After a brief rest, the bulls are back in a big way, reversing price action overnight to challenge recent record highs. Jerome Powell says the economy is ‘extraordinarily uncertain,’ but looking at the charts’ price action, it would seem there is no price too high for investors. So let the party continue but be very aware of the risk should the markets decide to test price support levels. Remain diligent in your trade planning and avoid the chase with a fear of missing out.
Overnight Asian markets were higher across the board after reporting that China’s manufacturing hit a 10-year high. European markets are surging higher this morning as Pfizer and BioTech both apply for vaccine approvals. Ahead of earnings, ISM, and Powell comments the bulls are stampeding higher this morning, suggesting a Dow reversal of 300 points when writing this report.
Economic Calendar
Earnings Calendar
We a busier day on the Tuesday economic calendar. Notable reports include CRM, BMO, VNS, BOX, HEP, NTAP, & TCOM.
News and Technicals’
This morning, there is not much to say except that after a brief Cyber Monday rest, the bulls are back on the gas with a significant overnight reversal to test recent market highs. Pfizer and BioTech both apply for vaccine approval in Europe, and it seems as long as we can matain vaccine headlines, the market reacts bullishly. Powell will be speaking again today, defending the Cares Act provisions and calling the economic outlook ‘extraordinarily uncertain.’ However, after a historic November, the bulls appear unconcerned, and no price seems too high as P/E ratios continue to stretch out. Perhaps with Amazon reporting that holiday shopping this year was the biggest in history suggests we move right into the Santa Claus rally.
I mentioned a couple of times yesterday the there was no fear in yesterday’s selloff and the technical patterns in the indexes remained bullish. However, when a 400 point selloff in the Dow is insignificant, it’s also a warning of just dangerous it could quickly become to traders that chase already extended stock prices. Let the party continue but be diligent in your trade planning, taking trades with acceptable risk to a stop and avoiding the chase with a fear of missing out.
Large-caps gapped lower at the open and sold off all morning on Monday. This gave way to a sideways grind near the lows most of the afternoon. However, a late-day rally brought price up off the lows by the close. Meanwhile, the QQQ followed the same pattern in the morning. However, it rallied from 11 am all the way into the close to post a small gain on the day. All 3 major indices printed indecisive Hammer or Hanging Man type candles for the day. As of 4 pm, the SPY lost 0.40%, DIA lost 0.80%, and QQQ gained 0.20%. It should be noted that the market closed the month of November with massive gains (35% in the large-caps). The VXX fell almost 2% to 17.18 and T2122 (4-week New High/Low Ratio) fell a bit, but remains in overbought territory at 89.72. 10-year bond yields rose very slightly to 0.845% and Oil (WTI) fell a percent to $45.09/barrel.
AMZN followed up on what retail industry analysts reported Monday. They said that so far, this year’s holiday shopping has been the biggest period in their history. Analysts went on to say they think AMZN could capture as much as 42% of all buying over the holiday (obviously a massive number). By comparison, retail foot traffic was down 52% this year on the Black Friday weekend.
In European news, PFE and BNTX have filed for European approval of their vaccine. Meanwhile the Euro Zone has agreed to strengthen its virus crisis fund, which CNBC reports has been a long-awaited move to address investor concerns. The move increases the role the fund will play in designing the bailout programs needed in member countries. This is more in-line with the Northern (i.e. Germany, Austria) fiscal conservatism and less in-line with the Southern (i.e. Italy, Greece) high-debt government. The fund will be taking over the arbiter role previously played by the EC, ECB, and IMF.
On the virus front itself, infections continue to rage as the US. The totals have risen to 13,920,038 confirmed cases and 274,332 deaths. That said, the 7-day average of new cases fell to 162,853 while deaths are averaging deaths rise to 1,517/day. HHS Sec. Azar said Monday that, assuming no hitches, the first US vaccinations could come by Christmas. Dr. Fauci (NIH) told CNN he is urging Americans to be ready and to get vaccinated as soon as the vaccine is available to their priority group and region. He went on to explain that if we can get 80% or more of the country vaccinated, we can achieve herd immunity and get back to normal by Q2 or Q3 of 2021. However, if only 40%-50% of the population get vaccinated, we will not and restrictions and mitigation will still be needed.
Overnight, Asian markets were green across the board. Malaysia (+2.53%), Shanghai (+1.77%), and South Korea (+1.66%) led the way, but it was a strong showing throughout the region. In Europe, markets are mostly green so far today. The FTSE (+1.91%) is leading, but the DAX (+0.92%), and CAC (+1.02%) are also strong. The only red on the continent is in smaller exchanges like Denmark (-0.26%) and Portugal (-0.21%). As of 7:30 am, US futures are pointing to a gap higher at the open. The DIA is implying a gain of 1.02%, the SPY a gain of 0.98%, and the QQQ a gain of 0.89% at this point.
The major economic news for Tuesday is limited to Nov. Mfg. PMI (9:45 am), Nov. ISM Mfg. PMI (10 am), and two Fed speakers (Chai Powell at 10 am and Brainard at noon). Major earnings reports on the day are limited to BMO, BNS, and MOMO before the open. Then after the close HPE, LU, NTAP, CRM, and TCOM report.
The bulls seem to want to get December off to a strong start. With little economic news or earnings reports, the market may be in a position to move. However, also expect sector-specific strength or weakness. For example, the recent news does not bode well for retailers, while online commerce plays may be very strong in this environment.
Once again, we sit at or near all-time highs and the market remains very overextended by most counts. However, as we all know, it doesn’t pay to fight the trend (even when it seems overdone). So, don’t predict. As always, respect the trend, support/resistance, and price action. Don’t chase moves you have missed (there will be another opportunity) and maintain discipline to your trading rules. Keep booking those singles and doubles. Leave “swinging for the fence” to the amateurs. Profits pay the bills, not bragging rights.
Ed
Swing Trade Ideas for your consideration and watchlist: SONO, AAPL, ALGN, FAST, MRVL, TXN, GLW, FSLY, PINS, DKNG, WMT. Trade your plan, take profits along the way, and smart. Also, remember to check for impending earnings reports. Finally, remember that any tickers we mention and talk about in the trading room are not recommendations to buy or sell.
Mike Probst: Rick, Got CTL off the scanner today. Already up 30%. Love it.
DickCarp: 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.
Hit and Run Candlesticks / Road To Wealth Youtube videos
|607% in just 24 months |
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.
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
Although retail is celebrating a colossal holiday consumer spending spree that set new records, small business sentiment dropped to a new record low. The consumer spending would suggest more market upside on the way in the so-call Santa Claus rally. However, with the SP-500 more than 60% above the March low in the face of pandemic economic impacts, a rest or pullback would not be a big surprise.
Asian markets closed the day modestly lower overnight after reporting a 7-month streak of manufacturing growth. European markets trade mixed but mostly flat this morning, seemingly taking a rest on this last day of November. The U.S. futures point to mixed open with a possible light volume day with traders likely extending holiday vacations and the distraction of Cyber Monday sales.
Economic Calendar
Earnings Calendar
On this last day of November, we have a light day of earnings reports. Going through the list, I don’t see any that are particularly notable.
News and Technicals’
According to retail reports, holiday shopping hit new spending records, which is likely to continue with the Cyber Monday sales event today. Don’t be surprised if volumes remain low as many will be distracted surfing the internet to bag a few deals. On the bright side, such a strong showing of consumer spending could spark the so-called Santa Claus Rally into the end of the year. Unfortunately, small business confidence seems to be going in the other direction, dropping to an all-time low according to the Q4 CNBC|SurveyMonkey Small Business Survey. The results show that 53% of small business owners say they expect tax policy & increased government regulation will negatively impact their business. With small businesses as one of the largest job creators, this negative sentiment could see employment numbers struggle in a post-pandemic recovery.
Interestingly the futures don’t seem inspired by the colossal holiday buying spree pointing to a pullback in the pre-market. However, with the SP-500 up more than 60% since the March bottom to set new records despite unemployment and a severely damaged economy, perhaps a rest is not that big of a surprise. Bullish trends remain, but there’s a danger with index prices so elevated from their respective 50-day averages. That said, plan carefully, and don’t be surprised if the volume is a bit light today with traders extending vacations to shop.
Large-caps gapped about a third of a percent higher while the QQQ gapped up six-tenths of a percent at the open Friday. Some roller-coaster volatility action all 3 markets closed near the open to print indecisive Doji-like candle on the shortened day. For the session the SPY gained 0.28% (as the S&P500 closed at an all-time high), DIA gained 0.17%, and QQQ gained 0.92%. The VXX was up slightly to 17.51 and T2122 fell a percent but remains deep in overbought territory at 95.76. 10-year bonds fell to 0.842% and Oil (WTI) fell to $45.52/barrel.
Reports came from coast to coast that Black Friday shopping foot traffic was down dramatically (over 53%). Many analysts claim the virus has accelerated the move from brick-and-mortar to online shopping, but it is worth noting that retail analysts also tell us Black Friday online sales were only up 22%. So, overall sales seem to be down 30% year-on-year on the biggest shopping day of the year. On one other interesting note, Shopify reports that 71% of online sales now ome from a mobile device.
On the vaccine front, MRNA sys new data shows their vaccine is 94% effective, 100% effective in preventing severe cases, and they have enough safety data to ask for approval. They plan to file their approval request and data later today. In the meantime, the first shipment of the PFE-BTNX joint-venture vaccine has arrived in the US and will enter the special “extreme cold” distribution system. The first vaccinations using the PFE-BTNX cavvine could come as soon as the next 2 weeks.
On the virus front itself, infections continue to rage as the US. The US numbers are thrown off a bit by 20 states that have not reported data since Wednesday, which means we will also see a “catch-up spike” in the next day or so. At any rate, US totals have risen to 13,751,337 confirmed cases and 273,101 deaths. That said, the 7-day average of new cases fell to 163,649 while deaths are averaging deaths rise to 1,481/day. 26 states report a record number of hospitalizations. Dr. Birx (White House Task Force) urged Thanksgiving travelers to get a test and self-isolate in a plea aimed at minimizing another super-spreader holiday. This is likely to fall on deaf ears as over 6 million Americans traveled for Thanksgiving despite cautions. Ominously, Dr. Fauci (NIH) told the press Sunday that restrictions will be needed for Christmas and New Year’ s Day based on what was seen at Thanksgiving.
Globally, the numbers rose to 63,172,024 confirmed cases and the confirmed deaths are now at 1,467,129 deaths. In Europe, the UK reports that infections dropped 30% so far during their second lockdown. This falls in-line with PM Johnson announcing that the quarantine will end this week and be replaced with a national tier system by region. In Asia, Japan and South Korea report daily spikes again, with the latter will impose tighter restrictions as a result. Other countries like Indonesia are reporting record case counts. Even North Korea is admitting problems as it imposed very tight border restrictions with China in an effort to reduce new cases.
Overnight, Asian markets were red across the board. Hong Kong (-2.06%), South Korea (-1.60%) led the losses among major economies. However, Indonesia (-2.96%) and Malaysia (-2.79%) were the worst hit. China reported better than expected PMI numbers on Sunday. In Europe, markets are mixed so far today. Russia (-1.07%) and Denmark (+1.06%) are outliers. Among the big 3 exchanges, the FTSE is flat (+0.15%), the DAX up (+0.49%), and CAC (-0.13%) flat. As of 7:30 am, US futures are pointing to a mixed open. The DIA is implying a fall of 0.41%, the SPY a fall of 0.20%, and the QQQ to a slight gap higher (+0.29%).
The major economic news for Monday is limited to Core PCE Price index (7:30 am), Chicago PMI (9:45 am), and Oct. Pending Home Sales (10 am). Major earnings reports on the day are limited to ADNT before the open. Then after the close ZM reports.
This is the first day back after what, for many, was an extra-long weekend. So, we might see increased activity. Also, keep in mind that today is month-end. With little economic news or earnings reports, the market may be in a position to move. However, reports indicate Black Friday was a flop for retailers this year. That may weigh on at least the retail names.
We sit at or near all-time highs and the market is overextended by most counts. However, Mr. Market can remain overbought longer than you can take the pain of predicting reversals. So, don’t predict. As always, respect the trend, support/resistance, and price action. Don’t chase moves you have missed (there will be another opportunity) and stick with your trading rules. Our job as traders is consistency, not hitting home runs.
Ed
Swing Trade Ideas for your consideration and watchlist: REGI, SDGR, GKOS, TLRY, GNUS, DAR, CDAY, EVRI, TSM, PINS, DVAX, NTRA. Trade your plan, take profits along the way, and smart. Also, remember to check for impending earnings reports. Finally, remember that any tickers we mention and talk about in the trading room are not recommendations to buy or sell.
Mike Probst: Rick, Got CTL off the scanner today. Already up 30%. Love it.
DickCarp: 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.
Hit and Run Candlesticks / Road To Wealth Youtube videos
|607% in just 24 months |
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.
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
Large-caps opened flat on Wednesday and then proceeded to put in a sideways, but bearish grind all day. The QQQ gapped up four-tenths of a percent and after a bit of roller coaster action rallied mildly most of the day. The SPY printed a Hanging Man candle while the QQQ printed a Spinning Top candle. On the day, SPY lost 0.15%, DIA lost 0.56%, and QQQ gained 0.61%. The VXX fell over 3.5% to 17.39 and T2122 rose deeper into the overbought territory at 96.93. 10-year bond yields were unchanged at 0.882% and Oil (WTI) rose to $45.24/barrel.
Bitcoin traders got a nasty shock after the close Wednesday. After reaching its all-time high during the trading day, after-hours Bitcoin fell nearly $3,000. No apparent cause for the plunge is known at this point. However, CNBC reports that most cryptocurrency experts do not feel this volatility will have long-term implications and they still expect it to reach $20,000 soon (which after this drop is 18% away).
AZN faced more scrutiny on Thursday when more details about their Phase 3 trial were released. It turns out that the mistake, which led to data implying a 90% efficacy rate, was based on a manufacturing problem. AZN mistakenly only put half doses of the vaccine in thousands of vials. Rather than scrap or remanufacture the product, AZN and Oxford University made the decision to just administer the half doses to a younger group of volunteers. So, while the 1.5 dose regimen did show it was 90% effective (versus 62%when 2 doses were administered to older volunteers), the data is skewed and the AZN quality control is in question. Worse yet, AZN and Oxford did not disclose this in their original statement. Instead, they just said 1.5 doses was 90% effective and on average the vaccine was 70% effective. Still, the vaccine was formally referred to the UK Medicines Regulator for assessment of fitness for approval.
On the virus front itself, infections continue to rage as the US. Despite a relative respite on the holiday (only 108,289 new cases) the US totals have risen to 13,249,447 confirmed cases and 269,597 deaths. The 7-day average of new cases to 179,923 while deaths are averaging deaths rise to 1,712/day. The Pentagon has instituted new restriction and protocols are cases climb on bases and ships.
Globally, the numbers rose to 61,448,892 confirmed cases and the confirmed deaths are now at 1,440,531 deaths. In Europe, Russia reported a new record high in cases Friday, and Germany topped 1 million cases as it reported its worst day of deaths. In Asia, Japan saw its second-highest new case count to date while South Korea saw the same, (with Wednesday being the record high day).
Overnight, Asian markets were mixed again, but this time leaned to the green side. Shanghai (+1.14%) led the gainers by far while Australia (-0.53%) paced the losses. In Europe, we see a similar mixed picture so far today. The FTSE (-0.39%), DAX (+0.28%), and CAC (+0.052%) lead the way. As of 7:30 am, US futures are pointing to a modestly higher open. The DIA is implying a gain of 0.21%, the SPY a gain of 0.21%, and the QQQ to a slight gap higher (+0.35%).
There are no major economic news events Friday. There are also no major earnings reports on the day. However, remember that today is a half-day, with markets closing at 1 pm.
Expect a light and perhaps volatile day as many traders enjoy a four-day weekend. Also, remember that this is Friday. So, book some profits and/or place some hedges in front of the weekend. As always, respect the trend, support/resistance, and price action. Don’t chase moves you have missed (there will be another opportunity) and stick with your trading rules. Our job as traders is consistency, not hitting home runs,
Ed
Swing Trade Ideas for your consideration and watchlist: No Trade Ideas for a short Friday. Trade your plan, take profits along the way, and smart. Also, remember to check for impending earnings reports. Finally, remember that any tickers we mention and talk about in the trading room are not recommendations to buy or sell.
Mike Probst: Rick, Got CTL off the scanner today. Already up 30%. Love it.
DickCarp: 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.
Hit and Run Candlesticks / Road To Wealth Youtube videos
|607% in just 24 months |
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.
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
Vaccine fueled recovery hopes helped to inspire the bulls to new record-breaking levels creating headlines around the world. Massive rallies in energy, financials, and consumer staples have created impressive reversal patterns in the charts and suggest the move may have become a bit parabolic in the short-time. Expect volume to decline rather sharply today after the deluge of economic data as traders head out for holiday plans. Consider your risk carefully as we head into the shutdown and what typically is a choppy light volume market condition on Black Friday and the Cyber-Monday shopping distractions.
Asian markets closed mixed but mostly higher overnight while European markets slip slightly lower, resting after yesterday’s sharp rally. As we wait for a massive morning of potential-market moving economic data, the futures are taking a wait and see approach indicating a modestly lower open. Stay safe and have a Very Happy Thanksgiving, everyone!
Economic Calendar
Earnings Calendar
On the eve of the Thanksgiving shutdown, we have a relatively light day of earnings calendar. Notable reports include DE & FRO.
News & Technicals’
A pre-holiday surge set new records lifting the Dow above 30,000, enjoying the blue sky above with IWM. Energy, financials, and consumer staples sectors were the big winners, while some tech giants struggled to find buyers. Focused on vaccine recovery, hopes the bulls maintain solid control of the index trends, and there seems no price too high that they are willing to pay. Reaching the 30,000 goal was very important for the institutions. As reported on CNBC, this new threshold could draw in new investors from the sidelines with hopes that more stocks will participate in the next leg. However, there are those worried that the market is heating up to an unstainable level. One thing for sure, as the pandemic continues to impact business and the expectation of higher taxes on the horizon, traders will have to remain nimble.
Today is a massive deluge of potentially market-moving data. As of now, U.S. Futures point to a slightly lower open as if taking more of a wait and see approach this morning. Although 2020 is far from typical, it would be wise to keep in mind that volume usually shrinks quickly ahead of the holiday as traders hit the roadways and airports. Light volume choppy price action and be expected during the short session on Black Friday often extends into the following week with shoppers focused on Cyber-Monday deals. No doubt this has been a challenging year, but we still have so much to be thankful for in this great country of ours. Please take a moment during this holiday to remember those that serve in the military, our first responders as well as the health care professionals on the front lines keeping us safe.
Markets gapped higher, but mixed amounts on Tuesday. The QQQ jumped up four-tenths of a percent, the SPY eight-tenths of a percent, and on the day that the Dow broke 30,000, the DIA gapped up a full percent. We then saw a follow-through rally the rest of the morning. However, markets spent that afternoon grinding sideways, even with large position-covering volume the last 10 minutes of the day. VXX lost a percent to 18.05 and T2122 held in place deep in overbought territory at 95.84. 10-year bond yields rose again to 0.882% and oil popped 4% to $44.86/barrel as optimism (or relief from uncertainty) over a government transition seemed to buoy markets in the morning.
Mortgage rates dropped again this week to 2.92%. This move was cheered by borrowers as mortgage applications climbed 4% for the week (19% increase from the same week in 2019). However, it was refinancing (71% of the applications) that caused most of this activity. Refinance applications were up 79% year-on-year and at the highest level since April.
From the “better to be lucky than good sometimes” file, a sidebar to the recent AZN vaccine news. It turns out the 90% efficacy rate was only achieved under younger patients. More interestingly, that dosage was only stumbled upon by mistake. AZN made a systemic error and only gave half doses to a large group of volunteers. This was only discovered because they reported far fewer side effects than expected. So, rather than throw out the data and start again, AZN continued and just gave those volunteers a full dose a month later. It turns out that this 1.5 dose regimen was over 25% more effective than the full 2 doses…at least in younger patients. The CDC is reviewing the AZN data and hoping to find ways to increase efficacy or reduce side effects in the similar PFE and MRNA vaccines.
On the virus front itself, infections continue to rage as the US. This surge has raised the US totals to 12,958,805 confirmed cases and 265,986 deaths. The 7-day average of new cases to 178,692 while a spike in deaths (2,194, the highest since the start of May) saw the average deaths rise to 1,657/day. Meanwhile, the HHS is conducting a test of the vaccine distribution networks in hope of heading off problems when an approved vaccine is available.
Globally, the numbers rose to 60,240,061 confirmed cases and the confirmed deaths are now at 1,417,858 deaths. Hong Kong is seeing another rise in cases as new restrictions are to begin. The WHO says that Europe is still the epicenter, accounting for 44% of new cases and 49% of deaths the past week. This came as Germany reported another new record daily high in cases.
Overnight, Asian markets were mixed again, but this time leaned to the red side. Shenzhen (-1.74%), Shanghai (-1.19%), and India (-1.51%) paced the losses. Malaysia (+1.22%) and Thailand (+1.01%) were far and away the larges gainers. In Europe, we see a similar mixed picture so far today. The FTSE (-0.69%), DAX (-0.18%), and CAC (+0.03%) lead the way, but the continent’s exchanges range from -0.94% to +0.81%. As of 7:30 am, US futures are also pointing to a mixed open. The DIA is implying a flat open (-0.05%), the SPY a 0flat (+0.08%) open, and the QQQ to a slight gap higher (+0.38%).
There is a large amount of economic data today. Oct. Durable Goods, Q3 Employment Cost Index, Q3 GDP Price Index, Oct. Trade Balance, Oct. Retail Inventories, and Oct. Core PCE Price Index (all at 8:30 am), Oct. PCE Price Index, Oct. Personal Spending, Univ. of Michigan Consumer Sentiment, and Oct. New Home Sales (all at 10 am), and Crude Oil Inventories (at 10:30 am). Major earnings reports are limited to DOOO and DE before the open. There are no earnings reports after the close.
All the data makes the open uncertain at this point. However, remember many traders may already be headed to the door for a long weekend. So, low-volume volatility is quite possible, As always, respect the trend, support/resistance, and price action. Don’t chase moves you have missed (there will be another opportunity) and stick with your trading rules. Our job as traders is consistency, not hitting home runs,
Ed
Swing Trade Ideas for your consideration and watchlist: WRK, DFS, IP, DAR, PWR, XLB, USB, MTCH, SBUX, BA. Trade your plan, take profits along the way, and smart. Also, remember to check for impending earnings reports. Finally, remember that any tickers we mention and talk about in the trading room are not recommendations to buy or sell.
Mike Probst: Rick, Got CTL off the scanner today. Already up 30%. Love it.
DickCarp: 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.
Hit and Run Candlesticks / Road To Wealth Youtube videos
|607% in just 24 months |
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.
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
The transition begins, and the U.S futures celebrate the decision surging higher this morning even as states add a blizzard of new restrictions to battle the pandemic. With a holiday shutdown just around the corner, it may be wise to consider the big gap up this morning as a gift and opportunity to profit and reduce heading into the holiday. Remember, volume typically begins to decline as traders head out for vacation plans.
Asian markets were mostly bullish overnight, with the NIKKEI surging a whopping 2.5% amid vaccine hopes. European indexes trade decidedly bullish this morning, and the U.S. futures point to a substantial gap up with a Dow 30,000 target within striking distance. Please keep in mind volume typically declines quickly, heading onto a holiday. That said, it may be challenging to maintain the bullish momentum.
Economic Calendar
Earnings Calendar
We have a busy day on the earnings calendar, with retail reports a significant focus on Tuesday. The notable reports include ANF, BBY, DKS, GPS, DLTR, JWM, AEO, ADI, ADSK, BURL, EV, HRL, HPQ, SJM, J, MDT, MOV, TIF, & VMW.
News & Technicals’
I must admit this wild bullishness continues to surprise me even as more restrictions go into place around the country trying to curb the pandemic. That said, I also have to say I am enjoying the profits the relentless push toward higher. The moral of the story, read the price action, follow the trends, and most importantly, gratefully take the gains the market provides in time like this. Futures are pointing to a gap up open, apparently celebrating that President Trump has begun the process to ensure a smooth transition. Though he vows to continue the legal challenges, the market seems to have voted this was the right thing to do. Biden’s choice, Janet Yellen, to lead the Treasury also boosted the market higher yesterday afternoon, supporting the decision. Though all the warm and fuzzy bullish is fantastic, let’s forget we have a holiday shutdown just around the corner and blizzard pandemic restrictions likely to impact businesses. As a result, it may be wise to take advantage of the morning gap by taking profits and reducing risk heading into the holiday. Remember, gaps are gifts, but the money is not yours until you take the gain and tuck it safely away in your account.
On the technical front, the indexes remain in bullish trends but keep in mind the current rally will have to deal with the price resistance created in the last three weeks. Only the IWM has thus far been able to enjoy the blue sky breakout, so watch closely for the possibility of profit-taking near resistance on the DIA, SPY, and QQQ. The T2122 indicator will show an extreme short-term overbought condition at the open as well. Don’t let greed prevent you from making a profit!
Mike Probst: Rick, Got CTL off the scanner today. Already up 30%. Love it. 
