The market seemed hesitant Wednesday with a gap down in the SPY and QQQ met by a rally back to flat and ending a bit bullish on the day.  Meanwhile, the DIA and IWM formed DOJI just on the green side of flat.  This leaves us with indecision on the day.  The hope is that the DIA is forming a bottom of a pullback in a bull trend.  However, the IWM looks very toppy with 3 Doji at resistance and neither the SPY or QQQ look very strong.

As expected, earnings continue to be the leading story, with misses by CAT, BA, LLY, and TXN leading the narrative Wednesday.  However, as a whole, earnings continue to be good.  The earnings flood will continue Thursday with perhaps the heaviest day of the season among S&P members.

On the Trade War front, China said they will buy $20bil in US grain within a year AFTER the Phase 1 trade deal is signed.  This would raise the Chinese US grain purchases in 2020 back near the level they were in 2017 before the President’s Trade War.  However, that number has been declining since they bought $25bil in 2014.

Related to Brexit, it appears the EU has agreed they will give the UK an extension.  Most of the 27 other countries agree it should be an extension until the end of January.  However, France is holding out for an extension of just a few days.  Sources tell the European press that the EU will now stall as long as they can to avoid an internal fight and to see what PM Johnson can get passed on his side of the English Channel.  So, no firm decisions in sight yet.

Thursday’s major economic news includes September Durable Goods (8:30 am) and New Home Sales (10 am).  Also, in Germany the economic downturn continues with their Exports down, slower manufacturing output and Industrial Employment dropping the most in almost 10 years.  (Germany is the biggest economy in Europe by far.)  However, as I said, US earnings are likely to drive markets again today. Among that flood were a massive beat by TSLA after the close yesterday and a pre-market miss by TWTR.

Overnight, Asian markets were generally positive, but European markets are strongly green at this point.  As of 7:30 am, U.S. futures were all pointing to gaps higher varying across the major indices.  The QQQ is looking at a 0.7% gap, the DIA 0.3% and the SPY only 0.2%.

Remember to be careful chasing.  If earnings remain strong, this should be a bullish market.  However, in recent months trading has been very news-driven.  So, be sure to use caution, take profits along the way and trade your plans.

Ed

For Your Consideration: These trade ideas for your swing-trading consideration. Long – JBHT, LEN, BF.B, HOME, PNC, IFF, WHR, PKG, GLNG. Short – DRI, HEI, WEC, ZBH, UHS, GD. Trade smart, take profits along the way and trade your trade. Also, do not forget to check for upcoming earnings. Stocks we mention and talk about are not recommendations to buy or sell.

✅ SMS text alerts and reminders?👈

✅ Check out our newest YouTube videos👈

🎯 Mike Probst: Rick, Got CTL off the scanner today. Already up 30%. Love it.

🎯 Dick Carp: the scanner paid for the year with HES-thank you

🎯 Arnoldo Bolanos: LTA scanner really works $$, thanks Ed.

🎯 Bob S: LTA is incredible…. I use it … would not trade without it

🎯 Malcolm .: Posted in room 2, @Rick… I used the LTA Scanner to go through hundreds of stocks this weekend and picked out three to trade:  PYPL, TGT, and ZS.   Quality patterns and with my trading, up 24%, 7% and 12%…. this program is gold.

🎯 Friday 6/21/19  (10:09 am) Aaron B: Today, my account is at +190% since January. Thanks, RWO HRC Flash Malcolm Thomas Steve Ed Bob S Bob C Mike P and everyone that contributes every day. I love our job.

Disclosure: We do not act on all trades we mention, and not all mentions acted on the day of the mention. All trades we mention are for your consideration only.

Free YouTube Education  •  Subscription Plans • Private 2-Hour Coaching

DISCLAIMER: Investing / Trading involves significant financial risk and is not suitable for everyone. No communication from Hit and Run Candlesticks Inc, its affiliates or representatives is not financial or trading advice. All information provided by Hit and Run Candlesticks Inc, its affiliates and representatives are intended for educational purposes only. You are advised to test any new trading approach before implementing it.  Past performance does not guarantee future results.  Terms of Service

Monday saw a strong gap up in the SPY, QQQ and especially IWM.  (DIA did not get the memo.)  After that gap, the SPY and QQQ had a nice day, but the DIA just treaded water and the IWM may have printed a Shooting Star candle (subject to confirmation).  In supporting roles, the Transports (IYT) and Semiconductors (SMH) also both put in very strong candles.  As a result, the uptrend remains intact.  It looks as if the Bulls want to at least test those all-time highs again.

Earnings season will really be the focus for the remainder of the week.  In fact, there are too many major reporters to list individually today.  However, suffice it to say we’ll see more industrials and Consumer names this week.  The only economic news on the day will be a Fed speaker (Bowman).

Overnight, Asian markets were up, but European markets are mixed at this point.  As of 7:30 am, U.S. futures were flat to slightly green across the major indices. It looks like PG is going to gap up and HAS to gap down on earnings this morning.

If earnings remain strong, this should stay a bullish market.  (Assuming no unexpected bad news, of course.) However, in recent months trading has been very volatile and “whippy.”  So, be sure to use caution, take profits along the way and trade your plans.

Ed

For Your Consideration: These trade ideas for your swing-trading consideration. Long – AAPL, KLAC, MCHP, CM, ABBV, HES, NRG, JBL, TPR, WU, GME Short – LSCC, LDOS, SBUX, CME, BLL, MYL, MDT, HEI . Trade smart, take profits along the way and trade your trade. Also, do not forget to check for upcoming earnings. Stocks we mention and talk about are not recommendations to buy or sell.

✅ SMS text alerts and reminders?👈

✅ Check out our newest YouTube videos👈

🎯 Mike Probst: Rick, Got CTL off the scanner today. Already up 30%. Love it.

🎯 Dick Carp: the scanner paid for the year with HES-thank you

🎯 Arnoldo Bolanos: LTA scanner really works $$, thanks Ed.

🎯 Bob S: LTA is incredible…. I use it … would not trade without it

🎯 Malcolm .: Posted in room 2, @Rick… I used the LTA Scanner to go through hundreds of stocks this weekend and picked out three to trade:  PYPL, TGT, and ZS.   Quality patterns and with my trading, up 24%, 7% and 12%…. this program is gold.

🎯 Friday 6/21/19  (10:09 am) Aaron B: Today, my account is at +190% since January. Thanks, RWO HRC Flash Malcolm Thomas Steve Ed Bob S Bob C Mike P and everyone that contributes every day. I love our job.

Disclosure: We do not act on all trades we mention, and not all mentions acted on the day of the mention. All trades we mention are for your consideration only.

Free YouTube Education  •  Subscription Plans • Private 2-Hour Coaching

DISCLAIMER: Investing / Trading involves significant financial risk and is not suitable for everyone. No communication from Hit and Run Candlesticks Inc, its affiliates or representatives is not financial or trading advice. All information provided by Hit and Run Candlesticks Inc, its affiliates and representatives are intended for educational purposes only. You are advised to test any new trading approach before implementing it.  Past performance does not guarantee future results.  Terms of Service

Friday saw a gap down, followed by indecisive, but generally bearish trading.  This came in the face of more strong earnings reports (earnings were very strong all week).  The major exceptions to the indecision were JNJ, BA, and NFLX which got hammered on nasty news items or post-earnings blues.  The offsets of good earnings, bad news for big names and the wait for an expected Brexit Deal resolution drove a “wait and see” attitude among traders.  However, the negative day did break the recent uptrend, at least in the DIA and QQQ.  

Despite expectation, on Saturday the Brits kicked the can down the road again.  Parliament approved an amendment to the “new Brexit deal” bill, which meant that passing the actual deal would only mean actual approval AFTER all the nitty-gritty detail bills are also passed.  So, the PM canceled any vote on the deal itself.  This left him legally required to ask for another extension from the EU.  Instead, the PM sent an “unsigned letter” requesting an extension, along with a second “signed letter” asking that no extension be granted.  (A Court will decide Monday whether that means the PM is in Contempt of Court for the disingenuous extension request.)  Either way, the EU is now planning to stall on a reply in hope that PM Johnson can get the deal approved before they reply.  This all leaves more indecision for markets.

Other weekend news of note is that a Goldman-Sachs banker was arrested for insider trading and on the plus side, Chinese Vice Premier Liu said there had been substantial progress in the US-China Trade Talks.

Monday’s economic calendar is basically empty, with a light week overall.  However, earnings are in full swing with many reports.  Among these are HAL before the open and CDNS, CE, and ZION after the close.

Overnight, Asian markets were mixed, but European markets are in the green at this point.  As of 7:30 am, U.S. futures were all pointing to 0.30% gap higher across the major indices.

Remember to be careful chasing.  If earnings remain strong, this should be a bullish market.  However, in recent months trading has been very news-driven.  So, be sure to use caution, take profits along the way and trade your plans.

Ed

For Your Consideration: These trade ideas for your swing-trading consideration. Long – DE, DG, NKE, BBY, CM, NRG, WU Shirt – BHGE, DD, SBUX, VRSK, WEC, FIS, ACN. Trade smart, take profits along the way and trade your trade. Also, do not forget to check for upcoming earnings. Stocks we mention and talk about are not recommendations to buy or sell.

✅ SMS text alerts and reminders?👈

✅ Check out our newest YouTube videos👈

🎯 Mike Probst: Rick, Got CTL off the scanner today. Already up 30%. Love it.

🎯 Dick Carp: the scanner paid for the year with HES-thank you

🎯 Arnoldo Bolanos: LTA scanner really works $$, thanks Ed.

🎯 Bob S: LTA is incredible…. I use it … would not trade without it

🎯 Malcolm .: Posted in room 2, @Rick… I used the LTA Scanner to go through hundreds of stocks this weekend and picked out three to trade:  PYPL, TGT, and ZS.   Quality patterns and with my trading, up 24%, 7% and 12%…. this program is gold.

🎯 Friday 6/21/19  (10:09 am) Aaron B: Today, my account is at +190% since January. Thanks, RWO HRC Flash Malcolm Thomas Steve Ed Bob S Bob C Mike P and everyone that contributes every day. I love our job.

Disclosure: We do not act on all trades we mention, and not all mentions acted on the day of the mention. All trades we mention are for your consideration only.

Free YouTube Education  •  Subscription Plans • Private 2-Hour Coaching

DISCLAIMER: Investing / Trading involves significant financial risk and is not suitable for everyone. No communication from Hit and Run Candlesticks Inc, its affiliates or representatives is not financial or trading advice. All information provided by Hit and Run Candlesticks Inc, its affiliates and representatives are intended for educational purposes only. You are advised to test any new trading approach before implementing it.  Past performance does not guarantee future results.  Terms of Service

Thursday started with another gap as strong Earnings and news of a new Brexit deal lead the way.  However, then range-trading took over for the rest of the day. We ended up printing some form of a black spinning top in the DIA, SPY, and QQQ.  However, the IWM conspicuously went its own way, printing a strong large-body candle after its gap up. In the end, we have to say this has been a strong start to Earnings Season so far (week 1) and the market has liked it. 

As I said, a Brexit deal was reached on Thursday.  However, to get this deal, PM Johnson agreed to Northern Ireland remaining in the EU for customs and some VAT purposes and to “no block veto,” which had been part of the Good Friday Agreement. As a result, this will cost him support in Parliament.  The UK press is now reporting that Johnson does not have the votes to get the new deal through Parliament by Saturday at this point.  In Syria, Turkey agreed to a ceasefire so that the Kurds can retreat.  This essentially gives Turkey everything they wanted from the invasion.  Both of these stories reduce market risks and, as such, are “risk on” factors for stock markets.

Last night, China reported a 6% growth for the third quarter, which is its slowest growth since the 1990s. However, Friday’s US economic calendar is very light with the exception of 5 Fed members speaking during the day.  On the earnings front, AMD, AXP, CFG, KO, KSU, SLB, STT and SYF all report  before the open. (KO already reported a beat.)

Overnight, Asian and European markets were mixed.  As of 7:30 am, U.S. futures were all pointing to flat open for the major indices.

Remember to be careful chasing.  Yes we are getting Rick-on indications from the news (yesterday anyway) and the short-term uptrend remains in place. However, this has not been a deliberately-trading market.  Gaps and whiplash don’t make for a good swing trading environment.  So, caution remains the prudent approach.

Ed

For Your Consideration: No Trade ideas on Friday. With 2.5 days of news risk in front of us…and no ability to respond, taking profits and hedging is in order. Trade smart, take profits along the way and trade your trade. Stocks we mention and talk about are not recommendations to buy or sell.

✅ SMS text alerts and reminders?👈

✅ Check out our newest YouTube videos👈

🎯 Mike Probst: Rick, Got CTL off the scanner today. Already up 30%. Love it.

🎯 Dick Carp: the scanner paid for the year with HES-thank you

🎯 Arnoldo Bolanos: LTA scanner really works $$, thanks Ed.

🎯 Bob S: LTA is incredible…. I use it … would not trade without it

🎯 Malcolm .: Posted in room 2, @Rick… I used the LTA Scanner to go through hundreds of stocks this weekend and picked out three to trade:  PYPL, TGT, and ZS.   Quality patterns and with my trading, up 24%, 7% and 12%…. this program is gold.

🎯 Friday 6/21/19  (10:09 am) Aaron B: Today, my account is at +190% since January. Thanks, RWO HRC Flash Malcolm Thomas Steve Ed Bob S Bob C Mike P and everyone that contributes every day. I love our job.

Disclosure: We do not act on all trades we mention, and not all mentions acted on the day of the mention. All trades we mention are for your consideration only.

Free YouTube Education  •  Subscription Plans • Private 2-Hour Coaching

DISCLAIMER: Investing / Trading involves significant financial risk and is not suitable for everyone. No communication from Hit and Run Candlesticks Inc, its affiliates or representatives is not financial or trading advice. All information provided by Hit and Run Candlesticks Inc, its affiliates and representatives are intended for educational purposes only. You are advised to test any new trading approach before implementing it.  Past performance does not guarantee future results.  Terms of Service