Fourteen Of Past 18 Years, The Naz Was…
The market continued to slide today.
Historically this week (the week following Memorial Day) is a bullish week. Out
of the past 18 years, 14 of those years had up weeks following Memorial Day.
What is causing today’s decline? The possible war between
Pakistan and India, both of which have nuclear capability? As for any
economic or earnings news, there is nothing.
The Dow Jones Industrial Average
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$INDU |
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started out falling from the get go. This is the fourth down day for the Dow.
Initial support is at 9810 and secondary support is at 9666.
The Nasdaq Composite
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$COMPQ |
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the decline for the fourth day in a row, but saw some positive positions
earlier in the session. The support level looks to be around 1596. The Semiconductor sector
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$SOX.X |
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Nasdaq. Once we see some positive signs in the Semis we may seem some upside
movement in the Nasdaq.
In this market, it can be frustrating to trade.
Some opportunities present themselves as clear as day. Others you may have to
wait on. Don’t force the trade.
Click here for a great insight from Dave Floyd on this subject.
Rent a Center
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RCII |
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MA. Rent a Center may be trying to bounce after a big fall yesterday.
Currently RCII is basing near the high of the day after moving up on
strong volume this morning. A move above the base could offer nimble
intraday traders some upside potential
Weyerhaeuser
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WY |
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Intraday pullbacks on WY may be shortable. Weyerhaeuser looks like it may
have formed a double top on the daily several days ago. In addition, the second
top had a negative divergence with the RSI (9 period). Look for a bounce
to the $65.50 area where there should be some resistance.
Nisource
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NI |
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from the pullback off the high. NI has a
TradingMarkets.com RS3 rating of 82 and an up trending
ADX of 32.
Coca-Cola
Enterprises
(
CCE |
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PowerRating) is pulling back from its high. It tested its 20-day
moving average and now is trading positive to the upside. CCE has a
TradingMarkets.com RS3 rating of 82 and an up trending
ADX of 41.
KLAC Tencor
(
KLAC |
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PowerRating) hits 2-month low but
looks like it may be trying to bounce on the 5min. KLAC is near
double bottom territory on the daily and has some positive divergence on the
RSI (daily 9 period). This is a key stock in the semi’s so you may want to
watch and see what kind of a bounce we get at this level. Stocks with similar
patterns include
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XLNX |
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(
NVLS |
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PowerRating).
The market Internals are negative
NYSE Adv/Dec 1151/1970 Nasdaq Adv/Dec 1194/1995.