WALL STREET : DJIA Maintains Perch Atop 12K

Stocks Snap Winning Streak; Bears Score 17.90 Points

After three straight sessions of noteworthy gains, the bulls took a breather today, with stocks stagnating for most of the session. With a relative lack of catalysts on the economic front, the Street instead kept its focus on the recovery efforts in Japan and war-torn Libya, where a U.S. fighter jet crashed overnight. While the escalating fighting in the Middle East sent oil futures higher, concerns of significant supply disruptions kept stocks south of breakeven through the close.

Nevertheless, the Dow Jones Industrial Average (DJIA) maintained its perch atop the psychologically significant 12,000 marker for the second straight day – a feat not accomplished in nearly two weeks.

The Dow Jones Industrial Average (DJIA – 12,018.63) finished with a modest loss of 17.9 points, or 0.2%, as only 10 of its 30 components settled higher. Leading the advancing equities was Verizon Communications (VZ), while Bank of America (BAC), General Electric (GE), and Travelers (TRV) led the laggards with losses of more than 1.1% apiece.

The S&P 500 Index (SPX – 1,293.77) ended with a loss of 4.6 points, or 0.4%, after running into a wall at the round-number 1,300 level. In similar fashion, the Nasdaq Composite (COMP – 2,683.87) retreated 8.2 points, or 0.3%, backing away from the 2,700 level. However, the COMP's decline was limited by support at its 10-day moving average.

Crude Oil Gushes Above $104 pb
Oil futures reversed course to finish higher today, as fighting in oil-saturated Libya – where a U.S. military jet crashed overnight – and fatal protests in Syria exacerbated fears of notable supply disruptions. In their final day of trading, April-dated crude oil futures ended with a gain of $1.67, or 1.6%, at $104 per barrel.

TECHNICAL ANALYSIS
Crude Oil Futures April 2011
April crude oil closed higher on Tuesday as it extends the rally off last week's low. The high-range close sets the stage for a steady to higher opening on Wednesday. Stochastics and the RSI are bullish signaling that sideways to higher prices are possible near-term. If April extends the rebound off last week's low, March's high crossing at 106.95 is the next upside target. If April renews this month's decline, the 38% retracement level of the May-March rally crossing at 94.19 is the next downside target.

First resistance is today's high crossing at 104.54.

Second resistance is March's high crossing at 106.95.

First support is last Wednesday's low crossing at 96.22.

Second support is the 38% retracement level of the May-March rally crossing at 94.19

TECHNICAL ANALYSIS

Dow Jones Industrial Average

The Dow closed lower on Tuesday as it consolidated some of the rally off last week's low. The low-range close sets the stage for a steady to lower opening on Wednesday. Stochastics and the RSI are bullish signaling that sideways to higher prices are possible near-term. Closes above the 20-day moving average crossing at 12,038 are needed to confirm that a short-term low has been posted. If the Dow renews the decline off February's high, the 38% retracement level of the June-February rally crossing at 11,339 is the next downside target.

First resistance is the 20-day moving average crossing at 12,038.

Second resistance is this month's high crossing at 12,283.

First support is last Wednesday's low crossing at 11,555.

Second support is 38% retracement level of the June-February rally crossing at 11,339.

HAPPY TRADING