Thursday's Game Plan

The market continued to hold below previous key support levels, thus the continued weakness in the market. The SPY sold off on major volume yesterday, 467 million shares which is more than double the average volume of the SPY. Yesterday's low is the new key support level in the market and should we fail to breach and hold below it and head above 129.50 then I expect an extended box to form between 134.50-125.00. This being said, I will remain in momentum mode, booking profits as I come across them. Technology was the weakest sector yesterday as the QQQQ sold off along with oil. The strongest sectors yesterday were the retailers and healthcare sectors.


Longs:

SWN

Breakouts:

CHK>36.00
CNX>54.00
CCL(ID)
COF(ID)
SBUX(ID)

Shorts:

PEP
HPQ
KO
COST
XOM
AET
AU

Breakdowns:

HAL<42.50
RTN<49.50