News:
On Monday, markets opened the final quarter of the year with mixed feelings.
The indexes settle mixed…
- Dow Jones -0.2%
- Nasdaq +0.7%
- S&P 500 +0.0%
- Russell 2000 -1.6%
The indexes closed well off their lows, giving bulls a reason to cheer.
Beneath the surface, it was ugly.
- 74% of listed stocks declined
- 22% advanced
Sector Round Up
Of the 11 sectors, only 3 closed in the green on Monday. Notably, the three “risk-on” sectors were the only sectors to close positive.
The winners…
- Technology (XLK) +1.1%
- Communications (XLC) +0.8%
- Consumer Discretionary (XLY) +0.1%
At the bottom…
- Real Estate (XLRE) -1.8%
- Energy (XLE) -2.0%
- Utilities (XLU) -4.7%
“Safe” Sector Slump
The Utilities sector fell off a cliff on Monday.
At writing, utilities are trading below their 2020 crash lows.
Click Here to see exactly what’s causing the carnage.
Technicals:
Fear is still absent from the market.
During Monday’s session, The VIX popped but above 18. But ultimately, that level was rejected.
Your latest readout…
- RSI levels the Dow remains oversold … the rest are neutral, still
- The put-to-call ratio remained oversold
Timing:
Much of our seasonal analysis is based on research and data from the Stock Trader’s Almanac.
Today, we’ll leave with a quote from their October Almanac page…
“October is a great time to buy.”
Watchlist:
*Low Float
^Open Position
*IMMX support at $3.75
*FEMY on watch
*SHOT support at $1.40, resistance at $1.55
*GRPN support at $14
*HRTG support at $6
*GLBS support at $1.80
LFMD support at $5.50
GIII support at $24, resistance at $25
METC support at $10, resistance at $11
APLT support at $2.50, resistance at $2.80
TNGX support at $11
Secondary watchlist—float 100+ million
TAL support at $8