Even though the market gave up a lot of the early gains that came on low participation from investors we are raising the support/resistance levels on the DJIA (DIA) (12,480/12,570) and S&P 500 (SPY) (1,316/1,331)...The support/resistance levels on the Nasdaq Composite (QQQ) (2,782/2,799) is the same...The Semiconductor Index (SOX) underperformed the indexes and was down 0.3%-the Semi ETF SMH was down 0.7% on average volume-Semis are usually a good stock market direction and economic indicator as many of the things we use in our everyday lives require their components...The Volatility Index (VIX) held its ground and held above its 21 and 200 day moving averages as it finished slightly positive up 0.2%...Most sectors finished higher but like the indices gave up a most of their early gains as there was no clear indication investors were participating strongly in bidding stock prices higher...The stocks in the focus list outperformed the overall general market with average gains of 1.8% on 10% higher volume led by ZAGG Inc. (ZAGG) which gained 7.9% on heavy volume...Bonds (TLT) actually reversed course and turned early losses into a gain of 0.3% on heavier volume...The US Dollar (UUP) was down 1.1% on average volume and it closed the gap up we mentioned it created in Monday's session at $21.48 trading as low as $21.40 and closing at $21.47 in today's session...Silver (SLV) had a major move up 5.8% but its volume was below average-lot's of investors were cheering SLV today but the up move didn't appear to have the backing of the big players...Gold (GLD) continued its advance and rose 0.9% on heavy trade as it continues to make new highs-GLD is moving significantly above its moving average so a consolidation wouldn't be surprise at this point...Oil (USO) rose 1.1% on very low volume as it is trying to approach the intersection between its 50 and 200 day moving averages...After last Thursday's market close we mentioned focus list stock Zagg Inc. (symbol: ZAGG) appeared to put in a bullish reversal-today it is up 5.5% to $13.88 (off its high of $14.22) on heavy volume...ZAGG was at $12.83 when we mentioned it...So far today we are getting the exact opposite we have seen in the prior three sessions-stocks are off to a strong session with the DJIA, S&P 500, and Nasdaq Composite up at least 1.3% on news that the FED is preparing to do QE3...Bonds (symbol: TLT) and the US Dollar (symbol: UUP) are lower...As we mentioned a few days ago UUP created a gap in Monday's session between $21.48 and $21.62 by gapping up at the open-well today it has closed the gap and is currently trading right at $21.48. 

Source: www.dailystockmarketforecast.com/

No positions in securities mentioned.

The Semiconductor Index (SOX) fared the worst in today's session with a decline of 2.9% and the Semiconductor Holders (SMH) ETF was down 3.1% on heavy volume-the SOX and SMH gapped down and have gaps between 402.66/405.48 and $33.64/$34.03, respectively-we are keeping our eyes on these levels as gap usually get filled in the near term...We are lowering the support/resistance levels on the DJIA (DIA) (12,427/12,480), S&P 500 (SPY) (1,306/1,315), and Nasdaq Composite (QQQ) (2,782/2,799)...The S&P 500 closed one point below its 50 day moving of 1,315 to 1,314...The DJIA and Nasdaq Composite remain 78 and 21 points above their respective 50 day moving averages...The Volatility Index (VIX) rose another 8% indicating volatility and fear are growing in the market...The focus list stocks were down 0.1% on 8% higher volume and outperformed the S&P 500 which finished down 0.4% on increased participation from investors...Focus List stock Rubicon Technology Inc (RBCN) which opened strong in yesterday's session and made an attempt to recapture its 21 day moving average was down 0.7% on heavy volume...Zagg Inc. (ZAGG) continued to act well based on the current stock market direction as it was up 4.3% on slightly higher volume but it was unable to close above its 21 day moving average...Most sectors finished lower on low volume with only Industrials (XLI) down 1.0% on heavy volume...Bonds (TLT) were higher by 0.3% on slightly higher volume with stocks down...The US Dollar (UUP) finished down slightly on below average volume after gapping up and finishing higher in yesterday's session...Silver (SLV) was up 0.9% and is slightly below its 50 day moving average-volume has continued to be very low in SLV...Gold (GLD) continued its recent uptrend and made a new high rising 0.8% on heavy volume...Oil (USO) with the stock market down today went against the overall trend and finished higher 1.7% on below average and regained its 21 day moving average-USO remains below its 50 and 200 day moving averages...DJIA (12,480) and S&P 500 (1,316) holding their support levels late in today's session...Nasdaq Composite (2,800) did briefly get above 2,800 but has since fallen back below it...Oil (symbol: USO) is up 1.8% and looks to be finding support at its 21 day moving average albeit on very low volume...Zagg Inc. (symbol: ZAGG) up 4.1% above resistance level of $12.85 and is trying to move above its 21 day moving average-volume is slightly below average...The Semiconductor Index (SOX) is down 2.4% and the Semiconductor Holders (symbol: SMH) ETF is down 2.6% on heavy volume...The SOX gapped down at the open and created a gap between 402.66 and 405.48...SMH gapped down as well and has a gap between $33.64 and $34.03...Gaps normally get filled in the near future...S&P 500 is holding its support level which is its 50 day moving average at 1,316...Nasdaq Composite is trading below its support level of 2,800...Investor fear has expanded for the third session in a row with the Volatility Index (VIX) up 5.9% (was up as much as 8.6% earlier in the session).

Source: www.dailystockmarketforecast.com/

No positions in securities mentioned.

We are lowering the support/resistance levels on the DJIA (DIA) (12,480/12,570), S&P 500 (SPY) (1,316/1,331), and Nasdaq Composite (QQQ) (2,800/2,815)...The S&P 500 slightly went below its 50-day moving average of 1,316.44 to 1,316.42 and closed above it at 1,319.49...The DJIA and Nasdaq Composite are 130 and 40 points above their respective 50 day moving averages...The selloff was not unexpected with the Volatility Index (VIX) coming into to today's session (and as we mentioned last week) indicating the market has been in a low volatility/high complacency status...All sectors finished lower with financials (XLF) declining the most at 2.7% on slightly higher volume...The stock focus list lagged the overall market in terms of price action down 2.2% on slightly below average volume with the S&P 500 down 1.8% with sellers controlling the action...Focus list stock Zagg Inc. (ZAGG) held in there relatively well holding its support level at $12.55 with resistance at around $12.85...Remember our focus list are not recommendations but are a list of stocks with strong fundamentals to watch in helping determine how the stock market direction is performing...Bonds (TLT) were 1.5% higher but with the stock market selling off the action in TLT did not suggest investors were moving their money to Bonds because volume came in at average levels...The US Dollar (UUP) gapped up at the open and finished higher by 1.4% on below average volume-gap up between $21.48 and $21.62...Silver (SLV) declined more than the overall market down 2.4% on very low volume and seems to be finding resistance at its 50 day moving average but for remains above its 21 and 200 day moving averages...Gold (GLD) finished higher by 0.9% on moderately higher volume and put more distance above its moving averages...Oil (USO) declined 1.4% on volume materially below average and closed slightly below its 21 day moving average-USO is now below all its moving averages (21, 50, 200)...The Volatility Index (VIX) is now up 18.2% and above all its moving averages (21, 50, 200)-last week we mentioned that the market was in a period of low volatility and high complacency-today the market is working off some of this as volatility has increased and investor fear has picked up...VXX the Volatility Index ETF is up 8.1% on heavy volume today...Bonds (symbol: TLT) is up over 1% for the second straight session however volume is significantly below average...The stocks in the focus list are down an average of 1.8% on 25% higher volume-lagging the S&P 500 which is down 1.5%...The US Dollar (symbol: UUP) is up 1.3% but volume is moderately below average and UUP gapped up at the open and now has an open gap between $21.48 and $21.62-gaps usually get filled in the near future...The S&P 500 might be headed for a test of its 50 day moving average in the 1,317 area...Investor fear and volatility looks to be back with the Volatility Index (VIX) up 12% this morning and back above its 50 day moving average.

Source: www.dailystockmarketforecast.com/

No positions in securities mentioned.

Stocks had somewhat of a comeback and avoided a disaster after the jobs report disappointed...The Nasdaq Composite finished nears its highs for the day and the S&P 500 finished near the middle of its intra-day trading range...Even so based on the stock market direction we are are lowering the support/resistance levels on the S&P 500 (SPY) (1,343/1,345) and Nasdaq Composite (QQQ) (2,835/2,873)...The support/resistance levels are the same on the DJIA (DIA) (12,605/12,760)...From the focus list Zagg Inc. (ZAGG) was the only stock that traded on material volume-ZAGG finished down 0.9% but closed closer to its highs for the trading session and higher than its opening price...All nine sectors declined BUT all of them finished at or near their session highs-market had a nice price rally in the last hour of trading-no sector moved on any kind of material volume...Bond related securities were the only ETFs that we follow that rose today on above average volume...Bonds (TLT) rose 1.4% on moderately higher volume and regained its 50 day moving average but created a gap up between $94.50 and $94.83...Inflation Protected Securities (TIP) increased close to 0.5% on heavy volume and made a new high-it also created a gap between $110.55 and $110.78...Very often when gaps are created securities come back down (on gap ups) or up (on gap downs) in the near term...The US Dollar (UUP) was up a small 0.2% on very low volume and held its 21 and 50 day moving averages for the third straight session...Silver (SLV) up 0.7% today and continuous to trade on very low volume as it continous to be in a basing pattern since late May after a violent selloff-SLV closed right below its 50 day moving average...Gold (GLD) gained 0.7% on volume moderately above average and closed the gap down it had in June trading up as high as $150.50 in today's session-GLD remains above all its moving averages (21, 50, and 200)...Oil (USO) declined 2.1% on very low volume but stayed above its 21 day moving average...Scanning the stocks/ETFs/sectors we like to follow only TIP is trading on heavy volume and at a new high...Volume is drying up as the day has whore from already low levels...After closing its gap up from yesterday at 2,839 the Nasdaq Composite has fallen as low as 2,831 intra-day today and has rallied from there now to around 2,851 down 0.7%-not bad considering the bad jobs report announced this morning for June...As we mentioned a few days ago Gold (symbol: GLD) had a gap down in its chart that it yet to close-today GLD has closed the gap down level trading as high as $150.55...Treasury Inflation Protection Securities (symbol: TIP) is making a new high on heavy volume today...Bonds (symbol: TLT) are up so far are trending higher on heavier volume by 1.2% and is trying to reclaim its 50 day moving average...As we mentioned in yesterday's post the opening the Nasdaq Composite had yesterday created a gap up between 2,839 and 2,854...As of right now the Nasdaq has closed the gap and is trading right at 2,839...Let's see where things go from here.

Source: www.dailystockmarketforecast.com/

No positions in securities mentioned.

The action today has increased the support/resistance levels on the S&P 500 (SPY) (1,345/1,357)/Nasdaq Composite (QQQ) (2,872/2,874) but has the levels the same on the DJIA (DIA) (12,605/12,760)...Each of the three indexes was up at least 0.7%...A few interesting things to note underneath the hood of the stock market direction from a sector perspective today-defensive sector Utilities traded the most volume above average out of any of the sectors and the best gains were by the Financials (XLF) up 1.6% but its volume came in the most below average...9 out of 10 stocks in the focus list gained an average of 1.2% a little better than the 1.1% gain for the S&P 500 today...Volume was 22% above average for the stocks in the focus list led by Zaag Inc. (ZAGG) and Veeco Instrument Inc. (VECO) as these two stocks gained an average of 1.9% on volume 171% above average...In particular ZAAG looked to put in a bullish reversal today and closed at $12.83 slightly below its 21 day moving average at $12.90...Oil (USO) finished up about 2.2% and regained its 200 day moving average on volume moderately below average...Gold (GLD) was up slightly on volume way below average...Silver (SLV) was 1.2% higher on very quiet volume...On days when stocks finish strong the US Dollar (UUP) usually has a weak day-today was not the case as UUP was only down 0.2% on light volume and finished right at its 50 day moving average...Some money came out of bonds today and moved into stocks as TLT declined 0.3% on moderately lower volume...US Dollar (symbol: UUP) is performing rather well considering the move in stocks today hanging around its 21 day and 50 day moving averages area...UUP did create a small gap up in yesterday's session down to $21.31...If the market was to close here the Nasdaq Composite is at a new high on a closing basis...Keep your eye on the Semiconductor Index (SOX) here as it is getting close to testing its 50 day moving average...All of the major indices are now well above their moving averages (21, 50, 200) while the SOX is still below the 50 day moving average and since the market began rallying in mid-June the SOX has lagged the overall Nasdaq...Interesting right now how Utilities (XLU) considered a defensive area is the one sector trending on heavy volume...On a closing basis the Nasdaq is within 7 points (was within 4 earlier in the session) to its April high and the S&P 500 is further away from its April high within 14 points...Today's strong opening action with the market cheering the ADP jobs report created a gap up in the Nasdaq Composite between yesterday's high of 2,839 and today's low of 2,854-something to keep any eye because most times markets will come back and at least fill the gap in the near future.

Source: www.dailystockmarketforecast.com/

No positions in securities mentioned.

The support/resistance levels are the same for the S&P 500 (SPY) (1,336/1,340) and Nasdaq Composite (QQQ) (2,823/2,834) and higher for the DJIA (DIA) (12,605/12,760)...The market might be waiting for the jobs report on Friday and for earnings season (which starts next week) before making any kind of material move...The major indexes rose moderately between 0.1% and 0.5% and the environment remains one of low volatility/high complacency...The gains in technology were hurt by the weak action in the Semiconductor industry (down 0.8%) for the second day in a row ...The action in the two focus list stocks (ZAGG and VECO-part of Semi area) we mentioned earlier worsened by the close with both of them finishing down at least 7.2%...No sector really shined today in terms of price and volume action combined...Gold (GLD) gave up alot of its early gains and finished near the lower end of its intra-day trading range-volume dried up as well and was actually below average...Silver (SLV) did the best today with a 1.4% gain but its volume came in the most below average out of the ETFs we follow...Oil (USO) was down slighlty on volume significantly below average...Bonds (TLT) rose 0.5% and moved a little further above its 200 day moving average...S&P 500 (1,336/1,340) and Nasdaq Composite (2,823/2,834) holding above support but below resistance levels with today's session almost over...The two stocks from the focus list trading on heavy volume today are down at least 5.2% each-ZAGG has given up its gains from yesterday but is holding above its 21 day moving average-VECO fell below its 200 day moving average-remember the focus list is not a stock recommendation list but a tool we use to help us get a feel for what the stock market direction is doing...S&P 500 (1,340) trading right at resistance level and Nasdaq Composite (2,834) one point above resistance point 2,835...So far Gold (symbol: GLD) is rallying today up close to 1.2% on heavy volume and has an open gap up to the $150.50 area...DJIA (12,570/12,583), S&P 500 (1,336/1,340), and Nasdaq Composite (2,823/2,834) below resistance levels as market is down in early trading led by Semiconductor Index down 1.3%.

Source: www.dailystockmarketforecast.com/

No positions in securities mentioned.