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BTDStocks.com Thursday, January 27, 2011 End-of-Day Update

|Includes: SPDR Dow Jones Industrial Average ETF (DIA), EUO, FDO, PSQ, QQQ, RWM, SH, SPY, UUP

The major indexes had mixed results today as the Nasdaq Composite (QQQQ) led with a 0.6% gain while the S&P 500 (NYSEARCA:SPY) closed right at 1,300 and the DJIA (NYSEARCA:DIA) was flat unable to close above the 12,000 level.  Participation from investors was ok but underneath the hood market internals are showing signs that the stock market needs a break.  We are seeing less stocks advancing and making new highs than we saw when the market was materially lower earlier in the recent advance.  However, staying with the current stock market direction trend we are raising the support levels for the DJIA, S&P 500, and Nasdaq Composite (see below).  We are keeping the resistance levels for the DJIA and Nasdaq Composite the same and raising it on the S&P 500 a few points.  The prudent approach remains not opening new positions in stocks, protect profits, and keep losses small.  If you need to own stocks, please see our open watch list below. In our watch list and based on our intra-day alert today we added additional positions in the ProShares Short S&P Fund (NYSEARCA:SH) and ProShares Short QQQ Fund (NYSEARCA:PSQ) at $42.38 and $32.91, respectively. 

No positions in securities mentioned.