S&P 500 (SPY)
Stocks had a boring day, with the S&P 500 finishing flat, and 3,000 acting as a pretty firm level of resistance for the index. Not the greatest of signs. When looking at the chart it is beginning to look as if a bearish reversal pattern is forming, a double top, with the two peaks at 3,020. I think a drop below 2975 would confirm that pattern. But at this moment we need to wait and see how this develops over the next day or so.
The Semiconductor ETF (SMH) failed at resistance today at $120.70, which serves as another sign of weakness for the market.
I’m lost by Netflix these last few days. I’m beating myself up over this falling wedge, and not understanding how I got it wrong. I redrew the chart, now with an uptrend line in green. That’s it, if the stock doesn’t bounce here, I’m left to believe that December lows will be tested. The company won’t report results until the middle of October, so if the market is determined, the December lows could be tested easily.
Roku had an uninspiring day after the beating it has taken. I think that means lower levels are coming, below $100.
Splunk has made it back to resistance around $123, and now we find out if $140 is in the cards. Tomorrow will be telling.
AMD continues to grind lower along a downtrend. I guess like some other names we can find out tomorrow if it breaks down and heads higher, or grinds even lower.
And 20 years later Verizon may finally be in a position to challenge its 1999 highs. Verizon is once again nearing a potential rise above $61. It feels like 50th time it has been at this price only to disappoint each time. Maybe this time it continues to advance. We can dream, can’t we.
Have a good one