Best of the Week
Most Popular
1. Gold vs Cash in a Financial Crisis - Richard_Mills
2.Current Stock Market Rally Similarities To 1999 - Chris_Vermeulen
3.America See You On The Dark Side Of The Moon - Part2 - James_Quinn
4.Stock Market Trend Forecast Outlook for 2020 - Nadeem_Walayat
5.Who Said Stock Market Traders and Investor are Emotional Right Now? - Chris_Vermeulen
6.Gold Upswing and Lessons from Gold Tops - P_Radomski_CFA
7.Economic Tribulation is Coming, and Here is Why - Michael_Pento
8.What to Expect in Our Next Recession/Depression? - Raymond_Matison
9.The Fed Celebrates While Americans Drown in Financial Despair - John_Mauldin
10.Hi-yo Silver Away! - Richard_Mills
Last 7 days
When Will UK Coronavirus Crisis Imrpove - Infections and Deaths Trend Trajectory Analysis - 8th Apr 20
BBC Newsnight Focuses on Tory Leadership Whilst Boris Johnson Fights for his Life! - 8th Apr 20
The Big Short Guides us to What is Next for the Stock Market - 8th Apr 20
USD Index Sheds Light on the Upcoming Gold Move - 8th Apr 20
The Post CoronaVirus New Normal - 8th Apr 20
US Coronavirus Trend Trajectory Forecast Current State - 7th Apr 20
Boris Johnson Fighting for his Life In Intensive Care - UK Coronavirus Crisis - 7th Apr 20
Precious Metals Are About To Reset Like In 2008 – Gold Bugs, Buckle Up! - 7th Apr 20
Crude Oil's 2020 Crash: See What Helped (Some) Traders Pivot Just in Time - 7th Apr 20
Was the Fed Just Nationalized? - 7th Apr 20
Gold & Silver Mines Closed as Physical Silver Becomes “Most Undervalued Asset” - 7th Apr 20
US Coronavirus Blacktop Politics - 7th Apr 20
Coronavirus is America's "Pearl Harbour" Moment, There Will be a Reckoning With China - 6th Apr 20
Coronavirus Crisis Exposes Consequences of Fed Policy: Americans Have No Savings - 6th Apr 20
The Stock Market Is Not a Magic Money Machine - 6th Apr 20
Gold Stocks Crash, V-Bounce! - 6th Apr 20
How Can Writing Business Essay Help You In Business Analytics Skills - 6th Apr 20
PAYPAL WARNING - Your Stimulus Funds Are at Risk of Being Frozen for 6 Months! - 5th Apr 20
Stocks Hanging By the Fingernails? - 5th Apr 20
US Federal Budget Deficits: To $30 Trillion and Beyond - 5th Apr 20
The Lucrative Profitability Of A Move To Negative Interest Rates - Pandemic Edition - 5th Apr 20
Visa Denials: How to avoid it and what to do if your Visa is denied? - 5th Apr 20 - Uday Tank
WARNING PAYPAL Making a Grab for US $1200 Stimulus Payments - 4th Apr 20
US COVID-19 Death Toll Higher Than China’s Now. Will Gold Rally? - 4th Apr 20
Concerned That Asia Could Blow A Hole In Future Economic Recovery - 4th Apr 20
Bracing for Europe’s Coronavirus Contractionand Debt Crisis - 4th Apr 20
Stocks: When Grass Looks Greener on the Other Side of the ... Pond - 3rd Apr 20
How the C-Factor Could Decimate 2020 Global Gold and Silver Production - 3rd Apr 20
US Between Scylla and Charybdis Covid-19 - 3rd Apr 20
Covid19 What's Your Risk of Death Analysis by Age, Gender, Comorbidities and BMI - 3rd Apr 20
US Coronavirus Infections & Deaths Trend Trajectory - How Bad Will it Get? - 2nd Apr 20
Silver Looks Bearish Short to Medium Term - 2nd Apr 20
Mickey Fulp: 'Never Let a Good Crisis Go to Waste' - 2nd Apr 20
Stock Market Selloff Structure Explained – Fibonacci On Deck - 2nd Apr 20
COVID-19 FINANCIAL LOCKDOWN: Can PAYPAL Be Trusted to Handle US $1200 Stimulus Payments? - 2nd Apr 20
Day in the Life of Coronavirus LOCKDOWN - Sheffield, UK - 2nd Apr 20
UK Coronavirus Infections and Deaths Trend Trajectory - Deviation Against Forecast - 1st Apr 20
Huge Unemployment Is Coming. Will It Push Gold Prices Up? - 1st Apr 20
Gold Powerful 2008 Lessons That Apply Today - 1st Apr 20
US Coronavirus Infections and Deaths Projections Trend Forecast - Video - 1st Apr 20
From Global Virus Acceleration to Global Debt Explosion - 1st Apr 20
UK Supermarkets Coronavirus Panic Buying Before Lock Down - Tesco Empty Shelves - 1st Apr 20
Gold From a Failed Breakout to a Failed Breakdown - 1st Apr 20
P FOR PANDEMIC - 1st Apr 20
The Past Stock Market Week Was More Important Than You May Understand - 31st Mar 20
Coronavirus - No, You Do Not Hear the Fat Lady Warming Up - 31st Mar 20
Life, Religions, Business, Globalization & Information Technology In The Post-Corona Pandemics Age - 31st Mar 20
Three Charts Every Stock Market Trader and Investor Must See - 31st Mar 20
Coronavirus Stocks Bear Market Trend Forecast - Video - 31st Mar 20
Coronavirus Dow Stocks Bear Market Into End April 2020 Trend Forecast - 31st Mar 20
Is it better to have a loan or credit card debt when applying for a mortgage? - 31st Mar 20
US and UK Coronavirus Trend Trajectories vs Bear Market and AI Stocks Sector - 30th Mar 20
Are Gold and Silver Mirroring 1999 to 2011 Again? - 30th Mar 20
Stock Market Next Cycle Low 7th April - 30th Mar 20
United States Coronavirus Infections and Deaths Trend Forecasts Into End April 2020 - 29th Mar 20
Some Positives in a Virus Wracked World - 29th Mar 20
Expert Tips to Save on Your Business’s Office Supply Purchases - 29th Mar 20
An Investment in Life - 29th Mar 20
Sheffield Coronavirus Pandemic Infections and Deaths Forecast - 29th Mar 20

Market Oracle FREE Newsletter


Stock Market Indices Roll Over Hard in Last Hour

Stock-Markets / Stock Markets 2010 Jun 02, 2010 - 03:34 AM GMT

By: Harry_Boxer


Best Financial Markets Analysis ArticleThe stock market indices were quite volatile in the morning, opening sharply lower and then bouncing sharply higher. The Nasdaq 100 made new rally highs at that point just under 1880, but the S&P 500 did not make new highs, and that negative divergence caused a sharp pullback.

They did bounce around midday into early afternoon, but when that failed to take out the highs they rolled over in a sharp 5-wave decline, with the fifth wave being particularly sharp. In the last 20 minutes or so the NDX dropped about 20 points and the SPX dropped about 13 points. They closed near the session lows going away and taking out key short-term support as well.

Net on the day, the Dow was down 112.61 at 10,024.02, the S&P 500 down 18.71 at 1070.71, and the Nasdaq 100 up 17.35 at 1835.04.

Advance-declines were 4 to 1 negative on the New York Stock Exchange, and about 5 to 1 negative on Nasdaq. Up/down volume was 13 to 1 negative on New York on total volume of a little over 1.4 billion. Nasdaq traded just under 2.1 billion and had a better than 5 to 1 negative ratio.

Our Charts of the Day:

Delcath Systems Inc. (DCTH) has been in a fantastic rising channel over the last year and a half, having seen a move from under 1.00 to over 16. But in the last six weeks this stock has been coiling and consolidating the big move. The 19-20 range could be doable if we get a breakout above the lateral line at around 15 1/2. That's what I'll be looking for short-term.

The UltraShort Direxion Daily Energy Bear 3X Shares (ERY), a new ETF we're watching, spiked up 1.53, or 12 3/4%, on 5.7 million shares, the biggest volume in the last week. The stock looks like it's broken back out after forming a beautiful rising channel and retesting the bottom of that channel, and is about to retest the highs again. Trading target up around the 15 1/2 - 16 zone is what I'm looking for short-term.

Jones Soda Co. (JSDA) had an exceptionally big day today. It had a big downtrend in '07 and '08, a base, a retest in mid-April, then a 6-week declining channel that was broken last week with a breakaway gap. It was an inside day on Friday. Today it exploded for 80%, up 84 cents to 1.88. Looks like there's more to come. Short-term resistance around 2.40, and beyond that my trading target around the 3 1/2 range.

Universal Display Corp. (PANL) had an exceptional day today, which is the second strong day in the last three. Thursday it popped, followed by an inside day on Friday, and then today it exploded for another 2.20, or 14%, on 1 3/4 million, the heaviest volume we've seen on this stock for years. So, something significant may be ahead. Short-term target is around 20, secondary target around 23 1/2.

Reviewing our watchboard: board was mostly lower with a few exceptions. Apple Inc. (AAPL) jumped 3.95 to 260.83, and even that was 5 points off its high. (BIDU) managed to gain 35 cents to 7.56, closing 2 points of its high.

Other than that there were just fractional gainers on the board. Competitive Technologies Inc. (CTT), one of our portfolio positions, was up 20 cents to 3.37.

The ultra-shorts had a bang-up day today. The Direxion Daily Emerging Market Bear 3X Shares (EDZ) jumped 2.90 to 53.20, the iPath S&P 500 VIX Short-Term Futures ETN (VXX) 1.61 to 30.19, the Direxion Daily Large Cap Bear 3X Shares (BGZ) 88 cents to 16.75, and the Direxion Daily Financial Bear 3X Shares (FAZ) 99 cents to 15.92. The Direxion Daily Small Cap Bear 3X Shares (TZX) jumped 63 cents to 7.49, and the Direxion Real Estate Bear 3X Shares (DRV) jumped 43 cents to 7.59.

On the downside, loss leaders included Google Inc. down 3.26 at 482.37, Goldman Sachs (GS) down 2.40 at 141.86, and (AMZN) 2.22 at 123.24.

Other point-plus losers included Xyratex (XRTX) down 1.16 to 15.07, Valassis Communications Inc. (VCI) 2.00 at 34.52, and Northern Oil and Gas Inc. (NOG) 1.08 to 13.35 in a weak oil sector. In addition, Cree Inc. (CREE) lost 1.00 to 65.37, China Agritech (CAGC) 1.13 to 11.75, Acme Packet Inc. (APKT) 1.71 to 27.60, and American International Group Inc. (AIG) 1.13 to 34.25.

Stepping back and reviewing the hourly chart patterns, the indices were up in the morning, and backed and filled most of the day until the last hour or so when they rolled over very hard and closed near the session lows going away, breaking support in the process. Not a good sign for the bulls, indeed. We'll see if there's a downside follow-through or not tomorrow.

Good trading!


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) 2010 AdviceTrade, Inc. All rights reserved. Distributed only by written permission of AdviceTrade and The Technical Trader at . 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

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

© 2005-2019 - 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

6 Critical Money Making Rules