Wang’s Happy Trading

This weekend, in my Market Forecast, I said, “[The market is] likely to be volatile, especially early in the week, as the market sorts things out. Since the weekly charts are much stronger than the daily charts, we’ll hold cash and see if the market bounces early in the week, and trade accordingly.” Today, we saw lots of volatility. The market opened low, and started climbing right away. It stuttered a lot throughout the day, but, was able to close at its day high!

The Dow finished up +44.95 points; SPX gained +5.7 points; and Nasdaq added +28.77 points.

Let’s see how various sectors closed:

Tech were very strong, as INX2 (Internet), SOX (semiconductors), and BTK (biotechs) all closed higher. Commodities and related sectors were weak: GDX (gold miners), OIH (oil services), XME (metals and mining), USO (oil), GLD (gold), and UNG (natural gas) all closed lower! It is good to see that XLF (financials) made it on the green side. FXI (Chinese ADRs) finished above $200 again!

SPX

SPX closed at 1506.33, up +5.70 points. It is still on its daily lower BB. It’ll need to at least get above 1520 to make me feel more comfortable.

Nasdaq

Nasdaq closed at 2753.93, adding +28.77 points for the day. It closed at its 20-day MA. The picture looks healthy. It’ll need to continue higher from here to turn the 10-day MA up again.

After the market, ZRAN, which makes integrated circuits and related products for DVD players, reported solid earnings and its 4Q views were also higher. Its shares were up more than +5% in AH trading. TXN, on the other hand, reported solid earnings as well, but, its future views did not impress the investors. Its shares were down 4% in AH. But, the news that most people really cared about came from AAPL, another much anticipated earnings report. AAPL’s result beat the estimates and its future forecast was above expectations! Its shares jumped almost +7% in AH, on top of the +2.3% gain during the day! NFLX also reported strong earnings, sending its shares flying up +14.52% in AH!!

Good night and HappyTrading! ™