Energy Focus Stocks Made The Day Yesterday, And Still In Focus
What Tuesday’s Action Tells
You
The SPX
(
$SPX.X |
Quote |
Chart |
News |
PowerRating) closed at 1145.54, +0.5%,
and above the 1138.88 midpoint of the recent range between 1155.38 and 1122.38.
Today will be the twelfth day of this range, and the current three-day rally
was from the day 8 narrow-range doji bar. The Dow
(
$INDU |
Quote |
Chart |
News |
PowerRating) at 10,614 and
+0.3% yesterday is above the midpoint of its 10,703 to 10,410 close-to-close
range.
NYSE volume was only 1.39 billion yesterday, but
the volume ratio was positive at 62, with the 4 MA now 64. Breadth was in sync
at +1037, with the 4 MA at +906 coming off that eighth day down from the 1155.38
top. The five-day RSI is 65.37. Any decent move up today will put the thirteenth
day since the 1155.38 high on more of a short-term overbought situation near
the top of the current range.
The only sector that had some good up yesterday
was energy, with the
(
OIH |
Quote |
Chart |
News |
PowerRating) +2.1%, and we were again ready for that play.
| size=2> |
Wednesday
2/4 |
Thursday
2/5 |
Friday
2/6 |
Monday
2/9 |
Tuesday
2/10 |
| color=#0000ff>Index | |||||
| color=#0000ff>SPX | |||||
| color=#0000ff>High |
1136.03
|
1131.17
|
1142.79
|
1144.46
|
1147.02
|
| color=#0000ff>Low |
1124.74
|
1124.44
|
1128.39
|
1139.21
|
1138.70
|
| color=#0000ff>Close |
1126.53
|
1128.59
|
1142.76
|
1139.80
|
1145.54
|
| color=#0000ff>% |
-0.8
|
+0.2
|
+1.3
|
-0.3
|
+0.5
|
| color=#0000ff>Range |
11.3
|
6.7
|
14.4
|
5.2
|
8.3
|
| color=#0000ff>% Range |
16
|
62
|
100
|
11
|
82
|
| color=#0000ff>INDU |
10471
|
10496
|
10593
|
10579
|
10614
|
| color=#0000ff>% |
-0.3
|
+0.2
|
+0.9
|
-0.1
|
+0.3
|
| color=#0000ff>Nasdaq |
2014
|
2020
|
2064
|
2061
|
2075
|
| color=#0000ff>% |
-2.5
|
+0.3
|
+2.2
|
-0.2
|
+0.7
|
| color=#0000ff>QQQ |
36.34
|
36.46
|
37.13
|
37.12
|
37.20
|
| color=#0000ff>% |
-1.6
|
+0.4
|
+1.8
|
-.03
|
+0.2
|
| color=#0000ff>NYSE |
|
|
|
|
|
| color=#0000ff>T. VOL |
1.62
|
1.57
|
1.46
|
1.28
|
1.39
|
| color=#0000ff>U. VOL |
422
|
915
|
1.25
|
661
|
855
|
| color=#0000ff>D. VOL |
1.18
|
650
|
194
|
610
|
526
|
| color=#0000ff>VR |
26
|
58
|
86
|
52
|
62
|
| color=#0000ff>4 MA |
48
|
49
|
56
|
56
|
64
|
| color=#0000ff>5 RSI |
35
|
40
|
63
|
58
|
65
|
| color=#0000ff>ADV |
895
|
1744
|
2663
|
1846
|
2164
|
| color=#0000ff>DEC |
2362
|
1536
|
671
|
1457
|
1127
|
| color=#0000ff>A-D |
-1467
|
+208
|
+1992
|
+389
|
+1037
|
| color=#0000ff>4 MA |
-236
|
-223
|
+205
|
+280
|
+906
|
| color=#0000ff>SECTORS |
|
|
|
|
|
| color=#0000ff>SMH |
-2.7
|
+0.4
|
+4.3
|
-0.9
|
+0.3
|
| color=#0000ff>BKX |
-0.5
|
-0.3
|
+1.6
|
-0.4
|
+.05
|
| color=#0000ff>XBD |
-1.9
|
-0.4
|
+2.4
|
+0.3
|
-0.3
|
| color=#0000ff>RTH |
+0.6
|
+1.2
|
+1.4
|
-0.3
|
+0.7
|
| color=#0000ff>CYC |
-1.1
|
+0.6
|
+2.2
|
+.01
|
+0.6
|
| color=#0000ff>PPH |
+0.8
|
+0.1
|
+0.6
|
-0.8
|
+0.7
|
| color=#0000ff>OIH |
-0.4
|
-1.7
|
+0.9
|
+2.3
|
+2.1
|
| color=#0000ff>BBH |
-1.6
|
-0.4
|
+1.0
|
-0.2
|
+0.8
|
| color=#0000ff>TLT |
-0.3
|
-0.4
|
+1.1
|
+0.3
|
-0.6
|
| color=#0000ff>XAU |
-1.5
|
+1.4
|
+4.8
|
+1.0
|
-0.6
|
^next^
For Active
Traders
The
(
SMH |
Quote |
Chart |
News |
PowerRating)s went quiet yesterday, with the
SMH
+0.3% and
(
INTC |
Quote |
Chart |
News |
PowerRating) essentially flat on just 65% of its average volume. In
fact, semis like
(
TER |
Quote |
Chart |
News |
PowerRating),
(
MU |
Quote |
Chart |
News |
PowerRating) and
(
KLAC |
Quote |
Chart |
News |
PowerRating) all traded less than 70%
of
their average daily volume. However, it only takes one, and
(
LLTC |
Quote |
Chart |
News |
PowerRating) was
+2.2% on 66% above its average volume with good trade-through
entry.
Our energy focus stocks from yesterday made
the
day with
(
RIG |
Quote |
Chart |
News |
PowerRating) trading above the previous day’s high and straight up for
a
+4.0% day and new rally highs on +52% above its average volume.
(
DO |
Quote |
Chart |
News |
PowerRating) was
good
for +2.5% and
(
NBR |
Quote |
Chart |
News |
PowerRating) +1.4%.
RIG had retraced eight days to a rising 20-day
EMA, along with many of the other oil service stocks, and in fact this is the
third tradable move for RIG off of its 20-day EMA since Jan. 5. The first one
ran +16.9%, the second +16.6%, and the current one is +8.6% so far. Both DO
and NBR have been in sync with their rising 20-day EMAs also, and that is why
these three stocks have been on my focus list.
This focus started when we played the initial
XLE
breakout above 25 and the flag breakouts on
(
MUR |
Quote |
Chart |
News |
PowerRating) and
(
UCL |
Quote |
Chart |
News |
PowerRating), in
addition
to the box breakout on
(
APA |
Quote |
Chart |
News |
PowerRating). These were all in the commentary prior to
the
moves that were well anticipated setups.
Today’s
Action
The early futures are green at 8:30 a.m. ET,
the
Nasdaq +5, S&Ps +1.30 and Dow +34, so maybe an early up. The
(
QQQ |
Quote |
Chart |
News |
PowerRating)s
have
traded in a 37.40 – 37 box since Feb. 6. (See your 60- or 30-minute
charts.),
closing yesterday at 37.18 with initial resistance at 37.80 and 36.50 –
36.70
support.
The SMH closed at 42.22 in a 14-day flag, and looking
at the 60-minute chart, you see with a recent low of 41.95, so we have some
guidelines starting today. TER and NSM have the same pattern.
(
ADI |
Quote |
Chart |
News |
PowerRating) closed
at 48.77 in a closing 60-minute chart box between 49 – 48.50, so you are ready
for any buyers if they show up. INTC is also in a 60-minute flag at 30.54 with
support below at 29.75 – 30.25.
Some basics that are in decent position, if
that’s today’s game, are
(
IP |
Quote |
Chart |
News |
PowerRating),
(
AA |
Quote |
Chart |
News |
PowerRating),
(
DD |
Quote |
Chart |
News |
PowerRating) and
(
DOW |
Quote |
Chart |
News |
PowerRating). If the
game
moves to the brokers,
(
GS |
Quote |
Chart |
News |
PowerRating) could get taken out of its current eight-day
range.
In the biotechs,
(
AMGN |
Quote |
Chart |
News |
PowerRating) has retraced to
the
20-day EMA, closing in the top of the range yesterday at 64.97.
By the same token, any move toward the higher
end
of the current SPX range of 1150 – 1155.38 will bring intraday short setups
front and center in the E-minis, SPY and DIA because the stops are so tight
and
reward-to-risk good for the daytrader.
Energy stocks, obviously, also remain front
and
center. I favor retracements, not breakouts.
Have a good trading day,
Kevin Haggerty
P.S. You can finally
learn what traders have been asking me to teach them for years—