Range Will Be Resolved
The
sideways action of the
(
NDX |
Quote |
Chart |
News |
PowerRating) and
(
SPX |
Quote |
Chart |
News |
PowerRating) continues
to tighten with a string of narrow-range days, as the bulls and bears continue
the chicken game, which is new lows or accelerate above the downtrend line and
50-day EMA. For the NDX, 1600, and 1168 for the SPX are the targets for the
bears to press further on the downside. There
is nothing ever certain in markets, but narrow volatility patterns are always
resolved and the spring is wound very tight right now. I think it will be
resolved this week.
After all of the media
hype on the expected negative earnings and warnings, the SPX is down only a net
of 4.8 points over the past five trading days; the Dow -37 points, while the NDX
with the ongoing tech wreck is -74 points. On Friday, the contra-rally in the
morning set the intraday highs for the day at 1690 for the NDX and 1216 for the
SPX. The day’s action ended in a large symmetrical triangle for both indexes and
that is where we start the day regarding reference points. See your five-minute
charts.
The
(
BTK |
Quote |
Chart |
News |
PowerRating), +2%, and
the
(
SOX |
Quote |
Chart |
News |
PowerRating), -2.7%, both provided some intraday opportunity on Friday. The
best pop, however, was the Energies, which we saw coming from the
Change in Direction screen reflecting Thursday’s action. On Friday, the
(
OSX |
Quote |
Chart |
News |
PowerRating)
rose +5.7% and the
(
XOI |
Quote |
Chart |
News |
PowerRating) +1.8%. The screens are there for you to identify
the buying/selling pressure and where the volume is moving. The screens give you
the alert and then your trading plan should make you ready for any continuation
trade in the indicated direction. Do you know for sure that the Generals will
return? No. Should you be ready if they do? Yes. No subjective opinion needed.
Just fact, and that is the essence of short-term trading.
|
(September
|
||
|
Fair Value
|
Buy
|
Sell
|
|
5.15
|
 6.30  |
 4.00 Â
|
Stocks
Today
I was unable to access
the site and our screens, so I’m kind of winging it on individual stocks. Stocks
that set up on the longside on the daily charts:
(
FITB |
Quote |
Chart |
News |
PowerRating),
(
LEH |
Quote |
Chart |
News |
PowerRating),
(
C |
Quote |
Chart |
News |
PowerRating)
and
(
IFIN |
Quote |
Chart |
News |
PowerRating). Also,
(
IMCL |
Quote |
Chart |
News |
PowerRating),
(
ICOS |
Quote |
Chart |
News |
PowerRating),
(
GENZ |
Quote |
Chart |
News |
PowerRating) and
(
ELN |
Quote |
Chart |
News |
PowerRating).
Other stocks,
(
BMET |
Quote |
Chart |
News |
PowerRating),
(
DGX |
Quote |
Chart |
News |
PowerRating),
(
MDT |
Quote |
Chart |
News |
PowerRating),
(
VAR |
Quote |
Chart |
News |
PowerRating),
(
CGNX |
Quote |
Chart |
News |
PowerRating),
(
IDTI |
Quote |
Chart |
News |
PowerRating),
(
ELNT |
Quote |
Chart |
News |
PowerRating),
(
KLAC |
Quote |
Chart |
News |
PowerRating),
(
MCHP |
Quote |
Chart |
News |
PowerRating),
(
AEOS |
Quote |
Chart |
News |
PowerRating) and
(
YUM |
Quote |
Chart |
News |
PowerRating).
In the Energies, to which
the Generals return for the third or fourth day depending on which stock you
look at, continue to look at
(
SLB |
Quote |
Chart |
News |
PowerRating),
(
CHV |
Quote |
Chart |
News |
PowerRating),
(
BHI |
Quote |
Chart |
News |
PowerRating) and
(
HAL |
Quote |
Chart |
News |
PowerRating), four
major institutionals, and also
(
NBR |
Quote |
Chart |
News |
PowerRating),
(
CAM |
Quote |
Chart |
News |
PowerRating) and
(
BJS |
Quote |
Chart |
News |
PowerRating).
Have a good trading day.
Five-minute chart of
Friday’s SPX with 8-, 20-,
60- and 260-period
EMAs
Five-minute chart of
Friday’s NYSE TICKS
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