Jan 16 Stock Scan and Reversal Market Update

Jan 16, 2015: 3:22 PM CST

After yesterday’s Swiss Franc surprise (see the “Aftermath Update” post from this morning), the US S&P not only stabilized but is showing signs of a bullish short-term reversal.

We’ll start our update and stock scan with our S&P 500 level chart:

Mainly, we’re focusing our attention right now on the 2,010 level for a possible breakout and bullish surge through “Open Air” toward 2,020 or 2,027.

For now, focus your attention on the 2,005 to 2,010 neutral zone with the bull/bear levels in play.

Note the lengthy positive momentum and TICK (internal) divergence, suggesting a possible rally.

What is Sector Breadth revealing about today’s session? Let’s discover together:

All sectors are bullish today with Energy (along with Technology and Health Care) showing relative strength today.

When all sectors are strong – or weak – there’s not much we can do except see this as a sign of strength.

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

Altisource (ASPS), BP, Activision (ATVI), and Sanofi Aventis (SNY).

Potential downtrending candidates exist in stocks showing relative weakness today:

Vornado (VNO), Myriad (MYGN), Caterpillar (CAT), and Align Tech (ALGN).

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Corey Rosenbloom, CMT
Afraid to Trade.com

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1 Comment

One Response to “Jan 16 Stock Scan and Reversal Market Update”

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