Thursday’s Stock Watch
The markets
went into sell mode today as all three major indexes held a downtrend for the
session. Volume was once again on the light side, and the only
sectors to close green today were the Japan Index and the Morgan Stanley
Healthcare Index. Leading the downside action was gold and silver, Internet,
natural gas, and software. Nasdaq new 52-week lows outnumbered the highs for the
firs time in a long time. Stocks on our watch list were mostly down, with some
key distribution days made.Â
Market breadth was negative, with NYSE
declining issues over advancing issues by a ratio of 1.72, and down volume over
up volume by a 3.57 ratio. Nasdaq declining issues over advancing issues came in
at 1.56, and down volume clobbered up volume by a 2.99 ratio.
The Dow Jones Industrial Average
(
$INDU |
Quote |
Chart |
News |
PowerRating) closed down 1.11% at 10198.29. The S&P 500
(
$SPX |
Quote |
Chart |
News |
PowerRating)
closed down 0.99% to
1119.68.
The Nasdaq [$COMPQ |$COMPQ] closed down 1.11% at 1784.35.
Â
1,159
1,364
Issues
1,991
2,123
260,683,000
416,471,000
929,298,000
1,244,783,000
Total
Volume
1,198,131,000
1,688,142,000
Highs
18
7
3
10
Top sectors:
Japan
Index
(
$JPN.X |
Quote |
Chart |
News |
PowerRating)
up 1.76% at 120.14.
Morgan Stanley Healthcare Index
(
$HMO.X |
Quote |
Chart |
News |
PowerRating) up
0.10% at 515.86.
Losing sectors:
Oil Service
Sector
Index
(
$OSX.X |
Quote |
Chart |
News |
PowerRating) down 2.96% at 100.52.
Gold and Silver
Index
(
$XAU.X |
Quote |
Chart |
News |
PowerRating) down 2.96% to 69.38.
New 52-Week Highs Consolidations:
Banking – 15
Real Estate – 12
Health Services – 10
Metals and Mining – 7
Consumer Non-Durables – 6
Diversified Services – 6
Specialty Retail – 6
Utilities – 6
Food and Beverage – 5
Manufacturing – 5
Computer Software – 4
Retail – 4
Wholesale – 3
Telecommunications – 3
Energy – 3
Materials and Construction – 3
Media – 3
Watch List Action:
Direct Focus
(
DFXI |
Quote |
Chart |
News |
PowerRating) was smacked by sellers today as it fell 8.22% on
over two and a half times average volume. It’s usually not a good sign to see a breakout followed up by heavy volume to the down side.Â
Group 1
Automotive
(
GPI |
Quote |
Chart |
News |
PowerRating) fell another 1.85% on slightly above average volume for a
distribution day. This has been one of the few stocks in this market able to
venture much past its pivot point. As mentioned in the previous column, quick
profits are often a good idea in highly questionable markets.
Recent Breakouts
size=2>We monitor the action of Recent Breakouts as an indicator of
the market health for IT traders. When breakouts are acting well, this is a good
sign for the likelihood of further sustainable breakouts. When breakouts are
failing, IT traders should be even more cautious.
Direct Focus Inc.
(
DFXI |
Quote |
Chart |
News |
PowerRating) down 8.22% on over
2 and a half times average volume for a distribution day.
Group 1 Automotive
(
GPI |
Quote |
Chart |
News |
PowerRating), down 1.85% on
slightly above average volume for a distribution day.
size=2>Multimedia Games Inc.
(
MGAM |
Quote |
Chart |
News |
PowerRating), up 1.56% on
almost twice average volume for an accumulation day.
| color=#ffffff size=2>Company Name | color=#ffffff size=2>Symbol | color=#ffffff size=2>12 Month RS | color=#ffffff size=2>Price | color=#ffffff size=2>Price Change | color=#ffffff size=2>Average Volume | Pivot | 52-Week High |
Direct Focus Inc. | ( DFXI | Quote | Chart | News | PowerRating) | 89 | 35.59 | – 3.19 | 830,800 | 36.54 | 39.82 |
Group 1 Automotive | ( GPI | Quote | Chart | News | PowerRating) | 95 | 37.00 | – 0.70 | 309,200 | 33.14 | 43.69 |
size=2>Multimedia Games Inc. | size=2> ( MGAM | Quote | Chart | News | PowerRating) | size=2>99 | 32.35 | + 0.50 | 365,200 | 30.91 | 37.05 |
Stocks Forming a Handle
Christopher & Banks Corporation
(
CHBS |
Quote |
Chart |
News |
PowerRating),Â
down 2.03% on
average volume.
Krispy Kreme Doughnuts
(
KKD |
Quote |
Chart |
News |
PowerRating), down 3.01% on
above average volume for a distribution day.
Movie Gallery
(
MOVI |
Quote |
Chart |
News |
PowerRating), down 2.68% on below
average
volume for a distribution day.
size=2>
size=2>Panera Bread Co
(
PNRA |
Quote |
Chart |
News |
PowerRating), down 0.51%
on below-average volume.
| color=#ffffff size=2>Company Name | color=#ffffff size=2>Symbol | color=#ffffff size=2>12 Month RS | color=#ffffff size=2>Price | color=#ffffff size=2>Price Change | color=#ffffff size=2>Average Volume | Pivot |
Christopher & Banks | ( CHBS | Quote | Chart | News | PowerRating) | 85 | 29.86 | – 0.62 | 498,100 | 33.60 |
Krispy Kreme Doughnuts | ( KKD | Quote | Chart | News | PowerRating) | 82 | 38.60 | – 1.20 | 632,800 | 44.12 |
Movie Gallery | ( MOVI | Quote | Chart | News | PowerRating) | 97 | 15.60 | – 0.43 | 408,600 | 17.99 |
size=2>Panera Bread Co | size=2> ( PNRA | Quote | Chart | News | PowerRating) | 93 | 61.58 | – 0.32 | 442,400 | 66.23 |
Stocks Building A Base
| color=#ffffff size=2>Company Name | color=#ffffff size=2>Symbol | color=#ffffff size=2>12 Month RS | color=#ffffff size=2>Price | color=#ffffff size=2>Price Change | color=#ffffff size=2>Average Volume |
None | Â | Â | Â | Â | Â |
Â
href=”mailto:danielb@tradingmarkets.com”>danielb@tradingmarkets.com
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