It wasn’t the greatest of days; it wasn’t the worst of days; it was a “happy we finished the day without too much damage” type of day. The S&P 500 gapped higher at the open, and it didn’t take long before the Algo’s kicked into high gear and started to fill that gap. First, they filled today’s gap; then, they filled a second gap from yesterday’s open. The good news is that support at 2,884 held and that we find ourselves in the same place we finished yesterday. The bad news is that the uptrend we had been riding higher is broken.
S&P 500 (SPY)
The broken trend doesn’t seem like a “big deal” to me at this point as it was only short-term. We did rise to about 2,911 on the opening, putting us “basically” at the 2,915 I had been looking. Although, I shall admit it was not in the form in which I wanted to see us hit that level.
When looking closely at the chart, we can see what seems to be a triangle or a continuation pattern. It may be suggestings that the S&P makes a second attempt at 2,915 tomorrow with the potential to rise over it.
Russell 2000 (IWM)
The Russell appears to be reflecting a similar type of pattern, so we will have to wait now and see what happens next
Apple looks like it is in a solid position to continue to rise as well, with a rising triangle pattern. It would indicate to me that AAPLWealth Strength IndexAAPL is Extremely Flat and trending Down can increase towards $198.
JDWealth Strength IndexJD is Extremely Flat and trending Down (JDWealth Strength IndexJD is Extremely Flat and trending Down)
JDWealth Strength IndexJD is Extremely Flat and trending Down.com had a nice move higher today, and there could be further for JDWealth Strength IndexJD is Extremely Flat and trending Down to rise. I wrote up a premium article on JDWealth Strength IndexJD is Extremely Flat and trending Down on June 11. I noted that JDWealth Strength IndexJD is Extremely Flat and trending Down may be moving back towards $29.50.
Eli Lilly (LLY)
Eli Lilly’s has broken down, and I think it may be about to get worse. LLY broke support on June 11 at $114, and I think that means LLY falls to around $104. I haven’t followed this one in some time.
Facebook is trying to break its downtrend, and so far, no luck. Should FBWealth Strength IndexFB is Extremely Down and trending Down climb above the downtrend and resistance at $180, FBWealth Strength IndexFB is Extremely Down and trending Down could climb to $186.
Netflix has primarily gone nowhere since March of 2018, and I’m starting to wonder if the bull case has been fully priced in. The company has delivered strong subscriber growth results quarter after quarter. I’m just wondering why NFLXWealth Strength IndexNFLX is Extremely Down and trending Down is stuck, and that is starting to make me nervous. The RSI is trending lower still, although for the first time, it didn’t make a new low, and that could suggest the tide is about turn. But I will need to do more work on this stock.
This article first appeared on Mott Capital.
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