The NASDAQ and Russell were the strongest indices with gains of 0.9% and 1.1%, respectively. The Dow rallied only 0.1% as the safety stocks that have been leading the market this year pulled in. Asia markets experienced a small climb, Europe shares reversed from green to red early in the morning.
Coca-Cola (KO) looks poised to make move higher. It is holding in a nice upper level base in front of previous top at $41.00-.30. Strong support at $40.50 could be buying area.
Cisco (CSCO) holds good after big gap up on earnings. I expect to see some follow through this week. Support is $24.06 then another point to consider Call option, if it will break through $24.45 resistance.
Google (GOOG) bottomed at $504 and found support at $516. Had a good day yesterday and should continue its positive direction. Consider call option if it will go through previous high of the day at $529.78 then we have resistance from $534 to $536. My target on this one is $557.
Gold (XAUUSD) still very hard to trade but is preparing for something bigger. We have wedge consolidation with higher lows and lower highs which means there is indecision. But if you want to trade this one, I recommend buying Call options close to the support zone at $1290, and consider Put options close to $1305. Stay tactical (trades both sides) until this pattern will resolve.
USD/JPY heading lower into major support zone with moving averages curling down. I got a feeling that it is going to break down with first target at 200 MA (100.747). Sell from resistance at 101.630. Disclosure: I am taking put USD/JPY with expiration in the end of the month after it broke down inside range consolidation.