Travel Range Day
The good
news/bad news program market giveth
to you — and taketh away. The Nasdaq 100
(
NDX |
Quote |
Chart |
News |
PowerRating) closed at 1790.21, still
holding above the 1768.98 and 1768.62 lows which, if broken, will accelerate the
retracement of the 1349 low. The S&P 500
(
SPX |
Quote |
Chart |
News |
PowerRating) closed below 1246.96 for the first time, at 1241.60, but there wasn’t
a major rush to the exits yesterday, as evidenced by the dynamics. Total volume
was only 1.064 billion, the breadth pushed with only 80 declines over advances,
the volume ratio was 33.Â
The #2 swingpoint for the
SPX, which is 1245.96, gives us a good starting point, long and short, for
today. The classical chartists are all over the Head and Shoulders measurement
down, which is about the same as the .618 retracement to 1170. FYI, almost all
right shoulders are 1,2,3 patterns. The
key is Change in Direction and the making of a new continuation low which
traders want to ride until shown otherwise. The NDX must break the 1768 number
to get us in full downside swing.Â
Triple Witch on Friday;
hype numbers this morning; and the six-month report card coming up at the end of
June — straddles, anyone? I have yet to get an e-mail from anyone who is
playing this volatility that way with the
(
QQQ |
Quote |
Chart |
News |
PowerRating)s. My condolences. After
yesterday’s straight down from noon into the close, we start today on the
intraday charts with the “Show Me” number at 1245.96 for long and/or
second entry shorts. With the NDX, we are focused on the action around the 1768
numbers if the morning news hype takes us there.Â
This morning, the S&P
500 screen had no sector concentration of volume or price, while the NDX 100
screen had only 15 stocks positive yesterday and only eight stocks had a gain of
1% or more — while 34 stocks had losses of 4% or more — and not one of the NDX
stocks finished in the top 25% of its range. This eliminates any daily chart
setups and puts you totally on your intraday charts today. Only
28 of the S&P 500 stocks closed in the top 25% of their ranges and nothing
resembled any concentration by the Generals.
Stocks
Today
|
(September
|
||
|
Fair Value
|
Buy
|
Sell
|
|
9.77
|
 10.95  |
 8.60 Â
|
Start with the SPYs and the
1245.96 inflection point and the QQQs will probably go with it both ways.Â
On the short side, the
daily chart short setups on any continuation are:
(
JNPR |
Quote |
Chart |
News |
PowerRating),
(
MERQ |
Quote |
Chart |
News |
PowerRating),
(
CHKP |
Quote |
Chart |
News |
PowerRating),
(
CMVT |
Quote |
Chart |
News |
PowerRating),
(
QCOM |
Quote |
Chart |
News |
PowerRating),
(
CIEN |
Quote |
Chart |
News |
PowerRating) and
(
VRTS |
Quote |
Chart |
News |
PowerRating). CIEN
and QCOM have both retraced 62% of their April lows so they both might turn into
intraday longs if the Generals show up.
In the Biotechs, where
there is good volume and intraday travel range, keep
(
HGSI |
Quote |
Chart |
News |
PowerRating),
(
PDLI |
Quote |
Chart |
News |
PowerRating),
(
IDPH |
Quote |
Chart |
News |
PowerRating)
and
(
AMGN |
Quote |
Chart |
News |
PowerRating) on your screens.
In the Semis,
(
KLAC |
Quote |
Chart |
News |
PowerRating),
(
NVLS |
Quote |
Chart |
News |
PowerRating) and
(
QLGC |
Quote |
Chart |
News |
PowerRating) have continually provided intraday setups over the
last several weeks.
Have a good trading day
and if you decide to sit out Triple Witch tomorrow — which is probably a good
idea — have a great weekend.
Wednesday’s SPX chart with 8-period,
20-period, 60-period
and 260-period
EMAs
Wednesday’s NYSE
TICK chart