Last night, Rob Hanna from Quantifiable Edges pointed out that as of yesterday we've had eight consecutive days of alternating positive and negative closes for the S&P 500. Whether or not today will be the ninth remains to be seen, but the action remains choppy, as the S&P 500 flipped direction four times so far today. The Dow is mired in negative territory and the Nasdaq shows solid gains. The action under the surface is mixed and choppy as well, as semiconductor equipment stocks like Ultra Clean Holdings (UCTT) Lam Research (LRCX) , and Applied Materials (AMAT) (among others) lead to the upside, while Twitter (TWTR) and eBay (EBAY) are getting hit hard following their earnings reports.
Overall, the technical profile of this market remains positive, and the indices are within striking distance of the July highs after moving into position for a possible strong finish to the year. Nonetheless, it's hard not to notice the fact that both REITs and Utilities have some of the best charts in the market. Proctor & Gamble (PG) continues to march in a straight north-easterly path, which suggests that there's some significant money that's still not quite convinced that everything is suddenly super hunky-dory.
We'll see how the proverbial cookie crumbles, but in the meantime here are a couple of charts that may be of interest:
Vertex Pharmaceuticals (VRTX)
-- Written by Jim Koford