Nasdaq Composite (Figure 3)
The Dow Jones Industrial Average ($DJI) had a loss of 168.32 points, or 1.38%, and closed at 12,058.02 on Tuesday. Out of the Dow's thirty index components, only Coca-Cola (KO) (+1.55%) and WalMart (WMT) (+0.17%) posted gains. The largest percentage losers were Alcoa (AA) (-3.68%), General Electric (GE) (-3.20%), DuPont (DD) (-3.01%), and Caterpillar (CAT) (-2.98%).
The S&P 500 ($SPX) fell 20.89 points, or 1.57%, and closed at 1,306.33. Boston Scientific (BSX) (+5.03), AES Corp. (AES) (+2.91%), Biogen Idec Inc. (BIIB) (+2.60%), Wynn Resorts (WYNN) (+2.36%), and Marathon Oil (MRO) (+2.32%) were the top percentage gainers in the S&P 500. Only 32 stocks in the index ended the session in the black. All of the S&P's ten industry sectors felt the pressure. Materials, industrials, and financials were the hardest. The biggest losers were Range Res. Corp. (RRC) (-7.29%), Titanium Metals Corp. (TIE) (-6.16%), Carnival Corp. (CCL) (-6.07%), and Chesapeake Energy (CHK) (-5.36%).
The Nasdaq Composite ($COMPX) ended the session lower by 44.86 points, or 1.61%, on Tuesday and it closed at 2,737.41. Only six of the Nasdaq-100's index components posted gains. The top three were Biogen Idec Inc. (BIIB) (+2.60%), Wynn Resorts (WYNN) (+2.36%), Amgen (AMGN) (+1.13%). The worst performers were NVIDIA (NVDA) (-4.46%), F5 Networks (FFIV) (-3.92%), Illumina (ILMN) (-3.86%), and Oracle Corp. (ORCL) (-3.77%).
Continued unrest in the Arab world, along with mixed messages from Fed Chairman Bernanke added to the day's weakness, but also kept things active in commodities. Gold hit new highs and closed at a record $1,431.20 an ounce. Oil prices also bounced back to retest $100 a barrel, which helped push gas prices higher once again.
Unless otherwise stated, the index action described in this article relates to the E-mini futures contracts for the respective indices. Actual index action may differ slightly in terms of pattern formation, although the market bias will remain the same.
Toni Hansen is president and co-founder of the Bastiat Group Inc., DBA Trading From Main Street. Toni is one of the most respected technical analysts and traders in the industry. She has been trading and educating new traders, money managers, professional market analysts and traders throughout the boom and bust of the last decade. She has worked in conjunction with some of the world's top financial exchanges. Learn more about Toni Hansen and the educational services she provides through her website at http://www.tonihansen.com.