Four Names Influencing Today’s Dow

The Dow Jones Industrial Average
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$INDU |
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is trading positive and has established a very narrow trading range in the first
half of trading. The DJIA has intraday support at 10,050 and resistance at
10,100. Procter & Gamble
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PG |
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, DuPont
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DD |
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, Phillip Morris
(
MO |
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and International Paper
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IP |
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are helping buoy the Dow.

The Nasdaq
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$COMPQ |
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looks like it is
trying to establish support at 1655. Over the last five days, the Nasdaq has
held at or above support at the 62% retracement of the Sept/Jan rally (1658).
Some recent attempts have been squashed near the Feb low just under the 1700
level. Without the enthusiasm of buyers, the Nasdaq is going to have a difficult
time to break above the 1700 resistance point. We could see a retest of the
April intraday low at 1640. The next support level of interest is at 1628/1626 (Oct.
19 low and bottom of Oct. 11 gap). The intraday resistance is at 1673/1675.

The Phlx Semiconductor Index
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$SOX.X |
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attempted to break out above its 200-day MA (536.349), but it was quickly turned
away and has reversed to trade lower.

Some of the stronger sectors today are: Bank,
Transportation, Apparel, Household Products and Cyclicals.

KB HOMES
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KBH |
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hit its 52-week high on strong
volume. The homebuilders continue to amaze. KBH appears to be moving
out of a high level cup. You may want to watch Toll Brothers
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TOL |
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as
it is nearing the highs. If KBH takes off, then TOL might make a
nice follow-the-leader play.

Clorox
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CLX |
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is breaking out of an ascending triangle on the daily chart. Volume is
increasing to support the move. CLX is trading at 46.07
, up 1.52.

Vishay Intertech
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VSH |
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is trading 100%
average volume before 1:00 PM and has triple 9s to sell. Since the volume
calculation is done over 65 days, today’s volume looks lower compared to the
last two days. VSH, so far, is forming a reversal bar on the daily and
looks tired. Swingers may want to put this on their list as a potential short
candidate for Friday.

June crude
oil
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CLM2 |
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is trading lower this morning at $26.21 barrel. The decline in crude tends to put pressure on the
AMEX Oil Index

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$XOI.X |
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and the
Phlx Oil
Service Sector

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$OSX.X |
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.

The June S&Ps
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SPM2 |
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has a narrow
range on the intraday chart.

Click Here
for Lewis Borsellino’s take on today’s S&Ps.