Oversold bounce or fake down move from last Fri?

U.S. markets partially recovered with the IWM & SPY up .75% and the DIA and QQQQ up .5% on the final trading day of January.

Breadth improved to 21 stocks up for every 9 down on the NYSE. 132 new 50-day new highs.

Energy is the top sector performer for January. XLE up 2.87%, OIH up 2.33% to both close at 52-week highs. Individual performers include CVI, HOC, & IMO up 4.5%, DVN up 4.1%, EOG up 3.7%., and PWE up 2.7%.

Coal back in the news as MEE offered a 10% premium by ANR in cash and stock for a buyout. MEE up 9.1%, ANR down 7.3%. Other materials movers include PCX up 3.73% & WLT up 3%.

After the market closed, at 4:30pm EST, Baidu reported good earnings and improved guidance. In the regular session up 1.75 to 108, its showing up another 8.88 to 116.88.

Reversal day in the SPY, intraday new high but close below yesterday's low on heavy volume

Neither the Fed's POMO nor Amazon could save the market today. While some point to the low 3.2% growth in U.S. GDP, its more likely the bids simply disappeared for one full day.

QQQQ did the worse down 2.5%, IWM down 2.44%, and the was SPY down 1.75%.

In contrast to yesterday's action, only 46 new 50-day highs.

AMZN down 13 points to 171 after missing guidance from yesterday afternoon.

However NFLX still squeezing the short sellers up another 3.3% to 217.98, another 52-week high.

OIH close to a new high up .26% at 150.41. There's civil unrest in the nation of Egypt. It's going on six days now and there's your catalyst for higher oil prices.

Other Oil movers include CRR up 3% and COP up 1.6%.

Get some early sleep, you'll need it for the coming week.

All about NFLX, POT, and forward guidance beaters

SPX closed just below 1300 finishing at 1299.54. Breadth was 17 issues up for every 13 down. 290 new 50-day highs

QQQQ up .5% largely on NFLX's positive outlook. NFLX opened at 207 consolidated for 60 minutes before slowly moving higher closing at 210.30 +27 for the day. (High of 211 at 3:50pm)

PCLN rose 9.76 to 432.46 to lead the Nasdaq big caps.

POT rose another 5.94 after announcing a 3 for 1 stock split and positive guidance.

Aerospace & Defense led by GD up 2%, ROC up .98%.

Apparel was led by ROST up .71% to a new 52-week high.

Asset Managers led by BEN up 1.99% and TROW up 1% reflecting if the SPY is at new highs, then these two are literally coining money.

Building Materials led by RPM up 3.4% to a 52-week high at 23.86.

Health Maintenance Organizations reported earnings with a bang. UNH up 5% to a 52-week high. WLP up 2.89%, AGP up 2.25%, AET up 1.91%, CVH up 1.53%, CI up 1.16%.

Oil Service had a neutral day down .5% with oil dropping below $86 barrel. Although a few individual components stand out. CRR reported earnings rising 6% to 110.22. BHI up 1% to a new 52-week high at 66.67. EOG had a quiet 5-day consolidation before rising .95% to 103.25.

Real Estate Investment Trusts, whether rhyme or reason had the most number of components reaching 50-day highs. PSA up 3.23% to 108.52.

Semiconductors had a solid day with SPRD up 4.11% to a 52-week high of 21.01. XLN up 2.11% to 32.85.

No joy in industrial metals or gold/silver. Gold and Silver went to 20-day lows which Coal favorites WLT lost 2.11, ANR down 2.11, PCX down .73.

Channeling casy's words. Rotation, rotation, rotation. Find the next mover or become moved.

After-hours, AMZN getting killed down 15 pts from the 4pm close after being up 8 points during the regular session. Revenue missed expectations.

Tue bef State of the Union quiet, on Wed S&P touches new high

The bears were unable to push the markets lower on Tues and as the Fed announcement at 2:15pm stated the Federal Reserve would pump $600 billion in POMO for the 2nd quarter, the averages pushed higher as the IWM recovered 1.7%, followed by .7% gains in the QQQQ and DJIA, and .5% gain in the SPY reaching 1296 (1299.74 intraday).

Breath on the NYSE was 21 issues up for every 9 down. 281 stocks reached new 20-day highs.

Generic Drugs might be back in play as TEVA had its 2nd consecutive up day, up 3% to 56.29 reaching a 20-day high. WPI up 2.44% also in the same sector.

Wholesale Drugs also had consistent gains. CAH and ABC up 1.2%.

ISRG made it four straight up days since earnings, up another 5 to 338.

HMOs returned to the plus side after five sideways days. CI up 1%.

Agricultural Chemicals will be in the premarket news for Thursday. For Wed, POT was up 5 pts or 6.6% before they announce earnings at 3am Pacific Time on Thur.

Industrial Equipment did well as ROK up 8.8% to a 52 week high on good earnings.

Industrial Metals was the top sector with PCX recovering 8.5%, WLT up 7.3%, USX up 3.4%.

Oil Service had the largest list of individual names. BHI up 5.9% on positive earnings. The OIH had a 5.2% gain.

CLH up 7.8% also on a positive earnings reaction.

BAL (Cotton) up 3% to 85.25.

In after-hours action,

NFLX while down 3.71 in the regular session had a positive reaction to its earnings as the stock closed the 8pm after-hours section up 19 pts or 8.2% to 202.

QCOM reported good numbers and is up over 3 pts or almost 6% to 55.

POMO at play, averages up 1%

Not going with historical precedents, markets slowly grinded higher closing on the high end of the day.

145 companies with 50-day highs. ES seems to be in a short term trading range between 1270 and 1300. Waiting for the break in either direction.

Mostly a rebound day as short term indicators were oversold.

AAPL recovers 11 pts to 337.

IBM at a new high up 4 pts.

NVDA up 11%, best among semiconductors.

Coal attempting to stabilize. PCX up 3.5%, WLT up 3.3%, ANR up 2.88%.

Reminder NFLX and AMZN report earnings later this week.

Options Ex Friday, slightly down

Only the DJIA finished the week up .72%. The other major U.S. averages got torched. IWM down 4.26%. QQQQ down 2.39%. SPY down .76%.

ISRG jumped 32 points (12.6%) on a favorite reaction to its earnings closing near the high of the day.

It's mostly a news item week coming up as Tue night has the State of the Union Address. Wed afternoon at 2:15pm Eastern is the FOMC Announcement.

POT releases its earnings at 6am Eastern on Thur morning.

Opening gap lower is followed by dip buyers supporting Jan 3 close

1 1/4% losses in the averages in the opening 30 minutes was reversed into small losses. ISRG did well up 33 pts after hours and GOOG up 6 pts on a positive reaction to earnings.

Only 64 issues closed with 50 day highs.

Aerospace & Defense led the gainers. RTN up 2.2%, LMT up 2.1%, LLL up 1.75%, & NOC up 1.52%

Materials was the worse sector down 2% with China's intent to raise interest rates. Coal did recover as WLT and ANR snapped back from hideous 5 day losses.

Options expiration is tomorrow.

GS earnings drops 52% from prior year, markets drop 1%

Seems Goldman Sachs has some skeletons in the closet (in the form of unreported losses maybe) as Wall Street's own analysts didn't see that one coming dropping 8 pts after reaching a 52 week high yesterday.

Only 37 companies made 50-day new highs which one tenth of the 300 from yesterday.

Still there were notable standouts such as:

Aerospace & Defense with LMT up 1.46%.

Dow component IBM up 5 pts after a positive forward guidance after earnings.

Mostly it was a sea of red starting with:

AAPL, despite record earnings and positive guidance, the stock initially at 350 in the morning, closed near the lows down 1.81 to 338.

GOOG dropped almost 8 points after touching a 52 week high of 642 intraday. Earnings report after the bell Thur afternoon.

PCLN also dropped 8 pts closing at 432.

AMZN dropped 4 pts to 186.

Coal stocks got hammered 5-7% continuing their declines from last Fri. PCX, ANR, and WLT got smashed.

Is there any good news? We'll find out after the bell late Thur.

1/2% gains in the avgs, AAPL in the news

AAPL opened down 24 pts as CEO Steve Jobs is reported on medical leave. If the brains behind iPod, iPhone, and iPad dies its doubtful the company will maintain its valuation. However after the opening drop down, the stock recovered 20 1/2 points to finish only down 3 1/2 points. AAPL also reported earnings as the stock initially jumped 13 points in the first two minutes to 357 only to drop to 345 over the next few hours.

50-day new highs expanded to 314 across all the indexes.

Aerospace & Defense at new highs as LMT and BA sport 3% gains.

Agriculture Chemicals did well as POT rose 1%.

HMOs at new highs. WCG up 4%, CI up 2.77%, AET up .8%.

Medical Appliances ISRG up 2.7% to 296. Earnings report after the bell on Thur.

Nasdaq big cappers did well. GOOG at new high up 2.48% to 639.63. AMZN up 1% to 191.

OIH up .65%. EOG up 2% to 102.88. VLO up 2.3%

Semiconductors up .4%. SPRD up 2%. MCHP up 1.1%.

Fri bef Martin Luther King Day = 3/4% gains on the averages matching historical precedents

For once the Stock Trader's Almanac was accurate although those with positions in coal got a rude awakening.

Agriculture chemicals touched new highs with 2% gains in MOS & CF. POT gained 1%.

Asset Managers (TROW, BEN) up 1.6% as the Nasdaq and S&P 500 hits new highs.

OIH up 2.4% to another new high. EOG up 2.7% to close at $100.58.

Casinos at new highs. MGM up 2.8%. After being down three straight days, WYNN closes at a new 52-week high at 119.50 on a 1.8% gain.

Coal was the big loser as RBC came up and lowered their ratings on the sector. Only PCX is still up in 2011 even down 8.6%. The entire sector gave up the past nine days of gains and more, ANR down 7.4%, WLT down 6.3%. Although JOYG rose 1.6% to a 52 week high.

HMO's at another new high. AGP up 4.5%, AET up 3.3%, UNH up 2.9%, and WLP up 2.8%.

Semiconductors the top sector as the street liked INTC's outlook. While INTC did poorly, every other component did well. CAVM up 3.2%, MCHP up 2.8%, XLNX up 2.5%

Big cap tech still rising slowly. AAPL up .8%, AMZN up 1.6%.

Small consolidation before INTC earnings after Thur close

After a gap up, the markets pulled negative but rallied in the final two hours to close with small losses. Individual stocks continue to outperform the major averages.

UNH up 1.9% as the best HMO for the day.

PCX up another 1.4% to another new high for coal.

MRO was best in the oil refiners up 6% making it five straight up days.

Semiconductors again the top sector. ARMH up 13% as RBC Capital Markets raised their price target 30% higher as MSFT expects to use more of their processors in their products.

AAPL up $1.98 to another new high. Earnings report after the bell next Tue.

PCLN up $5.76

POT up $.87 to a new high.

3/4% gains in the averages

Nothing specific so unless AAPL has some negative reaction next Tue after the close on its earnings guidance, stocks continue higher as POMO is pretty much telling everyone, your American dollars are worth zero. Invest it in something or face reduced purchasing power.

Agriculture chemicals up across the board. POT up 5 pts or 3.4%.

Select HMOs continued higher. HS up 1.9%, CVH up 1%.

OIH up 1.6% today. casy's EOG approaching the $100 level.

Coal continued upward although with modest gains. PCX up .8%, MEE up .9%.

Semiconductors still the top performing sector YTD. NVDA up 14%, ARMH up 2.6%.

AAPL rebounded $2.70 eclipsing yesterday's pullback. PCLN up 3 pts.

Turnaround Tuesday

.3% gains in the market averages.

Deutsche Bank raised guidance on coal companies PCX and WLT today. PCX up 7.9%, WLT up 4.8%, ANR up 3.9%.

HMOs (UNH, AET, WLP) moved 1% higher on an AAII report of low risk, high reward stocks based on four historical ratios.

Metals Fabricator GTLS up 2% to a new 52-week high.

XME up 2.6% after going down for days 2-6 of 2011.

OIH up 3% although individual components were all over the map.

Semiconductors marched higher as ARMH up 3.2%.

PCLN down 9 pts on no news. Easy come easy go.

AAPL down .81 as Verizon's iPhone announcement was a Feb 10 launch date.

Down morning, recovery in afternoon

For the third straight day, the markets have gapped lower in the opening hour then seemingly with POMO at work at 1pm Eastern, via the inexperienced incompetents who supposedly have the wherewithal to determine how to propup the Treasury Bond market daily with $8 billion dollars of phantom money, the markets came most of the way back with the Nasdaq up about 4 points, the Russell 2000 up 3 points and the S&P 500 down a mere .17%.

Software led by ADBE up 2.8% as it maintains its good start to 2011.

Auto Parts up across the board on no news. MGA up 2.8%.

HMOs continued higher, specifically AGP up 2.8%, WLP up 1.1%.

Coal represented by PCX up 1.6%.

AAPL up 6 pts or 1.9%. Rumors of a Verizon iPhone are expected tomorrow.

NFLX up 9 pts on no news.

LVS up 1.4%. The rich will entertain and they don't care what happens to the middle class.

Semiconductors up with eight components of the SOXX hitting 20-day highs. ARMH up 3.6%, ENTR up 1.4%.

One week in the books

Quick way to know if you're in the right frame of mind? Having a positive return and exceeding the performance of the S&P 500. So you should be up at least 1.1% for the first five trading days of 2011.

Hong Kong was the top performing country via the EWH up 4.7%.

Back in the U.S., the top performing sector of the week was Technology and given the Winter Consumer Electronics Show ended today its shouldn't be a surprise. Semiconductors such as NVDA up 29%, ENTR up 10.7%, and ARMH up 6.8% despite a down day on Fri.

Health Care was the second best sector as all the HMOs (CVH, CI, UNH, WLP, AET) had good gains (between 5 and 9%) as word that most are requesting anywhere from 28-50% premium increases for individual policy holders beginning in March. Anyone get the feeling they really don't care about people.

Financials were the third best sector but since I don't trust most of the financials save for a local bank or credit union, I'm not willing to risk any money in that manipulated sector.

Industrials were fourth best led by Aerospace & Defense. LLL up 10.3%, RTN up 7.8%.

Discretionary was fifth led by two casinos and PCLN. WYNN up 14%, MGM up 10.3%, PCLN up 9.9%.

Utilities and Telecom were flat for the week with notable exceptions I don't recognize.

The three underperforming sectors overall begin with Energy even though oil prices are at one year highs.

Materials is next although Coal had a great week with PCX up 18.9%, ICO up 10.9%, and ANR up 8.1%. Agriculture favorite POT up 7.5% despite being down 2 points on Fri.

Consumer Staples was the worst performing sector.

Down Thursday before some employment report Fri

Up, down, up, down. That's how 2011 is opening the new year.

Aerospace & Defense had its fourth straight up day: RTN and NOC with 2% gains.

POT is still leading agriculture, up 4.4% or almost 7 points today.

PCLN did best among big-cap Tech up .8% or 4 pts.

PCX was the only coal stock up today, up 2.3% or fifty-one cents. JOYG got tossed before it became a loss.

Semiconductors still the top performing sector. CAVM up 3.9%, ENTR up 1.9%, ARMH up .9%

WYNN was the only casino doing well, up .7%

Morning dips reverse to close slightly higher

1/2% declines in the major averages became 1/2% gains as the ADP report showed a surprise +270k increase in payrolls.

POT was up 5 pts or 3.5% today when MOS preannounced positive earnings yesterday after the close sending up the whole sector today.

PCLN was the big winner of the day up 24 pts or 5.77%. Seems the dispute between the airlines with orbitz and now expedia will presumably play right into PCLN's hands.

Top performing sector was the Semiconductors. ENTR up 7.6%, CAVM up 6.7%, and ARMH up 5.5%.

IWM did best for the major averages up 1%, generating a 3% gain for the TNA overnighters.

Coal is doing ok as some weather related event in Australia is affecting global exports. PCX up 7.5%. KOL up 1.1%. MEE was up 2.3% but then reported lower than expected shipments after the bell and surrendered those gains afterhours. JOYG dropped 1% on no news which was discouraging.

ANR led the Industrial Metals up 3.8%. WLT up 1.1%

Both WYNN and MGM rose 1% to lead the casinos.

Strange second day of year

Mixed day as precious metals (gold and silver) down 2% today. Market averages opened lower but recovered midday to finish flat. Unfortunately, the IWM gave back almost all of yesterday's gain down (1.5%). Guess I was lucky not to have TNA after all.

Industrial Metals & Materials still the top sector as MCP made a new high up 7.4%. Eventually by the end of the day it pulled up sector components CLF 3.8%, WLT 2.7%, ANR 2.6%.

Steel joined the new high list via Russia's Mechel MTL up 6.1%.

Coal via YZC up 2%, KOL up 1.2%, PCX up .5% did well despite most of the components like JOYG down (1%).

Casino WYNN did well up 3% closing near its highs. Gapping up 1 pt at the bell, slowly moved higher despite the market displaying negative advance/decline internals all day.

New Year – and they’re off and running

Historically speaking, thanks to Rob Hanna's Quantitative Edges, when the S&P 500 closes lower on the final two trading days of a year, the ideal trade is to buy at the close on Dec 31. This came into fruition today as the IWM was the top performing U.S. average up 1.55%. Should one have the bravery to invest 100% in the TNA a 4.65% return was in your coffers.

Some individual standouts: MCP continued the China rare earth materials sector momentum from December up 15.5% along with REMX 6.8% and REE 6.1%. Metals Fabricator GTLS is watched by Slope of Hope's Tim Knight up 7.9%.

Every position in one's portfolio should be up at least 1% today otherwise it's a candiate for a sell for tomorrow. Nasdaq big-cappers AAPL and AMZN were up 2% with PCLN up 3.6%, GOOG 1.7%, and NFLX 1.5%.

I went with the casy playbook as Industrials Metals and Material's WLT and coal's JOYG were both up 2%. A better play in the same sector was Angie's ANR up 2.4%.

While I slightly outperformed the S&P's material sector fund XME up 1.9%, the top coal performers were ICO 5.6% and PCX 5.3%.

Underperformers were gold, silver, and energy services all down .5% although oil refiners matched the industry averages with VLO up 2.7%, CVI up 2.1%.

On December 30, the Investor Business Daily 85/85 list had CLF as their #1 stock for the week and being in the Industrial Metals sector it was up 4.9%.

Casinos also outperformed as WYNN 4.9% and MGM 3.57% were the standouts. WYNN needs to be added to the watchlist for possible further upside.