De facto Holiday?

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Prime day

Based on yesterdays anemic price action, it might be fair to say that the Amazon Prime sales event has become a de facto holiday much like Black Friday.  Although the sales event has been extended another day this year, the bigger round of earnings coming out this morning could inspire more attention from the trading community and shaking up the price action for today.  As with every earnings season, we must prepare for the possibility of higher volatility and have a well-thought plan to protect our current positions and overall capital from the extreme moves stocks can make after reporting.

Asian markets closed mixed, but mostly lower overnight and European markets seem somewhat subdued this morning with modest mixed results as they also wait for earnings results.  Consequently, US Futures are at this moment almost flat hoping to find inspiration in the coming reports.  JPM has already reported an earnings beat, but currently, traders appear dissatisfied with the result as the stock is currently indicated to gap lower at the open.  Trends remain very bullish, although it appears a bit extended as the uncertainty of earnings begins to ramp up. 

On the Calendar

On the Tuesday Earnings Calendar, we have 43 companies fessing up to results as 3 quarter earnings begin ramping up.  Some of the notable reports today include CSX, CTAS, DPZ, GS, JNJ, JPM, SCHW, UAL & WFC.

Action Plan

Price action was light and choppy as if it was a holiday market.  My guess is the Amazon Prime day and the huge sales events other retailers put on to compete distracted traders and investors out searching for a deal.  With the Prime event now extended another day if possible today could be much of the same.  However, today, we have a bigger round of earnings that could shake up the market can get things going.

We also have a parade of Fed speakers on the Economic Calendar today including Jerome Powell, but it’s unlikely we will learn any new details as to if or how much of a rate cut is on the way.  Chart technicals continue to be very bullish, and the trends remain strong all-be-it a bit extended.  With so many earnings reports for traders to digest anything and everything is possible and we should prepare for the possibility of heightened volatility.  Remember to check all your current positions against the earnings calendar as well as any new positions you are considering to add.  I know it’s a pain to do, but the market rarely rewards laziness, and as the CEO of your trading business, the buck stops with you! 

Trade Wisely,

Doug

Pinball Strategy Topic

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✅ Member e-Learning tonight Tuesday, July 16, 2017, Trading Room #1. Tonight’s topic will the Pinball strategy. The Pinball strategy is what started me on the path to trading success.

Yesterday we closed WBA with a whopping 4.3% profit, hey it was a profit! Really I didn’t like the risk the Price Action (Candlesticks) that’s been presented in the last three days. I still like the chart and the potential of WBA, so we are keeping it on the watch-list for another day. Our BABA gapped and held yesterday closing up 4.43% on the stock; we are currently up 35.2% on our option trade. We also bought CPB yesterday because of the price action (Candlesticks) tight into the bullish wedge. X is finally starting to show a little life with price action back into the T-Bands, A breakout of $14.60 is needed for this thing to go higher.

👉 Full disclosure, we are actively trading all stocks mentioned in the above paragraph. We may close or add more at anytime. To learn more about us or join in the live trading room consider an HRC membership or trial

👉 Rick and the HRC Members kick off the trading room starting at 9:10 Eastern We review the market, and today’s trade ideas.  

Save $50.00 with Promo Code: 👉 Privilege 👈

Pre-Market Thoughts

Big earnings today, JPM, JNJ, WFC, GS, PLD, CP, FRC, DPZ, CBSH, SNV, FHN, MBWN. I do think the market is waiting for a few earnings reports to get out before making a big change up to or down. Measuring from the June 20 high to today and from the June 26 low to today I can see the wedge is running out of steam. What this means is the market needs a rest or a catalyst to push higher. Although yesterday’s close in the SPY did not reveal any big bears are lurking around, I plan to be very cautious the next few days. The VIX was unimpressive yesterday, no big sellers or buyers. Just a heads up the CBOE Market Volatility Index is working on a double bottom. A double bottom is a condition, not a reason.

😊 Have a great trading day – Rick

🎯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.

Trade-Ideas

✅ For your consideration: Here are a few charts I thought should go on the watch-List, remember to trade your trade. Trade smart and wait for for the QEP → (QEP) Quality Entry Patterns). WYNN, TXN, XLNX, AAPL, TRV, AABA, HPQ, TTWO, INTC, NWSA. Check Earnings!

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.

We use The Worlds Best Trading Tools, TC2000 for charting, LTA-Live Trading Alerts for real-time price action, candle and candle patterns, and western patterns. The right tools for the right job.👍

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

The rubber meets the road.

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Hopes of an FOMC rate cut has set new record levels in the DIA, SPY, and QQQ, but now we will see how the rubber meets the road as earnings session begins.  Can companies produce the traction that supports these lofty prices is the question?  The big banks will dominate this week, but the bigger concern is how the big techs will fair amid the lingering trade war with China.

Overnight Asian markets managed to close with modest gains across the board even as the reviled the lowest quarterly growth figures in 27 years.  European markets are also trading in the green this morning with modest gains across the board.  As a result, the US Futures are pointing to a bullish open ahead of the Citigroup earnings report.  Expect higher volatility in the days and weeks ahead with the possibility of large overnight gaps as markets react to actual earnings results.

On the Calendar

The Earnings Calendar this week will be dominated by the big bank reports that kickoff the 3rd quarter earnings season today.  Among the notable reports are C, JBHT & WTFC.

Action Plan

As third-quarter earnings season start rolling out today, we will find out if company results can support the dramatic increases in prices over the last couple months.  An FOMC rate is one thing, but as China witnessed overnight, the trade war may have something say about earnings growth.  China numbers revealed the slowest quarterly rate of growth in 27 years.  US Economic indicators have continued to show strength however, many companies have already issued warnings that they will miss the analyst’s estimates. 

With so many prices at new record highs, the pressure is on for earnings performance.  We should expect significant volatility in the days and weeks as the market reacts to the actual results.  The bigs banks are on deck this week with some of the big techs starting next week where most of the concern lies.  The technicals of the DIA, SPT, and QQQ remain very bullish with the bulls firmly in control.  Let’s hope their energic anticipation of a rate cut holds up as earnings begin to roll out beginning with Citigroup this morning before the bell.

Trade Wisely,

Doug

Bank Earnings Start The Party

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Today is the official day of earnings with C kicking the party off. C to report pre-market Remember to check your earnings date before stepping into a trade. QCOM is sitting on a trend link, let’s see if the buyers like it enough to buy and push it higher. BABA is trying to find support near the Dotted Deuce and the 200-SMA. WBA is testing the most recent breakout line $55.25. Still holding my X with a double bottom and price trying to fight it’s way back into the T-Bands. Back on June 24th, we posted OSTK as a trade idea, Friday OSTK was up 64%. OSTK is a perfect example of price action and T-Bands.

👉 Full disclosure, we are actively trading all stocks mentioned in the above paragraph. We may close or add more at anytime. To learn more about us or join in the live trading room consider an HRC membership or trial

👉 Rick and the HRC Members kick off the trading room starting at 9:10 Eastern We review the market, and today’s trade ideas.  

Save $50.00 with Promo Code: 👉 Privilege 👈

Pre-Market Thoughts

The SPY continues to show signs of bullishness at least on Fridays close. Friday the SPY gapped higher and closed 1.34% up. If you look at the 15-min chart, you can see the gap and how the Price Action consolidated in Tier 1 of the T-Band before making a move with a breakout near the end of the day. The VIX is still trending down below the T-Line, and the T-Line is below the 34-ema, the point is there is not any fear in this market, at least as of Friday. Two charts I actively watch is the FNGU and the VXX charts, both mostly on the 15-Min time frame using only the Dotted Deuce and the 200-SMA moving averages on the charts. Note the VXX

😊 Have a great trading day – Rick

🎯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.

Trade-Ideas

✅ For your consideration: Here are a few charts I thought should go on the watch-List, remember to trade your trade. Trade smart and wait for for the QEP → (QEP) Quality Entry Patterns). SMAR, ARLO, OPK, KTOS, CPB, NVCR, MLHR, COUP, JEF. Check Earnings!

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.

We use The Worlds Best Trading Tools, TC2000 for charting, LTA-Live Trading Alerts for real-time price action, candle and candle patterns, and western patterns. The right tools for the right job.👍

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

Tightrope Walk Complete.

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Tightrope Walk Complete

With Jerome Powell’s congressional tightrope walk complete the market couldn’t be happier with his dovish comments pointing to an interest rate cut later this month.  Now the question to be asked is the potential rate cut already priced into the market?  The just 28 trading days the Dow has gained 2400 points topping 27,000 for the first time in history.  Could this become a buy the rumor sell the news kind of event?  It might be wise to consider that as you plan your risk into the weekend.

Earnings session kicks off on Monday with many of the big banks reporting next week so buckle up for increased volatility.  Overnight Asian markets closed with modest gains across the board after the release of trade data.  European markets are also showing gains this morning, which is helping to lift the US futures that are pointing to another bullish open and likely more new record highs.

On the Calendar

On the Friday Earnings Calendar, we have 17 companies stepping up to report.  Notable reports include INFY & HIFS.

Action Plan

With Jerome Powell’s congressional tour complete and his dovish comments suggesting an interest rate cut is forthcoming new market records highs continue.  The power of an assumed rate cut is truly amazing with the Dow having gained 2400 points in just 28 trading days.  That exuberance looks to continue this morning the futures pointing to another gap up open today.  As we head into the weekend after such an impressive run, it may be wise to ring the register taking some profits to the bank with earnings season kicking off on Monday.

As of now, the bulls are in full control, and the technicals of the charts continue to look strong but be very careful chasing stocks so late in a rally.  At some point, the low rate euphoria will begin to diminish, and the market will remember we still don’t have a trade deal with China.  With punishing tariffs still in place, many companies continue to warn that they will miss analysts estimates this quarter.  Something to at least consider as you plan your risk into the weekend and the beginning of earnings season.  Have a great weekend!

Trade Wisley,

Doug

SPY, DIA’s Record Highs

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SPY and the DIA’s are headed into record territory partly because of the purposed rate cut, and right now there are more buyers than sellers. Closed a few trades yesterday, PFE for a loss on the gap down below the T-Bands and trend line, AMD for a 23% profit. BABA has struggled the last 2-days, and it’s on a short leash now. INTC is trying to challenge the 200-SMA and our green upper T-Line. The price action of WBA brought in a few sellers while the price held above the T-Line, keeping stops in place. Again I what to congratulate the great profits pulled out of the market yesterday by the HRC subscribers.

👉 Full disclosure, we are actively trading all stocks mentioned in the above paragraph. We may close or add more at anytime. To learn more about us or join in the live trading room consider an HRC membership or trial

👉 Rick and the HRC Members kick off the trading room starting at 9:10 Eastern We review the market, and today’s trade ideas.  

Pre-Market Thoughts

The big winner yesterday was the DIA’s with a gap and ran into the close and the 10-day J-Hook continuation pattern breakout. Of course, now follow-through is needed. The SPY is flirting with the $300.00 line while testing it pre-market. Using the T-Line and the T-Bands, the SPY trend is still bullish, and as of yesterday, the price action is while timid shows no hardcore selling. Right now, there are more buyers than sellers, watch price action (Candlesticks), and the trend for signs of sellers outnumbering the buyers. At one point yesterday the VXX chart started to make a move but fell short without follow-through. Still no fear in this market.

😊 Have a great trading day – Rick

🎯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.

Trade-Ideas

✅ It’s Friday no trade ideas today: Fridays are a good day to clean up your balance sheet. Takes a few profits and clean out the deadwood. Trade smart and wait for for the QEP → (QEP) Quality Entry Patterns). Check Earnings!

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.

We use The Worlds Best Trading Tools, TC2000 for charting, LTA-Live Trading Alerts for real-time price action, candle and candle patterns, and western patterns. The right tools for the right job.👍

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

Closed SNAP 23.62%

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Closed SNAP for a 23.62 profit today, a good base hit. Ever wonder if Hit and Run Candlesticks members make money? Check out the trading room post from today. July 11, 2019

✅ (09:31 am) Bill M.: Out CVS for 78%

✅ (09:32 am) moto c: out CVS 69 %

✅ (09:36 am) Aaron  B: out FB +35%

✅ (09:40 am) Mike N: In the “even a blind squirrel finds a nut once in a while”, I sold my CI call this morning for a 110% profit.

✅ (09:43 am) Aaron  B: Out DIS +32%

✅ (09:52 am) Aaron  B: Out COST 34%

✅ (09:54 am) Victoria E.: Was long AMD,  not in the room yesterday, but saw in the blog your note on price action, sold before it turned down this AM for almost 8%, thanks, Rick!

👉 Rick and the HRC Members kick off the trading room starting at 9:10 Eastern We review the market, and today’s trade ideas.  

😊 Have a great trading day – Rick

🎯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.

We use The Worlds Best Trading Tools, TC2000 for charting, LTA-Live Trading Alerts for real-time price action, candle and candle patterns, and western patterns. The right tools for the right job.👍

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

AMD Risk vs. Reward

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No trades were taken yesterday, July 10, 2010. But we did close AMD for a 21% profit, after being up four days and approaching resistance we felt the risk was a bit high. We will take a 21% base hit all day long. BABA felt some profit taking yesterday, still above our stop. INTC closed above the mid-T-Line Band and + 10.6%. PFE closed back above the mid-T-Line Band with a Morning Star type pattern. SNAP closed with another Doji, still waiting for a breakout. WBA riding the upper T-Line Band looks up pre-market.

👉 Full disclosure, we are actively trading all stocks mentioned in the above paragraph. We may close or add more at anytime. To learn more about us or join in the live trading room consider an HRC membership or trial

👉 Rick and the HRC Members kick off the trading room starting at 9:10 Eastern We review the market, and today’s trade ideas.  

Pre-Market Thoughts

For those using the Live Trading Alerts Scanner, the Bull J-Hook scans and the Bull Trap scans are really producing right now.

The SPY gapped up yesterday and held, closing with a Doji between the upper green T-Line Band and the Blue T-Line Band. Price action and the trend are still pointing to bullishness; The market seems to be ok with the FEDS attitude on rates. The past nine candles in the SPY is trying to paint a J-hook continuation picture, a breakout and test would go a long way in justifying a bullish swing over $300.00.

The CBOE Market Volatility Index VIX-X did not have a lick of fear in it as of the close yesterday. Keep in mind that can change with a blink of an eye. The VIX-X closed down another 7.21%, below all T-Line Bands and the Bands are still trending down.

😊 Have a great trading day – Rick

🎯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.

Trade-Ideas

✅ For your consideration: Here are a few charts I thought should go on the watch-List, remember to trade your trade. Trade smart and wait for for the QEP → (QEP) Quality Entry Patterns). SBGI, WW, DPLO, PEP, NVCR, STZ, DIS, CTL, SQ. Check Earnings!

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.

We use The Worlds Best Trading Tools, TC2000 for charting, LTA-Live Trading Alerts for real-time price action, candle and candle patterns, and western patterns. The right tools for the right job.👍

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

Dovish Comments

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Dovish Comments

New record highs printed in the Dow, SP-500 with the NASDAQ managing to close at historic highs as the market reacted to yesterday’s dovish comments from the Fed Chairman.  Today Powell has a repeat performance on Capitol Hill, but today his hot seat is in front of the Senate Banking Committee.  Although I think it’s unlikely we will learn any more during today testimony, we should still prepare for the possibility of volatility.

Overnight, Asian markets reacted bullishly to Powell’s comments closing up across the board.  However, as I write this, European indexes are mixed and nearly flat, but that is not affecting the US Futures that point to another bullish open.  The CPI and Jobless Claims report at 8:30 AM Eastern will, however, have the final say on the market open this morning.  The trends are bullish, and the bulls are clearly in control with the market fueled up on likely interest rate cuts.

On the Calendar

calendar

On the Thursday Earnings Calendar, we have just nine companies reporting quarterly results.  Notable reports include DAL and FAST.

Action Plan

The Fed Chairmans testimony in Congress yesterday all but confirmed a rate cut of at least 25 basis points is on the way.  Today he must do it all over again at the Senate Banking Committee, but I would be surprised if we learned any new details today.  The market reaction was initially very strong, pushing the SP-500 briefly over 3000 for the first time in history.  The Dow printed a new record high but was also unable to hold it by the close leaving shooting star pattern on SPY and DIA charts.  However, bulls carried the day in the QQQ closing firmly in new record territory with tech now leading the way.

A shooting star pattern is considered a bearish pattern, but that is only true if prices follow-through with a downside move.  Without a follow-through, it may signal a little caution and possibly not even that if the bulls find the energy to move the indexes higher.  We have the CPI and Jobless Claims at 8:30 AM Eastern that have the potential to move the market before the open.  Currently, the futures point to a modestly bullish open with trends remaining very strong.

Trade Wisely,

Doug

Walking a Tightrope

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Walking a Tightrope

Jerome Powell will be walking a tightrope as he testifies on Capitol Hill today and tomorrow.  The world is hoping he will bring some clarity to the FOMC’s next move but don’t be surprised if he keeps us in the dark.  At times he will likely sound dovish as he shares his concerns for a weakening global economy.  However, don’t be surprised if he also comes of hawkish as he holds to his mandate of jobs growth that is currently exceeding expectations.

Consequently, we could experience some price volatility as the market reacts to his comments.  Remember we also have the release of the FOMC minutes at 2:00 PM Eastern today that can also create some market turbulence.  Asian markets closed mixed, but mostly modestly lower and European markets are currently seeing modest declines across the board as the world waits for the Fed Chairman to speak.  As a result, US Futures are also suggesting a bit of pensiveness pointing to a modestly lower open.  Plan your risk carefully.

On the Calendar

calendar

On the hump day Earnings Calendar, we have 12 companies stepping up to report results.  Amon the notable reports will be BBBY and MSM.

Action Plan

Today will be a very big day for Fed Chairman Jerome Powell as he testifies in Congress.  He will be walking a slippery tight rope between Washington D.C. and Wall Street trying to uphold his mandate while trying to appease both worlds.  Certainly, a tough task that is likely to create some market volatility today and tomorrow.  I expect him to lay out a case for possible rate cuts due to a weakening global economy.  However, I also expect him not to provide us the certainty of a cut or how deep that cut might be if the data moves them to that decision.

If that’s not enough to give the market a case of indigestion then lest toss in the release of the FOMC minutes at 2:00 PM Eastern to keep everyone guessing.  As I write this futures are a bit pensive suggesting a modest pullback at the open as we wait for the Capital Hill drama to unfold.  Trends in the DIA, SPY & QQQ remain bullish while IWM continues to struggle with an overall downtrend.  Plan your risk carefully and remember Earnings season kicks off next Monday.

Trade Wisely,

Doug