By Michael Ashbaugh, MarketWatch
Looking elsewhere, the SPDR Trust S&P 500 /zigman2/quotes/209901640/composite SPY +0.40% has extended a break atop the trendline, rising to tag a record close across four of the prior five sessions.
To reiterate, the breakout point pivots to notable support, an area spanning from about 332.95 to 334.20.
Placing a finer point on the S&P 500, its backdrop remains bullish, and relatively straightforward.
To start, the S&P has established consecutive ranges — flag-like patterns — signaling still muted selling pressure near record highs. Bullish price action.
Tactically, the January peak (3,337) marks the first notable floor, and is followed by gap support (3,314). The ascending 20-day moving average, currently 3,316 (illustrated below), matches the latter.
Delving deeper, the 3,280 support matches the early-month gap, and remains a near-term bull-bear inflection point.
More broadly, the 50-day moving average, currently 3,260, is followed by the more important 3,215 support. The S&P has not closed under the 50-day since Oct. 9, a four-month span, the hallmark of a strong trend.
To reiterate, the S&P’s intermediate-term bias remains bullish barring a violation of the 3,215 area.
Conversely, a near- to intermediate-term S&P 500 target projects from the January low to about 3,445, an area detailed previously. The February peak (3,385) has registered within striking distance, about 1.8% under the target
Tuesday’s Watch List
The charts below detail names that are technically well positioned. These are radar screen names — sectors or stocks poised to move in the near term. For the original comments on the stocks below, see The Technical Indicator Library.
Drilling down further, the SPDR Gold Shares ETF /zigman2/quotes/200593176/composite GLD +0.46% is acting well technically, rising at least partly (though not exclusively) amid a recent safe-haven trade.
As illustrated, the shares have asserted an orderly 2020 range, digesting the decisive December trendline breakout.
The range top (149.68) matches six-year highs, and is under siege to start this week. A near-term target projects to the 153 area on follow-through.
More broadly, the shares remain well positioned on the 10-year chart, rising from a bullish continuation pattern. Also recall that the GLD’s relative strength index (not illustrated) has recently registered its two best levels on record — the June 2019 and January 2020 prints — laying the groundwork for potentially material longer-term follow-through.
Tactically, a sustained posture atop the breakout point, circa 145.00, supports a firmly-bullish bias.
Initially profiled Jan. 24, Akamai Technologies, Inc. /zigman2/quotes/203072268/composite AKAM -0.09% remains well positioned.
Technically, the shares have recently knifed to 19-year highs, rising after the company’s strong quarterly results.
The immediate pullback has been comparably flat, fueled by decreased volume, positioning the shares to build on initial spike.
Tactically, the breakout point (96.50) pivots to first support. Delving deeper, the 50-day moving average has marked an inflection point and is rising toward the former range bottom (93.00). A sustained posture atop this area supports a bullish bias.
Nasdaq, Inc. /zigman2/quotes/205547889/composite NDAQ +0.35% is a well positioned large-cap name.
Late last month, the shares knifed to record territory, rising after the company’s fourth-quarter results. The upturn registered as a bullish two standard deviation breakout, encompassing six straight closes atop the 20-day Bollinger bands.
More immediately, the prevailing pullback has been orderly, placing the shares 3.5% under the February peak. Tactically, a near-term floor matches the post-breakout low (112.94) and the prevailing rally attempt is firmly intact barring a violation.
Monster Beverage Corp. /zigman2/quotes/205899417/composite MNST +0.95% is a large-cap name positioned to rise.
The shares started February with a strong-volume breakout, rising to challenge the record high (70.22), established January 2018.
The subsequent tight range — or flag-like pattern — signals muted selling pressure near major resistance, laying the groundwork for potentially decisive follow-through. Tactically, trendline support closely matches the January peak (68.01) and a breakout attempt is in play barring a violation.
Finally, American Airlines Group, Inc. /zigman2/quotes/209207041/composite AAL +5.81% is a large-cap carrier showing signs of life.
As illustrated, the shares have recently knifed atop trendline resistance closely tracking the 200-day moving average. The breakout raises the flag to a potential primary trend shift.
Tactically, the former range top (29.30) closely matches the 200-day, and is followed by the trendline, circa 28.80. The recovery attempt is intact barring a violation.
Editor’s Note: This is a free edition of The Technical Indicator, a daily MarketWatch subscriber newsletter. To get this column each market day, click here.
Still well positioned
The table below includes names recently profiled in The Technical Indicator that remain well positioned. For the original comments, see The Technical Indicator Library.
|Visa, Inc.||V||Feb. 13|
|Ambarella, Inc.||AMBA||Feb. 13|
|SolarEdge Technologies, Inc.||SEDG||Feb. 13|
|Hovnanian Enterprises, Inc.||HOV||Feb. 13|
|Lowe’s Companies, Inc.||LOW||Feb. 12|
|Eaton Corp.||ETN||Feb. 12|
|Zimmer Biomet Holdings, Inc.||ZBH||Feb. 12|
|Elastic N.V.||ESTC||Feb. 12|
|Lumentum Holdings, Inc.||LITE||Feb. 11|
|Shake Shack, Inc.||SHAK||Feb. 11|
|iShares Nasdaq Biotechnology ETF||IBB||Feb. 10|
|Lennar Corp.||LEN||Feb. 10|
|Perrigo Co.||PRGO||Feb. 10|
|Kodiak Sciences, Inc.||KOD||Feb. 10|
|Twitter, Inc.||TWTR||Feb. 7|
|Church & Dwight Co., Inc. is||CHD||Feb. 7|
|Tandem Diabetes Care, Inc.||TNDM||Feb. 7|
|Momenta Pharmaceuticals, Inc.||MNTA||Feb. 7|
|BioMarin Pharmaceutical, Inc.||BMRN||Feb. 6|
|Boeing, Inc.||BA||Feb. 6|
|Cognizant Technology Solutions Corp.||CTSH||Feb. 6|
|iShares Europe ETF||IEV||Feb. 5|
|Norfolk Southern Corp.||NSC||Feb. 5|
|Vertex Pharmaceuticals, Inc.||VRTX||Feb. 5|
|Five9, Inc.||FIVN||Feb. 5|
|L Brands, Inc.||LB||Feb. 5|
|Financial Select Sector SPDR||XLF||Feb. 4|
|STMicroelectronics, Inc.||STM||Feb. 4|
|PTC, Inc.||PTC||Feb. 4|
|Okta, Inc.||OKTA||Jan. 31|
|eHealth, Inc.||EHTH||Jan. 31|
|JetBlue Airways Corp.||JBLU||Jan. 31|
|PepsiCo, Inc.||PEP||Jan. 30|
|Abbott Laboratories||ABT||Jan. 30|
|United Therapeutics Corp.||UTHR||Jan. 30|
|Morgan Stanley||MS||Jan. 29|
|Halozyme Therapeutics, Inc.||HALO||Jan. 29|
|Akamai Technologies, Inc.||AKAM||Jan. 24|
|StoneCo Ltd.||STNE||Jan. 24|
|Spirit Airlines, Inc.||SAVE||Jan. 23|
|Himax Technologies, Inc.||HIMX||Jan. 23|
|International Business Machines||IBM||Jan. 22|
|Yeti Holdings, Inc.||YETI||Jan. 22|
|Home Depot, Inc.||HD||Jan. 21|
|PulteGroup, Inc.||PHM||Jan. 16|
|Square, Inc.||SQ||Jan. 16|
|SailPoint Technologies Holdings, Inc.||SAIL||Jan. 15|
|SPDR S&P Homebuilders ETF||XHB||Jan. 14|
|Netflix, Inc.||NFLX||Jan. 14|
|Newmont Corp.||NEM||Jan. 13|
|SBA Communications Corp.||SBAC||Jan. 13|
|CME Group, Inc.||CME||Jan. 10|
|Motorola Solutions, Inc.||MSI||Jan. 10|
|fMcDonald’s Corp.||MCD||Jan. 9|
|Micron Technology, Inc.||MU||Jan. 8|
|Zendesk, Inc.||ZEN||Jan. 8|
|Fortinet, Inc.||FTNT||Jan. 7|
|Atlassian Corp.||TEAM||Jan. 7|
|Twilio, Inc.||TWLO||Jan. 7|
|Coupa Software, Inc.||COUP||Jan. 6|
|Progressive Corp.||PGR||Jan. 6|
|SPDR Gold Shares ETF||GLD||Jan. 2|
|Amazon.com, Inc.||AMZN||Jan. 2|
|Union Pacific Corp.||UNP||Dec. 23|
|Activision Blizzard, Inc.||ATVI||Dec. 20|
|Air Products and Chemicals, Inc.||APD||Dec. 18|
|PTC Therapeutics, Inc.||PTCT||Dec. 18|
|Autodesk, Inc.||ADSK||Dec. 17|
|American Express Co.||AXP||Dec. 16|
|Paycom Software, Inc.||PAYC||Dec. 16|
|NXP Semiconductors N.V.||NXPI||Dec. 11|
|Bristol-Myers Squibb Co.||BMY||Dec. 10|
|Splunk, Inc.||SPLK||Dec. 9|
|Macom Technology Solutions Holding, Inc.||MTSI||Dec. 6|
|Yamana Gold. Inc.||AUY||Dec. 5|
|VanEck Vectors Gold Miners ETF||GDX||Dec. 3|
|Pan American Silver Corp.||PAAS||Dec. 3|
|Nuance Communications, Inc.||NUAN||Dec. 3|
|Stanley Black & Decker, Inc.||SWK||Nov. 25|
|Baidu, Inc.||BIDU||Nov. 22|
|Medtronic plc||MDT||Nov. 21|
|Wheaton Precious Metals Corp.||WPM||Nov. 20|
|Nevro Corp.||NVRO||Nov. 19|
|Agios Pharmaceuticals, Inc.||AGIO||Nov. 18|
|Allstate Corp.||ALL||Nov. 14|
|Adobe, Inc.||ADBE||Nov. 14|
|Health Care Select Sector SPDR||XLV||Nov. 11|
|Advanced Micro Devices, Inc.||AMD||Nov. 7|
|Alibaba Holdings Group, Ltd.||BABA||Nov. 5|
|Alphabet, Inc.||GOOGL||Nov. 4|
|Teledoc Health, Inc.||TDOC||Nov. 1|
|Salesforce.com, Inc.||CRM||Oct. 31|
|Citrix Systems, Inc.||CTXS||Oct. 31|
|Industrial Select Sector SPDR||XLI||Oct. 31|
|Invesco QQQ Trust||QQQ||Oct. 30|
|Centene Corp.||CNC||Oct. 30|
|Generac Holdings, Inc.||GNRC||Oct. 25|
|RingCentral, Inc.||RNG||Oct. 24|
|United Technologies Corp.||UTX||Oct. 23|
|Nvidia Corp.||NVDA||Oct. 22|
|Tesla, Inc.||TSLA||Oct. 21|
|Garmin, Ltd.||GRMN||Oct. 18|
|Skyworks Solutions, Inc.||SWKS||Oct. 15|
|Taiwan Semiconductor Manufacturing Co.||TSM||Sept. 27|
|Nike, Inc.||NKE||Sept. 26|
|Toll Brothers, Inc.||TOL||Sept.25|
|Intel Corp.||INTC||Sept. 18|
|VanEck Vectors Semiconductor ETF||SMH||Sept. 11|
|Kansas City Southern||KSU||Sept. 10|
|Lam Research Corp.||LRCX||Sept. 3|
|iShares U.S. Home Construction ETF||ITB||Aug. 27|
|Apple, Inc.||AAPL||Aug. 21|
|XPO Logistics, Inc.||XPO||Aug. 20|
|Itron, Inc.||ITRI||Aug. 19|
|D.R. Horton, Inc.||DHI||July 31|
|Teradyne, Inc.||TER||July 30|
|Franco-Nevada Corp.||FNV||July 18|
|Inphi Corp.||IPHI||July 8|
|Lululemon Athletica, Inc.||LULU||June 19|
|Ross Stores, Inc.||ROST||June 14|
|Consumer Staples Select Sector SPDR||XLP||Mar. 28|
|iShares U.S. Real Estate ETF||IYR||Mar. 13|
|Costco Wholesale Corp.||COST||Mar. 6|
|Microsoft Corp.||MSFT||Feb. 22|
|Procter & Gamble Co.||PG||Feb. 8|
|Applied Materials, Inc.||AMAT||Jan. 25|
|Utilities Select Sector SPDR||XLU||Oct. 25|