Stock Technical Analysis: Wk of 9/28/09

While QQQQ is still trading within the rising wedge channel, it is testing the resistance now.  Given last week’s distribution, I would be very cautious as a long, paying close attention to the prices in the next few weeks.  Now this could also mean it’s a buying opportunity, and shorts should not get too excited here and jump the gun.   Quarter end window dressing could play a role this week as well.  Exciting week for sure.

Financial Select Sector SPDR  (XLF)

For the same reasons mentioned last week, I am not too bullish on the financials right now.  Pay attention to the current support level this week.

SPDR S&P 500 (SPY)

S&P 500 is sitting right at the trendline looking to either break through the trend or bounce off, resuming it’s rally.  I wouldn’t be surprised if we see a bounce here given the quarter end window dressing, but we need to pay close attention to this trendline in the next few weeks.

United States Natural Gas Fund (UNG)

United States Natural Gas Fund (UNG) has been consolidating for the last two weeks trying to break through the resistance at $12.  I would not want to get into natural gas here if I’m depending on the technicals to suggest an entry point.  I would really want to see the price break through $12 and sustain it.

iShares Silver Trust (SLV) requested by Wayne (applies for ZSL silver short)

iShares Silver Trust (SLV) had quite a sell off last week and is now sitting at the support.  I’ve seen some investors accumulating more silver, seeing this as a buying opportunity.  It’ll be interesting to see where silver goes in the next few weeks.  If it breaks through this support, we won’t see a strong support for quite some time, so be careful on the long side.

SPDR Gold Trust (GLD) requested by Dorothy Wilcox

SPDR Gold Trust (GLD) broke through the symmetrical triangle pattern and has rallied since.  However, GLD continues to struggle at the next big resistance of $99.  Gold faced some big distribution week sitting at the $97 support level.  Here’s a video on Gold that’s interesting to watch.

Research in Motion Limited (RIMM) Requested by Jamieson

Research in Motion Limited (RIMM) just looks ugly now.  A massive sell-off after the earnings report that looked bleak in the future.  I personally don’t have a good assumption on where RIMM goes in the next few weeks, but I wouldn’t be surprised if it consolidated in a range for the next few weeks.  Bottom line, the damage has already been done, so RIMM won’t recover quickly unless positive news save the sentiment.

Apple, Inc (AAPL) requested by Jerry Perlmutter

AAPL Weekly Chart

Looking at Apple’s weekly chart for the past three years, you will see that it is right at the resistance level, nearing a 3 year high.  It did pull back slightly last week from the resistance.  Given AAPL has been a clear winner since March ’09, we may see further upside this week for quarter-end window dressing.  At the same time, I’m very skeptical as to how much more upside AAPL has from here.  If it’s going to break through the resistance and start making new highs, it won’t be quick.  I would rather expect some consolidation/pull-back to occur before and if it continues to rally.