Closing Analysis

Nasty Pullback Day RSS

Closing Technical Market Analysis for Thu September 29th 2016

The stock market indices had a rough, volatile session and closed very weak. The day started out with some back and forth action, they pulled back midmorning, and was successful. They then rallied back to resistance, and then they plunged, acerbated by news that Emergent BioSolutions, Inc. (EBS) was having problems with withdrawals. Panic set in to take it to minus 15.44, and then they had a sharp rally acerbated to the upside when it was announced that QUALCOMM Incorporated (QCOM) may be acquiring NXP Semiconductors NV (NXPI). The semi-conductors took off and took the market with it. Biotech’s suffered all day, though, and in the afternoon the indices did pull back and closed near support.

Net on the day, the Dow was down 195.79 at 18,143.45. The S&P 500 was down 20.24 at 2151.13. The Nasdaq 100 was down 36.97 at 4838.30.

Advance-declines were 4 to 1 negative on the New York Stock Exchange, and 3 to 1 negative on the Nasdaq. Up/down volume was 3 to 1 negative on New York, total volume of 4.2 billion shares traded. The Nasdaq traded over 2 billion shares and had a 2 to 1 negative volume ratio. board was mostly red. (PCLN) was up 14.95 to 1472.98, and that was it., Inc. (AMZN) closed nearly flat, up 33 to 829.05, but Alphabet Inc. (GOOG) was down 6.55 to 775.01, Apple Inc. (AAPL) down 1.78 to 112.17, and Netflix, Inc. (NFLX) down 81 cents to 96.67.

Baidu, Inc. (BIDU) dropped 5.51 to 182.23, and Facebook, Inc. (FB) gave back 1.14 to 128.09.

Tesla Motors, Inc. (TSLA) lost 5.57 to 200.70.

The only other point-plus gainers on our board today was Ambarella Inc. (AMBA), up 2.10 to 70.87.

On the downside, Supernus Pharmaceuticals, Inc. (SUPN) was down 2.05 to 24.63, Puma Biotechnology, Inc. (PBYI) down 1.20 to 66.06, Gigamon Inc. (GIMO) 1.04 to 55.09, Exelixis, Inc. (EXEL) 1.07 to 12.28, Fitbit Inc. (FIT) 1.88 to 14.82, and Clovis Oncology Inc (CLVS) 1.70 to 34.64.

The Direxion Daily S&P Biotech Bull 3X ETF (LABU) dropped 5.30 to 46.96.

Checking percent-gain leaderboard, Aegerion Pharmaceuticals, Inc. (AEGR) bounced 57 cents, or 23%, to 3.06, on 6.3 million shares traded.

Catabasis Pharmaceuticals, Inc. (CATB) gained 1.77, or 40%, to 6.25, on 16.6 million shares traded.

Mimecast Limited (MIME) popped 1.81, or 11%, to 19.10, on 3.4 million shares traded.

The ProShares Ultra VIX Short-Term Futures (UVXY) jumped 1.97, or 12%, to 18.00, on 72.5 million shares traded. The Direxion Daily S&P Biotech Bear 3X ETF (LABD) advanced 1.66, or 10%, to 17.92, on 4.9 million shares traded. The VelocityShares 3x Long Crude Oil ETN (UWTI) climbed 1.40 to 23.61.

Stepping back and reviewing the hourly chart patterns, the indices were down sharply by midday, rallied in the afternoon, but pulled back in the last half hour to close negative on the day. It was a nasty pullback day, but we’ve had four days in a row of up, down, back up, and back down.

Let’s see what happens tomorrow.

Good Trading!


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