March 10 Midday Update and Super Stock Scan
A Triangle Breakout, a move down from resistance, and another reversal off the lows. What else can this day throw at us?!
Let’s update our levels for the S&P 500 Index and note the big trending stocks today:
The prior two sessions developed a Symmetrical Triangle pattern and price broke free of the upper boundary (a buy signal) on the opening gap above 1,990.
The market lunged higher toward the 2,000 then 2,005 (prior high) targets at which time a reversal down from the target set in motion a bearish collapse.
Ultimately price reversed off the 1,970 higher timeframe support level on positive divergences mid-day.
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Let’s see what our Breadth Chart reveals about current market strength (or weakness):
With the volatile action, Sector Money Flow is mixed.
Materials and Utilities are the strongest sectors of the day as all other sectors perform beneath the 30% Breadth line.
Here’s a top-level or full-perspective view of today’s S&P 500 stock performance (courtesy of FinViz.com).
Here are today’s strongest trending (intraday) names – candidates for pro-trend continuation:
Dollar General (DG), Westar Energy (WR), Dollar Tree (DLTR), and Resmed (RMD)
Bearish downtrending candidates include the following stocks from our “weakness” scan:
J2 Global (JCOM), Transcanada (TRP), AmeriSourceBergen (ABC), and Tyco International (TYC)
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Corey Rosenbloom, CMT
Afraid to Trade.com
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