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AFTER MARKET UPDATE - WEDNESDAY, MARCH 18TH, 2015
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DOW |
+227.11 |
18,076.19 |
+1.27% |
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Volume |
862,783,440 |
+23% |
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Volume |
1,842,053,930 |
+15% |
NASDAQ |
+45.40 |
4,982.83 |
+0.92% |
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Advancers |
2,552 |
80% |
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Advancers |
1,800 |
60% |
S&P 500 |
+25.14 |
2,099.42 |
+1.21% |
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Decliners |
562 |
18% |
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Decliners |
1,117 |
37% |
Russell 2000 |
+9.91 |
1,252.14 |
+0.80% |
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52 Wk Highs |
207 |
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52 Wk Highs |
175 |
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S&P 600 |
+6.62 |
718.00 |
+0.93% |
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52 Wk Lows |
68 |
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52 Wk Lows |
58 |
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Major Averages Rallied With Greater Volume Conviction
Kenneth J. Gruneisen - Passed the CAN SLIM® Master's Exam
Stocks reversed course to finish markedly higher on Wednesday. The S&P 500 advanced 25 points to 2,099. The NASDAQ gained 45 points to 4,982. Behind the big gains the volume totals were reported higher on the NYSE and on the Nasdaq exchange versus the prior session totals, a sign of more serious institutional accumulation of stocks. Breadth was positive as advancers led decliners by more than a 4-1 margin on the NYSE and 3-2 on the Nasdaq exchange. Leadership expanded as there were 105 high-ranked companies from the CANSLIM.net Leaders List that made new 52-week highs and appeared on the CANSLIM.net BreakOuts Page, up from the prior session total of 62 stocks. The list of new 52-week highs expanded outnumbered new 52-week lows on the NYSE and on the Nasdaq exchange. There were gains for 12 of the 13 high-ranked companies currently on the Featured Stocks Page.
Concerning the M criteria, the major averages' uptrend has been supported by a healthy crop of stocks hitting new highs. Wednesday's additional expansion in leadership bodes well for the market outlook. New buying efforts should only be made in stocks meeting all of the fundamental and technical guidelines the fact-based investment system.
PICTURED: The Dow Jones Industrial Average rallied 227 points to 18,076. It found support near its 200-day moving average (DMA) line, and it rebounded above its 50 DMA line after enduring recent distributional pressure.
The major averages erased earlier losses, following Janet Yellen's commentary after the Fed's meeting. Yellen alluded to weak economic data as she indicated slower-than-anticipated rate increases. In other economic data, a measure of crude oil inventories last week rose more than twice as much as expected.
At the close, all 10 S&P 500 sectors were higher. Utilities were one of the best performing groups. NextEra Energy (NEE +3.51%) and PPL Corp (PPL +5.45%) surged. Commodity producers caught a lift as the dollar weakened. Chevron advanced (CVX +3.42%) and EOG Resources (EOG +4.45%) both rallied. Financials were the worst performing group with Bank of America (BAC -0.68%) ending lower. Consumer staples were another relative laggard. Altria (MO -0.54%) edged lower.
Treasuries surged after the Fed's statement. The benchmark 10-year note jumped more than a full point to yield 1.91%. The 30-year bond rallied over two full points to yield 2.50%.
Commodities turned broadly positive amid a plunge in the dollar. WTI crude gained +4.2% to $45.28/brl. and gold climbed +2.1% to $1,172.10/oz. In FOREX, the dollar slid -1.8% with the euro finishing +3% higher to 1.0904/EUR and the yen advancing +1.2% to ¥119.91/USD.
The Featured Stocks Page shows recent notes and Headline Links directing members to detailed analysis with data-packed graphs annotated by a Certified expert. See the Premium Member Homepage for archives to all prior pay reports published.
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Kenneth J. Gruneisen started out as a licensed stockbroker in August 1987, a couple of months prior to the historic stock market crash that took the Dow Jones Industrial Average down -22.6% in a single day. He has published daily fact-based fundamental and technical analysis on high-ranked stocks online for two decades. Through FACTBASEDINVESTING.COM, Kenneth provides educational articles, news, market commentary, and other information regarding proven investment systems that work in good times and bad.
Comments contained in the body of this report are technical opinions only and are not necessarily those of Gruneisen Growth Corp. The material herein has been obtained from sources believed to be reliable and accurate, however, its accuracy and completeness cannot be guaranteed. Our firm, employees, and customers may effect transactions, including transactions contrary to any recommendation herein, or have positions in the securities mentioned herein or options with respect thereto. Any recommendation contained in this report may not be suitable for all investors and it is not to be deemed an offer or solicitation on our part with respect to the purchase or sale of any securities. |
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Commodity-Linked Groups Outpaced Retail and Tech Gains
Kenneth J. Gruneisen - Passed the CAN SLIM® Master's Exam
The Retail Index ($RLX +0.62%) posted a modest gain that helped the major averages' rally on Wednesday. The tech sector saw gains for the Semiconductor Index ($SOX +0.74%) and the Networking Index ($NWX +0.89%). The Biotechnology Index ($BTK -0.12%) edged lower, and there was a negative bias to the financials as the Broker/Dealer Index ($XBD -0.71%) and the Bank Index ($BKX -0.27%) both lost ground. Commodity-linked groups were standout gainers as the Gold & Silver Index ($XAU +4.95%) outpaced the Oil Services Index ($OSX +2.67%) and the Integrated Oil Index ($XOI +3.20%).
Charts courtesy www.stockcharts.com
PICTURED: The Retail Index ($RLX +0.62%) is consolidating well above its 50-day moving aerage (DMA) line, perched near its highs.
Oil Services |
$OSX |
187.33 |
+4.88 |
+2.67% |
-11.16% |
Integrated Oil |
$XOI |
1,328.36 |
+41.24 |
+3.20% |
-1.47% |
Semiconductor |
$SOX |
718.48 |
+5.29 |
+0.74% |
+4.60% |
Networking |
$NWX |
378.80 |
+3.35 |
+0.89% |
+5.83% |
Broker/Dealer |
$XBD |
190.33 |
-1.36 |
-0.71% |
+3.08% |
Retail |
$RLX |
1,122.75 |
+6.92 |
+0.62% |
+8.72% |
Gold & Silver |
$XAU |
67.58 |
+3.19 |
+4.95% |
-1.74% |
Bank |
$BKX |
73.89 |
-0.20 |
-0.27% |
-0.50% |
Biotech |
$BTK |
4,170.13 |
-4.89 |
-0.12% |
+21.26% |
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Hovering Near Highs Extended From Prior Base
Kenneth J. Gruneisen - Passed the CAN SLIM® Master's Exam
Epam Systems Inc (EPAM -$0.20 or -5.81% to $61.53) has been stubbornly holding its ground near its 52-week high. Recent action had the look of serious institutional buying demand, however, it is too extended from the prior base to be considered buyable under the fact-based investment system's guidelines. Its 50-day moving average (DMA) line and prior highs in the $52 area define support to watch on pullbacks.
The high-ranked Computer - Tech Services firm reported Dec '14 earnings +29% on +28% sales revenues. Its 5 consecutive quarters with earnings above the +25% guideline makes it a solid match concerning the C criteria. Annual earnings growth (A criteria) has been strong. EPAM was last shown in this FSU section on 2/26/15 with annotated graphs under the headline, "Extended From Base Following Volume Driven Gains". Its Relative Strength rating of 96 is now well above the 80+ minimum guideline for buy candidates. Its Relative Strength line (the jagged blue line) has also been hitting new all-time highs.
It completed Secondary Offerings 8/30/13 and 9/17/13. Its Up/Down Volume ratio of 1.9 is an unbiased indication its shares have been under accumulation over the past 50 days. The number of top-rated funds owning its shares rose from 254 in Dec '13 to 324 Dec '14, a reassuring sign concerning the I criteria. Its small supply of only 37.1 million shares (S criteria) in the pubic float can contribute to greater volatility in the event of institutional buying or selling.
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Color Codes Explained :
Y - Better candidates highlighted by our
staff of experts. G - Previously featured
in past reports as yellow but may no longer be buyable under the
guidelines.
***Last / Change / Volume data in this table is the closing quote data***
Symbol/Exchange
Company Name
Industry Group |
PRICE |
CHANGE (%Change) |
Day High |
Volume (% DAV) (% 50 day avg vol) |
52 Wk Hi % From Hi |
Featured Date |
Price Featured |
Pivot Featured |
Max Buy |
ACT
-
NYSE
Actavis plc
Medical-Generic Drugs
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$313.95
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+6.44
2.09% |
$315.00
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5,804,316 183.45% of 50 DAV
50 DAV is 3,164,000
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$308.75 1.68%
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12/29/2014
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$260.22
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PP = $272.85
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MB = $286.49
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Most Recent Note - 3/18/2015 12:10:03 PM
G - Hitting another new 52-week high with today's 6th consecutive gain, getting more extended from any sound base. Completed a new Public Offering on 2/25/15. Reported Dec '14 earnings +23%, below the +25% minimum guideline (C criteria) of the fact-based investment system. Its 50 DMA line defines support where violations would raise more serious concerns.
>>> FEATURED STOCK ARTICLE : Extended From Base After Completing New Public Offering - 3/13/2015
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C
A N
S L
I M
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AKAM
-
NASDAQ
Akamai Technologies Inc
INTERNET - Internet Software and Services
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$72.88
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+0.82
1.14% |
$73.20
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1,280,898 74.64% of 50 DAV
50 DAV is 1,716,000
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$72.41 0.65%
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2/13/2015
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$68.46
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PP = $65.49
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MB = $68.76
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Most Recent Note - 3/16/2015 6:03:32 PM
G - Rallied from a brief consolidation to a new 52-week high with today's gain lacking great volume conviction. Prior highs in the $65 area and its 50 DMA line coincide defining important support to watch on pullbacks.
>>> FEATURED STOCK ARTICLE : Holding Ground Extended From Prior Base - 3/4/2015
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C
A N
S L
I M
|
AMBA
-
NASDAQ
Ambarella Inc
ELECTRONICS - Semiconductor - Specialized
|
$68.48
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+0.67
0.99% |
$68.60
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1,152,024 56.25% of 50 DAV
50 DAV is 2,048,000
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$69.92 -2.06%
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3/2/2015
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$60.54
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PP = $63.30
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MB = $66.47
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Most Recent Note - 3/16/2015 6:05:22 PM
G - Wedged further above its "max buy" level with today's gain lacking volume conviction. Disciplined investors avoid chasing stocks more than +5% above their prior highs. Prior highs near $63 define important near term support to watch on pullbacks.
>>> FEATURED STOCK ARTICLE : Rallied Above Max Buy Level Following Strong Earnings News - 3/10/2015
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C
A N
S L
I M
|
EPAM
-
NYSE
Epam Systems Inc
COMPUTER SOFTWARE and SERVICES - Information Technology Service
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$61.53
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-0.20
-0.32% |
$61.96
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404,790 115.32% of 50 DAV
50 DAV is 351,000
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$63.50 -3.10%
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2/5/2015
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$51.39
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PP = $52.99
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MB = $55.64
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Most Recent Note - 3/18/2015 5:44:15 PM
G - Still hovering near its 52-week high, holding its ground while extended from the prior base. Prior highs in the $52 area define support to watch on pullbacks. See the latest FSU analysis for more details and new annotated graphs.
>>> FEATURED STOCK ARTICLE : Hovering Near Highs Extended From Prior Base - 3/18/2015
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C
A N
S L
I M
|
FB
-
NASDAQ
Facebook Inc Cl A
INTERNET
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$80.91
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+1.55
1.95% |
$81.24
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36,734,162 145.51% of 50 DAV
50 DAV is 25,245,000
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$82.17 -1.53%
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2/20/2015
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$81.79
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PP = $78.47
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MB = $82.39
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Most Recent Note - 3/18/2015 12:24:02 PM
G - Consolidating above support at its 50 DMA line, perched near its 52 week high, making limited progress in recent months. Its Relative Strength rating is at 75, below the 80+ minimum guideline for new buy candidates.
>>> FEATURED STOCK ARTICLE : Relative Strength Rating Fell While Encountering Resistance - 3/11/2015
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C
A N
S L
I M
|
Symbol/Exchange
Company Name
Industry Group |
PRICE |
CHANGE (%Change) |
Day High |
Volume (% DAV) (% 50 day avg vol) |
52 Wk Hi % From Hi |
Featured Date |
Price Featured |
Pivot Featured |
Max Buy |
ILMN
-
NASDAQ
Illumina Inc
DRUGS - Biotechnology
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$195.09
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+0.59
0.30% |
$196.98
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679,398 54.83% of 50 DAV
50 DAV is 1,239,000
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$213.33 -8.55%
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12/30/2014
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$186.26
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PP = $196.00
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MB = $205.80
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Most Recent Note - 3/16/2015 6:10:33 PM
Y - Color code is changed to yellow after a rebounded above its 50 DMA line with a big gain today on higher volume but still below average volume. Now -7.8% off its high, its Relative Strength rating has improved to 81, back above the 80+ minimum for buy candidates.
>>> FEATURED STOCK ARTICLE : Found Support at 50-Day Moving Average Line But Relative Strength Has Slumped - 3/5/2015
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C
A N
S L
I M
|
JLL
-
NYSE
Jones Lang Lasalle Inc
REAL ESTATE - Property Management/Developmen
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$164.46
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+3.68
2.29% |
$165.73
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301,686 99.24% of 50 DAV
50 DAV is 304,000
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$164.48 -0.01%
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2/3/2015
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$156.95
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PP = $154.66
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MB = $162.39
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Most Recent Note - 3/18/2015 3:17:50 PM
G - Color code is changed to green while hitting a new high with today's 3rd consecutive gain and rallying above its "max buy" level. Prior highs in the $154 area and its 50 DMA line acted as support. Subsequent losses below the recent low ($153.42 on 3/11/15) would raise greater concerns and trigger a technical sell signal.
>>> FEATURED STOCK ARTICLE : Found Support Near Prior Highs and 50-Day Moving Average Line - 3/17/2015
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C
A N
S L
I M
|
LNKD
-
NYSE
Linkedin Corp Class A
INTERNET - Internet Information Providers
|
$260.15
|
+1.44
0.56% |
$260.46
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1,592,677 100.23% of 50 DAV
50 DAV is 1,589,000
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$276.18 -5.80%
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2/6/2015
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$269.83
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PP = $243.35
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MB = $255.52
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Most Recent Note - 3/18/2015 5:46:22 PM
G - Consolidating above its 50 DMA line. Made no progress since the considerable "breakaway gap" noted in the 2/06/15 mid-day report (read here). It remains extended from prior highs.
>>> FEATURED STOCK ARTICLE : Holding Ground Following Breakaway Gap - 2/27/2015
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C
A N
S L
I M
|
NXPI
-
NASDAQ
Nxp Semiconductors N V
ELECTRONICS - Semiconductor - Broad Line
|
$105.36
|
+1.53
1.47% |
$105.88
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2,760,907 71.75% of 50 DAV
50 DAV is 3,848,000
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$105.12 0.23%
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1/5/2015
|
$76.43
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PP = $78.44
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MB = $82.36
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Most Recent Note - 3/18/2015 5:47:36 PM
G - Hit another new all-time high today, getting more extended from its prior base. Disciplined investors avoid chasing extended stocks.
>>> FEATURED STOCK ARTICLE : Very Extended Following Gap Up Gain on M&A News - 3/9/2015
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C
A N
S L
I M
|
PANW
-
NYSE
Palo Alto Networks
Computer Sftwr-Security
|
$145.16
|
+0.24
0.17% |
$146.07
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1,222,718 94.35% of 50 DAV
50 DAV is 1,296,000
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$149.35 -2.81%
|
7/30/2014
|
$84.21
|
PP = $85.88
|
MB = $90.17
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Most Recent Note - 3/16/2015 5:56:46 PM
G - Volume totals have been cooling since spiking to a new 52-week high with heavy volume on 3/03/15. Its 50 DMA line (now $132.20) defines near-term support to watch on pullbacks where a violation may trigger a technical sell signal. After breaking out 9/02/14 it has spent very little time basing, and it is very extended from any sound base, yet could produce more climactic gains.
>>> FEATURED STOCK ARTICLE : Fundamentals Improved But No New Base Has Formed - 3/12/2015
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C
A N
S L
I M
|
Symbol/Exchange
Company Name
Industry Group |
PRICE |
CHANGE (%Change) |
Day High |
Volume (% DAV) (% 50 day avg vol) |
52 Wk Hi % From Hi |
Featured Date |
Price Featured |
Pivot Featured |
Max Buy |
QLYS
-
NASDAQ
Qualys Inc
Computer Sftwr-Security
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$47.28
|
+0.71
1.52% |
$47.45
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518,804 136.17% of 50 DAV
50 DAV is 381,000
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$50.00 -5.44%
|
2/6/2015
|
$42.24
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PP = $40.84
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MB = $42.88
|
Most Recent Note - 3/17/2015 5:46:15 PM
G - Posted a solid gain today with above average volume. It is extended from its prior base and consolidating above prior highs in the $40-41 area and its 50 DMA line which define important near-term support to watch.
>>> FEATURED STOCK ARTICLE : Near Highs and Tallying Another Big Volume-Driven Gain - 3/2/2015
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C
A N
S L
I M
|
REIS
-
NASDAQ
Reis Inc
Real Estate Dvlpmt/Ops
|
$26.58
|
+0.13
0.49% |
$26.65
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20,455 70.53% of 50 DAV
50 DAV is 29,000
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$28.82 -7.77%
|
3/16/2015
|
$25.65
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PP = $26.64
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MB = $27.97
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Most Recent Note - 3/17/2015 5:45:01 PM
Y - Posted a 2nd consecutive volume-driven gain today approaching its pivot point. Highlighted in yellow with pivot point cited based on its 1/06/15 high plus 10 cents in the 3/16/15 mid-day report (read here). Subsequent volume-driven gains above the pivot point are still needed to trigger a technical buy signal. Showed earnings increases above the +25% minimum guideline (C criteria) through the Dec '14 quarter. See the latest FSU analysis for more details and new annotated graphs.
>>> FEATURED STOCK ARTICLE : Found Support at Long-Term Average and Fundamentals Are Good - 3/16/2015
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A N
S L
I M
|
VRX
-
NYSE
Valeant Pharmaceuticals
DRUGS - Drug Manufacturers - Other
|
$203.41
|
+2.68
1.34% |
$204.70
|
1,528,766 43.16% of 50 DAV
50 DAV is 3,542,000
|
$206.84 -1.66%
|
1/5/2015
|
$144.84
|
PP = $149.90
|
MB = $157.40
|
Most Recent Note - 3/16/2015 6:06:50 PM
G - Rose today on near average volume after Salix Pharmaceuticals (SLXP) accepted its increased buyout offer. VRX's latest earnings for Dec '14 quarter raised concerns. It is very extended from any sound base. Its 50 DMA line defines the closest support to watch.
>>> FEATURED STOCK ARTICLE : Extended From Sound Base; Earnings Below +25% Raised Concerns - 3/3/2015
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A N
S L
I M
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THESE ARE NOT BUY RECOMMENDATIONS!
Comments contained in the body of this report are technical
opinions only. The material herein has been obtained
from sources believed to be reliable and accurate, however,
its accuracy and completeness cannot be guaranteed.
This site is not an investment advisor, hence it does
not endorse or recommend any securities or other investments.
Any recommendation contained in this report may not
be suitable for all investors and it is not to be deemed
an offer or solicitation on our part with respect to
the purchase or sale of any securities. All trademarks,
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