The North Korean summit abruptly ends with no deal and with the public Cohen political drama now behind closed doors the US Futures are suggesting only a modestly lower open. However, with more than 280 companies reporting and a busy economic calendar a lot could still change as we move toward this mornings bell.
Even though the bulls have given up a little ground the last couple days they still are in control of the uptrend and fought back yesterday cutting the initial losses in half by the close. The bears on the other hand continue to defend key resistance levels putting market between a rock and hard place and we will have to watch price closely for clues. Perhaps we slip into a healthy consolidation resting after such an extraordinary market run. If that’s the case, there will be some good trading for stock pickers as companies with price momentum can continue to elevate with relatively low volatility. That of course will change dramatically if the bears began to gain the upper hand. Stay focused and flexible.
On the Calendar
We have a big day on the Earnings Calendar with more than
280 companies stepping up to report. Among
the notable earnings today are, DDD, ABB, ALRM, AMC, AMCX, BUD, ADSK, CARS,
CROX, ECA, GPS, EP, JCP, JD, KDP, LTC, MAIN, MAR, JWM, NRG, PRTY, SEAS, SPLK,
TC, VMW and WDAY.
Action Plan
After some initial selling the market became very choppy and
lethargic as the Cohen political drama which may be better described as a soap opera
played out at the US Capital. As near as
I could tell skimming through the highlights the only thing accomplished was
political grandstanding. The markets are
reacting lower this morning as due to the US/North Korean summit ends abruptly
with no deal. We also have India and Pakistan
exchanging air strikes as tensions between the two countries escalate.
Technically, the indexes continue to battle index resistance
levels and though the bulls gave up a little ground in the last couple trading
days they continue to fight hard to hold the current up trend. Asian markets closed lower and European are also
currently lower across the board this morning.
US Futures are pointing to a modestly lower open but with a big day of
earnings and economic reports anything is possible.
The close
yesterday produced an Evening Star closing on the upper T-Line channel band. More
selling and a close below yesterdays low $278.90
today or tomorrow could put price action
on the blue Lower T-Line channel band or about $276.90. If a Red Volatility
Stop Dot is created, the pressure on the
bulls might make them run for safety
about $273.50. A test of the 200 SMA is possible if the buyers don’t put a game
together. The T-2122 chart 4Wk New High/Low Ratio saw weakness yesterday below the 80 line,
and today we are likely to test the
recent low. From the December low to yesterdays high the 23.6 Fib retracement would be $269.80, a nice
healthy pullback, the 38.2 line would be at $262.95.
Hit and Run Candlesticks News
Yesterday we closed VXXB for 26% which brings the Road to Wealth account to a 425% increase in 14 months. I have opened up two more spots for the “March Road To Wealth Coaching.” Possible trade ideas- DPZ, ATGE, EA, UNP, PYPL, HAE, EBS, MTAP, SGMS. We will also be moderating the LTA Scanner.
Live Trading Alerts News
✅Live Trading Alerts – 100 plus alerts/scans to choose from
Two new auto scans have been added to the LTA-Live Trading Alerts Scanner; the Bull -Fig Newton patternand the Bear- Oreo Pattern. With over 100 built-in scans my favorite bullish scans are the Pop Out of The Box, The RBB, The 3×8 Trap, The Fig Newton. If you need set with the scanner set up or adding scans just let us know. Each day (Market hours) we provide Free Scanner coaching in our trading room #4. Warning the LTA- Live Trading Alert software is a game changer, alerts for candlesticks, candlesticks patterns, western patterns, price action, tends, bullish and bearish.
DISCLAIMER: Investing/ Trading involves significant financial risk and is not suitable for everyone. No communication from us should be considered as financial or trading advice. All information provided by it and Run Candlesticks Inc, its affiliates or representatives is intended for educational purposes only. You are advised to test any new approach before implementing it. Past performance does not guarantee future results. Terms of Service
Futures are pointing to a modestly
lower open this morning as the market faces a day of historical events. First are
the decisions of nuclear disbarment of
North Korean a feat no sitting president has been able to accomplish.
Secondly a congressional hearing where the president’s former attorney is
expected to testify that is boss broke the law while
holding the highest office in the nation.
Add to that a big day of earnings reports and full economic calendar and
I think it’s safe to say the market has a lot a lot on its plate to digest.
The bulls have proven to be
very resilient and the trend is up so expect them to fight hard to defend against
any bear attack. However, we also have
to respect the price resistance in the index charts and plan for the
possibility that the political drama could impact the market with higher volatility. Saying that anything is possible would not be
an understatement and you never know exactly how the market could react with so
much to chew on today.
On the Calendar
On the Earnings Calendar we have a big day with more than
210 companies reporting quarterly results.
Some of the notable earnings are, AMT,
APA, BBY, BKNG, BOX, CPB, CHK, DF, FIT, TWNK,
HPQ, LB, LOW, ODP, PK, PBR, SQ, TDOC, TJX and WING.
Action Plan
As the US and North Korean
try to make nice while discussing nuclear disarmament abroad the president himself
will be under attack in a congressional hearing right here at home. Putting the president’s
challenges aside we should plan for the possibility of serious market impacts. As I write this morning note the futures are
pointing to only a modest decline at the open.
With a big day of earnings reports, important economic reports and a distracting
political drama anything is possible.
In our 11th week of rally and testing index price
resistance it would not be out of the question to see some profit-taking begin
or some price consolidation to reinforce a new level of support. However, the bulls have proven to be remarkably tenacious and with the market trend strongly
in their favor I would expect them to fight hard for higher prices. Avoid predicting, stay focused on price, remain
flexible, stay disciplined to your trading rules and prepare for a very interesting
day.
I often watch
the 4-hour chart, and yesterday the SPY
4-hour chart ended the day with an Evening
Star closing below the upper T-Line channel Band. The SPY looks to be opening lower
today causing a high probability of price testing the Lower T-Line channel Band.
A close below $278.50 will likely produce a Red V-Stop, first one in the past
18 days. Note we have not seen a Red V-stop on the daily in the past 41 days,
that’s a lot of bullishness with no real rest. Yesterday’s 4-hour Evening Star was produced at the $280.00 resistance line with
the 4wk New High/Low Ratio above 80. The VXXB chart closed with a solid piercing
candle on the daily chart and a Morning Star signal on the 4-hour chart. Final
comments: trend light in this market if
the SPY fails the T-Line the $200SMA or $274.50 and $271.20 could be in the
cards.
Hit and Run Candlesticks News
Yesterday we closed JNJ for 17% and GE for 80%. We also took on a few new trades CRON, SPY, and VXXB
Trade ideas for the watch list – (Long AG, ECA, AAOI, EXAS, EBIX, VXXB) (Short STZ, GILD)
Live Trading Alerts News
✅Live Trading Alerts – 100 plus alerts/scans to choose from
Two new auto scans have been added to the LTA-Live Trading Alerts Scanner; the Bull -Fig Newton patternand the Bear- Oreo Pattern. With over 100 built-in scans my favorite bullish scans are the Pop Out of The Box, The RBB, The 3×8 Trap, The Fig Newton. If you need set with the scanner set up or adding scans just let us know. Each day (Market hours) we provide Free Scanner coaching in our trading room #4. Warning the LTA- Live Trading Alert software is a game changer, alerts for candlesticks, candlesticks patterns, western patterns, price action, tends, bullish and bearish.
DISCLAIMER: Investing/ Trading involves significant financial risk and is not suitable for everyone. No communication from us should be considered as financial or trading advice. All information provided by it and Run Candlesticks Inc, its affiliates or representatives is intended for educational purposes only. You are advised to test any new approach before implementing it. Past performance does not guarantee future results. Terms of Service
According to new reports the futures are down this morning because
investors are seeking clarity on the US / China trade deal. How can there be clarity when have been no
details and no deal has yet not yet finished?
Would it not be more likely that
the market is merely needing a rest after
the Dow has rallied nearly 4500 points in just over ten weeks? After an extraordinary run a rest or pullback is normal
and healthy price action to confirm or build price support.
The trend is still up and but there are warnings signs that
this run is a bit overextended. However,
at this time there are no clues of failure and the bulls have proven to be remarkably resilient
fending off bear attacks quite easily of late.
I would not expect them to give up easily now but stay focused on price action
clues waiting to see if the sellers show up in support or the morning gap down
or if buyers step in rejecting the low.
On the Calendar
On the Earnings Calendar we have over 200 companies reporting today. Among the most notable are, HD, M, BGS, BMO,
BNS, LNG, CSGP, CBRL, DISCA, ELF, EV, FTR, GWPH, HTZ, SJM, TREE, MELI, MYL,
PANW, PZZA, PSA, SDRL, SSTK, TIVO, VSI, and WTW.
Action Plan
If we are to believe the news
CNBC is citing that the futures are lower because investors want clarity on the US / China deal! Hmm, all along there has little to know
details and the fact is there has been no official deal as of now. Seems more likely
is down because simply because it needs a rest after Dow rally of nearly 4500 points! Nonetheless, Asian and European markets are lower this morning and it doesn’t
help the situation with HD missed on earnings early this morning.
The President is on his way to Vietnam to meet with Kim Jong-un
to discuss nuclear disarmament. Don’t be surprised if news reports from the
meeting create a little market volatility.
Keep an
eye on the Housing numbers this morning at 8:30 AM Eastern. Let’s hope
they show a better result than the
existing home sales numbers last week or the open today could be a little
rough. The trend is still up but there
are several danger signs so stay focused on price. There may be nothing at all to worry about but
let’s have the bull prove that before taking
additional long risk.
In this 90-min. video Rick talks about two of his favorite chart patterns to fish with, the T-Line Bounce and the Rounded Bottom Breakout. Also in thes video, Rick talks about the Live Trading Alert Scanner, and how he thinks it’s the best hook to have on your fishing vest.
The charts in this video are for educational purposes only. No communication from Hit and Run Candlestick Inc should be considered as financial or trading advice. Past performance does not guarantee future results.
DISCLAIMER: Investing/ Trading involves significant financial risk and is not suitable for everyone. No communication from us should be considered as financial or trading advice. All information provided by it and Run Candlesticks Inc, its affiliates or representatives is intended for educational purposes only. You are advised to test any new approach before implementing it. Past performance does not guarantee future results. Terms of Service
My curiousness about how the markets would open as we enter
the 11th week of this market rally disappeared after the Presidential
tweet energized the bulls. About 10 minutes before the futures market opened
it was reported that the President would delay the Chinese tariff increase. As you might expect Asian markets rallied strongly
on that news last night and the bullish spread to European markets which are higher across the board this morning.
Following a trip point gap and run on Friday the US futures
point to yet another gap of nearly 150 points this morning. Although global economic stories continue to populate the news the bulls
appear to have no concern and there is even
some speculation that new market record highs are on the way. Though the trend is up please keep in mind there
are clues that the market is overbought as we test resistance levels. That certainly
does not mean that selling will soon begin but it does suggest we need to be
watchful and prepared in case the bull
stumbles.
On the Calendar
On the Earnings Calendar we have 130 companies reporting earnings
today. Notable reports, TWOU, AWR, APLE, CLDT, ETSY, LSI, MOS, OKE, PBPB, APTS, RCII,
SHAK, THC & VCYT.
Action Plan
About 20 minutes before the Futures
markets reopened yesterday I was checking the news and wondered how the markets would respond after ten weeks of rally and closing in the Friday tariff increase. That curiosity
went away when about 10 minutes before the futures
open the President tweeted he would delay hiking the China tariffs and
referenced the negotiations as
productive. As you might imagine when the
Asian markets began to open 2 hours later
they made significant gains on the
news. European
markets are currently higher and the US futures are suggesting about a 150
point gap higher this morning.
As we enter the 11th
week of this amazing rally there is now speculation that the market will reach
out for new record highs in the near future.
Although it seems a fruitless endeavor I will once again point out the significant
resistance levels just above and suggest caution as we rally to test them. We have another big week of earnings this
week and several very important economic reports for the market to digest as
well.
The tariffs postponed
for now, and the pre-market has
gapped. Today is Monday 2/25/2019, and
the pre-market has gapped over our $280.00 resistance line and looks like it’s
hanging on by a thread. As of the Friday’s close the bulls held there ground
closing at $279.14 and once again price closed above the T-Line and 17ema the
Red/Green line. The big question today is the $300.00 line going to support (the safety net, or will price fall
back through? One thing I have learned in
my 31 years of trading is that a chart can be overbought and stay overbought
for a very long time. While many traders ovoid in an overbought area I have
found some of the best and easiest profits are
hidden in an overbought condition.
If price falls back below $300.00,
$279.40 would be the logical first target
Good trading and have a wonderful day!
Trading Plan
Remain CAUTIOUS with a few puts locked and loaded, continue to follow the “Road To Wealth” trading plan. 1. Use the Live Trading Alerts Scanner to find trades, 2. Follow the base hit rules, 3. Only enter a position if the conditions are right for entry risk and profit rewards.
Sure glad we bought GE, this morning GE is gaping up. We will be able to take a few profits and start the week off right. Thank you Live Trading Alert Scanner for the alert last week.
Live Trading Alerts News
✅Live Trading Alerts – 100 plus alerts/scans to choose from
Two new auto scans have been added to the LTA-Live Trading Alerts Scanner; the Bull -Fig Newton patternand the Bear- Oreo Pattern. With over 100 built-in scans my favorite bullish scans are the Pop Out of The Box, The RBB, The 3×8 Trap, The Fig Newton. If you need set with the scanner set up or adding scans just let us know. Each day (Market hours) we provide Free Scanner coaching in our trading room #4. Warning the LTA- Live Trading Alert software is a game changer, alerts for candlesticks, candlesticks patterns, western patterns, price action, tends, bullish and bearish.
DISCLAIMER: Investing/ Trading involves significant financial risk and is not suitable for everyone. No communication from us should be considered as financial or trading advice. All information provided by it and Run Candlesticks Inc, its affiliates or representatives is intended for educational purposes only. You are advised to test any new approach before implementing it. Past performance does not guarantee future results. Terms of Service
Ya baby, it’s
Friday, and it’s payday at our house. For years I have used Fridays as a day to close out a
few winners and losers, so I don’t have to worry and sleep so much over the
weekend. And with the trade talks (turmoil) and the SPY so close to resistance
this is the perfect Friday payday. With that said the bulls held us above the
T-Line yesterday proving (for now) the buyers outnumber the sellers. The VIX did
start to show a little fear yesterday but did not close over the current downtrend.
The 4wk new High/Low Ratio chart is way overbought and cracked just a little
yesterday. Did you know that being a trader you control how you manage your
portfolio, risk, reward, paydays? So enjoy your weekend by taking control.
Trading Plan
Remain CAUTIOUS with a few puts locked and loaded, continue to follow the “Road To Wealth” trading plan. 1. Use the Live Trading Alerts Scanner to find trades, 2. Follow the base hit rules, 3. Only enter a position if the conditions are right for entry risk and profit rewards.
✅Live Trading Alerts – 100 plus alerts/scans to choose from
Two new auto scans have been added to the LTA-Live Trading Alerts Scanner; the Bull -Fig Newton patternand the Bear- Oreo Pattern. With over 100 built-in scans my favorite bullish scans are the Pop Out of The Box, The RBB, The 3×8 Trap, The Fig Newton. If you need set with the scanner set up or adding scans just let us know. Each day (Market hours) we provide Free Scanner coaching in our trading room #4. Warning the LTA- Live Trading Alert software is a game changer, alerts for candlesticks, candlesticks patterns, western patterns, price action, tends, bullish and bearish.
DISCLAIMER: Investing/ Trading involves significant financial risk and is not suitable for everyone. No communication from us should be considered as financial or trading advice. All information provided by it and Run Candlesticks Inc, its affiliates or representatives is intended for educational purposes only. You are advised to test any new approach before implementing it. Past performance does not guarantee future results. Terms of Service
After a choppy Thursday with the market reacting to declining home sales futures markets were quickly lifted out the overnight doldrums with news of a pending trade deal. The story was very lacking in details but the
possible end of this trade war was enough to inspire the bulls to push for more
than a triple point gap up. A positive
close today will cap an extraordinary 9th straight week of market
gains.
Overhead resistance is certainly
still a factor and though I feel the fear of missing out just like everyone else
I will stick to my discipline and avoid chasing so late in the rally. I will also plan to use this mornings gap up
to take some profits where possible and reduce my weekend risk. My job is to advance my account and this late
in such an extraordinary run a Friday morning gap up is a gift I plan to take
to the bank.
On the Calendar
On the Earnings Calendar we get a little break today with less
than 50 companies reporting. Notable earnings
include, AN, COG, CHK, MGA, RY, RUTH, WPC
and W.
Action Plan
Another news report that the US and China are getting closer
on a trade deal quickly lifted the futures
out of negative overnight territory. Although
the report contained no information on the details or timing the bulls are
pushing a triple-digit gap up open this morning. As I mentioned yesterday a strong finish to
week would not be surprising to cap off a nine-week rally of more than 4200 Dow
points.
Though gapping up the indexes
will still be challenged by the price resistance just above so be careful not
chase this morning. As normal I plan to use
a Friday morning gap as an opportunity to take some profits and reduce weekend risk
if at all possible. This week we have
seen the bull ignore falling retail sales numbers and yesterdays decline in
home sales but I don’t believe that can continue forever. Stay disciplined on the job of protecting
your capital and advancing your account.
Have a great weekend everyone.
