MV Weather Report: Mild Day for S&P
Rain or shine, we review the day's biggest stock stories.
Today was a quiet day as the bond market and major banks were closed to observe the Columbus Day holiday.
They should have closed the stock market as well because the S&P 500 did absolutely nothing. The popular index traded in an eight point range between 1071 and 1079 before closing the day higher by 0.44% to 1076.
There wasn't a lot of action in individual stocks for the day. Banks were strong led by Wells Fargo (WFC), which was up 3.66%. In tech land Google (GOOG) was up by 1.51% while Baidu (BIDU) was off by 3.18% and Amazon (AMZN) was down 2.20%.
Today on the Buzz and Banter, Professor Kevin Depew gave his thoughts on the action.
"It is a quiet trading day, to be sure. On the S&P 500 we are slowly edging out of no man's land. We had been right in the middle of the monthly range (~1020 - ~1110 or so).
"But something I've been watching is the PHLX Bank Index (BKX). There are unfulfilled TD Propulsion Exhaustion targets over head - 51.04 on the monthly, 50.94 on the weekly. It appears the TDST Up level on the weekly chart will also be broken in a qualified manner today, as well.
"On the monthly chart, like most stocks and the major indexes, we are only on bar 6 of a potential 9 sell setup. The one thing we know that must occur for that setup to complete is that the high of bar 8 or 9 (Dec. or January of we continue to close higher each month than the bar four price bars earlier) must exceed October and November's high. Food for thought."
As for tomorrow's trading, traders will be watching for Johnson & Johnson (JNJ) earnings before the bell and then Intel (INTC) after the close. Other than that, the action should be uneventful as there's no economic reports and most traders will be positioning themselves for bank earnings during the later part of the week.
Have a great night!
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