Wednesday, June 12, 2013
Daily Analysis and Stock Ideas for 6/13/2013
Daily Analysis -
Market gapped up and sold off pretty much the entire day. Japanese Yen and Bond Yields have been driving most of the volatility in the market. If you want any evidence go no further than the chart of IYR which has been hammered on rising rates and USDJPY chart. The question is are we at support yet or there is further downside? I feel we should see a small bounce for USDJPY at 94.50 level but we eventually go down to 92.50 or test or 200sma. IYR should bounce at the January gap-fill area of 64.75, which is about 1.5% lower than today's closed. We likely had a market down day tomorrow and break 50sma on SPY which should also coincide with support areas on USD/JPY and IYR. NYMO McClellan Oscillator is back again at very oversold levels so hard to be very bearish here.
Trade Ideas -
If IYR touches the 64.73 area, i would get into TOL, PHM and LEN for long term swings. They have been pretty resilient last couple days.
NFLX short if breaks the 204 level. It should go back into 190s.
Hosptial stocks have been holding up very well. I like WLP.
IMOS - Nice flag. Watch for breakout.