Good day! While I wasn't able to follow the market much at all on Tuesday, it pretty much held the path it had been on going into Monday's close. The action remained choppy, as anticipated, while the indices gradually worked their way higher, correcting to the strong selloff going into last weekend. It began with a bit of an upside gap into the open. With the 5 minute 200 sma directly overhead, however, it wasn't able to get far. As that resistance zone hit we saw a quick pullback to fill in the gap.

At the 10:45 ET reversal period, the market found support from Monday's close. Since the drop was pretty rapid, it took a slower turnover before the market was able to pick up speed back into opening prices. Once again that 5 minute 200 sma served to stall the NASDAQ and the price resistance helped the 12:00 ET reversal period hold as well.

As volume declined, the market found itself wedged between the 15 minute 20 sma support and those morning resistance levels. The range finally gave way coming out of 13:30 ET. The support held and the market moved higher. It wasn't a very extreme though, and the upper trend channel resistance still held, as well as prior highs in the NASDAQ. The highs made off this slight pop in prices ended up holding into the close as the market continued to bounce back and forth for the remainder of the day.

Heading into Wednesday I am not expecting much to change. The market actually looked weaker into the close, so we might see some retesting of the prior lows. I don't think there is much opportunity outside of the daytrade time frames at this point. Even then, with such choppy intraday action, it is higher risk. You really have to be careful to not overtrade in markets like this. It needs a chance to correct to the strong trend move of last week and, as we saw earlier in the month, it's not always the prettiest action. There will always be a few gems out there, such as MRK from the last two weeks, but you tend to have to look a bit harder to find them.

Economic Reports and Events
Apr 20: Core CPI for Mar (8:30 am), CPI for Mar (8:30 am), Fed's Beige Book (2:00 pm)
Apr 21: Initial Claims 04/16 (8:30 am), Leading Indicators for Mar (10:00 am), Philadelphia Fed for Apr (12:00 pm)
Apr 22: -
Apr 25: Existing Home Sales for mar (10:00 am)
Apr 26: Consumer Confidence for Apr (10:00 am), New Home Sales for Mar (10:00 am)

Earnings Announcements of Interest
Only stocks with an average daily volume of 500K+ are listed. List may not be complete so be sure to always check your stocks' earnings dates before holding a position overnight. (A) = Earnings after the close, (B) = Earnings before the open, (?) = Earnings time not specified at the time of this writing
Apr 20: ALGN (?), ADS (?), MO (?), ABK (B), DOX (A), AWA (?), ATMI (B), CNI (?), COF (A), CAT (B), CLS (A), CINF (B), CIT (B), CTXS (A), CNF (B), CMA (B), CNXT (?), CAL (B), CTB (B), CBST (A), DCN (?), ET (?), EBAY (?), EPIC (A), EXTR (A), EYET (A), FFIV (4:00 pm ET), FLIR (?), F (?), GD (?), GNTX (?), GDW (?), HET (?), HON (08:00 am ET), JPM (B), JNS (B), KMI (?), NITE (B), LLTC (?), ¸LIN (?), MERQ (A), MOT (A), NYB (B), NCX (B), OMM (A), PMCS (A), PLCM (A), QCOM (?), RDN (A), RYL (A), SBC (08:00 am ET), FON (B), STJ (B), TCB (B), TLAB (B), ALL (A), BK (B), UTX (B), VRSN (?), WEBX (A), WYE (B), YUM (A), ZHNE (A)
Apr 21: ACS (?), AFFX (A), ACL (?), ATI (B), AT (B), ABC (B), AMGN (?), ARBA (A), T (?), ADP (B), BAX (B), BEBE (?), BLS (B), BRCM (A), CZR (B), ELY (A), ED (?), CMI (B), CY (B), DHR (B), DV (?), DCLK (A), ELNK (B), ECL (B), ELX (?), FHN (B), FISV (A), FDRY (A), FSL (A), GENZ (B), GVHR (?), GOOG (?), GDT (?), HAR (?), HLIT (A), HSY (A), HYSL (A), INFA (A), IR (?), IGT (B), ISRG (A), LEG (A), MAR (B), KRB (?), MCD (B), MEDI (B), MRK (?), NFLX (A), NE (?), NOK (?), NWAC (B), NVS (?), NUE (?), OI (?), ODP (B), OMX (?), PNC (?), DGX (B), RHI (A), ROH (B), RCL (B), SNDK (A), SAP (?), SGP (B), SFA (A), SHW (B), SWIR (A), SIMG (A), SSTI (A), SLM (B), SDS (A), SYNA (A), TPX (A), TSRA (A), TXT (B), TQNT (A), UCBH (A), UNP (?), UPS (B), VLO (?), VTSS (A), WDC (A), WY (?), WHR (06:00 am ET), XRX (B), XLNX (A), YELL (A), ZION (A)

Toni Hansen is President and Co-founder of the Bastiat Group, Inc., and runs the popular Trading From Main Street. She can be reached at Toni@tradingfrommainstreet.com.