June 27, 2007 Market Recap

The DJIA had a bump today, but it was still below the high of yesterday. It still appears to be tracing out a double top. Tomorrow with the Fed report will show which way the market is going to go. The stochs are oversold and a cross over occurred. We will see if that holds true and if it goes up.
The S&P also had a good bounce today. Notice that the low was well below the June low. It will be interesting to see if it can continue to gain.
The Nasdaq is still leading the way. If the Nasdaq goes above the June high on June 19th, we will need to reset the trendline.
The last one is the Russell 2000. It had a very good day. Tech stocks were very hot today, which shows by the markets. Russell very high, then Nasdaq, then S&P with the high capitalization stocks doing the worst.
Signals for today
Signals for LLV:
Buy: CRL, CRY, CSC, JKHY, KSS, TTEC, SGP
Sell: WAG, Q

Signals for KST:
Buy: None
Sell: AW, BEAV, CSCO, MLM, MTW, XRX

Signals for Channel Breakout - Pull Back system
Buy: A, RIMM, BUCY, CTB, EMC, GIL, JEC, MDR, MTN, XRX

June 26, 2007 Market Recap

Once again the bulls and bears struggled. The concern for the dow is the June 8 low on 13207. If that is broken the bears will definately be winning. The stochs are in the oversold region. It appears that a double top has formed, and the entire market is heading down. Once it breaks 13,200 it will be confirmed. It should hit significant support around 12,850. That was the February 20th high as well as the 50% retracement from the March 14th low to the June 1st high.

The S&P is showing very similar trends. If it breaks 1,487, we can expect it to go to the support level again at 1,460. Once again it is the February High and the 50% retracement from the dates above. The stochs are once again in the oversold range.



The Nasdaq looks similar but I will say it is only going to go to the 3/8 retracement at 2,520. The Nasdaq appears to be doing slightly better than the Dow or S&P which may mean the very broad market is on its way up. It is also interesting to note that the most recent high and the June 8th low and the low today was right at the 5/8ths retracement level. It also followed the trendline very well, so we could be getting a bump tomorrow.



For the Russell 2000, it looks like if it does break lower, it could drop to around 795. There is significant support there. It is also the 5/8th retracement zone of our March to June swing, It is right at the 50% line for the February to March Drop, and the 7/8th spot for the July to January gain. I am anticipating significant resistance at 795. I guess time will tell.



For the Buy and Sell signals for the Day
LLV
Buy: TTEC, SGP, AET

Channel Pullback
Buy:A, RIMM, EMC, MDR, MTN

June 25, 2007 Market Recap

The Bulls and the Bears in the DOW were struggling today. Notice the large range yet the open and close were very close to each other. The low is still not lower than the low 12 days ago. If it breaks that it could continue to go down. The Stochastics are getting close to oversold.
The S&P also had the bulls and bears struggling. I am waiting for the low 12 days ago to be broken. Once again if the market moves up tomorrow it will confirm that the bulls and bears are struggling even more. There may be a nice rectangle forming.
The NASDAQ still has a nice trendline going up. The high 4 days ago needs to be broken for the Bulls to win. The low 12 days ago needs to be broken for the Bears to win
Once again I am waiting to see if the Russell 2000 will close below 820. If it does, the Bears are definately in control. For this time of year I would expect the Bears to be more in control.

Overall the market is down for the short term, yet the long term the market is up. The mid term is up in the air.

Potential Swing Trades:
For the High of Low Period Trading
Buy: STRA, WAT
Sell: ELY, TPX

For the KST Trading System:
Buy: No signals generated
Sell: CXW, ELY, DD, RIMM

Trend Pullback Trading System:
Buy: BUCY, MTN, PWR, RIMM
Sells are generated by stop losses. Need to evaluate where the Stop Loss should be set to.

I will describe the last system in a future post.

June 22, 2007 Recap

The DJIA is in a uptrend since March. It is now going into a consolidation phase. This next week will show which way the market is heading. If we have a market that goes up, the market will be forming a triangle, which will have to break between 13,500 and 13,700. The DOW is heading to the oversold for the Stochastics.

The same triangle is shown for the S&P 500 index. The Stochastics are also going toward oversold.
The Nasdaq made a higher high during the recent market uptern. It has not started the consolidation like the other indexes have. The Stochastics are going toward short term oversold.
The last chart shows how the Russel 2000 is also in a consolidation phase. Notice how the low 8 days ago went to the 3/8 Fibonacci retracement. If we break out of the upper triangle, It could go to 882. If the triangle is broken of the low side it could go to 796.
So how are the market trending,

	DJIA	S&P	Nasdaq	Russell 2000
Long Term	Up	Up	Up	Up
Mid Term	Up	Flat	Up	Up
Short Term	Down	Down	Down	Flat