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Stock Market Direction For Monday, September 19, 2011

|Includes: QQQ, SMH, SPDR S&P 500 Trust ETF (SPY)

Stock market direction is neutral and has been active 6 trading sessions.

Comments: major indexes finished lower but way off their session lows. The S&P 500 and Nasdaq Composite were down at least 0.4% but were lower 2% plus at their session lows.  The S&P 500 support and resistance levels remain the same for the second straight session at 1,204 and 1,217, respectively.  However, the Nasdaq Composite action today was enough to lower the support level from 2,616 to 2,602 (50 day moving average) and resistance level from 2,627 to 2,616.  The trade in the stocks I follow outperformed the major indexes as they finished with gains close to 2% but volume was average.  As a result, the stock market direction remains in neutral territory.