Wednesday’s Stock Watch
The
markets have been on a wild ride for the past couple of days
turned around to stage an impressive rally today. Talk of the Fed
lowering interest rates next week and a strong dollar has seemed
to inspire buyers, though it is foolish to get excited about
going long from the intermediate-term trading perspective.
New-52-week lows
continue to dominate over the lows, as
It doesn’t take long
for a stock’s technical pattern to turn around and see a base
forming, though the market is still in a steep downtrend, and has
yet to even remotely suggest buying a breakout for the long haul.
From Tuesday’s
action:
Market breadth was
positive, with NYSE advancing issues over declining issues by
a ratio of 2.92, and up volume over down volume by a 4.07 ratio.
Nasdaq advancing issues over declining issues came in at 2.36,
and up volume beat down volume by a 7.94 ratio. The
was down 3.58 at 45.73. The
was down 1.65 at 0.63.
The Dow Jones
Industrial Average
(
$INDU.X |
Quote |
Chart |
News |
PowerRating) closed down 2.27% at
8313.13. The S&P 500
(
$SPX.X |
Quote |
Chart |
News |
PowerRating) closed down 2.30%
at 864.24. The Nasdaq
(
$COMPQ |
Quote |
Chart |
News |
PowerRating) closed down 2.51% at
1247.84.
width=”453″ height=”392″>
height=”188″>
Top sectors:
CBOE Internet Index
(
$INX.X |
Quote |
Chart |
News |
PowerRating), up 7.11% at 62.76.
GSTI Internet Index
(
$GSM.X |
Quote |
Chart |
News |
PowerRating), up 6.27% at 150.46.
Losing sectors:
face=”Arial”> There were no losing sectors today.
Sectors with Most New 52-Week
Highs (10 or more):
None
Watch List Action:
Our lone stock now on
the "building a base" list put in a good day as it rose
5.60% on below average volume. As mentioned before, this is by no
means a decent looking base, but it will be interesting to see if
it can breakout.
width=”440″ height=”403″>
Recent Breakouts
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.
| height=”29″>Company | height=”29″>Symbol | height=”29″>12 | height=”29″>Price | height=”29″>Price | height=”29″>Average | height=”29″>Pivot | height=”29″>52-Week |
| height=”2″>None | height=”2″> | height=”2″> | height=”2″> | height=”2″> | height=”2″> | height=”2″> | height=”2″> |
Stocks Forming a Handle
| height=”10″>Company | height=”10″>Symbol | height=”10″>12 | height=”10″>Price | height=”10″>Price | height=”10″>Average | height=”10″>Pivot |
| height=”31″>None | height=”31″> | height=”31″> | height=”31″> | height=”31″> | height=”31″> | height=”31″> |
Stocks Building A Base
| height=”41″>Company | height=”41″>Symbol | height=”41″>12 | height=”41″>Price | height=”41″>Price | height=”41″>Average |
| height=”35″>Apollo Group | height=”35″> | height=”35″>90 | height=”35″>39.28 | height=”35″>+ 0.14 | height=”35″>2,163,600 |
face=”Arial”>danielb@tradingmarkets.com
If you are new to the
"IT" strategy, be sure to take a look at our
Intermediate-Term Trader’s Report is posted on Tuesdays and
Fridays. For other intermediate-term commentary, be sure to read
Truebenbachface=”arial, helvetica”> (Tuesdays and Thursdays), and
Thursdays).