By ITMS News on March 10th, 2010 5:04pm Eastern Time

By ITMS News on March 10th, 2010 4:15pm Eastern Time

PRO TRADER WATCH LIST (part of the Research Center) PROFITS AGAIN!!

By InTheMoneyStocks on March 10th, 2010 3:54pm Eastern Time

Today has been another volatile day in the market. The action today was very similar yesterday's action as the major indexes are back at the January  highs.

By Nicholas Santiago on March 10th, 2010 3:28pm Eastern Time

As we all know the NASDAQ Composite index has soared with most of the major indexes since the February 5th pivot low in the markets. The Power Shares QQQ Trust, Series 1 ETF (NASDAQ:QQQQ) has made a new high for 2010. This is certainly bullish action whenever an index can make a new high. However, there is something troubling about this move higher, the lagging semi's.

Most traders know when an index is showing powerful strength the major component or industry group in the index should confirm by making a new high as well. If you look at the Semiconductors Holders Trust ETF (NYSE:SMH) you will see that it is below the January high. While it has rallied off the February 5th low it is not at a new high for the year. The semiconductors have historically lead the NASDAQ Composite, this time the sector is lagging the index.

Many of the leading stocks such as Intel Corp (NASDAQ:INTC), and Texas Instruments Inc (NYSE:TXN) have lagged the NASDAQ 100, and the NASDAQ Composite. These are two market leaders that are below there January highs.

The technically strong stocks in the semiconductor sector have been Sandisk Corp (NASDAQ:SNDK), and Cree Inc (NASDAQ:CREE). These two stocks are at new highs for the year and leading the industry group higher. They are both above their daily 50 and 200 moving averages.

There are some strong stocks, and there are some weak stocks in the semiconductor industry group. However, the overall group is below the January high. This could be a red flag as the semiconductors have usually lead the NASDAQ Composite higher. It is important to keep this sector on watch at all times as this could be one of the signals if the market declines.




Nicholas Santiago
Chief Market Strategist
InTheMoneyStocks.com


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By ITMS News on March 10th, 2010 3:18pm Eastern Time

Gainers

OCLS +51.38%
PSYS +18.57%
VICR +17.18%
KCI +13.21%
HRBN +13.51%


Decliners

MGH -11.49%
ABVT -10.86%
VITA -9.29%
FLOW -9.45%
SWSI -7.38%

By ITMS News on March 10th, 2010 3:02pm Eastern Time

Crude oil futures ended the session higher. Gold for April delivery was up 60 cents at $82.09 a barrel.

By ITMS News on March 10th, 2010 2:56pm Eastern Time

By InTheMoneyStocks.com on March 10th, 2010 2:29pm Eastern Time

By ITMS News on March 10th, 2010 2:16pm Eastern Time

The Treasury Department reported that the U.S. government had a budget deficit of $221 billion in February.

By ITMS News on March 10th, 2010 2:12pm Eastern Time

Gold futures headed lower  today. Gold for April delivery was down $1.70 at $1,122.30 an ounce.

By ITMS News on March 10th, 2010 1:37pm Eastern Time

The Labor Department reported that unemployment rose in 30 states in January. This is a better number than December when 43 states reported higher unemployment rates.

By ITMS News on March 10th, 2010 1:15pm Eastern Time

The Treasury Department sold $21 billion in 10-year notes at a yield of 3.735%.

By Nicholas Santiago on March 10th, 2010 1:00pm Eastern Time

Oil made a short term bottom on February 5th, 2010 after hitting an intra-day low price of 69.50. Since that time oil has rallied over 10 points to a high of 82.50 on March 9th, 2010. The continuous gasoline contract on the NYMEX was 1.87 on February 5th and it hit a recent high on March 9th at 2.29. These short term rallies for oil and gasoline have been powerful and very sharp. Can the U.S. consumer absorb these prices should they remain at these high levels?

In July of 2008 oil rallied to a high of 147 a barrel. At that time the NYMEX gasoline contract was around 3.40 and the price at the pump it was around 4.00 a gallon depending on your location in the country. A case can be made that this was the straw that broke the camels back and sent oil and the stock market into a virtual free fall.

Today most of talking heads and government figures talk about the so called economic recovery that is taking place in the United States. Meanwhile, unemployment in the U.S. is 9.7 percent according to government standards and nearly 20 percent according to others. The country is still facing a huge foreclosure problem with countless homes in default as we speak. All of this takes place as major global bank stocks continue to surge as the new accounting standards allow them to hide their bad or toxic assets.

The X-factor that many of the economists are overlooking is the high energy prices that plagued the market in 2008 and may certainly do it again in 2010. As many families scramble to keep their head above water the high energy prices will simply act as an automatic tax on the consumer. Regardless if this economy is in a deflationary spiral or an inflationary environment the price of necessary goods are going higher and will hurt consumers.

Oil and gasoline can be traded by using futures contracts or by trading the U.S. Oil Fund LP ETF (NYSE:USO), and for gasoline it can be traded by using the U.S. Gasoline Fund LP ETF (NYSE:UGA).

Nicholas Santiago
Chief Market Strategist
InTheMoneyStocks.com

By InTheMoneyStocks.com on March 10th, 2010 11:59am Eastern Time

The fact that gold has been crushed today with the dollar lower and the markets higher tells me a top is near.  Why?  Simply put, gold dropping tells me the average person, believes they can make far more money by going into riskier assets like stocks.  Why does that signal a top?  When the masses fully believe a rally is at hand, the rally has already happened and is over.  Sadistic? Yes!  Funny? not really!

The dollar opened flat to slightly higher today. Gold also opened higher. The dollar has fallen but gold has tanked sharply as well.  Generally, when the dollar falls gold spikes higher.  Much like we are seeing with oil today.  So why is gold dropping?  Just like I said before, gold is collapsing as the amateurs look to make more money in other assets.  Thus a perfect indicator of a top in the markets and stocks.

The gold indicator is truly a great one seen today.  Understand it and utilize it well.  In addition, join the Research Center to get all the long and short swing trades on the market, stocks, commodities and dollar.  Get it all so you can make money!  I will see you all there!

Gareth Soloway
Chief Market Strategist
InTheMoneyStocks.com

By InTheMoneyStocks.com on March 10th, 2010 11:46am Eastern Time

Financial and technology stocks jumped today as continued optimism on the global economy and a massive rebound regain their power.  Stocks like Goldman Sachs Group, Inc. (NYSE:GS), JPMorgan Chase & Co. (NYSE:JPM), Morgan Stanley (NYSE:MS) and even pathetic excuses for financial companies like American International Group, Inc. (NYSE:AIG) are soaring.

In addition to the financial powerhouse today, technology is also gaining a significant amount today.  The semiconductor sector is jumping.  The Semiconductor HOLDRs (NYSE:SMH) are spiking over 2%. Other technology stocks doing well today are Google Inc. (NASDAQ:GOOG), Apple Inc. (NASDAQ:AAPL) and Amazon.com, Inc. (NASDAQ:AMZN).

Now let's discuss the hardcore market on a base level.  Let's break it down.  The markets have inched up on the charts much like yesterday.  Yesterday we saw a rise all morning long, slow, steady. The same thing has happened today with the markets taking out the highs from yesterday at $114.99 and then even taking out the 52 week highs from January at $115.14.  Some would say, including myself that the markets were destined to take the stops out at the 52 week highs.  This gets some more bulls to pile on and the bears to either stop out or turn bullish themselves.

Oil has spiked higher today nearing a massive resistance line on the United States Oil Fund LP (NYSE:USO).  This line is at approximately $40.50.  Oil inventories were released at 10:30am ET and came in shy of estimates.  This punched oil higher.  In addition, the decline intra day of the dollar.

Watch where this market closes today.  Does it close below the previous 52 week high or above?  Do we see another drop late in the day as institutions sell like yesterday?  This will all be key data in understanding the next move in the market.

Gareth Soloway
Chief Market Strategist
InTheMoneyStocks.com