Harry Boxer
The Technical Trader
The stock market had a terrible day, one of the worst days in months as the indices cracked and cracked hard. They took out the head-and-shoulder bottoming patterns and the lows as well, reaching the bottom of the channel, and then key, secondary support at the close, going away at the lows for the day.
Net on the day, the Dow actually dipped and closed under 17,000 at 16,990.69, down 358.04, closing at the low for the day. The S&P 500 was down 43.88 to 2035.73. The Nasdaq 100 was down 125.77 to 4385.13.
Advance-declines were 5 to 1 negative on New York Stock Exchange and 6 to 1 negative on Nasdaq. Up/down volume was 5 to 1 negative on New York, with total volume of a strong 4 billion shares. Nasdaq traded a little over 2 billion shares, and had an 11 to 1 negative volume ratio.
TheTechTrader.com board was strewn in blood red. Priceline.com (PCLN) was down 33.81 to 1257.54, Google Inc. (GOOG) down 14.07 to 646.83, Apple Inc. (AAPL) down 2.36 to 112.65, Amazon.com Inc. (AMZN) 17.14 to 515.78, and Netflix, Inc. (NFLX) 9.57 to 112.49. Tesla Motors, Inc. (TSLA) dropped 13.07 to 242.18.
CyberArk Software, Ltd. (CYBR) was down 6.44 to 55.19, FireEye, Inc. (FEYE) down 3.66 to 39.80, NewLink Genetics Corporation (NLNK) 4.49 to 46.99, Mobileye N.V. (MBLY) 4.44 to 54.75, and Radius Health, Inc. (RDUS) 5.35 to 63.84.
Solar stocks were hurt. SolarCity Corporation (SCTY) lost 2.20 to 46.98, and First Solar, Inc. (FSLR) dropped 2.03 to 47.91.
There were too many stocks to the downside to mention, and the only stocks that were up were up just small fractions.
It was not a pretty day today, it didn't close well, and with a gap down like today's, we could see more downside tomorrow.
Checking the TheTechTrader.com percent-gain leaderboard, gold stocks did great today. Gold Fields Ltd. (GFI) climbed 50 cents to 3.55, or 16%, on 10.8 million shares. The Direxion Daily Gold Miners Bull 3X ETF (NUGT) bounced 56 cents to 4.94, or 13%, on 62.2 million shares.
Coal stocks were strong today, with Arch Coal Inc. (ACI) up 1.07 to 3.35, or 47%, on 19.2 million shares. Peabody Energy Corporation (BTU), also a coal stock, popped 30 cents to 1.70, or 21%, on 58.7 million shares.
Ultra-shorts did great today. The ProShares Ultra VIX Short-Term Futures (UVXY) ran 4.56 to 31.36, or 17%, on 22.6 million shares, and trading over 33 in after hours. The Direxion Daily Jr Gld Mnrs Bull 3X ETF (JNUG) gained 1.18 to 12.46.
Among other gainers, Lumber Liquidators Holdings, Inc. (LL) was up 1.27 to 15.47, and Keysight Technologies, Inc. (KEYS), on strong earnings, up 3.23 to 32.77.
Lexicon Pharmaceuticals, Inc. (LXRX) closed up 80 cents to 11.34 in a strong biotech market. The ProShares UltraPro Short S&P500 (SPXU) jumped 2.12 to 35.78. The Direxion Daily FTSE China Bear 3X ETF (YANG) advanced 7.92 to 110.16 as Chinese markets gamed hammered 8%.
Stepping back and reviewing the hourly chart patterns, the indices gapped down, bounced, and then they went down all day in nice, orderly channels until the end of the day when they tried to rally and couldn't. They rolled over hard in the last hour, crushing them with a close at the lows for the day.
It was a very nasty day on Wall Street today, and the S&P 500 closed at 6-month lows today.
Let's see how it goes tomorrow.
Good Trading!
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