Looks like the Nasdaq completed the head and shoulders top with a clean break of the neckline on heavy volume. Here is an updated chart showing the Nasdaq breaking all the support lines. Looks like it will test the lower trendline, but I would expect that we get a deadcat bounce maybe as soon as tomorrow. I did end up taking both shorts posted earlier today.

No other charts tonight due to Poker Night :)

Good Luck,

DT

Here are a couple shorts that look pretty decent to me. BBBY is fighting to hold the 50sma, but it made a low today beneath the recent consolidation low and would yield a nice gain if it fails.

INFA fell out of a triangle yesterday and looks like it will drop some more.

Please do your own DD.


DT

The Fed remained tight lipped and that may be a problem near term. The markets have been rallying on the assumption that Fed was near pausing rate increases and any thoughts otherwise have led pullbacks. The Dow is extended right now, although the chart is very bullish. All the indicators are confirming this latest breakout, but there may be a pullback here as they are overbought now.
Another issue is the continuing problems with the Nasdaq. I had to scenarios I envisioned with the first being that the semiconductors would lead a rally. The other was that the Nasdaq would resolve into a head and shoulders top. I highlighted the H&S in a blue box. Kee in mind the pattern is not confirmed until the neckline is broken.
Here is the Sox chart. I have two trendlines here that may offer support. Things don't look good however indicator wise.
Here are a few charts worth looking at.

FMD is still holding between support and resistance. They had a doji at support today and a higher high on the daily may signal a buy.
GFIG is pulling back to the breakout area. Watch for confirmation as support.
NSC looks to be breaking out of a triangle base here.
SIRF looks like a text book short here, but good luck finding shares. They do trade options so puts may be your best bet.
COH broke below the previous pivot low today and may be headed to 28-29.
Right now the best thing to do is to stay cautious and don't press your positions. I will be waiting tomorrow to see how things shake out before deciding if I need to shift to a more bearish stance.
Good Luck,

DT

Not much I can say as the markets will probably be hanging on every word out of Bernake's mouth tomorrow. I won't be trading as the morning session will probably be very narrow and the afternoon quite choppy. I ran out of time tonight to post charts due to several reasons. However, there is not much I would be recommending anyways, until after tomorrow. One thing I did notice as I was looking over some charts is that there are a lot of bowls, saucers, and cup with handles on the oil/gas services stocks. Here are some of the better looking ones:
grp
hal
kmg
ard
ois
helx

Also, some of the infrastructure / mining plays are looking good. Cramer keeps pumping these guys and I do think mutual funds are liking these sectors. Some decent ones are:
CCJ
CAT
FWLT

I think it can only be viewed as bullish that most of the indices are at highs despite divergences or weak internals. However, keep in mind that we could have a nasty reversal if Bernake throws us a curve ball.
Good Luck,

DT

We had a consolidation today and will probably have more of the same with the Fed meeting coming on Wednesday. Here are a few charts to watch.

I added MAN to the squawk portfolio . Although it is pretty extended, the bull flag breakout can lead to some powerful moves.



FWLT looks like it will get a regular Cramer pump and appears to have broken the pullback base.
ICE looks like it is breaking a nice triangle base here.
I'm still watching MFLX for a breakout. They are still holding above previous resistance.
MLR had a nice breakout today.
PCU is breaking out of a tight little triangle. While I think copper is extended, you can't fight the trend.
I'm watching TRAD to see if it can clear the descending trendline.
TZOO looks like it is consolidating between these two trendlines. If you pull up a long term chart you can see that these two areas have had importance before.

Thats it for tonight.
Good Luck,

DT

It looks like the bulls are pressing the action. The SP500 cleared the resistance I wrote about on Thursday night although volume was just average for a market breaking resistance. I will be watching the Nasdaq for confirmation of a rally. Here are a few charts that look decent.

ABAX has had a few steep down sessions lately but has had pretty good support near 23-24. Watch to see how they react to the ascending trendline.
ARP cleared resistance but left a long wick on the breakout day. Watch to see if it follows through.
CCJ may be ready to break to new highs. They cleared horizontal trendline resistance and then tested the line as support.

GBX looks like it will come back to test the trendline as support.
IBCA is trading a tight range here. Keep an eye for a breakout.
SLW looks like it is resolving into a triangle here.
AUY chart looks like it wants to move higher.
NSM may finally clear resistance here. The key is the sox and nasdaq.

Good Luck,

DT