Market Recap For 7/30/2015

Today, the market continued its recovery from the recent pullback. The market opened down, shook some of the weak longs then bounced and put in an intraday shooting star type of candle to get the shorts to come in. Once the shorts were in, it snapped and moved toward yesterday's high.

Market Recap For 7/29/2015

The market continued with its oversold rally. It paused for approximately two hours before the FOMC announcement. As usual, the market fluctuated wildly in the initial minutes after the release of the FOMC announcement. After the market had digested what those statements are saying, the market made its move. Today, the market continued to move upward and the SP500 closed near the high of the day.

FB Pre-Earnings & Market Recap For 7/28/2015

The market finally closed up after five consecutive down days. Today’s market breadth was much improved. The U/DVOL ratio for the NYSE was 6:1 and 3:1 for the NASDAQ. The number of new 52 week low was also much less than the previous session.

TWTR Pre-Earnings & Market Recap For 7/27/2015

Today the market continued its pullback, and finished with five consecutive down days. The SPX opened lower and closed with a loss of -12.01 or -0.58% for the day. It has broken through the 2079.11 support level, the next potential level of support could be either 2056.15 or 2039.69. Once again, the number of new low has expanded and there were 489 new lows and 19 new highs in the NYSE, and the U/DVOL ratio favored the down volume with a ratio of 3.5:1.

Weekly Market & Stocks Update - 7/26/15

This week, the market pulled back from its recent high and tested some of the support levels we have been watching. It has been down for four consecutive days and the market could get a dead cat bounce within the next couple trading session.

TWTR and FB are scheduled to report earnings next week on Tuesday and Wednesday respectively, and they might provide the catalyst for a dead cat bounce.

Market Recap - 7/23/2015

Today the market went up at the open with some follow through from AAPL. The SPX started to reverse after AAPL made its push to HOD. Then an hour before noon, the market started to accelerate downward. The low it put in repeatedly did not attract buyers, and the feeble bounce generated more declines. Finally, in the last hour of trading, the market bounced and closed off the day’s low. However, the low that was made does not appear to have attracted renew buying, therefore the market could move lower to search for buyers.

Market Recap - 7/22/2015

Once again, the market was under pressure today due to disappointed earnings from some of the big names such as AAPL & MSFT. But the astonishing thing was the market held the opening range and the breadth was slightly negative to neutral. The decliners did lead the advancers, but with a slim margin and was fairly even throughout most of the session. In the NYSE, the A/D was -526 and the NASDAQ was -80 while the U/DVOL ratio favored the DVOL, in the NYSE it was 1.33:1 and 2:1 in the NASDAQ. One of the most troublesome breadth indicators continues to be the new high-new low. The new 52 week low continues to expand while the new high is contracting. This is a clear sign the internal is getting weaker as more stocks have retraced to their 52 week low.

Market Recap - 7/21/2015

Today, the market pulled back and it should not be a surprise to anyone as it has been rising on negative breadth for some time. With the poor earnings results from IBM and UTX, the DJI ended the session with a loss of 1% or 181.10 points. The other market indexes also were down for the day, the SPX closed down -9.07 or -0.43%, the RUT loss -5.65 or -0.45% and the NDX loss -5.27 or -0.11%.

Market Recap - 7/20/2015

Today, the market continues its quest to enter the record book. The SPX came within 2 points to its all time high of 2134.72 made on 5/20/15, and 2 points above its all time closing high of 2130.82 made on 5/21/15. The NASDAQ 100, NDX stayed above the new multi-year high throughout most of the session. It came within 10.60 points from the tech bubble all time closing high of 4704.73 made on 3/27/2000. While these two market indexes are at new high territory, the market breadth continues to behave negatively with decliners outnumbered the advancers by a margin of 2 to 1 and the DVOL ahead of the UVOL.

Market & Earnings - 7/19/2015

The market continues to push higher. The tech oriented Nasdaq 100 is getting a bit euphoric and parabolic. Earnings from AAPL and AMZN are scheduled for this week with FB on tap to report next week. In this video, we will look at the market and these stocks: AAPL, GPRO, AMZN. In addition, I have also included the chart on DIS, FB, NFLX and GOOGL that I have posted earlier on my twitter stream in this blog posting.

An Analysis Of BABA - 7/18/2015

Ever since BABA reached a post IPO high of 120, it has been on a decline. It fell to a new low on 3/3/15 when the price reached 80.03. It made another new low on 5/5/15 at 77.98 after spending two months in a trading range between 80 and 87. On 7/7/15 another new low was made when it dropped to 76.21 (see weekly chart).

Market Recap - 7/17/2015

The market was mixed today. The Dow Jones Industrial (DJI) closed -33.80 or -0.19%, and the Russell 2000 (RUT) closed -5.74 or -0.45%. In contrast, the SP500 (SPX) closed +2.35 or +0.11%, and the Nasdaq 100 (NDX) closed with a gain of 66.70 or 1.45%. Although the NDX put in an impressive performance today, but the breadth was negative throughout the session. In both exchanges, the NYSE and the NASDAQ, the DVOL lead the UVOL (the charts on the left) and the decliners outnumbered the advancers (the charts in the middle).

Market Recap - 7/16/2015

After pausing for one day, the market resumes its upward move. The NASDAQ 100 (NDX) closed at another new multi-year high. It is only approximately 110 points from the tech bubble closing high made on 3/27/2000. The upcoming earnings report from AAPL, FB and other large cap tech stocks could provide the fuel to push the NDX back to this historical high. GOOGL reported this afternoon after the market has closed and it is up over 11% in after hours. FB is also up in after hours at all time high. If these gains hold into tomorrow’s open, the NDX will be pushed closer to the tech bubble high.

Market Recap – 7/15/2015

After the market has been up for four consecutive days, a modest down day to consolidate the recent gains should not be surprising. The price chart below shows the SP500 (SPX), Dow Jones Industrials (DJI), and the Nasdaq 100 (NDX) closed near where they closed yesterday. The Russell 2000 (RUT) was the worst performer and it closed near the low of the day. The RUT also dipped back into the Fibonacci retracement zone. The SPX & DJI are out of the retracement zone and could encounter resistance at the Fib 78.6% level. As the big cap tech stocks continue to outperform, they have pushed the NDX closer to its multi-year high.

Market Recap – 7/14/2015

The market finished up today, making it four consecutive up days. The DJIA closed above the 50 SMA and passed the Fib retracement zone. It could be encountering resistance from the near term declining trendline. If it breaks above this trendline, then the next probable resistance is the 6/23/15 close at 18.144.07. The SP500 also closed with four consecutive up days and it is above the 50 SMA. The next level of potential resistance could be the 3/2/15 close at 2117.39. The NASDAQ 100, NDX is getting near its multi-year closing high made on 5/27/15 at 4546.06. As the recent large cap tech stocks showing signs of strength, it will not be surprising to see the NDX makes another multi-year high. The Russell 2000 also recovered from the recent pullback low and getting near the 4/15/15 close of 1275.35. Since all the indexes have been up for the last four days, the probability for a down day will increase as the market continues to move up toward its recent high. Although any new high from the market is a good thing, but if the breadth still showing weakness, then it can only set up the market for a more violent and deeper pullback. But for now, continue to monitor the market breadth for increasing strength and focus on the stocks that are showing good setup.

Stocks & Market Review - 7/13/2015

A review of the market and the price action of the pharma stocks from previous video along with some Dow stocks.

Pharma Stocks & More - 7/12/2015

In this video, we will look at some of the pharma stocks that are showing some potential near term upside. In addition, we will also look at FB, EBAY, and a few cyber security stocks.

Here are the tickers for the stocks covered in this video: ALKS, REGN, HZNP AGRX, VRX ABBV, LCI, SCMP EBAY, FB, HD, FEYE, PANW, and LOCK.

Not Much Has Changed

The market continues to provide trading opportunities for the short term traders. It essentially finished the week near where it started and not much has changed.

SP500 Scenario Follow-up (7/8/2015)

A short follow up video on my SP500 scenario that I have presented last weekend. You can view that video here "A Scenario For The SP500".

A Scenario For The SP500

Ever since the Dow Jones Industrial Average closed with a new all time closing high on May 19, 2015, followed by another new closing high from the SP500 two days afterward, the market has been trying to establish and initiate its intermediate direction. During this period, there have been numerous shakeout accompanied by some dramatic rallies and some very interesting selloffs.

Homebuilders

Although the possibility of a rate hike from the FED is increasing, but looking at some of the homebuilders' stock price, the market doesn't seem to be concerned.

In this video, we will take a look at some of the homebuilders that might be setting up for an intermediate upward price move. The homebuilders being reviewed in this video are: TOL, DHI, LEN & PHM.