Indices Spike Down Late to Close Negative

 

By Harry Boxer, The Technical Trader 

 

The stock market indices started the week off on a positive note early in the morning, particularly on the S&P 500. But when the Nasdaq 100 failed to follow-through on the new SPX highs, the indices rolled over in the morning. They did bounce midday, and then rolled them back over and retested, but at the end of the day they lost their lows and spiked down into the last half hour.


    Net on the day, the Dow was down 22.71 at 12,197.88, but that was about 75 points off its high. The S&P 500 was down 3.61 at 1310.19, 9 points off its high, and the Nasdaq 100 was down 13.26 at 2303.10, 23 points off its high.


    Advance-declines were 3 to 2 negative on the New York Stock Exchange and like amount on Nasdaq. Up/down volume was also 3 to 2 negative on New York, with total volume of just 750 million shares. Nasdaq traded about 1.6 billion shares and had about a 3 to 2 negative ratio on declining volume over advancing volume.


    However, TheTechTrader.com board had many gainers today. Leading the way today was day-trade pick Westinghouse Air Brake Technologies Corporation (WAB), up 7.16 to 66.06.


    Among other gainers of note, Cal-Maine Foods, Inc. (CALM) was up 2.15 to 29.97, and Ocean Bio-Chem Inc. (OBCI), up 1.09 to 3.24, a more than 50% gain. Marshall Edwards Inc. (MSHL) advanced 64 cents to 2.03, a 46% gain, and CryptoLogic Limited (CRYP) 58 cents to 2.16.


    In addition, Parker Drilling Co. (PKD) was up 65 cents to 6.59, and TranSwitch Corp. (TXCC) had a big day up 1.04 to 4.29, or 32%. Travelzoo Inc. (TZOO) jumped 3.81 to 64.75, VeriFone Systems, Inc. (PAY) 2.08 to 54.88, Universal Display Corp. (PANL) 2.05 to 52.36, and Molycorp, Inc. (MCP) 1.04 to 55.51.


    Solar stocks included GT Solar International, Inc. (SOLR) up 46 cents to 11.19, JA Solar Holdings Co., Ltd. (JASO) advanced 44 cents to 6.96, and Trina Solar Ltd. (TSL) 82 cents to 28.60.


    On the downside, point-plus losses included Apple Inc. (AAPL) lost 1.10 to 350.44, Amazon.com Inc. (AMZN) 1.63 to 169.35, Goldman Sachs (GS) 1.50 to 156.47, Northern Oil and Gas, Inc. (NOG) 1.10 to 26.20, and Ebix Inc. (EBIX) 2.09 to 21.39.


    Stepping back and reviewing the hourly chart patterns, the indices were up early in the morning, but then stair-stepped their way lower and closed near the session lows. It was a very negative way to start off the week, but we’ll see how it goes tomorrow if there’s any downside follow-through.


    Good Trading!


    Harry

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