Tuesday’s Stock Watch
The markets closed down
going into the holiday weekend, as light volume suggested many players were
absent. Healthcare and airlines were up slightly as the only positive
sectors; with biotechnology, semiconductors, computer hardware, and
pharmaceuticals down sharply. New 52-week highs and lows reamined quiet, as they
were for most of the week. Stocks on our watch list were mixed.
Market breadth was negative, with NYSE
declining issues over advancing issues by a ratio of 1.53, and down volume over
up volume by a 2.44 ratio. Nasdaq declining issues over advancing issues came in
at 1.70, and down volume beat up volume by a 4.02 ratio.
The Dow Jones Industrial Average
(
$INDU |
Quote |
Chart |
News |
PowerRating) closed down 1.09% at 10104.26. The S&P 500
(
$SPX |
Quote |
Chart |
News |
PowerRating)
closed down 1.20% at 1083.83.
The Nasdaq
(
$COMPQ |
Quote |
Chart |
News |
PowerRating) closed down 2.12% at 1661.49.
Â
1,227
1,252
Issues
1,880
2,133
254,320,000
236,325,000
620,329,000
949,894,000
Total
Volume
881,052,000
1,201,994,000
Highs
13
8
2
4
Weekly Perspective:
The markets moved south over the
course of the week, as the Dow fell 249.17 points for a 2.41% loss, the S&P 500
came down 22.77 points for a 2.06% decline, and the Nasdaq was brought down 79.9
points for a 4.59% sell off. For the past three weeks, NYSE volume has
made four accumulation days and three clear distribution days, while the Nasdaq
has scored four accumulation day and three distribution days.
With volume so low for the week, it is
hard to make too much of the week’s move. All three major indexes are below
their major moving averages. Despite Tuesday’s distribution day for the overall
markets, stocks on our watch list held up well, with only Group 1 Automation
showing heavy distribution. Mark Boucher’sÂ
Top
RS and ER List was also neutral throughout the week. Only the banking sector
was able to collect 52-week highs of 10 or more throughout the week, with the
overall numbers light.
Top sectors:
Morgan Stanley Healthcare Provider Index
(
$RXH.X |
Quote |
Chart |
News |
PowerRating), up 0.20% at
350.20.
Airline Index
(
$XAL.X |
Quote |
Chart |
News |
PowerRating),
up 0.04% at 81.15.
Losing sectors:
Morgan Stanley Healthcare Provider Index
(
$RXH.X |
Quote |
Chart |
News |
PowerRating), up 0.20% at
350.20.
Airline Index
(
$XAL.X |
Quote |
Chart |
News |
PowerRating),
up 0.04% at 81.15.
Sectors with Most New 52-Week Highs:
Banking – 11
Watch List Action:
Right Management Consultants
(
RMCI |
Quote |
Chart |
News |
PowerRating) gave back 2.50% on below average
volume for a distribution day. This is the stocks first distribution day in two
weeks.
DR Horton
(
DHI |
Quote |
Chart |
News |
PowerRating) was our biggest gainer today as it advanced 1.54% on below
average volume. This one has made two accumulation days and four distribution
days in the past three weeks. The pattern in the stock remains bullish, though
the choppy handle with distribution takes away from the likelihood of it being
an ideal IT “buy” candidate.
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.
Chicos FAS Inc.
(
CHS |
Quote |
Chart |
News |
PowerRating), down 2.72% on
almost half its average volume.
Christopher & Banks Corporation
(
CHBS |
Quote |
Chart |
News |
PowerRating), up
0.24% on low volume.
Group 1 Automotive
(
GPI |
Quote |
Chart |
News |
PowerRating), down 1.53% on
below-average volume.
size=2>Panera Bread Co
(
PNRA |
Quote |
Chart |
News |
PowerRating), up 0.50%
on below-average
volume.
Right Mgt. Consultants
(
RMCI |
Quote |
Chart |
News |
PowerRating), down 2.50% on
low volume for a distribution 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 |
| Chicos FAS Inc. | ( CHS | Quote | Chart | News | PowerRating) | 92 | 38.51 | – 1.08 | 616,300 | 38.08 | 42 |
Christopher & Banks | ( CHBS | Quote | Chart | News | PowerRating) | 94 | 40.95 | + 0.10 | 423,900 | 33.60 | 42.45 |
Group 1 Automotive | ( GPI | Quote | Chart | News | PowerRating) | 93 | 45.55 | – 0.71 | 248,000 | 42.23 | 50.08 |
size=2>Panera Bread Co | size=2> ( PNRA | Quote | Chart | News | PowerRating) | 91 | 67.82 | + 0.34 | 394,000 | 66.74 | 73.60 |
Right Mgt. Consultants | ( RMCI | Quote | Chart | News | PowerRating) | 94 | 30.78 | – 0.72 | 329,900 | 290,200 | 33.57 |
Stocks Forming a Handle
DR Horton Inc.
(
DHI |
Quote |
Chart |
News |
PowerRating), up 1.54%
on almost half its average volume.
Winnebago Industries
(
WGO |
Quote |
Chart |
News |
PowerRating) down 2.78%
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 |
DR Horton Inc. | ( DHI | Quote | Chart | News | PowerRating) | 87 | 25.68 | + 0.39 | 2,058,600 | 27.29 |
Winnebago Industries | ( WGO | Quote | Chart | News | PowerRating) | 93 | 46.45 | – 1.33 | 237,700 | 49.81 |
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 |
href=”mailto:danielb@tradingmarkets.com”>danielb@tradingmarkets.com
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