The stock market indices ended mixed today, but started out very differently. They gapped lower, snapped back, couldn’t get through Friday’s late highs, and then rolled over in a sharp 3-wave decline, reaching the session lows by mid-morning. They bounced in what looked like bear-flag fashion, started to roll over, but when support held they embarked on a very strong last two-hour rally that saw the NDX jump from 1907 to 1921 and the S&P 500 jump from 1143 to 1151. They closed not far off the session highs.

Net on the day, the Dow was up 17.46 at 10,642.15, about 72 points off the low. The S&P 500 closed at 1150.51, up 0.52, just 45 cents off the high and 9 points off the low. The Nasdaq 100 closed at 1920.09, down 4.34, and did not manage to get back in the plus column, but it was 14 points off its low. The Philadelphia Semiconductor Index (SOXX) was down 4.94, closing at 350.43, and that pressured the NDX all day.

Advance-declines were negative by 480 issues on the New York Stock Exchange and by 440 issues on Nasdaq. Up/down volume was a little better than 5 to 3 negative on total volume of just 900 million on New York, white Nasdaq traded 1.85 billion and had a 10 to 8.5 ratio on the downside. board as a result was mixed, but there were several point-plus gainers. Leading the way today was Amylin Pharmaceuticals (AMLN) on positive drug news, up 3.24 to 23.50. Related company Alkermes, Inc. (ALKS) gained 1.80 at 14.01, RINO International (RINO) jumped 1.85 to 25.65, and InterMune (ITMN) snapped back 1.02 to 37.78.

Low-priced Pixelworks Inc. (PXLW) at 4.91 was up 38 cents. Skechers USA (SKX) at 33.59 was up 40 cents. NuVasive, Inc. (NUVA) snapped back 64 cents to 44.74, and the Direxion Daily Emerging Markets Bear 3x (EDZ) gained 94 cents at 47.32.

Other than that most stocks were fractionally up and down. However, the point-plus losers were McMoRan (MMR) at 16.74 down 1.17, and China Agritech (CAGC) at 28.90 down 1.10.

Large fractional losers included China Automotive (CAAS) also in the Chinese sector, down 87 cents to 21.90, and Telestone Technologies (TSTC) down 83 cents at 18.10. Xyratex Ltd. (XRTX) lost 54 cents to 16.72, and US Energy (USEG) gave back 41 cents to 6.05 in a generally weak junior oil group.

Stepping back and reviewing the hourly chart patterns, the indices were down in the morning, went sideways, consolidated midday, and when the rollover held support they rallied sharply into the last hour, closing the S&P 500 and the Dow right near the highs for the day. But the NDX couldn’t quite make it back and closed at a loss for the session. So a mixed close today to start off the week.

Good trading!