Stock Market Summary

Stocks finished higher today with the major indexes closing near session highs.  In addition, the DJIA posted another new high.  Investor participation was ok and market breadth was good.  As a result, we are raising the support levels on the DJIA, S&P 500, and Nasdaq Composite (see below).  Also, we are increasing the resistance level for the DJIA but leaving it the same for the S&P 500 and Nasdaq Composite (see below).  Overall, we continue to believe the prudent approach is continue selling into strength and avoid becoming aggressive with opening new positions in stocks based on how far the stock market direction has run without a significant pullback.  Don't let a position turn into a big loss if the market trend suddenly changes.  If you need to own stocks, please see our open watch list below.

 

SUMMARY

 

DJIA: Up 0.9% to 11,981

S&P 500: Up 0.6% to 1,291

Nasdaq Composite: Up 1.0% to 2,718

 

BREADTH FOR NYSE

 

Advancing Issues: 2,143

Declining Issues: 904

Advance/Decline Ratio: 2.4 to 1

 

New Highs: 113

New Lows: 10

High/Low Ratio: 11 to 1

 

SUPPORT/RESISTANCE LEVELS

 

DJIA: 11,706/12,029

S&P 500: 1,274/1,295

Nasdaq Composite: 2,701/2,766

 

SECTOR ANALYSIS

 

Technology was the best performing sectors up 1.4% while Financials and Health Care were the worst performing sectors down 0.1%.

 

Other Sectors:

 

Consumer Discretionary Up 0.4%

Consumer Staples Up 0.2%

Energy Up 0.5%

Industrials Up 1.0%

Materials Up 1.1%

Utilities Up 0.6%

 

OPEN WATCH LIST SYMBOLS (Through Monday, January 22, 2011)

 

(SH: 42.6919 0.00 0.00%) added @ $46.03 on 11/12/10; current price @ $42.69; 7.3% loss

(PSQ: 33.40 0.00 0.00%) added @ $35.05 on 12/8/10; current price @ $33.40; 4.7% loss

(RWM: 32.30 0.00 0.00%) added @ $32.79 on 12/16/10; current price @ $32.30; 1.5% loss

(UUP: 22.44 0.00 0.00%) added @ $22.80 on 1/14/11; current price @ $22.44; 1.6% loss

(EUO: 19.40 0.00 0.00%) added @ $20.30 on 1/14/11; current price @ $19.40; 4.4% loss

(FDO: 43.44 0.00 0.00%) added @ $44.64 on 1/21/11; current price @ $43.44; 2.7% loss

 

CLOSED WATCH LIST SYMBOLS

 

(UUP: 22.44 0.00 0.00%) added @ $22.56 on 10/20/10; removed @ $23.51 on 11/30/10; 4.2% gain

(EUO: 19.40 0.00 0.00%) added @ $19.19 on 10/20/10; removed @ $21.65 on 11/30/10; 12.8% gain

(APOL: 41.87 0.00 0.00%) added @ $37.77 on 10/28/10; removed @ $39.97 on 12/31/10; 5.8% gain

(NUVA: 27.91 0.00 0.00%) added @ $25.11 on 11/12/10; removed @ $26.03 on 12/31/10; 3.7% gain

(DLR: 52.37 0.00 0.00%) added @ $52.22 on 11/26/10; removed @ $53.01 on 12/10/10; 1.5% gain 

(CSCO: 21.17 0.00 0.00%) added @ $19.36 on 12/2/10; removed @ $20.91 on 1/6/11; 8.0% gain 

(UUP: 22.44 0.00 0.00%) added @ $23.14 on 12/8/10; removed @ $23.37 on 1/10/11; 1.0% gain 

(EUO: 19.40 0.00 0.00%) added @ $20.79 on 12/8/10; removed @ $21.73 on 1/10/11; 4.5% gain