their 50 day MAs are JCI 39, ADI 38.25, MXIM 25, TXN 33.50, MT 36.90, CNQ 43.15, COP 68, NBL 85.90, CLR 60, WFT 22.90, BHP 91, ICON 20, NKE 85.75, COST 72, PETM 40, TIF 61.75, ALB 56.50, FWLT 35.25, DKS 36.50, HUM 57. Stocks that can be bought as they reclaim their 50 day MAs are BTU thru 62.50, SQM thru 56, FFIV thru 130.50, ANF thru 54.25, MCD thru 76.25, CRM thru 139.25, VMW thru 90.45, NSC thru 63.50, QLIK thru 25.50. Stocks that reclaimed their 50 day MAs today were WAT PMTC FDX. Stocks that found 50 day support today were AXL CMI GNTX STT MGA SIGM MTL X BP PBR YUM RCL TSM CTSH.

Stocks that are near their 200 day MAs are BAC 13.75, INFY 65, ABV 24.50, TGT 54, DLTR 48, GFI 15.20, ABX 46.50, PUDA 10, JRCC 19. TTM found 200 day support today. BBD can be shorted at its 200 day MA at 18.70. TAP sliced its 200 day MA in enormous volume on earnings. Red flag.

The network dragon CSCO has officially been slayed today. It has been ongoing for awhile now, but today names like JNPR RVBD ARUN are eating John Chambers lunch. UNP CXO both closing in on par. Retail continues to plow ahead. RL UA DECK COH. UA seems to be trading like its going to be taken out.

Stocks that can be shorted at their 50 day MAs are TEN here, BRCM 45, MSCC 23.50, MIPS 15, APA 120, TCK 60, WLT 125, AEM 74, MAR 41, WYN 30, RHT 45.50. AAPL had an outside reversal today and LLTC can be shorted under 34.60, its 50 day MA.

We are now long FCX and bought it slightly higher from here. Our stop is todays low.

Good luck.

The author owns LULU BUD FCX.

Mid Day Thoughts

Back in FCX as it turned and went positive. We will use todays low as a stop. Had a small scare with BUD on a TAP earnings miss, but the 200 day held once again. RIO held its 73.10 buy point from last week almost to the penny. WAT reclaiming its 50 day MA today.

Thursday AM

Markets suffered losses in larger volume than the day before with only the Dow managing to finish positive in the last few minutes of the day by the slimmest of margins. The Nasdaq and S&P 500 both lost a third of 1%. The SOX suffered losses that doubled the major indexes. Seeing chips selloff was not productive given that is one of the best performing sectors of the year to date. Action amongst the leading stocks was mixed with PCLN RL AGU all seeing strong gains today. Ag related stocks did well today as the Agriculture Dept signaled supplies in the industry were tight and need for products rising. More merger announcements from NYX failed to lift markets. Earnings after the close was mixed with WFMI up and AKAM and laggard CSCO lower. Thursday brings reports from BWA TAP PEP PM before the open and CMG PNRA RAX WYNN after the close. Initial jobless claims are out Thursday morning.

Stocks near specific buy points are. Cup with handles NUE 48.72, FLR 72.91. Flat bases are JBL 21.88, BBBY 51.05. Cup bases are COH 56.65, CMG 262.87 and PM has a double bottom buy point of 60.24. CHKP broke out of a 48.88 flat base buy point Wednesday. WSM broke out from a double bottom buy point of 36.75. RIO can be bought if it retreats to last weeks buy point of 73.10 if that holds.

Stocks near 50 day MAs are AXL 13.90, CMI 109, GNTX 30.25, JCI 39, MGA 55, ADI 38.25, MXIM 25, SIGM 14, MT 36.95, MTL 30.50, X 56.50, APC 74, BP 45.50, CNQ 43, COP 68, HAL 41, HES 78, NBL 86, CLR 60, RIG 74.50, WFT 22.80, BHP 91, CLF 82, TDC 43.50, ARUN 23, PETM 40, SBUX 32.50, CE 41.30, HUN 16.50, LYB 34, PX 94, SOA 23.50, CCL 45.55, FISV 60.25, CTSH 73, ADP 47.90, FOE 15, ADSK 40.25, ORCL 31.50, ROVI 61.50, ALB 56.25, TSM 12.75, DNR 19.30. Stocks that found 50 day support Wednesday were TKR OXY YUM RCL. AAP reclaimed its 50 day, but was down slightly after hours on earnings. AMZN reclaimed its 50 day Tuesday and continued higher Wednesday despite the Nasdaq weakness. NKE COH DECK all showing constructive action after recently reclaiming their 50 day MAs. Stocks that can be bought as they reclaim their 50 day MAs are WAT thru 78.25, MCD thru 76.25, ORLY thru 59.25, BUD thru 57.25.

Stocks near 200 day MAs include JRCC 19, PBR 35.50, SWN 37, ABX 46.50, VALE 30.25, DLTR 48, TGT 54, TAP 46.25, ABV 24.50, INFY 65, TTM here. BBD can be shorted at 18.70 if its 200 day acts as resistance. Boy do the Brazilians miss Lula.

Large cap tech really shined in spite of general tech weakness Wednesday. PCLN EMC HPQ AMZN BIDU and AAPL at an all time high. Gap ups which have now held for 4 days and can be considered for buy candidates include PLL CAM XOM EL ROST. DHR continued to hold its gap up for a second day after announcing a buyout Tuesday of BEC. RL DIS gapped up Wednesday on earnings.

Stocks showing weakness and meeting 50 day resistance Wednesday include TEN MSCC ACI AEM NEM SQM BID LVS. Stocks that lost their 50 day include CNX BTU TC WYN PMTC. TCK WLT both lost their 50 day MAs Wednesday leaving their long term uptrends shaky at least in the short term. Stocks that can be shorted at their 50 day MA include ANF 54, ANN 25, MAR 41, RHT 45.50, VMW 90, NSC 63, SCCO 46.25. Stocks that can be shorted if they pierce their 50 day to the downside are AGCO under 50.50, JBHT under 40.50. Boy is NFLX squeezing some shorts out of business.

Good luck.

The author owns LULU BUD.

Tuesday After Market

Markets rose once again Tuesday into the close as volume increased marginally. The indexes shrugged off a Chinese rate hike overnight. Another merger was announced in the healthcare sector and MCD provided the Dow with a nice boost on increased January same store sales. Banks and retailers were the strong sectors today, and energy played the laggard role. Bernanke speaks tomorrow and the purchaser application index reflecting housing are among the economic reports Wednesday. Before the open earnings come from AGU RLO WYN and after the close AKAM AAP CSCO TQNT report.

Stocks near specific buy points include COH 58.65 in a cup base. ITW 56.46, BK 32.60, LEN 20.80, ADP 49.83 in cup with handle formations. Flat bases are APC 80.70, TCK 65.47. Cup with high handle is HD 38.22. Double bottom is PM 60.24. TROW 69.08 in a 3 weeks tight pattern. RIO stormed higher once again today by almost 3.5% in big volume after a flat base breakout last week.

Stocks near their 50 day MAs are CMI 108.50, ADI 38.25, CAVM 40.25, IRF 30.25, MXIM 25, SIGM 14, TQNT 12.80, GSM 18, MTL 30.60, TKR 49, X 56.50, JBL 19.60, BP 45.50, CNQ 43, OXY 96, PBR 36, SU 38, SPN 34.90, NKE 85.50, AGCO 50.50, BBBY 48.50, TIF 61.80, YUM 49, HUN 16.50, SOA 23.50, RCL 46, FOE 15, CNI 67.25, KSU 49.25, UNP 94, ALB 56.30, HUM 57, BEAV 38. Stocks that can be bought if they reclaim their 50 day MAs are AEM thru 75.25, VALE thru 35, PVH thru 63.80, SQM thru 55.50, ANF thru 54.25, AAP thru 65.50, MCD thru 76.15, BUD thru 57.15, TAP thru 49.15, GLD thru 134.25. Stocks that reclaimed their 50 day MAs today were JCI GS SBUX AMZN. AMZN bursted thru the 180 level. WYN COH reclaimed their 50 day MAs Monday and continued higher today. CNX BTU WLT LYB FISV all found good 50 day support today. AMP had a big volume move off the 50 day MA today after that line proved to be support after last Thursdays poor earnings report.

Stocks near their 200 day MAs are OVTI 24, JRCC 19, AKAM 46.50, DLTR 48, NSC 59, TTM 24. NEM can be bought thru 59.25, its 200 day MA. BBD bounced back nicely today, but found resistance at its 200 day today. Lets see how that stock performs tomorrow neat that line.

Gap ups that have now held for 4 days now are BIDU UPS LAZ. Bullish action.

Stocks that can be shorted at their 50 day MAs are ALV 79.25, TEN 42, MSCC 23.50, WAT 78, MAR 41, RHT 40.60, CRM 139.

Good luck.

The author owns LULU BUD.

Mid Day Thoughts

GLD approaching 50 day MA at 134. Last time it took out the 50 day back in mid August near 118 it ran towards 140. AMZN testing 50 day here at 180. MCD testing its 50 day after finding recent 200 day support. TTM approaching 200 day MA at 24. Lets see how all these tests fare.

Monday Thoughts

Markets sprinted higher Monday, on merger news with DHR buying BEC and ESV buying PDE. Volume unfortunately was lower than Friday. Mondays as we know tend to be very strong days, and today proved no different. However, they did fall from their best levels. Small caps outperformed with the S&P 600 leading the way with a 1% gain. Some strong groups reversed on the day with the SOX hitting 3 year highs only to close lower on the day. Overall leading stocks, a good barometer of market health, performed admirably today. AAPL hit an all time high for example. Expect earnings tomorrow from ACM AGCO MT TEVA VSH before the open and ANDE OPEB DIS after the close.

Stocks near specific buy points are. Cup with handles are ITW 56.46, JNS 13.78, FLR 72.91, LEN 20.80, BK 32.60. Flat bases are SOA 25.10, AGU 95.90, APC 80.70, JBL 21.88. Double bottoms are WSM 36.75, PM 60.24. Cup with high handles are MTL 34.84, TC 16.16. Cup base is GD 79.10 and TROW 3 weeks tight at 69.08. BHP RIO both continued higher after breaking out of flat bases last week, while FCX reversed. The action caused me to tighten up my 55 stop (sold today) with that bifurcating action concerning the 3 miners.

Stocks near their 50 day MAs are GNTX 30, MGA 55, CAVM 40, MXIM 25, BP 45.50, CNQ 43, OXY 96, BTU 62, CLR 60, TCK 60, WLT 123, BBBY here, DRI 47.50, TIF 61.75, YUM here, CE 41, HUN 16.50, LYB 34, PX 93.95, RCL here, AMP 58, FISV 60, FOE 15, ORCL 31.25, CNI 67.20, JBHT 40.75, KSU 49.25, UNP 94, ALB 56.25. Stocks that can be bought as they reclaim their 50 day MAs are PVH thru 64, ORLY thru 59, BUD thru 57.25, TAP thru 49.15, CIS thru 24. Stocks that reclaimed their 50 day MAs Monday were TKR MT COH NKE LOGI WYN GS. Stocks that reclaimed their 50 day MA on Friday and continued higher today include DECK RL RVBD CMI.

Stocks near their 200 day MA are JRCC 19, PBR 35.50, PUDA 10, PCAR 48, ABX 46.50, AKAM 46.25, DLTR 48, MCD here, RAI 29.60, ABV 24.50, INFY 65, NSC 59, TEVA 53. TGT is now back above its 200 day. NEM can be shorted if its 200 day proves to know be resistance which I believe will happen at 59.

Couple of notes of interest. Rare to see an acquirer finish higher on the day of the takeover announcement. DHR did. It bears taking notice. FCX finishing lower on the day when gold and copper finished higher. Did not like that action. BRIC nations besides Russia looking pretty bad. Brazil (EWZ), India (PIN), China (FXI) all have very weak looking ETF charts. Russia (RSX), looking strong. My take. Russia is lowering taxes across the board. Is their corruption going on there? Sure. But as a trader I see everything reflected in the charts. Buy strength. Leave the EWZ, FXI, PIN for the value managers to worry about. Are we seeing a rotation out of commodities and back into retail and tech? Leave your opinions at the door and let the charts tell you the answer. Trade accordingly.

Stocks looking weak today were NFX, which had an outside reversal day today. Stocks that can be shorted at their 50 day if they prove to be resistance are TEN 42, WAT 78, ANN 25, MAR 41. CNX can be shorted under 47.75, its 50 day MA. Stocks which found resistance at their 50 day MAs today include SQM AAP SBUX SCCO CRM.

Good luck.

The author owns BUD LULU.

Mid Day

Selling the FCX for a small loss. Do not like the action at all. Will add to BUD if and when it moves thru its 50 day MA thru 57.20. Has moved nicely off 200 day support where we bought it on Friday. Retailers COH NKE both reclaimed their 50 day MAs.

Weekend Stock Reflections

Markets again recovered from early losses to close upon their highs for the day. Volume was mixed, as the BLS reported a mere 36,000 jobs were generated in January. However leading stocks continued to show the validity of the current rally. Leaders are building new bases or finding support at key moving averages. BIDU UA SRCL all broke out of bases this week and JDSU AET FNSR all had sweet gap ups Friday. Semis and retailers were strong once again, while solar, truck parts makers struggled.

Stocks near specific buy points are. Flat bases are JBL 21.88, PH 93.25, APC 80.70, TCK 65.47, LYB 37.54, BMC 49.28. Cup with handles are CNX 54.20, AGCO 56.28, FLR 72.91, LEN 20.80, MS 30.35. MTL 34.84 in a cup with high handle. CMG 262.87 in a cup base. HPQ 47.93 in a double bottom with handle. TIF 62.91 in a double bottom. TROW 69.08 in a 3 weeks tight pattern. LULU broke out of a 74.70 flat base buy point Friday, and EXXI broke out of a 29.46 flat base buy point on Thursday and continued higher Friday.

Stocks near their 50 day MAs are AXL 13.50, GNTX 29.80, MGA 55, TRW 55, ADI 38, ATML 13, IRF 30.25, LLTC 34.60, MXIM 24.90, AXTI 10, TQNT 12.80, X 56, TEL 35.10, ATU 28, CXO 88, BP 45, BEXP 27.50, CNQ 42.50, ESV 52, HES 77, NBL 85, OXY 96, BTU 62.50, CLR 59.50, SU 38, SPN 34.50, RIO 70, OPEN 75, AGU 87, BBBY 48, WAG 39.50, CE 41, HUN 16.25, PX 94, SOA 23.50, CCL 45, AMTD 19.25, CTSH 73, ADP 47.50, FOE 15, ORCL 31, CSX 66, CNI 67, KSU 49, UNP 94, ALB 56.15, BLL 70, BRKR 17, ACM 28, FWLT 34.50. Stocks reclaiming their 50 day MAs on Friday include CMI TKR DECK RL XXIA RVBD ARUN JWN TIF WSM YUM PM. Stocks that can be bought as they reclaim their 50 day MAs include MT thru 36.75, AEM thru 75.25, FCX thru 57.75, COH thru 55.50, NKE thru 86.15, ORLY thru 59.50, BID thru 44.10, WYN thru 30.25, CRM thru 140. CMG is now up $16 since reclaiming its 50 day MA Thursday. SUN A both had strong rebounds in big volume after testing 50 day MA intraday Friday. FISV found support Friday right at its 50 day MA after bad earnings. AMP did the same on Thursday and found continued support their Friday.

Stocks near their 200 day MA include PCAR 58, OVTI 24, ABX 46.25, RTN 46, AKAM 46.10, DLTR 48, TAP 46.15, ABV 24.50, INFY 65, NSC 59, BAC 13.80, TEVA 53. MCD BUD both holding 200 day support right here. ANN PVH both have had great moves off the 200 day recently. BBD lost its 200 day Friday in big volume. A red flag as IBN did the same thing recently and has continued to struggle. TGT is struggling with its 200 day right now.

As I have learned from great traders before me, a rule regarding gap up stocks is if the gap up holds for 4 days after the gap up it can be safely bought. Good examples of this are UA NFLX TPX GLW, all which rallied smartly Friday. Recent gap ups that have held for 4 days now and to keep an eye on include CCK QCOM XOM SWK HP GE BHI PLL ROK.

Stocks closing in on 100, aka "par stars" include CAT. CVX which is less than $8 from an all time high. Remember stocks that surpass 90 very frequently travel to 100. Some to keep an eye on are JOYG UNP DE EMN.

Stocks which have had trouble with resistance near their 50 day MAs are APA SQM RCL BEAV CA VMW GS. Until that line can be reclaimed they must be viewed as short candidates. Stocks that can be shorted at their 50 day MA are BWA 69.40, JCI 39, TEN 42, MSCC 23.50, WAT 78, ICON 20, AAP 65.50, MAR 41. SCHN which has struggled with its 50 day MA recently fell more than 3% Friday, demonstrating its laggard status. WLT lost its 50 day MA for the first time since August but managed to close above that line. If it violates that line again it can be shorted under 122.

Portfolio changes include buying LULU at 74.70 as it broke from a flat base, and BUD as it found support at 200 day MA.

Good luck.

The author owns FCX LULU BUD.

Midday Update

BUD holding its 200 day MA here.

Midday Update

Retailers strong this morning. FOSL breaking out of its 74.44 flat base buy point. LULU breaking out from 74.70 flat base buy point. DECK reclaims its 50 day MA.

Thursday Night Charting

Markets showed some muster Thursday coming back from losses to finish upon their highs for the day. Volume was tame as we all await the BLS jobs report for January tomorrow morning. Productivity increased in Q4, retail sales were strong, the Institue for Supply Management and jobless claims were also benign. Action after the bell was mixed with JDSU up smartly, and LVS lower. Tomorrow FO TDW WY report before the bell.

Stocks near specific buy points include RIG 83.32, LEN 20.80, MS 30.35, LDK 14.70, all cup with handles. SIGM 15.12 in a double bottom with handle pattern, and VRSN 34.64 in a flat base. BHP broke thru a 94.03 flat base buy point, although volume was weak. CRUS is now 25% past its 19.17 double bottom buy point it took out on 1/27.

Stocks near 50 day MAs are ATU 26.90, BP 45, GNTX 29.50, TRW 55, ALTR 37, ADI 38, AVGO 28, CAVM 40, IRF 30.25, MXIM 24.80, TXN 33.25, TQNT 12.75, GSM 18, DHR 46.40, JBL 19, JOYG 86, APC 73, CNQ 43, NBL 85, BTU 62, WLT 123, TDC 43, AGCO 50, PETM 39.80, WFMI 50.20, CE 41, PX 93.60, TROW 64.25, FLR 66, ROVI 60.50, CNI 67, CP 66, KSU 49, ALB 56, TSM 12.50, BRKR 17, ACM 28, FWLT 35, PAY 40. Stocks that can be purchased as they reclaim their 50 day MAs are CMI thru 108.75, TKR thru 49.20, CPX thru 29.25 (had earnings tonight), PUDA thru 13.35, COH thru 55.25, DECK thru 80.25, XXIA thru 16.80, TIF thru 62, WSM thru 34.25, WYN thru 30.20, TAP thru 49.15, PM thru 58.30. CMG LTD both blasted thru their 50 day MAs today. Stocks that found 50 day MA support today were OXY AXL MGA A ACI UNP LLTC LRCX CNX TC JBHT UPS VALE SOA CCL JNS BMC. AMP found support at the 50 day MA today after earnings.

Stocks near 200 day MAs are PCAR 48, MRVL 18, OVTI 24, SLAB 42.50, PVH 57, RTN 48.30, AKAM 46.25, DLTR 47.85, MCD 73.50, BUD 55, INFY 65, NSC 59, BAC 13.80, NTRS 50.50, TEVA 53. BBD is at its 200 day right here. If it breaks below that it can be shorted. EWZ needs to hold that 200 day at 72. Rousseff seems to be no Lula, at least what the market is saying. AEM ABX ANN all rallied smartly today after recent 200 day support. TGT can be shorted if it fails to reclaim its 200 day MA at 54.50.

Gap up stocks that need to be watched because of their bullishness are KLAC NVLS ROK DOV PLL BHI CAM TEX BIDU EL IBM SWK TER GLW HP MRO LAZ CCK MTW.

The solar group seems poised for continued strength on the back of strong oil, if that trend continues. FSLR LDK JKS seem to be the sector leaders.

Stocks that found their 50 day MAs today resistance were RL SQM MAR RAI SCCO RVBD SBUX RCL PMTC. Stocks that can be shorted at their 50 day MAs are JCI 39, BRCM 45, MSCC 23.50, BID 44. Stocks that can be shorted under their 50 day MA are TEL under 35, ITW under 52.60.

Good luck.

The author owns FCX. Will add to the position if it takes out 57.75 on the upside. 55 will be my stop.

Wednesday Recap

Markets digested Monday and Tuesday gains very nicely today. Volume declined. Just the type of action you would like to see after a nice run up. Semis were once again strong. Leading stocks behaved well. Private job growth exceeded forecasts and now the market awaits the big labor number Friday. Perhaps tomorrow will be a quiet day. Todays laggard sectors included retail and transportation. Not a whole lot on the economic reports tomorrow but earnings before the open come from BX DO DOW EL. After the close JDSU SUN CPX.

Stocks near specific buy points include HPQ 47.93 in a double bottom with handle base. Flat bases are BHP 94.03, CTSH 76.55, VRSN 34.64. Cup with handles are OXY 99.67, BK 32.60. RDC broke out of a 35.10 buy point in a flat base today. RIO also broke out of a 73.10 flat base buy point today.

Stocks near 50 day MAs include AXL 13.50, MGA 54, TRW 55, ADI 38, AVGO 28, CAVM 40, LLTC 34.50, MXIM 24.75, MCHP 35.50, MT 36, A 40.50, JBL 19, ATU 26.80, ACI 33, BP 45, BTU 62, TC 13.90, JNPR 36.25, NTAP 55, TDC 43, AGCO 50, FOSL 71, PETM 39.50, WFMI 50, PPG 82, PX 93.50, SOA 23.50, CCL 45, LVS 47, TROW 64.25, DHI 12, UNP 93.75, ALB 56, SCCO 46.30. Stocks that can be bought as they attempt to reclaim their 50 day MAs are PUDA thru 13.30, ARUN thru 23.40, CMG thru 231, WYN thru 30.25, BUD thru 57.25, PM thru 58.40, INTU thru 48.30, VMW thru 89.85, YUM thru 49. YUM had good earnings after the close Wednesday. REE was up 14% today after finding solid 50 day support recently.

Stocks near their 200 day MA are PCAR 48, OVTI 24, AEM 68, ABX 46.30, PVH 57, RTN 48.50, AKAM 46, AAP 58, DLTR 47.80, LTD 27.50, MCD here, JWN 38, WSM 30.50, INFY 65, NSC 59, BBD 18.50, BAC 13.80, NTRS 50.60. TGT lost its 200 day today in big volume. Red flag there.

Stocks which can be shorted as they move toward their 50 day MA are JCI 39, BRCM 45, MSCC 23.50, TKR 48.25, WAT 78, COH 55.10, DECK 79.50, NKE 86, RL 110, KMX 33, BBBY 48, BID 44, SBUX 32.50, MAR 41, CIS 23.50, CRM 138. Stocks that can be shorted as they pierce their 50 day MA to the downside are ITW under 52.50, VALE under 34.50, EL under 79.50, ROST under 64, FOE under 15, JBHT under 40.25. Stocks that met resistance today at their 50 day MA today are JRCC XXIA RVBD SQM CMI RCL. ANN had a negative outside reversal today on earnings. COST LOW TEN all lost their 50 day MAs today on big volume. ALV missed earnings yesterday and was stopped at its 50 day. Today another 3.5% decline followed.

Good luck.

The author owns FCX.

Tuesday After Market

Markets surged higher on Tuesday fueled by solid economic reports and earnings. UPS started the day off on the right foot, then both China and US manufacturing activity surpassed expectations. Volume on the Nasdaq easily outdid Mondays levels and leading stocks performed admirably. BIDU DE MDR TIBX all broke out of bases in strong trade. Leading stocks are excellent prognosticators for the coming direction of the indexes. After hours CHRW BRCM both disappointed. Tomorrow earnings before the open include CAM KKR MRO SU NDAQ and after the close from AMP BMC WLT YUM.

Stocks near specific buy points include RS 54.84, OXY 99.67, RIG 83.32, JNS 13.78, LEN 20.80, BK 32.60, MS 30.35. All those previously mentioned were cup with handles. Flat bases are DHR 48.06, RIO 73.10, LULU 74.70, FOSL 74.44, BMC 49.21, VRSN 34.64. SIGM 15.12 in a double bottom with handle. Stocks that broke out today were MDR @21.13, TIBX 22.18 from flat bases. DE broke out from a 91.99 3 week tight pattern.

Stocks near their 50 day MAs are TEN here, ADI 38, AVGO 27.85, MXIM 24.60, MT 36, A 40.50, ITW 52.75, ICON 20, NTAP 55, TDC 43, AGCO 50, RAX 31.50, BBBY 48, COST 71, CCL 45, RCL here, TROW 64, ADP 47.25, INFA 44, STT 46.50, REE 12.10. Transport stocks that could be affected by CHRW weakness after the close are CNI 67, CP 65.75, UNP 94, all their 50 day MAs. Stocks that have found strong 50 day support recently are CTSH ROVI PNC EL RCII WFMI CE DD SOA PCLN TEL JOYG TCK OPEN AGU EBAY GSM. Stocks that can be bought as they reclaim their 50 day MAs are INTU thru 48.10, PM thru 58.30, WYN thru 30.20, AKAM thru 50.25, XXIA thru 16.75, PUDA thru 13.25. PX DRI SCCO all retook their 50 day MAs today.

Stocks near their 200 day MAs are ABX 46.30, GFI 15.10, PVH 57, RTN 48.50, ANN 21, MCD here, TGT 54.25, YUM 45.10, BUD 55, BBD 18.50, TEVA 53. AEM @68 has found good recent support at its 200 day MA. PBR had a nice move off the 200 day today after finding recent support their. BAC reclaimed its 200 day MA Tuesday.

Gap ups that continue to display strength are PLL ROK BIDU LULU IBM SWK UPS HP TER GLW.

Energy stocks that were strong Tuesday were XOM up 4% on strong earnings. APC is near all time highs of 81.36 that were achieved back in May 2008. It has traded tightly near these all time highs and anything thru that all time high should be purchased.

Stocks that can be shorted at their 50 day MAs are MSCC 23.50, SLAB 46.50, ANR 56.30, JRCC 23.50, COH 55.15, DECK 79, NKE 86, RL 110, RVBD 36, ARUN 23, AAP 65.50, BID 44, JWN 42.25, SBUX 32.60, MAR 41, HOT 61, OMC 46, PMTC 23, NSC 63. ESV can be shorted under 51.50. ALV BWA were both stopped at their 50 day MA.

Good luck.

The author owns FCX.

Mid Day Moves

Establishing a small position in FCX as it crosses its 50 day MA. VRSN nearing a 34.64 buy point in a cup base we discussed over weekend. Markets seem to be firming up somewhat as stocks are responding well to good earnings reports again. BIDU TIBX CAVM ARMH come to mind today. Volume running sharply higher thus far this morning.