Closing Analysis

Dow Falls 660 Points. AAPL is the Culprit

Closing Technical Market Analysis for Thu January 3rd 2019

The stock market had a very tough day on Thursday, gapping down at the opening, dropping very sharply early on, then a 100-point rally on the Nasdaq 100 and 45-points on the S&P 500, but that quickly dissipated after the decline took them to the lows for the day going away.

Net on the day, the Dow was down 660.02 at 22,447.89. The S&P 500 was down 62.14 at 2447.89. The Nasdaq 100 was down 213.74, or more than 3%, at 6147.13.

Advance-declines were 17 to 12 negative on the New York Stock Exchange, and 21 to 9 negative on the Nasdaq. Up/down volume was 2 to 1 negative on New York, total volume 3 3/4 billion shares traded. The Nasdaq traded 2 2/3 billion shares and had a little more than 2 to 1 negative volume ratio.

TheTechTrader.com board was almost all red, with the exception of a few gainers. Nothing was up more than a point except Netflix, Inc. (NFLX) up 3.54 to 271.20. It was up nearly all day but trading in a lousy market.

On the downside, Apple Inc. (AAPL) was the culprit, down 15.73 to 142.19, closing pennies off the low for the day, on 91 million shares. Amazon.com, Inc. (AMZN) was down 38.85 to 1500.28, Alphabet Inc. (GOOG) down 29.79 to 1016.06, and Facebook, Inc. (FB) 3.94 to 131.74.

Tesla, Inc. (TSLA) dropped 9.76 to 300.36, NVIDIA Corporation (NVDA) gave back 8.23 to 127.99, and Intuitive Surgical, Inc. (ISRG) lost 15.79 to 450.24.

In addition, Baidu, Inc. (BIDU) was down 7.54 to 154.71, Microsoft Corporation (MSFT) 3.72 to 97.40, and Intel Corporation (INTC) 2.59 to 44.49.

Bad day for biotech’s on Thursday. The Direxion Daily S&P Biotech Bull 3X ETF (LABU) fell 2.48 to 31.70, Tandem Diabetes Care, Inc. (TNDM) down 1.75 to 32.25, Nektar Therapeutics (NKTR) 2.64 to 31.58, Nutanix, Inc. (NTNX) 1.55 to 40.39.

Other stocks to the downside included Square, Inc. (SQ) down 4.82 to 52.38, Teladoc, Inc. (TDOC) 1.97 to 46.21, XPO Logistics, Inc. (XPO) 2.32 to 55.33, along with many others.

Checking TheTechTrader.com percent-gain leaderboard, Cocrystal Pharma, Inc. (COCP) gained 34 cents, or 9%, to 4.14. Arsanis, Inc. (ASNS) thrust 84 cents, or 33%, to 3.40, on nearly a million shares. Centrais Elétricas Brasileiras S.A. - Eletrobras (EBR) advanced 67 cents, or 9%, to 8.22, on 1.3 million shares.

BioXcel Therapeutics, Inc. (BTAI), Thursday’s leader, shot up 1.43, or 40%, to 5.02, on 1.9 million shares, on positive drug news.

Park Electrochemical Corp. (PKE) bounced 2.92, or 11%, to 20.44. Celgene Corporation (CELG), on a takeover, snapped back 13.79, or 21%, to 80.43, closing way off the early highs, on 79 million shares. MOGU Inc. (MOGU) bounced 2.70, or 13 1/2%, to 22.70.

The VelocityShares Daily 2x VIX ST ETN (TVIX) popped 6.09, or 9%, to 72.81, on 14 million shares. The ProShares Ultra VIX Short-Term Futures (UVXY) was also up 5.64 to 83.56, on 8.7 million shares.

The Direxion Daily Jr Gld Mnrs Bull 3X ETF (JNUG) climbed 1.01, or 11%, to 10.30, on 14 million shares. The Direxion Daily Gold Miners Bull 3X ETF (NUGT) bounced 1.04, to 18.40, on 12 million shares.

Stepping back and reviewing the hourly chart patterns, the indices were down early, up late morning, and then down the rest of the day. Basically, what the market did on Thursday was to fall on a nasty decline, break support, and may have to test lower levels, so stayed tuned.

Let’s see what happens tomorrow.

Good Trading! 

Harry  


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