Sunday, May 29, 2016

Respectable Finish To Week

Semiconductors were the star of the week.  The index cleared Match/April congestion and posted six consecutive winning days in a row. Technicals are all in the green and the index is above all key moving averages. Weakness will be a buying opportunity; a test of the 50-day MA would be a good start.

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Thursday, May 26, 2016

Indices Net Positive Technically

There wasn't much to say about to about today as Indices worked on consolidating the last couple days of gains. The real action came from supporting technicals, as they looked to mark a shift from a generally bearish technical picture to a net bullish one.

The S&P got to resistance of what was looking a reversal head-and-shoulder pattern.  This pattern won't be negated until 2,111 is breached, but today's action is a step in the right direction.  The only negative is the continued relative under performance against Small Caps.

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Tuesday, May 24, 2016

Semiconductors Pull Indices Along

A big day for Semiconductor Indices has finally boosted other indices. Semiconductors finished above March/April highs on new near term highs in relative performance. It has been a big week for this index and this could set a positive tone for the rest of the summer.

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Monday, May 23, 2016

Semiconductors Sucked Back By Broader Market

Today was really a non-event. Friday's gains were great, but it was going to be hard to see more of the same today. This lack of action hit high flying Semiconductors after a positive gap open had made it look like another good day was in store. Other indices did very little.

Semiconductors finished with a bearish 'inverse hammer'; some may look to the mid-line of stochastics [39,1] as a confirmation of this, but I suspect the index has done enough to return net bullish, which technicals - as of today - have confirmed. Time to buy pullbacks.

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