It was a sleepy summer market today with light volume and not much volatility. Utilities, fixed income and consumer staples out performed, with materials, metals & mining and oil drillers underperforming. Unfortunately there was not much to take away from today’s performance that is just the way it is some days.


Last week I wrote about TLT and how it looks like a breakout at the $100 level. $100 was tested again today and in fact TLT closed at that 99.98 this afternoon. I will be monitoring this level closely in the coming days to see if we start to trade above it and perhaps get a selloff in equities or if TLT has a failed breakout and we get a rally in stocks. Only time will tell. The more we test this level the more important it becomes so keep an eye on it. Also don’t forget about SPY 104, at this point it is major support and needs to hold. Short term resistance for SPY is now the 20 day MA (109.14) and then up around the 150 day and 200 day MA’s (112.87 & 112.83) I know that these are wide ranges but the market is a big choppy mess right now. Flash crash not only hurt investor psychology but it made the charts a mess.

I don’t have many new alerts for tomorrow and until we break out of this range in the SPY the market is going to be choppy. We have a shot at shaking things up with some of the employment data coming out later this week so be patient.

Remember to keep all breakout and breakdown alert levels on your platform until they trigger, they do not expire.

The following ideas may be actionable tomorrow:

cmg 140.9 reversal/support buy on 50 day MA

dhr 37.61 reversal/support buy on 200 day MA

luv 11.34 reversal/support buy on 200 day MA

mcd 65.94 reversal/support buy on 150 day MA

pnra 74.79 reversal/support buy on 150 day MA

esi 86 short