Most Popular
1. It’s a New Macro, the Gold Market Knows It, But Dead Men Walking Do Not (yet)- Gary_Tanashian
2.Stock Market Presidential Election Cycle Seasonal Trend Analysis - Nadeem_Walayat
3. Bitcoin S&P Pattern - Nadeem_Walayat
4.Nvidia Blow Off Top - Flying High like the Phoenix too Close to the Sun - Nadeem_Walayat
4.U.S. financial market’s “Weimar phase” impact to your fiat and digital assets - Raymond_Matison
5. How to Profit from the Global Warming ClImate Change Mega Death Trend - Part1 - Nadeem_Walayat
7.Bitcoin Gravy Train Trend Forecast 2024 - - Nadeem_Walayat
8.The Bond Trade and Interest Rates - Nadeem_Walayat
9.It’s Easy to Scream Stocks Bubble! - Stephen_McBride
10.Fed’s Next Intertest Rate Move might not align with popular consensus - Richard_Mills
Last 7 days
Trump Stocks and Crypto Mania 2025 Incoming as Bitcoin Breaks Above $100k - 8th Dec 24
Gold Price Multiple Confirmations - Are You Ready? - 8th Dec 24
Gold Price Monster Upleg Lives - 8th Dec 24
Stock & Crypto Markets Going into December 2024 - 2nd Dec 24
US Presidential Election Year Stock Market Seasonal Trend - 29th Nov 24
Who controls the past controls the future: who controls the present controls the past - 29th Nov 24
Gold After Trump Wins - 29th Nov 24
The AI Stocks, Housing, Inflation and Bitcoin Crypto Mega-trends - 27th Nov 24
Gold Price Ahead of the Thanksgiving Weekend - 27th Nov 24
Bitcoin Gravy Train Trend Forecast to June 2025 - 24th Nov 24
Stocks, Bitcoin and Crypto Markets Breaking Bad on Donald Trump Pump - 21st Nov 24
Gold Price To Re-Test $2,700 - 21st Nov 24
Stock Market Sentiment Speaks: This Is My Strong Warning To You - 21st Nov 24
Financial Crisis 2025 - This is Going to Shock People! - 21st Nov 24
Dubai Deluge - AI Tech Stocks Earnings Correction Opportunities - 18th Nov 24
Why President Trump Has NO Real Power - Deep State Military Industrial Complex - 8th Nov 24
Social Grant Increases and Serge Belamant Amid South Africa's New Political Landscape - 8th Nov 24
Is Forex Worth It? - 8th Nov 24
Nvidia Numero Uno in Count Down to President Donald Pump Election Victory - 5th Nov 24
Trump or Harris - Who Wins US Presidential Election 2024 Forecast Prediction - 5th Nov 24
Stock Market Brief in Count Down to US Election Result 2024 - 3rd Nov 24
Gold Stocks’ Winter Rally 2024 - 3rd Nov 24
Why Countdown to U.S. Recession is Underway - 3rd Nov 24
Stock Market Trend Forecast to Jan 2025 - 2nd Nov 24
President Donald PUMP Forecast to Win US Presidential Election 2024 - 1st Nov 24

Market Oracle FREE Newsletter

How to Protect your Wealth by Investing in AI Tech Stocks

Nasdaq Trails in Mixed Session, As Blue Chips Hold Support and Rally Back

Stock-Markets / Stock Index Trading Apr 16, 2009 - 01:46 AM GMT

By: Harry_Boxer

Stock-Markets We had a very interesting session on Wednesday. Most indices managed to end in the positive column except for the Nasdaq 100 and Philadelphia Semiconductor Index (SOXX), which pressured the NDX all day. But the story was how firmly the S&P 500 and Dow held despite three consecutive new intraday lows on the NDX. That positive divergence caused a late, short-covering rally that popped the indices and closed them near the highs for the day going away.


The day started out with a gap down, then the indices bounced, recovered a portion of their losses, and then made lower lows on the NDX, but not on the S&P 500. A mid-day rally failed to take out the highs on the NDX, despite the SPX making new session highs, and then they rolled over in mid-afternoon, setting new NDX lows around 1295 , but making a third consecutive higher low intraday on the SPX. Again, when that positive divergence occurred, a sharp late rally fueled by short covering spiked the market higher.

Net on the day the Dow closed up 109.44 at 8029.62, the S&P 500 up 10.56 at 852.06, but the Nasdaq 100, despite bouncing 21 points off the low, ended down 5.80. The SOXX fell 3.77.

Advance-declines were 2 1/2 to 1 positive on New York and a little better than 3 to 2 positive on Nasdaq. Up/down volume was 2 1/2 to 1 positive as well on New York on total volume of 1.4 billion. Nasdaq traded 2 billion shares, but had about an 11 to 8 negative volume ratio.

TheTechTrader.com board was mixed. The financials were positive, with Goldman Sachs (GS) leading the way, closing 8 points off its low, up 6.08 on 40.7 million. JP Morgan (JPM) jumped to 32.56, up 1.86 on nearly 107 million shares. Wells Fargo (WFC) bounced 2 points off its low and closed at 19.55, up 1.28 on 118 million. Bank of America (BAC) jumped from 9.27 to 10.52, closing at 10.44, up 35 cents on 515 million traded. General Electric (GE) ended 32 cents higher at 11.83 on 120 million

Other stocks of note, Aluminum Corp. of China (ACH) had a stellar day, gapping up and closing strong at 21.61, up 2.01, now up more than 200% off its November low. The iShares FTSE/Xinhua China 25 Index ETF (FXI) was strong, up 1.03 to 33.09. The Direxion Financial Bull 3x Shares (FAS) on strong financials today closed at 8.86, up 1.03 on 274 million shares.

On the downside, Amazon (AMZN) fell 2.51 at 74.71, and American Italian Pasta (AIPC) down 1.20 at 31.00.

The UltraShort Financial ProShares (SKF) fell 5.87 to 61.39, and the UltraShort Real Estate ProShares (SRS) was down 5.54 at 30.87. The Direxion Large Cap Bear 3X Shares (BGZ) closed at 49.44, down 2.01, and the Direxion Financial Bear 3x Shares (FAZ) got hammered back to 9.52, down 1.49 on 174 million shares.

Stepping back and reviewing the hourly chart patterns, despite nominal breaks on the Nasdaq 100 over the last couple sessions below price and moving average support, intermediate trendline support held on that index. On the S&P 500 and Dow, price, moving average and trendline support all have held. That may have resulted in the late short covering at the end of the day that really spiked the market higher. So it was a stellar day for the bulls, as support held all day on the blue chips.

Good trading!

Harry

For more of Harry Boxer, sign up for a FREE 15-Day Trial to his Real-Time Technical Trading Diary. Or sign up for a Free 30-Day Trial to his Top Charts of the Week service.

(c) 2009 AdviceTrade, Inc. All rights reserved. Distributed only by written permission of AdviceTrade and The Technical Trader at info@advicetrade.com . In using any portion of Harry Boxer's content, you agree to the terms and conditions governing the use of the service as described in our disclaimer at http://www.thetechtrader.com

Mr. Boxer's commentaries and index analysis represent his own opinions and should not be relied upon for purposes of effecting securities transactions or other investing strategies, nor should they be construed as an offer or solicitation of an offer to sell or buy any security. You should not interpret Mr. Boxer's opinions as constituting investment advice. Trades mentioned on the site are hypothetical, not actual, positions.

Harry Boxer Archive

© 2005-2022 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in