Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

StreetOne Technical Analysis, LLC Market Summary 8/03/2011

                                                     StreetOne Technical Analysis, LLC
                                                                                   D.Chojnacki
 
Market Summary-08/03/2011
A weak open, grew to a steady decline throughout the session.  Accelerated selling in the last hour pushed the indices below key technical levels to significant losses. The DJIA is now down for 8 straight sessions and the S&P losing 7 straight.  At the close, the DJIA lost 2.1%, the S&P losing 2.5%, and the Nasdaq100 dropping 2.6%. Breadth was decidedly negative, 3.4 to 1, on above average volume.  The DJIA and S&P, dropped thru or are near, to long term technical support and the primary up-trend for 2 ½ years is now in jeopardy. The S&P broke below the longer trend line and it crossed below the neck line of a head and shoulders pattern.  RSI’s for the DJIA and the S&P are near over-sold conditions.  The Nasdaq100 broke short term support, but longer term technicals are still intact. The DJIA broke below its 200D-SMA and June low and now looks to March low of 11613 for support.  The S&P also broke its 200D-SMA and closed just below its June and March lows. Near term support is now at 1250 and 1237. There should be pretty good short term support at 1225 level.  The Nasdaq100 dropped below its 50D-SMA and 50% retracement to reverse its short term bias to the downside.  Important near term support is now 2277.   The VIX moved up to 24.79, keeping volatility on the high side.    
 
Trading Trends
Long term, the upside bias for the DJIA and S&P is now coming into jeopardy.  Long term technicals need to be closely watched for a possible breakdown of primary trend.  Short term, technicals are weak now for all three major indices. Near term, technicals are extremely weak, but a growing oversold condition particularly in the DJIA and S&P may lead to a near term bounce.  Expect near term volatility to continue as the VIX lingers in the mid-20’s.  Employment report at the end of the week should be a Market mover.   Future’s at (8:00am) are slightly higher versus fair value. The Euro debt crisis, and the U.S. debt situation are the top Market movers.
 
Major Economic Reports Today:
ADP Employment Change-8:15am   Factory Orders-10:00am   ISM Services-10:00am                            Crude Inv.-10:30am                                                                                                                                                                     
 
                                                                                                                                                                  
                                                                                                                                                                 
MAJOR INDICESShort term support and resistance level
DJIA
close 11866
SP500
close 1254
N100
close 2292
11823
11897
1250
1257
2288
2300
11734
11987
1237
1265
2277
2303
11613
12000
1225
1272
2275
2304
11500
12020
1212
1275
2262
2312
11435
12070
1200
1286
2250
2316
 
12125
1175
 1288
2239
 2323
 
12210
 
 1295
2225
 2325
 
 
 
 1300
 
 2329
 
 
 
 1302
 
 2340
 
 
Trade Ideas
None today.
 
DISCLAIMER LANGUAGE
ALL PRICES NOTED IN THIS PUBLICATION ARE AS OF THE CLOSE ON TRADING PRIOR TO TODAY’S DATE, UNLESS OTHERWISE INDICATED
This publication is neither an offer to sell nor a solicitation to buy any securities mentioned herein. The information contained herein is based on data obtained from recognized sources that are believed to be reliable. Street One Financial LLC (S1F) have not independently verified the facts, assumptions and estimates contained in this publication. Accordingly, no representation or warranty, expressed or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information and opinions contained in this publication. The information contained in this publication is not and does not purport to be a complete analysis of every material fact respecting any company, industry, ETF or other security. Additional information concerning this publication may be available on request, if available. Many of the securities mentioned in this publication involve a higher degree of risk and more volatility than the securities of more established securities. For these and other reasons, the investments discussed in this publication may be unsuitable for investors depending on their specific investment objectives and financial position. Each investor should complete his or her own additional investigation and assessment prior to making investments in any securities. Transactions in securities mentioned herein may be effected only in those states where such securities are qualified for sale. Street One Technical Analysis LLC is an independently owned Company from Street One Financial LLC (S1F). S1F is an independent Company specializing in ETF’s, equities, and options. S1F specializes in agency ETF/ETP, equities, and options trade execution. On the ETF/ETP end, S1F may work with the ETF issuers to understand their products more thoroughly and how they can complement an investor's portfolio