brettstockblog's Blog : BTDStocks.com Monday, December 27, 2010 End-Of-Day Update

Stocks saw mixed results on low trading activity today in part because many traders on Wall Street didn't make it to work due to a blizzard. The session started out weak as China raised interest rates but by the close stocks were able to recoup most of the losses. Breadth indicators were slightly positive. We are leaving the support/resistance levels the same on the DJIA (DIA), S&P 500 (SPY), and Nasdaq Composite (QQQQ) (see below). Overall, we continue to feel the market is looking overbought and complacent with risk greater than reward. The best approach is to continue selling into strength and wait for a lower entry point to enter new stock positions. If you need to own stocks, please see our watch list. In our watch list Cisco (symbol: CSCO) had a nice day up 2.4% on a report in Barron's that the company and stock look well positioned going forward. Volume was below average so we will be watching the stock closely to see if it has more upside follow through.

SUMMARY

DJIA: Down 0.2% to 11,555

S&P 500: Up 0.1% to 1,258

Nasdaq Composite: Up 0.1% to 2,667

BREADTH FOR NYSE

Advancing Issues: 1,679

Declining Issues: 1,340

Advance/Decline Ratio: 1.3 to 1

New Highs: 100

New Lows: 12

High/Low Ratio: 8 to 1

SUPPORT/RESISTANCE LEVELS

DJIA: 11,444/11,573

S&P 500: 1,242/1,259

Nasdaq Composite: 2,638/2,671

SECTOR ANALYSIS

Financials was the best performing sectors up 0.9% while Consumer Staples was the worst performing sector down 0.5%.

Other Sectors:

Consumer Discretionary Down 0.3%

Energy Down 0.4%

Health Care Down 0.2%

Industrials Up 0.2%

Materials Up 0.2%

Technology Up 0.2%

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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