1st Discount Brokerage

The stock market indices had an up day today, although the day started out with a plunge to the downside. They took out immediate support, but quickly reversed and rallied sharply, with the Nasdaq 100 jumping from 2570 to 2598. The S&P 500 thrust from 1352 to 1362, and then they rolled over in the afternoon to retest, with the NDX coming down much harder than the S&P 500, which held up much better. They reversed in mid-afternoon and rallied back, and closed just off the highs for the day going away as a last-minute pullback brought them off the session highs. Net on the day, the Dow was up 46.02 at 12,984.69, with a high just under 13,000 at 12,997. The S&P 500 was up 5.80 to 1363.46, just a point off the high, and the Nasdaq 100 up 15.15 at 2594.93, less than 4 points off its high. Advance-declines moved solidly into the plus column, with 2162 up and 843 on the New York Stock Exchange, and 18 to 7 positive on Nasdaq. Up/down volume was 5 to 2 positive on New York, with total volume of 750 million shares traded today. Nasdaq traded about 1.75 billion shares, and had a 12 1/2 to 5 positive volume ratio. TheTechTrader.com board, as a result, was mostly higher. Leading the way, VIVUS, Inc. (VVUS), on a drug approval, exploded past 21, but closed at 18.73, up 8.18, or 77 1/2%, on 58.6 million shares. Sears Holdings Corporation (SHLD), after the announcement of the sale of several of their stores, was up 9.72 to 61.80, or 18.66% today. Smart Balance Inc (SMBL) gained 1.25 to 6.90, or 22%, on 1.9 million shares. Exterran Holdings (EXH) advanced 2.33 to 14.44, or 19%, on 4.2 million shares. Orexigen Therapeutics, Inc. (OREX) in sympathy with VIVUS jumped 45 cents to 3.66, or 14%, on 14.1 million shares. Metro PCS Communications, Inc. (PCS) added 1.42 to 11.70, or 13.8%, on 4.4 million shares, and Smith Micro Software, Inc. (SMSI) had a nice snapback move, up 33 cents to 2.65, or 14%. 3D Systems Corp (DDD) was up 2.38 to 23.31, Level 3 Communications, Inc. Co (LVLT) 2.62 to 23.51, BroadVision, Inc. (BVSN) 4.85 to 35.78, and Angie's List (ANGI) 1.01 to 15.47, which was substantially off the earlier high at 17.64. Low-priced Discovery Laboratories (DSCO) gained 31 cents to 3.13, Dillard's, Inc. (DDS) 5.63 to 57.83, Leap Wireless (LEAP) 1.07 to 10.80, and Mistras Group (MG) 1.67 to 23.00. In addition, SodaStream International Ltd. (SODA) rallied 2.76 to 41.79, while QEP Resources (QEP) was up 2.46 to 34.03, Akorn, Inc. (AKRX) 93 cents to 12.82, Questcor Pharmaceuticals, Inc. (QCOR) 2.72 to 37.46, and Fluor Corp (FLR) 3.63 to 63.99. Large-cap stocks were strong today, with Apple Inc. (AAPL) up 3.35 to 516.39, International Business Machines Corp. (IBM) 3.74 to 197.61, The Goldman Sachs Group, Inc. (GS) 1.44 to 115.80, Universal Display Corp. (PANL) 1.23 to 44.70, and Solarwinds, Inc. (SWI) 1.51 to 39.20. On the downside, the iPath S&P 500 VIX Short Term Futures (VXX) lost 1.68 to 24.13, the VelocityShares Daily 2x VIX (TVIX) was down 90 cents to 16.00 even, and the Direxion Daily Small Cap Bear 3X Shares (TZA) was off 85 cents to 18.28. Genco Shipping & Trading (GNK) dropped 1.11 to 7.10 today. Those were the only multiple-point losers on our board today. Stepping back and reviewing the hourly chart patterns, after a brief early, sharp dip, the indices rallied very sharply, went to new 2-day highs on the NDX, but could not get through on the S&P 500. They both backed off before a mid-afternoon rally brought the S&P 500 up through that resistance level to close positive on the session. All indices across the board had good technicals. It was a very good day for the bulls as key support -- both price and moving average support on the S&P 500 -- held in this pullback, which could mean that we’re not done yet on the upside. Let’s see what happens tomorrow. Good Trading! Harry