Stocks Hold Their Ground After 4 Day Rally

Major indices finish the day fractionally lower. 
Crude oil futures close lower by over 1% at $63.25.

Wednesday‘s
market action created 3 consecutive closes in the same direction as well as 3
straight higher intraday highs on the S&P and the Nasdaq
(explanations below), which are bearish signals. It will be interesting to see if we get more
bearish signals today/this week and if any trigger on the SPX, which has
surpassed its recent resistance levels near the 1315 area (click
here for more info
).

href=”https://tradingmarkets.com.site/news/Stock%20Alert/”>
Stocks on the
Move

Ford Makes Offer To Buyout All
75,000 Of Its UAW Workers.  Detailed plans to be announced tomorrow. 
F shares


Boeing Reveals 150 Airplanes Order Of 737 Models From China (full
story
).  BA shares

Verizon And DIRECTV Enter Into New Multi-year
Agreement To Offer Competitive Service Bundle (full
story
).  VZ shares

Anadarko To Sell Canada Unit For US$4.24 Bln To
Meet Acquisition Debts (full
story
).  APC shares

Iamgold To Buy Cambior For US$3 Bln (full
story
).  IAG shares drop by over 11%, while CBJ shares jump 15.5%.

Pier 1 Imports Q2 Net Loss Widens On One-time
Charges; Revenue Down 12.5%, Comps. Dip 14.8% (full
story
).  PIR shares close lower by %.

For more stories as they happen, go to our href=”https://tradingmarkets.com.site/news/Breaking%20News/”>Breaking
News
section.



Market Snapshot

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Dow

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-15.93

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11,527.39

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NASDAQ

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+1.06

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2,228.73

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S&P 500

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-1.79
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1,316.28

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size=2>NYSE

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size=2>NASDAQ

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Volume

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2,294,214,000

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1,789,405,000

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Advances

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1263

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1198

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Declines

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1973

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1767

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Up Volume

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719

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962

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Down Volume

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1320

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705

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New Hi’s

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223

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153

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New Lo’s

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46

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76



Strongest/Weakest Sectors

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Strongest
Sectors


Weakest
Sectors

Airline Index (XAL) PHLX Gold and Silver
Sector Index (XAU)
CBOE Internet Index
(INX)
Amex Gold Bugs Index (HUI)
GSTI Multimedia
Networking Index
(GIP)
PHLX Oil Services
Index (OSX)

href=”https://tradingmarkets.com.site/news/Economic%20News/”>
Economic
News

Retail Sales See Some Additional Growth In August (full
story
).

Import And Export Prices Continue To Increase (full
story
).

Jobless Claims
Down 5,000 To 308,000

US Import Prices
Rise 0.8% In August

IMF Forecasts Steady Growth In World Economies,
Despite Worries Over Rising Oil Prices (full
story
).

Helvetica>
Darren Wong

darrenw@tradingmarkets.com


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Use our
most
popular trading tool
to find out how your stocks will move in the next 5
days.


3 Consecutive Closes Same
Direction
– Three consecutive higher closes many times leads to a
short-term quiet market over the next few days when the market is above its 200
day ma. When it’s below, 3 consecutive higher closes has been an excellent time
to enter short positions.

The opposite is true for 3 consecutive lower
closes. When its occurred above the 200 day ma, it’s been a good time to be a
buyer. Below the 200 day, its been a good place to lock in short profits.

3
Higher Highs In A Row and 3 Lower Lows In A Row
– The same tactics
applied to 3 consecutive closes in the same direction apply here. 3 higher highs
identifies a market that is overbought, especially when its below its 200 day
ma. 3 consecutive lower lows is an excellent time to be looking for long
positions when the market is above its 200 and to be locking in short positions
when its below its 200 day.