kaltbaum weekend
First…the getting smaller and smaller leaders list.
AMGN- Acting just fine.
EBAY- Needs to hold 50 day.
EXPE- Comes back on off of earnings reaction.
HD- Good reaction to hurricane.
KORS- Tries to break out Friday but market pulls it back in.
MA– Holds 50 day off earnings but now trading a little wide and loose.
N- Strong reaction to earnings.
V- Good reaction to earnings.
Just the fact that this is it for the list tells you market not in great shape. Too many names in biotech,retail and tech have broken down…but now heading into the election, there are other things to take notice. But first…keep in mind…I HAVE NO IDEA WHO WINS THE EELECTION AND FOR SURE, I HAVE NO IDEA ABOUT THE REACTION.
But we do know right now, the tape is deteriorating. There have been a lot of blow-ups…which do not happen in bull markets, there are a ton of things breaking support and now, the major averages, after spiking up Thursday, came right back down Friday leaving major indices in a suspicious position.
For starters, the NASDAQ and the NDX are sitting on the 200 day. A clear break below is a big negative. The DOW,S&P and RUSSELL all rallied up near the 50 day on Thursday and sold off pretty easily on Friday…leading them down towards the 200 day. A break below the 200 day for these indices would obviously also be a negative…and again, the fact they sold off so easily as they rallied into the 50 day is not so good. The DOW is much closer as the S&P is stronger because of the financials.
Nevertheless, I am heading into the camp that probabilities could favor that after any possible election pop, there is a tough market ahead of us. So…
KORS still acting fine. You can see on any decent action, it wants to go…but market is preventing. BAC was actually up Friday and will keep partial position. The index proxy is already not looking thrilling and due to the fact I do not play guesses, we will look to sell tomorrow before the election.
Areas still fine are financials…but not all, housing…but not all as a few now breaking down,and then some boring areas like packaging (yippee), paper and some other blah stuff. Have I thrilled you yet?