The stock market had a very negative day on Monday, and negative technicals as well. Support was broken on the S&P 500, however, the NDX hasn’t confirmed yet. It’s going to be very interesting to see what happens on Tuesday. In the meantime, we’ll take a look at both longs and shorts to see how they're doing.
BMC Software Inc. (BMC) had a big day on Monday, jumping 3.52 to 43.92, or 8.7%, on 7 million shares. After the big run up, and the pullback down over the last year, this stock had gone all the way down from the mid-50’s to the low-30’s, and then bounced. It had a little bit of a channel up, with a 5-wave move, another pullback, and then a reversed breakout across key resistance. So, this was a key breakout for this stock on Monday. Look for something up around 47 short-term.
ProShares Ultra VIX Short-Term Futures ETF (UVXY) came through the declining topsline on Monday to test last week’s high at 16.32 by reaching 16.62, closing up 1.73 to 16.56, or 11.6%, on 14 million shares. It made a slightly higher high, the highest in 3 weeks. The target here is set at 18 short-term, and then 21 3/4 intermediate-term going forward.
On the Short Side…
Chipotle Mexican Grill, Inc. (CMG), which we put a short out on, broke down hard near the moving average, reversed in a bear-flag fashion, rolled over again to make declining tops and bottoms, ran up again to make another little bear flag to the declining tops and moving average, which then broke. Very negative. Look for a move down to at least 385-6 short-term, and if that breaks, look for a secondary target in the 365-8 range.
Life Time Fitness Inc. (LTM) has come to a point where it’s at a key support zone. It bounced up in a bear-flag fashion, and rolled over. Look for a move at least down to the 40-41 area short-term.
Other stocks in our Charts for the Day are Arena Pharmaceuticals, Inc. (ARNA), BioDelivery Sciences International, Inc. (BDSI), Direxion Daily Emrg Mkts Bear 3X Shares (EDZ), Direxion Daily Financial Bear 3X Shares (FAZ), Pluristem Therapeutics, Inc. (PSTI), Direxion Daily Small Cap Bear 3X Shares (TZA), Vertex Pharmaceuticals Incorporated (VRTX), Ventrus Biosciences Inc. (VTUS), Warner Chilcott plc (WCRX), and Xenoport, Inc. (XNPT).
Charts of the Day on the short side include Deckers Outdoor Corp. (DECK), Gardner Denver Inc. (GDI), Great Northern Iron Ore Properties (GNI), Life Time Fitness Inc. (LTM), and OPNET Technologies Inc. (OPNT).