Wednesday’s Stock Watch
The markets folded on
another weak close that put the major indexes near new lows. Average
volume marked distribution on the NYSE and Nasdaq. Gold and silver and
healthcare were the big winners, with biotechnology, pharmaceuticals,
semiconductors, and Internet issues weighing down the minus column. New 52-week
highs were minor, with the Nasdaq lows list standing out with 54. Drug stocks
and telecommunications comprised the highest numbers of new lows. Stocks on our
watch list were mostly down, with one breakout made.
Market breadth was negative, with NYSE
declining issues over advancing issues by a ratio of 1.71, and down volume over
up volume by a 2.88 ratio. Nasdaq declining issues over advancing issues came in
at 1.75, and down volume beat up volume by a 5.42 ratio.
The Dow Jones Industrial Average
(
$INDU |
Quote |
Chart |
News |
PowerRating) closed down 1.32% at 9517.26. The S&P 500
(
$SPX |
Quote |
Chart |
News |
PowerRating)
closed down 1.66% at 1013.60.
The Nasdaq
(
$COMPQ |
Quote |
Chart |
News |
PowerRating) closed
down 2.18% at 1497.18.
Â
1,177
1,268
Issues
2,008
2,216
357,490,000
259,867,000
1,028,772,000
1,408,128,000
Total
Volume
1,397,248,000
1,681,176,000
Highs
16
8
21
54
Top sectors:
Gold and Silver Index
(
$XAU.X |
Quote |
Chart |
News |
PowerRating), up 3.51% at
77.81, and the
Morgan Stanley Healthcare Index
(
$HMO.X |
Quote |
Chart |
News |
PowerRating),
up 2.28% at 647.46.
Losing sectors:
Biotechnology Index
(
$BTK.X |
Quote |
Chart |
News |
PowerRating), down 8.11% at
336.98, and the
Pharmaceutical Index
(
$DRG.X |
Quote |
Chart |
News |
PowerRating), down
4.32% at
308.83.
Sectors with Most New 52-Week Highs:
Real Estate – 12
Health Services – 11
Watch List Action:
Christopher & Banks Corp.
(
CHBS |
Quote |
Chart |
News |
PowerRating) put in a stellar day as it broke
through its resistance zone on almost twice average volume for a 2.73% rise and
an accumulation day. The blue line in the graph below denotes its pivot buy
point.
Panera Bread Co.
(
PNRA |
Quote |
Chart |
News |
PowerRating) was our worst performer of the day as it fell 2.11%
on above average volume for a distribution day. The stock’s heavy selling a
couple of weeks ago is a big red flag here.
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 1.16% on
below-average volume.
Christopher & Banks Corporation
(
CHBS |
Quote |
Chart |
News |
PowerRating), up
2.73% on almost twice average volume for an accumulation day.
Group 1 Automotive
(
GPI |
Quote |
Chart |
News |
PowerRating), down 1.48% on
below-average volume.
size=2>Panera Bread Co
(
PNRA |
Quote |
Chart |
News |
PowerRating), down 2.12%
on above-average
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) | 93 | 40.75 | – 0.48 | 703,100 | 38.08 | 42 |
Christopher & Banks | ( CHBS | Quote | Chart | News | PowerRating) | 93 | 42.89 | + 1.14 | 414,200 | 33.60 | 42.45 |
Group 1 Automotive | ( GPI | Quote | Chart | News | PowerRating) | 77 | 39.19 | – 0.59 | 276,400 | 42.23 | 50.08 |
size=2>Panera Bread Co | size=2> ( PNRA | Quote | Chart | News | PowerRating) | 92 | 68.32 | – 1.48 | 459,500 | 66.23 | 73.60 |
Stocks Forming a Handle
| 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 |
None | Â | Â | Â | Â | Â | Â |
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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