Markets gapped strongly higher at the open Tuesday on the EU recovery deal, general recovery optimism, and good earnings.  However, the huge tech names sold off immediately, and the rest of the market could not fight that wave, finally following suit in the afternoon.  The QQQ closed down 1.04%, but the large-caps eked out gains as SPY closed up 0.18% and DIA closed up 0.57%.  The VXX was flat at 29.48 and T2122 climbed all the way to the top of overbought territory at 96.49.  10-year bond yields fell slightly to 0.604% and Oil (WTI) climbed 2% to $41.76/barrel.

Republicans met and began cobbling together their proposal for the next stimulus bill, a necessary precursor for the start of negotiations with Democrats (whose plan has been passed and, on the table, since May).  As of Tuesday, the GOP has agreed amongst themselves that businesses need more PPP loans, other grants, and liability protection at a minimum. They also will ask for $105 billion for schools.  However, the Payroll Tax Cut that the President demanded didn’t appear to make the list since it is being opposed by even some Republicans.  Later, House Minority Leader McCarthy told CNBC he does not expect a final deal to be negotiated and passed until August.  Still, Congress will want to adjourn again and get back home to begin their reelection campaigns.  So, early August is probably as late as it will be allowed to go.

The other major storyline overnight is the ratcheting up of trade tensions with China.  This may be a legitimate confrontation about the activity or something that would always be legitimate but is done now for unrelated purposes.  In any event, the US charged (in absentia) 2 Chinese men for hacking and attempted (but unsuccessful) theft of medical data. The US also abruptly forced the closure of the Chinese Consulate located in Houston.  The Chinese have vowed retaliation for both through their state-run media.  Regardless of the true reasons behind these moves or their validity, it does stir up fear of another round of trade war.

In a one-off story snuck out overnight, Citadel Securities announced it has agreed to be was fined by FINRA for front-running client orders in a settlement agreed July 16, but announced in a Tuesday press release.  The fine was a paltry $700,000. However, this case had been dragged out so long that the activity covered dates from way back in 2012-2014.  So, apparently it pays to hire top FINRA and SEC officials as your General Counsel as Citadel had done.

In the US, the virus numbers show we have 4,028,733 confirmed cases and 144,958 deaths.  This includes 67,000 new cases Tuesday.  TX and FL continue to report record-high 7-day average new deaths.  However, at least for the first time in over a week, FL reported under 10,000 new cases with 9,400).  LA Governor Edwards announced Tuesday the state will remain in phase 2 of reopening for at least another 2 weeks (rather than move to phase 3 on Friday as previously scheduled).  On the business side there was good news as BBY announced that sales are returning (up about 2.5% in Q2) and they have brought back about half of the employees furloughed in April. 

Globally, the number of cases has reached 15,120,686 confirmed cases and 620,263 deaths.  Asia is again becoming a hot spot.  For example, India continues to see a surge as they reported over 39,000 new cases on the day in their very underwhelming testing program (given their huge population).  The outbreak in Australia also continues, especially in its two largest states.  Japan also is back near their record-high in cases although the last 2 examples are tiny relative to US numbers, due to the tiny Australian population and Japan’s overwhelming acceptance of mask-wearing.  Closer to home, Mexico surpassed 40,000 deaths as their 7-day average of new cases also sits at an all-time high.

Overnight, Asian markets were in the red with the exception of China and Taiwan, which were mildly green.  These moves came mostly in response to trade fears.  The same is true in Europe, with only Russia above break-even (barely) at this point in their day.  In the US, as of 7:30 am futures are pointing to a modest gap lower of about a quarter percent. 

The major economic news for Wednesday is limited to June Existing Home Sales (10 am) and Crude Oil Inventories (10:30 am).  The major earnings reports on the day include ABB, APH, BIIB, BKR, CP, CSTM, DOV, HCA, IQV, KEY, KNX, LAD, NQAD, NTRS, NVR, RCI, SLGN, and TMO before the open.  Then after the close, CMG, CSX, EFX, KMI, LSTR, LVS, MSFT, MTH, PLXS, RJF, RUSHA, SU, TRN, TSLA, UFPI, and WHR.

Tuesday’s fading of the gap higher did nothing to break trend.  We simply printed a black candle in an uptrend.  The sentiment drivers are likely to be earnings (since we are in silly season), stimulus bill negotiations, and US-China relations.  Remember to watch those FAANG stocks as they proved again yesterday that it’s very hard for the market to buck any move they make as a group.  Remain focused on short-term charts and don’t chase, don’t predict, and always take profits as you go.  In earnings season, be wary of both reactions and re-reactions.

Ed

The Daily Swing Trade Ideas for today: NBL, CWH, WDC, PENN, OIH, AIG, XOP, WFC, DKNG, X, MRO, SLB. Trade your plan, take profits along the way, and smart. Also, don’t forget to check for upcoming earnings. Finally, remember that the stocks/ETFs 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.

🎯 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.

Hit and Run Candlesticks / Road To Wealth Youtube videos

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

Markets opened flat Monday and after a few minutes of pullback, the bulls stepped in and rallied all day long.  The big tech stocks led the way as TSLA was up 9.47% and AMZN was up 7.93%.  Initial vaccine test news out of the UK also led to optimism.  The DIA was the outlier, printing another indecisive Doji.  However, QQQ and SPY both printed strong Bullish candles coming off last week’s consolidation.  At the close, SPY was up 0.81%, DIA was up 0.03%, and QQQ was up 2.84% (a new all-time high close).  The VXX fell back below 30 to 29.23 and T2122 fell out of overbought territory to 70.18.  10-year bond yields fell slightly to 0.613% and Oil (WTI) was flat, closing at $40.69/barrel.

The EU finally reached a deal on a recovery plan last night.  The $860 billion plan includes 52% of the money distributed as grants to the 27 member countries and the remaining 48% will be given out as loans.  They will fund the plan through EU-backed bonds that will stop being printed in 2026 and will be paid off by 2058.  They also announced that they will need additional taxes to repay those bonds. The new taxes will include a carbon tax and a non-recyclable waste tax.  Quite a contrast to US governance.

Several businesses announced layoffs or buyouts.  Among them are LinkedIn, who will cut 6% of their workforce.  LUV also announced that 17,000 employees had volunteered for early retirement or contract buyouts.

In the US, the virus numbers show we have 3,961,805 confirmed cases and 143,864 deaths.  The good news is that daily new cases fell below 63,000 Monday for the first time in over a week.  The bad news is that deaths ticked up on the day, but still below the 7-day average.  So far, only 28 states have listened to experts and instituted state-wide mask mandates.  However, several others have partial mandates or municipal-level mask orders in place. The rest can’t bear the idea of government mandates, even if they believe wearing a mask is in the public good. (I’m unsure whether the freer states also have looser laws on public nudity or driving without a seatbelt. lol) However, for traders the impactful issue is that in the absence of mandates it becomes retailers and restaurants that must enforce a mask rule and that will continue to generate bad press or at least hurt feelings among some former/potential customers.

Globally, the number of cases has reached 14,881,625 confirmed cases and 613,996 deaths.  In Spain, a new outbreak has occurred in a traditional summer holiday region (including Barcelona).  No new lockdown has been ordered, but the public has been “urged to stay home.”  Meanwhile, the UK reported a 4.5% drop in real wages for Q2.  This was the largest drop since the 1970s oil crisis according to a report from Resolution Foundation in London.  Real Wages or Standard of Living is a measure of disposable income and the drop considers lost wages as well as price inflation.

Overnight, Asian markets were green across the board.  The strongest showing was made in Hong Kong and Australia, but the rally was broad-based.  The same is true in Europe, where the recovery plan deal (after 5 days of heated negotiation) lifted market expectations.  In the US, as of 7:45am futures are pointing to a gap higher of 0.7%-0.9% on Monday evening’s IBM beat and Tuesday Morning’s KO beat. 

There is no major economic news for Tuesday.  The major earnings reports on the day include CIT, CMA, GPK, KO, LMT, MUSA, NVS, PCAR, PLD, PM, SNV, SYF, and UBS all before the open.  Then after the close AGR, AMTD, COF, CNI, CSL, IBKR, ISRG, NAVI, SUM, TER, TXN, UAL, and WRB all report.

Monday’s rally has bulls off and running this week.  However, it is possible we drift until a deal is reached on the next US stimulus (recovery) bill being negotiated this week. Keep an eye on those FAANG stocks that have been the market’s “canary in the coalmine.”  They clearly signaled yesterday’s rally and it would be very hard for the market to fight them if they all go one direction.  Remain focused on short-term charts and don’t chase, don’t predict, and always take profits as you go.  Remember we are in earnings season now, so some surprises are likely to happen…plus usually every initial reaction is met with an “on second thought” re-reaction.  So be nimble.

Ed

The Daily Swing Trade Ideas for today: MS, NIO, FVRR, ROKU, PINS, KR, SNAP, ETSY, UBER, MU. Trade your plan, take profits along the way, and smart. Also, don’t forget to check for upcoming earnings. Finally, remember that the stocks/ETFs 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.

🎯 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.

Hit and Run Candlesticks / Road To Wealth Youtube videos

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

Markets gave us the epitome of “the summer blahs” Friday, essentially treading water in an indecisive day of trading.  The SPY and QQQ gave us small gaps higher and the DIA a small gap lower at the open.  The SPY and QQQ then printed Doji candles while the DIA printed a small Bearish Engulfing of a Doji.  At the close, SPY was up 0.29%, DIA down 0.27%, and QQQ up 0.12%.  The VXX fell to 30.62 and T2122 (4-week New High/Low Ratio) fell a bit to 94.00, which is still deep into the over-bought territory. 10-year bond yield rose slightly to 0.623% and Oil (WTI) closed down a tad to $40.57/barrel.

Treasury Sec. Mnuchin told Congress Friday they should forgive all small business PPP loans (regardless how the money was used), though he did acknowledge some measure of fraud prevention would be needed.  He didn’t specify how he defines “small business” and as of his testimony, there were still over $132 billion of PPP funds approved that had not been requested.  Nonetheless, Mnuchin also recommended a second round of PPP loans (companies allowed to take a second loan).  In separate testimony, former Fed Chair Yellen told Congress she is extremely worried that if extended unemployment was not renewed, it could be a catastrophe for the economy.  Sunday White House Chief of Staff Meadows said that real negotiation of the next virus stimulus bill will begin Monday.

After the close Friday, the US Bureau of Labor Statistics reported that Q2 saw the greatest jump in average weekly earnings in the country’s history (a 10% increase in one quarter).  While this seems like good news, experts say it is actually misleading.  They say this was bad news, because it reflects that high salary workers were being retained while a much larger percentage of the hourly workforce and low-level salaried employees were let go.  It’s unclear to me how this is different than any other point in time as the supposed high-value employees are always first hired, last fired while by definition the lower-cost workers are often an after-thought to businesses.  So, I don’t know if I agree with analysts. You decide.

In the US, the virus numbers show we have 3,898,639 confirmed cases and 143,289 deaths.  The 7-day average of new cases is almost 68,000 and the 7-day average of virus deaths is just under 800 as of Sunday.  And while 38 states have 7-day average new cases that increased by at least 10% week-on-week during most of last week, as of Sunday we are down to 32 rising at least that much, with 10 states now neither rising nor falling by at least 10% and 2 states are down more than 10%.  Also, so far at least, hospitalizations have not yet exceeded the April peak.  The only caveat with that good news is that hospitalizations tend to lag infections by 3 weeks and deaths tend to lag another 1-2 weeks. 

Globally, the number of cases has reached 14,668,298 confirmed cases and 609,511 deaths. The UK reported that their economy recovered much less than was expected in May as their easing got underway.  The UK GDP grew 1.8% for the month versus a consensus expectation of 5.5% growth.  In China, supply chain issues (such as filling orders for PPE gear) are being caused by massive flooding across their nation.  The flooding has exacerbated already jammed transportation infrastructure (such as ports) that have yet to recover from the backlogs caused by Feb.-Mar. shutdowns.  In the EU, 3 days of negotiation over a stimulus package details and a 5-year budget have yet to produce a deal. In fact, negotiations are heated with multiple “table pounding” arguments reported. (That makes an interesting dichotomy with the US. The supposedly socialist Europeans are fighting tooth-and-nail over taxing and spending $850 billion (with a population of 450 million people), while the supposedly capitalist US has had no trouble at all spending trillions and trillions of dollars (so far) with 330 million people.)

Overnight, Asian markets were mixed, with China up strongly, India up modestly, Japan and South Korea flat and the rest of the region in the red.  Europe is also mixed, but leans toward the green and is also little-moved so far.  The FTSE is down 0.54%, DAX up 0.31%, and CAC down 0.21% at mid-day. The rest of the continent is mixed, but leaning green.  In the US, as of 7:30am futures are flat, just on either side of break-even. 

There is no major economic news for Monday.  The major earnings reports on the day include CALM, HAL, LII, and MAN before the open as well as CCK, CDNS, IBM, LOGI, STLD, and ZION after the close.

Friday’s candles were indecisive for the third day in a row with neither the bulls nor the bears gaining traction.  Expect more volatility as virus news helps the bears, vaccine hope/speculation helps the bulls, and stimulus negotiations could go either way.  Keep an eye on those FAANG stocks that have been the market’s “canary in the coalmine.”   Remain focused on short-term charts and don’t chase, don’t predict, and always take profits as you go.  Remember we are in earnings season now, so some surprises are likely to happen…plus usually every initial reaction is met with an “on second thought” re-reaction.  So be nimble.

Ed

The Daily Swing Trade Ideas for today: CSCO, HD, GLD, AZN, OSTK, GPN, INTC, SLV, IAG. Trade your plan, take profits along the way, and smart. Also, don’t forget to check for upcoming earnings. Finally, remember that the stocks/ETFs 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.

🎯 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.

Hit and Run Candlesticks / Road To Wealth Youtube videos

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

Markets gapped down Thursday, maybe on virus fears, US-China worries or less than expected reduction in new jobless claims.  After the gap, prices took a rollercoaster ride that ended up not far from where they opened.  This gave us white-body candles that had faded the gap down but also had longer wicks (especially the DIA and QQQ), indicating a lot of indecision.  There was also the beginnings of a rotation out of the massive tech names that have led for months with cyclical and staples names leading for the second straight day.  The SPY closed down 0.31%, DIA down 0.51%, and QQQ down 0.68%.  VXX also fell a bit to 31.72 and the T2122 4-week High/Low Ratio eased just a bit (but stayed deep in the overbought territory) to 94.97.  10-year bond yields also fell to 0.617% and Oil (WTI) pulled back slightly to $40.73/barrel.

After-hours the CDC extended the ban on cruises.  The ban was scheduled to expire July 24 but has now been extended at least through September.  NCLH, RCL, and CCL stock were hammered in post-market trading on the news.

The European Court of Justice canceled a US-EU data-sharing deal Thursday over fears that the US government will snoop on personal data.  This means that either the US changes their data surveillance laws or US businesses will be forced to change their business operations and costs.  For example, both tech giants and 2300 small businesses will now have to prevent all European data from flowing onto servers or networks located in the US.  This would include communications on FB, TWTR, and GOOG.  MSFT announced they would not be affected because they already use EU-written contracts guaranteeing privacy rather than contracts based on the US-EU Privacy Shield agreement which was annulled.

In a follow-on to the US-China relations story, Attorney Gen. Barr accused American tech giants of being pawns for China.  In another example of “everyone’s out to get us,” his list of alleged conspirators against America included GOOG, MSFT, AAPL, CSCO, DIS, all of Hollywood, and the media.  No sanctions or even threats of sanction was announced.  However, the implication was that they have an investigative target on their back for their supposed transgressions.  On another front, the US announced a travel ban for all Chinese Communist Party members and their families.

In the US, the virus numbers show we have 3,696,141 confirmed cases and 141,130 deaths.  This includes 73,000 new cases nationally on the day.  More states also joined the mask mandate bandwagon including AR, CO, and OH (partially). However, GA Governor Kemp decided to go the other way, by voiding all local mask mandates in his state and suing the Mayor of Atlanta for her mask mandate.  At the same time, GA reported almost 3,500 new cases, which was trumped only by CA (4,600), TX (7,500), and FL (almost 14,000) new cases.  Both TX and FL also recorded another record number of virus deaths Thursday. 

Globally, the number of cases has reached 13,979,223 confirmed cases and 593,450 deaths.  Brazil reported over 44,000 new cases and the largest number of deaths in a single day that they have had.  India reported 36,000 new cases, also their largest daily total.  In Europe, Spain reported the highest number of new cases since May 10^th so they have retightened some restrictions.  They are also slaughtering some 100,000 minks after dozens tested positive for Covid-19.  In the UK, PM Johnson announced further easing as well as an additional $4 billion for their NHS in preparation for a second wave of infections.

Overnight, Asian markets were mixed, but mostly modestly green. In Europe, markets are also mixed and not far from break-even on either side.  This is seen as largely due to the EU leaders meeting to negotiate on a stimulus measures, with some leaders saying they think there is less than a 50% chance of agreement on a plan.  In the US, as of 7:30am futures are varied, but on the green side.  The SPY and DIA are looking at modestly higher opens,  However, the QQQ is pointing toward a gap-up of almost 1%.

The major economic news for Friday includes June Building Permits and June Housing Starts (both at 8:30 am) and Michigan Consumer Sentiment (10 am).  The major earnings reports on the day include ALLY, ALV, BLK, CFG, ERIC, HON, KSU, RF, STT, and VFC all before the open.

Thursday’s candles were indecisive if a bit on the red side of flat.  It remains unclear whether the bulls or bears have the momentum coming out of yesterday’s session.  Expect more volatility today and keep watching those FAANG stocks that are a good “canary in the coalmine” for the markets.  Remain focused on short-term charts and don’t chase, don’t predict, and always take profits as you go.  Remember we are in earnings season now, so some surprises are likely to happen…plus usually every initial reaction is met with a “on second thought” re-reaction.  Also, don’t forget today is Friday.  So don’t forget to take a paycheck in front of the weekend news cycle.

Ed

The Daily Swing Trade Ideas for today: BUD, VALE, HD, ABBV, KSS, JNJ, NVAX, AMGN, AZN. Trade your plan, take profits along the way, and smart. Also, don’t forget to check for upcoming earnings. Finally, remember that the stocks/ETFs 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.

🎯 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.

Hit and Run Candlesticks / Road To Wealth Youtube videos

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

Markets gapped higher, giddy about a recycled MRNA story after the close the prior night and a big GS beat in pre-market.  However, after the gap, markets soon found resistance and traded in a choppy range the rest of the day.  We ended up with indecisive black-body candles in all the major indices, but also green from the gap-up.  The SPY closed up 0.92%, DAI up 0.87%, and QQQ up 0.20% as the big tech names were mixed at best.  VXX fell to 32.26 and T2122 rose deep into overbought territory at 98.18.  10-year bond yields rose slightly to 0.632% and Oil (WTI) climbed to $40.99/barrel.

After the close and following in the footsteps of UAL, AAL warned 25,000 employees that job cuts are coming.  (Federal law requires them to give 60-days’ notice.)  TWTR also reported a major set of account hacks.  The TWTR accounts of Jeff Bezos, Bill Gates, Elon Musk, AAPL, UBER and many others were used to send scam messages offering to double every bitcoin donation made within 30 minutes.  It is unclear exactly how much money was lost to the scam, but law enforcement sources told Bloomberg that over $100,000 is known lost.

The US-China relationship story remains fairly muddled as China is distracted with major flooding nationwide and the US is sending mixed signals from our side. Sec. of State Pompeo tried his tough-guy routine Wednesday saying that “China will be made to pay a price” (related to the attempt to blame China for the pandemic).  However, President Trump played the dove during the day by deciding not to sanction Chinese officials for now.  This all comes a day after his campaign speech that mentioned signing legislations giving him more power to sanction Chinese officials and also removing Hong Kong’s special trade status.  China has vowed retaliation (tit-for-tat sanctions) for the latter two moves (and the sanctioning of Chinese business leaders) as “US interference in China’s internal Hong Kong affairs.”  Speaking of China, their GDP beat expectations coming in at 3.2% for Q2, but Retail Sales fell again by 1.8% for June. 

In the US, the virus numbers show we have 3,618,739 confirmed cases and 140,172 deaths. Retailers WMT, KSS, TGT, BBY and KR all announced a mask mandate for all shoppers, giving up their wait for a federal rule.  A couple more states joined that chorus as well, including AL and MT.  Overall, the country reported over 66,000 cases again on the day, with FL reporting over 10,000, TX reported over 8,000 and CA over 7,000 new cases on Wednesday.  In a sign of the situation, the state of TX asked FEMA to send 22 additional (3 are already in place) refrigerated morgue trucks to various Texas locations, each capable of holding 20 bodies at a time. The state also opened up a couple of convention centers as temporary virus hospitals.

Globally, the number of cases has reached 13,727,380 confirmed cases and 587,662 deaths.  China announced it will open some cinemas as of July 20 in order to spur retail sales.  India reported the highest daily jump in new cases for the second day in a row. 

Overnight, Asian markets were strongly red across the board (with the exception of India).  China was hit particularly hard as Hong Kong was down 2%, Shanghai was down 4.5%, and Shenzhen down 5%.  There was no specific cause for the Chinese selloff other than US-China relations, massive flooding, and lower than expected Retail Sales.  In Europe, markets are also down, but more modestly red than Asia with a couple minor green break-even exceptions.  In the US, as of 7:30am futures are looking for a gap-down at the open, but are wide-ranging.  DIA futures are down 0.6%, SPY futures down 0.62%, but QQQ futures are down 1.36% as of now.  This all comes as the big banks continue to report blow-out trading profits and unprecedented set-asides for expected bad-loan losses.

The major economic news for Thursday includes June Retail Sales, Initial Jobless Claims, July Philly Fed Employment Index (all at 8:30 am), May Business Inventories (10 am), and a Fed Speaker (Williams at 11 am).  Major earnings reports on the day include ABT, BAC, DHR, DPZ, JNJ, MS, SCHW, SON, TFC, TSM all before the open.  After the close, FNB, JBHT, MRTN, NFLX, PPG and WAL report.

Wednesday’s candles were much more indecisive that the earlier days this week.  It is unclear whether the bulls or bears won yesterday’s battle (at least after the gap-up).  Expect more volatility and keep watching those FAANG stocks that are a good “canary in the coalmine” for the markets.  Focus on short-term charts, but don’t chase, don’t predict, and take profits as you go.  Remember we are in earnings season now, so some surprises are likely to happen…plus usually every initial reaction is met with a “on second thought” re-reaction.

Ed

The Daily Swing Trade Ideas for today: OSTK, ROKU, IMMU, ADSK, WPM, AUY, GLD, PYPL, CRM, WDAY, TTOO. Trade your plan, take profits along the way, and smart. Also, don’t forget to check for upcoming earnings. Finally, remember that the stocks/ETFs 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.

🎯 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.

Hit and Run Candlesticks / Road To Wealth Youtube videos

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