A Second V-Spike Reversal Day and Big Stock Scan GDP Fed April 29

Apr 29, 2015: 2:32 PM CST

US GDP, a Federal Reserve (FOMC) announcement, a Dollar breakdown, Twitter’s (TWTR) breakdown, a V-Spike Intervention Reversal (like yesterday), and more.

I can’t imagine you being bored with the market, but if you were, price once again threw us an exciting curve ball in the form of a second V-Spike Intraday Reversal amidst all the headlines mentioned above.

Let’s dive inside action and note key levels and the trending stocks of the bullish day:

Tuesday and now Wednesday gave us V-Spike Intraday Reversals in the morning followed by a bullish surge.

The key pivot or focal point is the easy-reference 2,100 S&P 500 level which remains an important pivot.

Stocks still trade within a short-term range between the 2,100 and 2,115 level as buyers will not let this market go lower.

They’ve stepped in to intervene each time and thus we give the benefit of the doubt to them as they continue to boost the market against the short-sellers.

Let’s see what our Breadth Chart reveals about current market strength (or weakness):

Today’s strongest sector is Energy, boosted by the breakdown in the US Dollar Index (see this morning’s post on the Dollar and Euro).

All other sectors are weak and under the 50% Breadth level which doesn’t bode well for the market in terms of bullish money flow (you would expect to see stronger performance on today’s bullish intervention).

It’s generally a good sign that today’s weakest sectors are all three defensive names.

Be sure to reference the earlier post “What Sector Rotation is Saying so far in 2015” for background and an updated Sector Performance grid on a larger scale.

We have potential bullish trend continuation plays in the following stocks from our scan:

Salesforce.com (CRM), Mondelez (MDLZ), GoPro (GPRO), and Starwood Hotels (HOT)

Bearish downtrending candidates include the following stocks from our “weakness” scan:

Lumber Liquidators (LL), Brunswick (BC), Anheuser-Busch (BUD), and WYNN Resorts

Afraid to Trade Premium Content and Membership

Follow along with members of the Daily Commentary and Idealized Trades summaries for real-time updates and additional trade planning.

Corey Rosenbloom, CMT
Afraid to Trade.com

Follow Corey on Twitter: http://twitter.com/afraidtotrade

Corey’s book The Complete Trading Course (Wiley Finance) is now available along with the newly released Profiting from the Life Cycle of a Stock Trend presentation (also from Wiley).

1 Comment

One Response to “A Second V-Spike Reversal Day and Big Stock Scan GDP Fed April 29”

  1. Imran Says:

    I don’t think it’s possible for anyone to get bore, so you don’t need to imagine that at least not with real account or even no deposit bonus, if we are using simple demo then it’s possible. I am lucky that even my demo account is outstanding with OctaFX broker, as they have got Champion demo contest, it helps me earn 500 USD profits for the first prize and been participating there regular gives me a chance to learn so much without any fees.