ChartSmarter Friday Game Plan 9/12/14

Markets eked out gains Thursday as the Nasdaq overcame deficits of .5% in both the morning and afternoon hours. For the second straight session the Nasdaq and S&P 500 went out on highs for the day. As long as this tightness persists too, the bulls have to be feeling good. Going into Friday The Nasdaq is up fractionally, going for a 6th consecutive weekly gain. If it does end the week in positive territory, it would be the 6 week up stretch would be the first since the beginning of 2013. Utilities led the way Thursday, not the best of signs, but for the most part the group has been in the shadows. The XLU however is quietly making some noise as today it completed a handle on its double bottom base. The ETF is on a 5 week winning streak, commencing with the week ending 8/8 where it finished UNCH but bounced almost precisely off the round 40 handle, closing at the very top of the weekly range, a bullish sign. When you factor in the volume, which was the largest weekly trade in years, perhaps a breakout from the 43.74 pivot point could be powerful. Former best of breed name NRG looks like it may be ready to turn the corner, after a nasty 8 week slide between the weeks ending 6/27-8/15. It is now back above the 50 handle on the RSI and right at its converging 50 and 200 day SMAs. Stock could start “buzzing”, pun intended, with a move through those resistance lines.