Harry Boxer
The Technical Trader
The stock market indices started the week off mixed early on, and then they backed and filled, held support, and rallied by midday. The Nasdaq 100 made a new rally high, getting up just under 4270, while the S&P 500 could barely get back above the morning high. That loss of momentum and lack of confirmation led to an afternoon sell off, and a nasty one. The Nasdaq 100 went from 4216 to 4192 before bouncing, and closing at 4195, 3 points off its low. The S&P 500 dropped back from 1903 to 1976. and closed just a point off the low.
Net on the day, the Dow was down 208.29 at 15,885.22, 5 points off its low. The S&P 500 was down 29.82 to 1877.08. The Nasdaq 100 was down 63.24 to 4196.53.
Advance-declines were 6 to 1 negative on New York Stock Exchange and 3 to 1 negative on Nasdaq. Up/down volume was almost 9 to 1 negative on New York, and a hefty 4.2 billion shares traded. The Nasdaq traded 1.9 billion shares and had a 5 to 1 negative volume ratio.
TheTechTrader.com board was nearly all red. Priceline.com (PCLN) was down 20.18 to 1097.93, Google Inc. (GOOG) down 13.58 to 711.67, Apple Inc. (AAPL) down 1.98 to 99.44, Netflix, Inc. (NFLX) down 1.60 to 99.12, but Amazon.com Inc. (AMZN) was nearly flat, up 15 cents to 596.53.
Tesla Motors, Inc. (TSLA) dropped 6.17 to 196.38, and Baidu, Inc. (BIDU) gave back 3.63 to 167.54. Facebook, Inc. (FB) lost 93 cents to 97.01.
In addition, First Solar, Inc. (FSLR) was down 2.30 to 64.14, Mobileye N.V. (MBLY) down 1.64 to 28.77, and Bristol-Myers Squibb Company (BMY) 1.48 to 62.92.
It was an ugly day on Wall Street. No stocks on the main board were up as much as a point. Checking the percent-gain leaderboard, EnerNOC, Inc. (ENOC), on a positive court ruling, led the way up 2.89 to 7.05, or 69 1/2%, on 16 million shares traded.
Amira Nature Foods Ltd. (ANFI) gained 2.45 to 10.75, or 30%, on 2.7 million shares traded. eHi Car Services Limited (EHIC) climbed 1.72 to 12.45, or 16%. American Midstream Partners, LP (AMID) opened nearly straight up to 1.06 to 6.63, or 19%.
Since oil backed off today, the VelocityShares 3x Inverse Crude Oil ETN (DWTI) exploded 71.11 to 358.41, or 25%, on 1.2 million shares traded. The ProShares UltraShort Bloomberg Crude Oil (SCO) followed suit, up 28.28 to 202.22, or 16%.
Stepping back and reviewing the hourly chart patterns, the indices backed and filled in the morning, came down and tested, had a nice midday rally, but when the NDX broke through a triple top, the S&P 500 could not, and they rolled over very hard at the end of the day to close near the session lows going away.
It's a pretty nasty way to start the week, however, if you look at the hourly charts, the indices are right on support with a little bit of buffer beneath it. Let's see how they do tomorrow and whether it will be turnaround Tuesday or not. Good Trading!
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