Monday, March 5, 2012

AAPL Pulling Down Tech

Tech was weak today. Big selling occurred in AAPL (percentage-wise a mega part of the NASDAQ-index). Once the share price got below 537 it seemed lots of stops got triggered. Most other indices also were carried lower. Meanwhile the euro, oil and precious metals started to climb higher.

Then came the second dip, and that's the one where stocks came out stronger and metals reacted rather weak. However, the euro and oil still were behaving strong.

Coming into the last hour of the session, the Dow made up for most it's losses and was trading near the high of the day. The Nasdaq however, was still trading near it's lows. The S&P500 recovered a bit, but was trading only halfway between the high and the low. Small cap-index Russell2000 based under Friday's close and held up well together with the Dow. But that was probably more as a reaction to Friday's big sell off.

5m-chart SPY:

Daily charts, DIA, SPY, QQQ and IWM:

Metals, euro, oil: after the morning dip, it was actually the euro that was leading the rally. It didn't suffer that much down pressure and was up near it's highs when indices, metals, oil were just getting back up their feet.
Metals are still lagging and look very vulnerable at this point, especially silver.

Articles for tonight:
The Rally in AAPL isn't a Bullish Sign for Equities
Setting Portfolio Stops for Shorter Term Traders
How to Make Financial Content

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