Market Sentiment

I rarely watch CNBC, usually only when I'm waiting to hear the FOMC policy decisions. I did use a video of Cramer on Wall Street Confidential telling Aaron Task how he use to manipulate the markets as a fund manager. That was a good interview and Cramer even said, "I'd never talk about this on my show". One thing he said that I think is a pretty accurate insight is, "The market's aren't about value, they're about perception" or you might say, sentiment.

Interestingly, today the market s behaving pretty well considering Consumer Confidence missed and declined by about 3+ points. As an aside, the CC numbers were out before 10 a.m., so when we talk about embargoes being broken, someone clearly leaked the CC number this morning so yes, it does happen, usually we don't hear about it though or get the information, today was an exception.

Here are the major averages.

 DIA has filled the gap it was having some trouble with and is headed toward the breakout level.

 On 6/21-6/22 I was saying the market wasn't ready to breakout and needed a pullback and there needed to be signs of positive 3C divergence during the pullback. Well we got the pullback the next day and this 15 min chart of the DIA shows the pullback was a healthy one.

 The NASDAQ has gone ahead and broke out. Volume wasn't special, but we do have a breakout there.

 And the hourly chart of the QQQ pullback

 The SPY has filled the gap as well and is close to the breakout area, even with financials lagging the market severely.

 Here's the SPY pullback

 As  mentioned, the S&P is up, if it weren't for energy, I don't think that would be the case.

 Financials are at 0% on the day, a major S&P component. Energy has made up for financials poor performance today.

And technology is doing well today, lifting the NASDAQ.

We'll have to see if there was enough accumulation to push through resistance for the Dow and S&P.

As a side note, keep an eye on CSUN, it's doing what was expected and is about $.08 off our target zone.