Financial Stocks Set the Stage for Earnings Reports

Highly regarded banking analyst, Meredith Whitney, upgraded Goldman Sachs (GS) to a buy and financial stocks were off to the races as Monday’s top market leading sector. Now that the stage has been set, the market will take the bulk of its cues from earnings as quarterly reports and guidance increase.

Volume was mixed on the two major exchanges: NYSE volume -0.92% below average and Nasdaq Composite volume +2.12% below average.

In terms of price volume analysis, amongst the Russell 3000 components, bulls controlled Monday’s market with 61% bullish accumulation (price up & volume down).

For changes to Monday’s trend analysis, please refer to trend monitor (see below).

Leading Industries: accident & health insurance; regional northeast banks; regional midwest banks; diversified investments; regional pacific banks; reit-office; surety & title insurance; regional southeast banks; regional midatlanctic banks; regional southwest banks

Lagging Industries: dairy products; internet service providers; hospitals; education & training services

Stocks Moving Up on Surging Volume

• Large Caps: AIG; BSX; HAR; SHW; NVLS; LXK;

• Mid Caps: OSIP; MVSN; NFLX; SGMS; DLX; TRN

• Small Caps: SNX; GBCI; SKX; VSEA; GB; SMRT; MKSI; TLGD; STL; CRVL; LDR; SWM; TQNT; OZRK

Stocks Moving Down on Surging Volume

• Large Caps: CIT, EXPD

• Mid Caps: CPRT

• Small Caps: CELL; NSIT; ANDE

Market Summary

• The DIA closed up +2.30% at $83.31 and $0.08 below its high and $1.92 above its low. Volume was +1.46% above average volume. Daily PMI* is at 96.00 and weekly PMI* is at 96.71.
• The SPY closed up +2.43% at 90.10 and $0.07 below its high and $2.51 above its low. Volume was -+4.42% above average volume. Daily PMI* is at 97.29 and weekly PMI* is at 97.79.
• The QQQQ closed up +1.89% at 35.58 and $0.00 below its high and $1.12 above its low. Volume was +10.05% above average volume. Daily PMI* is at 100.00 and weekly PMI* is at 99.23.
• The IWM closed up +2.33% at 49.22 and $0.03 below its high and $1.84 above its low. Volume was -7.20% below average volume. Daily PMI* is at 98.40 and weekly PMI* is at 89.24.

(*PMI measures and indicates strength of the underylying security’s trading range on a scale of 1-100.)

Market Condition and Trend Analysis

ETF Index	Market Condition	Short-Term	Intermediate	Primary
DIA	neutral	lateral	lateral	down
SPY	neutral	lateral	up	down
QQQQ	neutral	lateral	up	lateral
IWM	neutral	lateral	lateral	down

Market Momentum Analysis (Percentage of Stocks Trading Above Moving Averages)

Market Momentum	20-Day MA	50-Day MA	200-Day MA
Today	47.17%	51.60%	72.78%
Yesterday	32.56%	43.27%	68.51%
Last Week	38.57%	55.10%	71.17%
Last Month	74.79%	84.11%	74.70%

Technical Support & Resistance Levels for Tuesday, July-14-2009

Index	S3	S2	S1	Pivot	R1	R2	R3
DJ-30	7775.48	8013.85	8172.77	8252.22	8411.14	8490.59	8728.96
SP-500	841.01	866.74	883.90	892.47	909.63	918.20	943.93
Nadaq	1661.94	1718.20	1755.70	1774.46	1811.96	1830.72	1886.98
Russ-2k	451.24	469.27	481.29	487.30	499.32	505.33	523.36
VIX	18.18	22.70	24.51	27.22	29.03	31.74	36.26

Index ETF	Ticker	S3	S2	S1	Pivot	R1	R2	R3
DJ-30	DIA	78.70	80.70	82.00	82.70	84.00	84.70	86.70
SP-500	SPY	84.13	86.71	88.40	89.29	90.98	91.87	94.45
NASDAQ-100	QQQQ	32.99	34.11	34.85	35.23	35.97	36.35	37.47
R2K	IWM	44.92	46.79	48.02	48.66	49.89	50.53	52.40

Sector ETF	Ticker	S3	S2	S1	Pivot	R1	R2	R3
Consumer Discretion	XLY	20.88	21.57	22.02	22.26	22.71	22.95	23.64
Consumer Staples	XLP	22.30	22.73	23.00	23.16	23.43	23.59	24.02
Energy	XLE	41.62	43.23	44.28	44.84	45.89	46.45	48.06
Financials	XLF	10.56	11.10	11.45	11.64	11.99	12.18	12.72
Health Care	XLV	24.82	25.38	25.73	25.94	26.29	26.50	27.06
Industrials	XLI	19.60	20.32	20.80	21.04	21.52	21.76	22.48
Materials	XLB	22.45	23.56	24.29	24.67	25.40	25.78	26.89
Technology	XLK	16.57	17.12	17.47	17.67	18.02	18.22	18.77
Telecom	IYZ	15.96	16.40	16.70	16.84	17.14	17.28	17.72
Utilities	XLU	25.84	26.51	26.94	27.18	27.61	27.85	28.52

(Please click here to see graphs in original format and better visual interpretation of results.)

Disclosure: Hillbent.com, Inc. or its affiliates may own positions in the equities mentioned in our reports. We do not receive any compensation from any of the companies covered in our reports.

Comments

[bike 05673:]

Hans Wu, Taipei; Meiling Chen, DIGITIMES [Friday 10 July 2009]


Visual Photonics Epitaxy Company (VPEC) has reported record revenues of
NT$177 million (US$5.35 million) for June 2009, up 25% on month mainly due
to strong orders from TriQuint Semiconductor, the WCDMA power amplifier
(PA) supplier for Apple's iPhone 3GS.

VPEC's second-quarter revenues totaled NT$411 million, representing a
significant increase of 95% on quarter.

TriQuint has also received orders from Samsung Electronics, LG Electronics
(LGE), Nokia and Sony Ericsson, helping to boost VPEC's revenues,
according to market watchers.

Fellow company Advanced Wireless Semiconductor Company (AWSC) saw June
revenues grow slightly to NT$67.67 million. The company is expected to
expand shipments in the second half as its major customer Skyworks
recently cut into Nokia's supply chain.

AWSC plans to complete capacity expansion at its 6-inch plant for an
increase of 200 wafers per week by the end of 2009, the sources added

Jul 14 09:03 AM

[Perry B:]

What about AIG trading at $14.63 which after the reverse 20-1 split meant the stock is in reality worth less than .60 cents per share. Wouldnt this be considered a junk stock if it were not protected by " to big to fail " rules arbitrarily set forth by their bigger brothers, greed and corruption. In our state and federal legislative branch of Government? Along with a very blind SEC? AIG has been steadlily liquidating its assets and replacing them with worthless paper. This last move ( reverse split ) shows a conspiricy to bilk investors and to fraud pension funds; In my opinion.

Jul 14 03:20 PM