StockTock.com discusses the confusing news events and fundamentals of the economy. We have never been more grateful to have the charts to guide us. The S&P showed impressive resilience today, finishing higher by 8 points despite a pummeling of the GSEs and higher oil prices. The S&P and XLF held important support levels (1263.50 and 19.75, respectively) and the path of least resistance remains higher in the short-term. The dollar is holding its recent gains while oil and natural gas closed higher but remain in downtrends. We analyze “flight to safety” vehicles for an indication of the market’s next move. We look at SPY, XLF, FRE, FNM, GS, UUP, USO, UNG, VIX, TNX, and GLD. Watch for a bullish WV pattern on the ES tomorrow. And if anyone has answers or ideas about my opening questions, please share them in the comments section. Thanks.
Daily Video Review
StockTock.com discusses the market’s weakness and how to trade it. The market appears to be on the brink of a major breakdown, however, one final push higher to a double top level is still a possibility. The XLF is weak but holding its channel. The 10-year treasury bond is testing important support. The US dollar pulled back slightly, boosting commodities such as gold. We use Elliot Wave Theory to predict the market’s next major move. We also touch on LEH, GS, and USO.
StockTock.com discusses today’s market action that should be viewed as liberation from options expiration. The dollar and equities pulled back, while several commodities bounced. Watch for this trend to continue in the short-term. We look at important support and resistance levels for the S&P. We don’t want to trade financials until we see a break of the XLF channel. We also touch on UUP, GLD, USO, UNG, and FNM. CORRECTION: When speaking about the Descending Bear Market Trendline, I mention resistance levels 1262 and 1256. I meant to say 1362 and 1356!
StockTock.com discusses today’s action and the phenomenal day trade that we called out in our intraday commentary. We discuss the mechanics of options expiration and look ahead to a possible commodity bounce beginning next week. The ascending trendline on the S&P worked as support again today, but is unlikely to work as well in the future. There will be no video tomorrow because I am going to be out of town, but I will try to get something posted over the weekend.
We discuss day two of the market pullback. Commodity names shined today while financials and retailers led the decline. Bearish sentiment persists, which may setup an options expiration rally. However, financials are acting poorly and commodity prices are threatening to rebound. Trade lightly with tight stops. Tomorrow, watch for Wal-Mart earnings before the bell and natural gas inventory data at 10:35am.
StockTock.com discusses today’s light volume pullback into the 50 moving average on the S&P. Financials struggled today on a double downgrade of Goldman Sachs. The dollar consolidated, commodities fell again, tech outperformed again, and AAPL showed some bullish action. We look at SPY, QQQQ, AAPL, XLF, UUP, USO, XLE, POT, GS, JPM, UBS, MER, LEH, AIG, SLM, and WM. Trade conservatively ahead of options ex on Friday.
StockTock.com discusses the continued rally on Wall Street as the S&P gained another 9 points to close at 1305. Remember, this week is options expiration and caution is advised. We are looking to take profits on our S&P long position on strength tomorrow. Several sectors that we watch are at significant resistance levels and due for a pullback. These include the NASDAQ, KRE, XLY, XRT, and XHB. The US Dollar held and added to its gains today, putting further pressure on commodities, particularly gold. We also touch on IWM, XLF, USO, and XLE.
StockTock.com discusses the US Dollar breakout and today’s rally in the S&P to the 50-day moving average. The dollar rally must be respected and its implications should not be taken lightly. Regarding the rally in equities, the trend is your friend so don’t fight the rally. We highlight the dollar index, SPY, NASDAQ, gold GLD, oil USO, natural gas UNG, financials XLF, regional banks KRE, retailers RTH, and TSO. Have a great weekend!
StockTock.com discusses pretty much everything. We look at 23 different charts to get a broad overview of what is going on in the global economy and its effect on the US stock market. We touch on UUP, EEM, FXI, EWJ, DBC, USO, OIH, KOL, SLX, GLD, IEF, XLV, NASDAQ, KRE, VIX, SPY, XLF, GS, C, WB, POT, RIMM, and QQQQ. Don’t fight the trend. It’s a bear market rally until the charts tell us its not.
StockTock.com discusses today’s light volume move to the 1291 resistance level. The rally continues to squeeze higher and likely has more upside. We identify potential resistance levels for the S&P. Bearish action in several financial stocks gives us pause here, and leads us to question the sustainability of this rally. We look at FRE, FNM, UBS, KEY, LEH, MER, and AXP. We also look at the US dollar and oil. The long oil refiners trade finally began to work today.
