Stock Market Viewpoint

Stock Market Viewpoint
Reading the Tea Leaves...

Monday, June 10, 2013

Sentiment EMAs Being Set Up

Stock Market Technical Analysis Blog

click on image to enlarge

In the market today we had a sideways consolidation day.  Tonight I would like to look at the Sentiment EMAs applied to a few indexes and key stocks.  

In the top row, chart 1, the S&P 500 actually started its lift Friday.  QQQ & SPY are just beginning to turn upward.  In the second row FAS is already starting to turn up.

Tomorrow's action is pivotal, as the red line of the VXX (VIX Futures) must cross back down below the green line for an all clear.  It might have happened this afternoon except for the AAPL meeting wasn't much for anyone to get excited about.  Nonetheless, AAPL is set up perfectly to get its lift in the couple of days if it doesn't catch sellers tomorrow from the lacklustre news.

In the bottom row, GOOG & NFLX are also set up for the Sentiment EMA lift with GOOG already starting to rise.  NFLX is still in holding mode with a symmetric triangle price pattern.  We need for AAPL or NFLX to lift tomorrow to be sure that the VXX does have a down cross coming.

The last chart, LDK (one of the solar stocks dirty dozen) had a pronounced Sentiment EMA lift today, looking pretty energetic.

If they keep control of the market tomorrow and manage to get AAPL started upward from its pivot, a run to the month ago highs is quite possible.   However, if AAPL gets trashed tomorrow it will definitely increase volatility in the market and we will just have to see how it affects the VXX setup.

Trade well my friends