Best of the Week
Most Popular
1. Trumponomics Stock Market 2018 - The Manchurian President (1/2) - Nadeem_Walayat
2.Yield Curve Inversion a Remarkably Accurate Warning Indicator For Economic & Market Peril - Dan_Amerman
3.China is Now Officially at War With the US and Japan - Graham_Summers
4.Markets Pay Attention Moment - China’s Bubble Economy Ripe for Bursting - 16th Jul 18 - Plunger
5.Stock Market Longer-Term Charts Show Incredible Potential - Chris_Vermeulen
6.U.S. Stock Market Cycles Update - Jim_Curry
7.Another Stock Market Drop Next Week? - Brad_Gudgeon
8.The Death of the US Real Estate Dream - Harry_Dent
9.Gold Market Signal vs. Noise - Jordan_Roy_Byrne
10.The Fonzie–Ponzi Theory of Government Debt: An Update - F_F_Wiley
Last 7 days
Moving Averages Help You Define Market Trend – Here’s How - 14th Aug 18
It's Time for A New Economic Strategy in Turkey - 14th Aug 18
Gold Price to Plunge Below $1000 - Key Factors for Gold & Silver Investors - 14th Aug 18
Dow Stock Market Trend Forecast 2018 - Video - 13th Aug 18
Stock Market Downtrend to Continue? - 13th Aug 18
More Signs That the Stock Market Will Rally Until 2019 - 13th Aug 18
New Stock Market Correction Underway - 13th Aug 18
Talk Cold Turkey Economic Crisis - 13th Aug 18
Which UK Best Theme Park - Alton Towers vs Thorpe Park vs Lego Land vs Chessington World - 12th Aug 18
USD is Rising. What this Means for Currencies and Stocks - 12th Aug 18
Hardest US Housing Market Places to Live - Look Out Middle Class - 12th Aug 18
America’s Suburbs Are Making a Comeback - 12th Aug 18
Stock Market US Presidential Cycle, Seasonal Analysis and Economy - Video - 12th Aug 18
Yield Curve Inversion and the Stock Market - Video - 11th Aug 18
Land Rover Discovery Sport 1st Dealer Oil Change Service - What to Expect - 11th Aug 18
How to Setup Webinars and Use Them to Overcome the Barriers in E-Learning - 11th Aug 18
Big US Stocks’ Q2’18 Fundamentals - 11th Aug 18
Dow Stock Market Trend Forecast 2018 - 10th Aug 18
SPX Testing Its First Support Level - 10th Aug 18
Dreaming of a "Comfortable Retirement" on a Public Pension? - 10th Aug 18
The Forrest Gump of All Future Democrat Election Losses - 10th Aug 18
More Uncertainty as Stocks Got Closer to January Record High - 10th Aug 18
Gold and Silver Kill Zone - 9th Aug 18
Even More Cracks in the Gold Dam - 9th Aug 18
Ignore the Stock Market “midterm election year”, Which is “supposed” to be Weak - 9th Aug 18
Stock Market Trend and Volatility Analysis - Video - 9th Aug 18
Tips on Maximizing Small Serviced Offices Space - 9th Aug 18
VIX’s Collapse is Bullish for VIX and the Stock Market - 9th Aug 18
Vestles Platform Offers Several Key Trading Tools - 8th Aug 18
US Stock Markets Higher Until November 2018 - Part 2 - 8th Aug 18
US Stock Markets Higher Until November 2018 - Part 1 - 8th Aug 18
Stock Market US Presidential Cycle and Seasonal Analysis - 8th Aug 18
Is the Stock Market Correction Over? - 7th Aug 18
Yield Curve Inversion and the Stock Market - 7th Aug 18
Stock Market Elliott Wave Analysis and Forecast - Video - 7th Aug 18
Trade War! Win the Economic Hostilities Against the Chinese - 7th Aug 18
Technical Analyst Sees Silver as 'Oversold' - 7th Aug 18
Alex Jones Banned! Will Unapproved Opinions Be Censored Off the Internet? - 7th Aug 18
Gold and Silver Stocks On the Verge of the Next Major Decline - 7th Aug 18
First Time Buyers Need to ‘boost the affordability’ of Their Move Alone  - 7th Aug 18
Long Term Care Homes as an Investment are Heating Up! - 7th Aug 18
The Exponential Inflationary Stocks Bull Market - Video - 6th Aug 18
Land Rover Discovery Sport Oil Change Service Dash Warning Message - 6th Aug 18
Restructuring of Western Economic Power - 6th Aug 18
Stock Market Trend and Volatility Analysis - 6th Aug 18
Stock Market and Economy False Narratives That are Just Wrong - 6th Aug 18
VPN – Is It Worth It? - 6th Aug 18
All You Need to Know About Umbrella Companies - 6th Aug 18
Why China Lost the Trade War Before it Even Began - SSEC Stocks Index - Video - 5th Aug 18
Dow Stock Market Elliott Wave Analysis - 5th Aug 18
Iran's Rial Currency Is In A Death Spiral, Again - 5th Aug 18
IMF Produces Another Bogus Venezuela Inflation Forecast - 5th Aug 18
Gold & Silver Precious Metals Monthly Charts - 5th Aug 18
Time to Position for a Decade-Long Bull Market in Natural Resources - 5th Aug 18

Market Oracle FREE Newsletter

Trading Any Market

Stock Market Indices Hold Support and Continue Rally

Stock-Markets / Stock Index Trading May 07, 2009 - 04:16 AM GMT

By: Harry_Boxer


The stock market indices snapped back today and closed with solid gains after a very steep morning sell-off. They came back with a vengeance in a 3-wave rally that saw them reach new highs on the S&P 500 at 920 with about an hour to go. At that point the Nasdaq 100 failed to reach its highs and they sold off, but held the intraday trendlines and snapped back in the last 10-15 minutes to closer higher.

Net on the day the Dow was up 101.63 to 8512.28, and the S&P 500 up 15.73 at 919.73, closing less than a point off its high. The Nasdaq 100 was up just 0.04 at 1423.85, getting back into the plus column after being down almost all day. That was about 22 points off its low. The Philadelphia Semiconductor Index (SOXX) was up 1.91 to 270.61.

The technicals were positive by about 22 to 9 on advance-declines on New York and by just 334 issues on Nasdaq. Up/down volume was 3 to 1 positive on New York on total volume of 1.85 billion. Nasdaq traded a hefty 2.85 billion and had a 9 to 5 positive volume ratio. board was mixed. On the plus side, financials were very strong, with Goldman Sachs (GS) up 4.02 to 139.22 and Wells Fargo (WFC) soaring 3.62 to 26.84 on 255 million shares. Hartford Financial Services (HIG) was up 2.29 to 15.07, JP Morgan (JPM) up 2.40 to 37.22, Morgan Stanley (MS) up 1.30 to 28.51, and Bank of America (BAC) up 1.85 to 12.69.

As a result, the Direxion Financial Bull 3x Shares (FAS) had a stellar day, up 1.86 to 11.43 on 360 million shares. The iShares MSCI Brazil Index ETF (EWZ) was up 1.32 to 50.56, and the U.S. Oil Fund ETF (USO) had a strong session on rising oil, up 1.28 to 31.43. The low priced DXO double long was up 23 to 3.29.

DryShips (DRYS) gained nearly a dollar today, up 97 cents to 10.70, and Excel Maritime (EXM) was up 60 cents to 9.15 in a strong shipping sector. Research in Motion (RIMM) gained 1.67 to 77.07.

On the downside, ultrashorts got smashed, with the UltraShort Financial ProShares (SKF) down 6.19 to 43, the UltraShort Real Estate ProShares (SRS) down 1.54 to 20.82, and the Direxion Financial Bear 3x Shares (FAZ) losing 1.30 to 5.24 on 470 million shares, the heaviest volume in its history.

Stepping back and reviewing the hourly chart patterns, the indices were down and up in the morning, and then back down and up in the afternoon, rather volatile today, but closed with positive gains, continuing the rally and continuing to hold support despite the early sell-off. So the rally moves on. Although the market continues to look overbought and long in the tooth, the mini consolidations that it has been undergoing every couple sessions are alleviating some of the overbought conditions, and as a result the indices are able to still move higher. But I'm still anticipating a high in this timeframe.


For more of Harry Boxer, sign up for a FREE 15-Day Trial to his Real-Time Technical Trading Diary. Or sign up for a Free 30-Day Trial to his Top Charts of the Week service.

(c) 2009 AdviceTrade, Inc. All rights reserved. Distributed only by written permission of AdviceTrade and The Technical Trader at . In using any portion of Harry Boxer's content, you agree to the terms and conditions governing the use of the service as described in our disclaimer at

Mr. Boxer's commentaries and index analysis represent his own opinions and should not be relied upon for purposes of effecting securities transactions or other investing strategies, nor should they be construed as an offer or solicitation of an offer to sell or buy any security. You should not interpret Mr. Boxer's opinions as constituting investment advice. Trades mentioned on the site are hypothetical, not actual, positions.

Harry Boxer Archive

© 2005-2018 - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.

Post Comment

Only logged in users are allowed to post comments. Register/ Log in

6 Critical Money Making Rules