Big markets are still resilient.  The primary trend remains upwards.  Turmoil in Washington is having a negative effect but earnings season is quite strong.  Somewhat worrisome, though, is the transportation index.  After confirming the highs on the Dow, it has come off 600 points.  Most of that can be attributed to the rise in oil prices.  But, never the less, it is right at support now.

The Russell 2000 (IWM) is still looking strong.  It is forming a rising wedge formation with higher highs.  139 is support for it.  If it goes below that we should see further deterioration in small cap stocks.

The semiconductors (SMH) are currently holding support.  But, it looks like a lot of traders are shorting the semis as it has come from a long ways.  If it should hold support and trade through the top we could be in for a major short squeeze.

Solar stocks are performing well.  Ones to watch FSLR, SEDG, RUN, VSLR and SPWR.

Bioetechs (LABU, BIB) had a stronger day on Friday.  Both closed in the positive territory.  They are just above support and may give the overall markets some direction.

Financials (FAS) made a new all time high before pulling back on Friday.  But the chart is very strong.   It appears that there are a lot of nervous traders out there on the long side and we may see some panic set in.  But don't be surprised if the markets climb the wall of worry and continue to trader higher.  There is a lot of money sitting on the side lines.

AXTI:  Stock moved up sharply on earnings and had an inside day on Friday.  It made a new all time high on Thursday and held on Friday.  Over $9.00 and my price target is $12.00.  Short ratio, 3.8 days to cover.

DVAX:  A stock I traded successfully last week when I pointed out that the news was not statistically significant and should be bought on the dip.  After hours it traded as high as $18.00, double from my entry level.  With over 6 million short (of which very few covered after hours) this stock could squeeze into the $22.00 range.

IMGN:  This stock just keeps on climbing in a rising 45 degree channel.  It trades to the top of the channel and then pulls back to the bottom where it breaks out and trades back to the top of the channel.  It has resistance at $7.50 and $8.00.  $9.50 is my target.  Short ratio, 4.8 days to cover.

MEIP:  Stock is trading near recent highs in a strong rising channel.  It is forming a bull wedge here and trading on the lower up trend line.  I would look to go long over $3.25 with $3.60 and $4.25 as targets.  

SPWR: After making new highs the stock pulled back in an orderly fashion.  It has been trending back up and is close to the recent high.  Ii would be looking to go long over $11.70 with $14.00 as a target.  Short ratio, 4.8 days to cover.

VSTM:  After spiking up it pulled back and found support at $3.25.  It is forming a wedge pattern.  If it should break out of the wedge to the upside my price target is $5.25.