brettstockblog's Blog : BTDStocks.com Monday, December 20, 2010 End-Of-Day Update

The S&P 500 (SPY) and Nasdaq Composite (QQQQ) closed higher today with small gains while the DJIA (DIA) closed down slightly. Breadth indicators were mixed and trading activity was well below normal levels which indicate there is not strong investor participation as some of the indexes reach levels it has not seen since the years of 2007 and 2008. This could be in part to the type of low activity that usually occurs during the pre-holiday. But with the market setting new highs for the year and reaching levels it has not seen in a few years it is better to see strong participation from investors during these points (which right now is not happening). However, keeping with the trend we are raising the resistance levels on the S&P 500 and Nasdaq Composite slightly above their respective closes today (see below). We are keeping the support levels the same for the major indexes for now. Overall, we believe the prudent approach is to continue selling into strength based on the current stock market direction. If you need to own stocks, please see our watch list.

SUMMARY

DJIA: Down 0.1% to 11,478

S&P 500: Up 0.3% to 1,247

Nasdaq Composite: Up 0.3% to 2,650

BREADTH FOR NYSE

Advancing Issues: 1,516

Declining Issues: 1,553

Advance/Decline Ratio: .98 to 1

New Highs: 196

New Lows: 16

High/Low Ratio: 12 to 1

SUPPORT/RESISTANCE LEVELS

DJIA: 11,444/11,499

S&P 500: 1,226/1,249

Nasdaq Composite: 2,580/2,652

SECTOR ANALYSIS

Energy was the best performing sector up 0.7% while Consumer Staples was the worst performing sector down 0.1%.

Other Sectors:

Consumer Discretionary Up 0.6%

Financials Up 0.1%

Health Care Flat

Industrials Flat

Materials Up 0.3%

Technology Up 0.1%

Utilities Up 0.1%

WATCH LIST SYMBOLS

(APOL) since 10/28/10

(SH) since 11/12/10

(NUVA) since 11/12/10

(CSCO) since 12/2/10

(PSQ) since 12/8/10

(UUP) since 12/8/10

(EUO) since 12/8/10

(RWM) since 12/16/10

No positions in securities mentioned.

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