The market has been moving back-and-forth within a tight range, between SPX 1140 and 1200. Techs were leading the market today. After BRCM's $3.6 billion buy of NETL, there appeared to be a renewed interest in semiconductor sector, and specifically in memory chip stocks. Still, the buying interest was muted. In the afternoon, energy stocks bounced into the green and help to push the markt to close near its day high.
There were also quite a few big movers outside of the tech realm. In healthcare, VRTX was up +5.09%; HLF added +4.8%; and ILMN gained +3.85%. In consumer goods, DECK was up +4.38%; TPX climbed +4.38%; and LULU bounced +3.85%. SODA popped +8.78% after receiving a "buy" rating.
The Dow was up +44.73 points; SPX added +10.6 points; Nasdaq gained +37.06 points:
SOXX (semiconductors) was up +2.01%. XME (metals and mining) bounced +1.53%. USO (oil) climbed +1.25% XLF (financials) added +0.65%. Both GLD (gold) and SLV (silver) went up.
SPX added +10.6 points to close at 1172.87. It closed below its daily MAs. Its MACD was flat.
Nasdaq gained +37.06 points to close at 2532.15. It closed above its daily MAs. The MACD glided up.
The market is a bit "lopsided" now. Nasdaq closed above its daily MAs today, while SPX still remained below its daily MAs. Financials, energy and mining stocks have been weak, pressured by problems in Europe and the rising dollar. BRCM and NETL's merger seemed to have kept investors interest in the techs, at least for the past 2 days. We're still mostly in cash as the market can still go either way. Yesterday, it looked like the market was going to break down and test the recent lows. But, impressively, the market bounced. The market still has resistance between 1180 and 1200. On the downside, 1140 has been a sturdy support.
Good night and HappyTrading! ™