Declan Fallon | TalkMarkets | Page 54
Market Commentary
Declan Fallon runs a market commentary blog at Markets.fallondpicks.com, and is a contributor to TalkMarkets and Seeking Alpha. He previously contributed to the Motley Fool. Declan Fallon is also a UI/UX Dashboard Designer for First ...more

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Tech Market Technicals Turn Net Positive
Two days of gains have helped re-establish the bullish technical picture for tech indices, Nasdaq and Nasdaq 100. While the improvement was welcomed it didn't come without a price.
Semiconductors Find Some Traction
The Semiconductor Index made steady gains after suffering the largest profit sweep in June. Relative performance improved against the Nasdaq 100 but it hasn't yet challenged the 'bull trap' created after the bearish engulfing pattern.
Opposites Attract
On a day where losses were recovered and gains lost it was more of the same for indices. The index I'm watching most for leads is the Russell 2000.
Weak Indices Feel The Pain
Heading into the July 4th holiday and indices experienced a mix of reactions. Large Caps came out relatively unscathed with only a minor reaction to last week's selling.
What Bulls Giveth, Bears Taketh Away
The number of new highs has been spiking in a fashion similar to 2010/2011/2013 (while new lows flatlined) but this hasn't always been a marker for a top as in 2013. It's worth watching but be wary of commentators overstating its importance.
Small Caps Get Their Bounce
The last few months have seen Small Caps trade inside a lengthy sideways pattern but its moment in the shade maybe coming to an end. Today's rally in the Russell 2000 was a picture perfect bounce off rising support.
Semiconductors Experience Heaviest Loss
Yesterday's losses followed through with fresh declines on higher volume distribution. Worst hit was the Semiconductor Index as it gave up nearly 3%.
Worrying Last Hour Of Trading
After a bright start from markets with decent gaps higher, bears came in heavy in morning and end-of-day trading to beat markets back below yesterday's close.
Bulls Put On The Pressure
Markets finished Friday with a little flourish on higher volume accumulation. How much pressure varied between indices.
Russell 2000 At Rising Support
There wasn't much to say about today, but the one index which caught my attention was the Russell 2000. The index caught a bounce in demand at the rising trendline and also did enough to recover the 20-day MA.
S&P Bull Trap On Higher Volume Distribution
Yesterday's market gains were whipped away on higher volume distribution. This opened shorting opportunities in indices other than the Semiconductor Index.
S&P Breakout + Tech Support Bounce
If volume wasn't just a little disappointing this would have been considered a super solid day for bulls. Having said that, shorts will be feeling the squeeze and anyone short the Dow Jones would have been feeling particularly aggrieved.
Tech Indices Offer Another Chance At Support
Friday saw some big volume trading as options expiration kicked in. The Nasdaq and Nasdaq 100 are both in play for Monday, each offering a chance for longs to enter at a combination of channel support and 50-day MA.
Nasdaq 100 At Support
It was a mixed day for markets. The day started with a gap down but bulls were able to make a respectable recovery to finish well yet still net down on the day.
Potential 'Bull Trap' In Russell 2000
Markets experienced another round of profit taking but there was only one market showing a potential top. Yesterday, the Russell 2000 edged a breakout but today sellers put this in jeopardy with a potential 'bull trap'.
Small Caps Inch Higher
After Friday's sell-off, it was left to bulls to try and paint over the cracks. The Russell 2000 returned to its breakout with a small gain over 1,420.
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