Payrolls and Overnight Asian Chip News

Stocks put in a roller-coaster day that ended indecisively in the SPY and QQQ.  DIA was also volatile but ended the day down more than the others.  This left us with a long-legged Doji in the SPY, a Spinning Top candle in the QQQ, and a black candle in the DIA.  On the day, SPY lost 0.09%, QQQ, lost 0.07%, and DIA lost 0.47%.  The VXX rose slightly to 19.38 and T2122 rose to mid-range at 47.26.  10-year bond yields came back down after being over 1.75% during the morning to close at 1.723% and Oil (WTI) spiked to $79.58/barrel.

Click for video

After the close, CNBC reported that hedge funds are dumping tech stocks (growth stocks) at a massive pace so far in 2022.  They claimed it was the largest rotation by the big money funds in a decade.  This is also obvious on the chart as the QQQ is down 5% so far this year.

Meanwhile, two Asian chipmakers reported strong quarterly updates overnight.  Samsung and STMicro both reported blowout numbers with Samsung saying that its operating profit will be up 52% while STMicro reported its full-year came in +25% sales from the previous year.  Both commented on the strong demand for contract manufacturing services (where they make chips for other brands such as INTC, AMD, NVDA, QCOM, AVGO, and many other tech companies).  However, they also directly compete with some of those as well as TSM, MU, TI, and others. European chip stocks are spiking on the read-through.  We may see the same later with the US chipmaker stocks.

Overnight, Asian markets were mixed again, but leaned heavily to the upside today.  Hong Kong (+1.82%), Australia (+1.29%), and South Korea (+1.18%) led the way higher.  Taiwan (-1.08%) was a big outlier to the downside with the 4 other red exchanges all being not far below flat.  In Europe, markets are mixed at mid-day.  The FTSE (-0.09%), DAX (-0.40%), and CAC (-0.24%) are all trading lower.  However, most of the smaller exchanges are on the upside in early afternoon trading.  As of 7:30 am, US Futures are pointing toward a mixed and modest open.  The DIA implies a -0.01% open, the SPY is implying a +0.14% open, and the QQQ implies a +0.25% open (on read-through from those Asian chipmaker reports).  10-year bond yields are flat (but expect volatility when the Payrolls number hits) and Oil (WTI) is up almost another percent to $80.10/barrel in early trading.

The major economic news scheduled for release Friday includes Dec. Avg. Hourly Earnings, Dec. Nonfarm Payrolls, Dec. Participation Rate, and Dec. Unemployment Rate (all at 8:30 am).  The major earnings reports scheduled for before the market is limited to GBX.  There are no major reports scheduled for after the close.

LTA Scanning Software

Expect movement this morning, especially in the Treasury market and on inflation-sensitive names. If the ADP Nonfarm Payrolls number (more than twice as big of a gain than expected) is any indication of the official Payrolls report at 8:30 am, we could see fear of an overheating in the economy. (For reference, ADP came in a +807k vs +400k est. and the consensus forecast for the official number today is also +400k.) The point is, don't be surprised by a big premarket reaction, which may well lead to either follow-through or a snapback after traders have had a chance to digest the news.

Volatility is the watchword now as markets are not quite sure whether it is time for a downtrend or at least a pullback. Remember that the first rule of making a lot of money in the market is to not lose a lot of money in the market. So, don't be stubborn. When you're wrong, just admit it and take your loss. (That's why we set stops.) Stick to your trading rules and on managing the things you can control. Don't chase, trade with the trend, keep consistently taking profits when you have them, and move your stops in your favor.

Ed

Swing Trade Ideas for your consideration and watchlist: IGT, APTV, FFIE, BTU, F, FE, GM, TGT. You can find Rick's review of tickers on his YouTube Channel here. 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.

TC2000 Discount

🎯 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 PlansPrivate 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

Rotation Picks Up As Market Follows Fed

Wednesday saw the large-caps open flat while the QQQ gapped down about 0.35%.  The divergence kicked it up a notch as the DIA put in a ragged morning rally, SPY ground sideways all morning, and the QQQ slowly sold off.  However, the bears picked up steam about noon as stocks started sinking in all 3 major indices.  Then at 2 pm, as the December Fed minutes came out, the bears really took over as stocks sold off hard and closed near the lows of the day across the board.  This left us with big, ugly black candles in all 3 major indices, with only the DIA able to stay above its T-line.  On the day, DIA lost 1.03%, SPY lost 1.92%, and QQQ lost a whopping 3.07%.  The VXX rose almost 8% to 19.29 and T2122 dropped all the way down to 29.05.  10-year bond yields shot up to 1.70% and Oil (WTI) gained a fraction to $77.17/barrel. 

Click for video

As mentioned, the December FOMC Meeting Minutes came out on Wednesday afternoon.  The surprise was that in addition to agreeing on speeding the bond-buying taper and pulling forward the first rate hike, there was a lengthy discussion about reducing the size of the Fed Balance Sheet.  (Not just stopping the growth, but many Fed voters are in favor of reducing the balance sheet by selling assets they had purchased over the years.)  In fact, many members were pushing for tightening not only by raising rates twice this year but also starting to sell the $8.3 trillion of treasuries and mortgage-backed securities that the Fed has bought.  This could happen as soon as rate hikes start (March is expected) and would put a serious damper on markets and the economy.

In premarket earnings, WBA easily beat analyst expectations on both earnings and revenue estimates for the quarter.  (Reporting they were aided by vaccinations and testing business.) They also raised guidance for the year.  WBA was up 3.6% in premarket trading, but has come back to +1.5% as of 7:30 am.  Elsewhere, CAG missed on earnings, but beat on revenue.  FE reported in-line on earnings and beat on revenue.  Meanwhile, STZ beat on both lines, and BBBY missed on both lines.

Overnight, Asian markets were mixed, but leaned heavily to the red as Asia caught up to the bearishness caused by the Fed Minutes.  Japan (-2.88%) and Australia (-2.74%) were far out front in leading the selloff.  Thailand (-1.42%) was the next closest.  On the upside, Hong Kong (+0.74%) and Singapore (+0.66%) were the only gainers.  In Europe, we see red nearly across the board at mid-day.  Only Finland (+0.51%) is showing any green.  The FTSE (-0.57%), DAX (-1.09%), and CAC (-1.40%) are typical of the spread across the region at this hour.  As of 7:30 am, US Futures are pointing toward a mixed open with continuing rotation toward safety.  The DIA implies a +0.28% open, the SPY is implying a +0.02% open, and the QQQ implies a -0.42% open.  10-year bond yields continue to spike and are at 1.744% while Oil (WTI) is up 1.18% in early trading.

The major economic news scheduled for release Thursday includes Weekly Initial Jobless Claims, Import/Exports, and Nov. Trade Balance (all at 8:30 am), Nov. Factory Orders and Dec. ISM Non-Mfg. PMI (both at 10 am).  The major earnings reports scheduled for before the market include BBBY, CAG, FE, STZ, HELE, LW, SCHN, and WBA.  There are no major reports scheduled for after the close.

LTA Scanning Software

Today will be the test to see if rotation toward the safety of mega-cap names (and especially away from the tech growth names) continues as the reaction to Fed hawkishness has had a night to sink in. Earnings season is about to ramp back up. So, we will likely see a disparity between great rear-view mirror earnings and fear of a tightening economy ahead (with the Fed moving to fight inflation and Congress unable to pass the President's Budget/Spending bill). The very short-term trend is bearish in all 3 major indicies. However, we still sit near the all-time highs, especially in those massive-cap DIA names.

Volatility is the watchword now as markets are not quite sure whether it is time for a downtrend or at least a pullback. Remember that the first rule of making a lot of money in the market is to not lose a lot of money in the market. So, don't be stubborn. When you're wrong, just admit it and take your loss. (That's why we set stops.) Stick to your trading rules and on managing the things you can control. Don't chase, trade with the trend, keep consistently taking profits when you have them, and move your stops in your favor.

Ed

Swing Trade Ideas for your consideration and watchlist: RAD, COP, CVS, BYND, AMD, CBOE, PWR. You can find Rick's review of tickers on his YouTube Channel here. 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.

TC2000 Discount

🎯 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 PlansPrivate 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

ADP Payrolls, Service PMI, and Fed Minutes

Markets diverged Tuesday with the large caps gapping three to four-tenths of a percent higher at the open while the QQQ opened flat.  At that point, the SPY and especially the QQQ started an all-day selloff.  Meanwhile, the DIA rallied and then meandered sideways, never falling back below the gap-up open.  This left us with a huge black Bearish Engulfing candle in the QQQ, a Shooting Star (at another all-time high) in the DIA, and a Black Spinning Top candle very near the all-time high close in the SPY.  On the day. SPT lost 0.03%, DIA gained 0.59%, and QQQ lost 1.30%.  VXX was flat at 17.88 and T2122 backed off but remains in the overbought territory at 89.68.  10-year bond yields spiked again to 1.651% (which was actually a step back from 1.68% earlier in the day) and Oil (WTI) rose 1.22% to $77.01/barrel. 

Click for video

The mid-morning JOLTS report showed that a record 4.53 million workers quit their jobs in November (a 8.9% increase over October).  However, the number of job openings also declined more than expected to 10.56 million (vs 11 million expected).  However, those 10.56 million openings was still significantly smaller than the 6.88 million people who were unemployed and seeking work for the month.  This suggests that employers may be pulling back a bit on hiring, but the great resignation is still dwarfing the slowdown, which maintains pressure on salaries to move higher.

During the day it was announced that Toyota has surpassed GM to become the top-selling car-maker in the US.  This ends a 90-year win streak by GM.  The news is evidence that Toyota has been better able to manage supply chain problems (chip shortages) than its US counterparts (who have all suffered much more frequent plant closings due to a lack of parts).  The actual numbers were Toyota sold 2.3 million vehicles in the US (up 10.4% from 2020), while GM sold 2.2 million vehicles in 2021 (down 12.9% from 2020) and F sold 1.7 million vehicles.  Despite losing the crown to Toyota, GM stock was up almost 7.5% and F was up a whopping 11.67% on the day after announcing a doubling of their production plans for the electric F-150 Lightning.

In miscellaneous news, 30-year fixed mortgages hit a 9-month high last week (half a percent higher than one year ago).  This caused mortgage demand to fall as refinance loan applications were down 2% on the week and new home purchase applications were down 4%.  In the Auto sector, Chrysler (owned by STLA) announced plans to go completely electric (no internal combustion) by 2028.  Once a major automaker, Chrysler and affiliated brands are back on the outs. However, they will be the largest carmaker to go "all-electric" if they reach the goal as announced.

Overnight, Asian markets were mixed but leaned heavily to the red side.  Shenzhen (-1.79%), Hong Kong (-1.64%), and South Korea (-1.18%) led the way lower as Chinese property developers are suffering more scrutiny and pushback from their government.  In the latest move Evergrande was ordered to demolish 39 buildings in one of its projects in the name of “environmental laws.”  In Europe, stocks are mixed at mid-day.  The FTSE (+0.16%), DAX (+0.70%), and CAC (+0.60%) are leading the continent higher, but most of the smaller exchanges are in the red in early afternoon trading.  As of 7:30 am, US Futures are pointing to a mixed open.  The DIA implies a +0.04% open, the SPY is implying a -0.05% open, and the QQQ implies a -0.36% open at this hour.

The major economic news scheduled for release Wednesday includes Dec. ADP Nonfarm Payrolls (8:15 am), Dec. Services PMI (9:45 am), Crude Oil Inventories (10:30 am), and Dec. Fed Meeting Minutes (2 pm).  The only major earnings reports scheduled for before the market Wednesday are RPM and UNF.  There are no major reports scheduled for after the close.

LTA Scanning Software

Markets may wait this morning for some read-through from the 2 pm December Fed Meeting Minutes. However, the divergence among the major indices indicates rotation, which leads me to think the larger issue is over-extension and fear of declining growth. The ADP Payroll number may, in fact, be the better read-through for the market today. So with the QQQ in a pullback, SPY consolidating, and DIA trying to go it alone to new highs, be very careful chasing the bulls. You don't want to be behind them when the herd spins around and heads back down the hill.

Remember that the first rule of making a lot of money in the market is to not lose a lot of money in the market. So, when you're wrong, admit it and take your loss. (That's why we set stops.) Stick to your trading rules and on managing the things you can control. Don't chase, trade with the trend, keep consistently taking profits when you have them, and move your stops in your favor.

Ed

Swing Trade Ideas for your consideration and watchlist: SYK, JBHT, IPG, DRI, XLI, MT, TTWO, FCX. You can find Rick's review of tickers on his YouTube Channel here. 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.

TC2000 Discount

🎯 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 PlansPrivate 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

AAPL and TSLA had Themselves a Day

Markets opened the year by gapping about one-third of a percent higher.  Choppy sideways action then took over until noon.  At that point a slow, but steady rally took over for the rest of the day.  This left all 3 major indices with white bodies and longer lower wicks with the SPY and DIA looking like Hammer-type candles and both closing at new all-time high closes.  On the day, SPY gained 0.58%, DIA gained 0.66%, and QQQ gained 0.97%.  The VXX lost 3.6% to 17.86 and T2122 rose deeper in the overbought territory at 93.46.  10-year bond yields shot higher to 1.638% and Oil (WTI) rose over one percent on the day to $76.02/barrel. 

Click for video

In major market news, AAPL became the first US company to reach $3 trillion in market cap.  This happened on a 2.50% gain on the day, closing at another all-time high.  Meanwhile, TSLA had a tremendous day, gapping 8.7% higher and closing up 13.52% on the record 2021 vehicle deliveries reported Sunday.

The US reported a record of almost 1.1 million new cases of covid yesterday.  The surge is mostly due to omicron (59% of cases), but the majority of the most severe cases still seem to be the delta variant (41% of cases).  As a reference, that 1.1 million accounts for nearly 2% of all cases seen in the US since the beginning of the global pandemic coming just on Monday.  However, due to the way states have become laxer in reporting, it is possible that number is inflated by the holiday weekend.

In a case that may set precedent, Theranos founder and CEO was found guilty on 4 of 11 charges of criminal fraud.  Specifically, she was convicted of defrauding investors by lying about the company’s capabilities.  However, the jury also found her not guilty on 4 charges and did not reach a verdict on 3 charges.  Still, this may (at the margins) make companies think twice before lying to investor conferences or during earnings calls, which would be a good thing. 

Overnight, Asian markets were mostly green.  Australia (+1.95%), Japan (+1.77%), and Singapore (+1.50%) led the gain.  The only red came from Malaysia (-0.46%), Shenzhen (-0.44%), and Shanghai (-0.20%) as China struggled under the pressure of the Evergrande default.  In Europe, markets are green across the board with the lone exception of Denmark at mid-day.  The FTSE (+1.40%), DAX (+0.78%), and CAC (+1.33%) are typical in early afternoon trading.  As of 7:30 am, US Futures are pointing toward another modest gap higher at the open.  The DIA implies a +0.30% open, the SPY is implying a +0.30% open, and the QQQ implies a +0.24% open at this hour.

The only major economic news scheduled for release Tuesday is Dec. ISM Mfg. PMI and Nov. JOLTS (both at 10 am).  There are no major earnings reports scheduled for before the market Tuesday.  However, after the close, MLKN reports.

LTA Scanning Software

The bulls seem to be pushing to start the year, looking to add to the late December Santa Claus rally. However, we are quite overbought and are dealing with all-time high resistance. So, keep an eye out for signs the market needs to rest of pullback.

Stick to your trading rules and on managing the things you can control. Remember that the first rule of making a lot of money in the market is to not lose a lot of money in the market. So, when you're wrong, admit it and take your loss. (That's why we set stops.) Trade with the trend, keep consistently taking profits when you have them, and move your stops in your favor.

Ed

Swing Trade Ideas for your consideration and watchlist: ERX, FANG, SOFI, T, BAC. You can find Rick's review of tickers on his YouTube Channel here. 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.

TC2000 Discount

🎯 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 PlansPrivate 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

Bulls Look to Open Year With a Run

New Year’s Eve saw indecisive trading in the large caps and a downtrend to the intraday action of the QQQ. All this occurred on low volume, but there was a surge of Dark Pool volume at 4 pm after normal trading had closed.  This left us with a Doji DIA, Inverted Hammer SPY, and a fat-bodied Spinning Top in the QQQ.  All 3 major indices were black candles and none of them failed the T-line on the day.  The VXX fell almost a percent again to 18.53 and T2122 rose and remains in overbought territory at 86.54.  10-year bond yield rose to 1.512% and Oil (WTI) fell 2% to $75.45/barrel.  For the week, all 3 major indices printed large high-wick Shooting Star-type candles (near all-time high resistance), which may bode ill for this coming week. 

Click for video

Airlines continue to suffer, with more than 5,000 US flights canceled over the holiday weekend.  (That comes to more than 15,000 total cancellations and thousands of other delays just since Christmas.)  In addition to the massive wave of omicron-caused staff shortages, now bad weather has closed major airports like Chicago O’Hare.  JBLU CEO told CNBC that “the next few weeks are going to be tough,” but went on to say the CDC cutting the isolation period after contracting covid (from 10 days to 5 days) is going to help a lot. (All the US airlines had urged the CDC to make that move in December as staff shortages were hurting their businesses.)  Among the US airlines, LUV has been the least hit, losing only about 10% of their flights.  However, even they are impacted as the FAA has slowed plane traffic (due to staff shortages) over the weekend at the company’s major hub of DFW.

TSLA reported good news on Sunday.  The EV maker delivered just over 936,000 in 2021.  This includes a record 308,600 in Q4.  However, not all the news was good.  TSLA also recalled 475,000 cars in the US over camera and trunk issues.  TSLA stock is up more than 7% in premarket in reaction to the Sunday news.

JPM, C, and GS officially joined the ranks of companies that are going back to “work from home” to start 2022.  This follows suit with many others across most industries, but specifically MS, BLK, and JEF among major financial institutions.  In the notices, JPM and C urged employees to get a booster vaccination.  JPM said they hope to be back to the office by February 1 and any unvaccinated staff will be required to take a rapid test at least twice each week. 

Overnight, Asian markets were mixed on modest moves outside of two outliers.  India (+1.57%) was an outlier to the upside, while Malaysia (-1.18%) was the outlier to the downside.  Beyond those anomalies, Shanghai (+0.57%), Shenzhen (+0.41%), and South Korea (+0.37%) led gainers.  Meanwhile, Hong Kong (-0.53%) and Japan (-0.40%) paced the losses.  In Europe, with the lone exception of the UK, markets are strongly green across the board as of mid-day.  The FTSE (-0.25%) is an outlier, but the DAX (+0.93%) and CAC (+1.15%) are typical of the continent in early afternoon trading.  As of 7:30 am, US Futures are pointing toward a strongly green open to the new year.  The DIA implies a +0.52% open, the SPY is implying a +0.64% open, and the QQQ implies a +0.73% open at this hour.  Meanwhile, 10-year bond yields are up to 1.534% and Oil (WTI) is up over half of a percent in early trading.

The only major economic news scheduled for release Monday is Dec. Mfg. PMI (9:45 am).  There are also no major earnings reports scheduled for either before or after the market on Monday.

LTA Scanning Software

As we kick off the new year, markets are looking to get off to a strong start. However, despite the apparent nice open, keep in mind that we are near all-time high resistance. So, keep an eye on those levels.

Stick to your trading rules and on managing the things you can control. Remember that the first rule of making a lot of money in the market is to not lose a lot of money in the market. So, when you're wrong, admit it and take your loss. (That's why we set stops.) Trade with the trend, keep consistently taking profits when you have them, and move your stops in your favor.

Ed

Swing Trade Ideas for your consideration and watchlist: SOFI, MRO, F, ATVI, PENN, FCX, ON, BABA. You can find Rick's review of tickers on his YouTube Channel here. 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.

TC2000 Discount

🎯 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 PlansPrivate 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 Rest/Pause After Recent Run

Large-caps stocks gapped up slightly on Tuesday and followed through for the first 30 minutes.  After that, the rest of the day was a long, slow sideways grind with a slightly bearish trend.  However, the QQQ did a small gap higher and immediately sold off at a slow pace for the rest of the day.  Again, this was all done on very light volume.  This action left the SPY as a black-bodied Spinning Top, the QQQ just missing on being a Dark Cloud Cover, and the DIA as a white-bodied candle with a large upper wick.  On the day, SPY lost 0.06%, DIA gained 0.29%, and QQQ lost 0.43%.  The VXX fell 2.69% to 19.17 and T2122 fell but remains in the overbought territory at 83.79.  10-year bond yields rose to 1.484% and Oil (WTI) rose a half of a percent to $76.01/barrel. 

Click for video

Markets continued to rotate out of high-tech names.  Meanwhile, travel stocks were amongst the strongest as the recovery from the effects of the flight cancellations continued for a second day.  However, it was the mega-cap DIA that made the biggest splash as it completed 5 straight up days to close at a new all-time high close.

Elon Musk sold another $1.02 billion worth of TSLA stock on Tuesday (934,090 shares) in an effort to raise funds to pay the tax on the stock options he is exercising.  However, he also exercised options giving him another 1.6 million shares during the day.  So, he pocketed a billion dollars and still ended the day with nearly 700k more shares than when it started.  A nice gig if you can get it.

Covid (and omicron in particular) continues to make news this week.  France reported a record number with 180,000 new cases reported today.  Meanwhile, the UK (same size population) reported 129,000 new cases today.  However, the good news out of the UK is that the number of patients in the ICU remains very low in this latest wave and the UK Health Minister says patients are spending a relatively short time in hospital when they are admitted.

Overnight, Asian markets were mixed, but the major exchanges leaned to the downside.  Shenzhen (-1.24%), Shanghai (-0.91%), and South Korea (-0.89%) paced the losses.  Meanwhile, Australia (+1.21%) and Thailand (+0.72%) led the gains.  In Europe, markets are mostly lower in modest trading at mid-day.  The FTSE (+0.82%) is an outlier to the upside, but the DAX (-0.40%) and CAC (-0.05%) are typical of the region where just 4 exchanges show any green at all in early afternoon trading.  As of 7:30 am, US Futures are pointing toward a flat open.  The DIA implies a +0.02% open, the SPY is implying a +0.06% open, and the QQQ implies a +0.15% open at this hour.  10-year bond yields are up to 1.494% and Oil (WTI) is down six-tenths of a percent in early trading.

The major economic news scheduled for release Wednesday includes Nov. Retail Inventories and Nov. Trade Goods Balance (both at 8:30 am), Nov. Pending Home Sales (10 am), and Crude Oil Inventories (10:30 am).  There are no major earnings reports scheduled either before or after the market Wednesday.. 

LTA Scanning Software

As we grind toward year-end, volume continues to dry up. Canada will be back to trading today but expect very much the same story up North as we have seen in the US this week. With that said, beware of volatility as the very light volume gives both the bulls and the bears an easier path to pushing swings in the short term. Remember, plan the trade and trade the plan...and that includes stops and/or hedges.

Remember the first rule of making a lot of money in the market is to not lose a lot of money in the market. So, stick to your trade rules and on managing the things you can control. When you're wrong, admit it and take your loss. (That's why we set stops.) Trade with the trend, keep consistently taking profits when you have them, and move your stops in your favor.

Ed

Swing Trade Ideas for your consideration and watchlist: DD, AOS, AME, FMC, SEE, DOV, IR, RAD, JCI, FCX. You can find Rick's review of tickers on his YouTube Channel here. 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.

TC2000 Discount

🎯 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 PlansPrivate 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

Indices At the Highs Across the Board

Markets gapped up about a third of a percent on Monday and then continued a slow rally that lasted the whole day, closing very near the highs.  This left us with strong white candles in all 3 major indices, with the SPY closing at an all-time high and the DIA and QQQ both missing that mark by just a fraction of a percent.  On the day, SPY gained 1.42%, DIA gained 0.99%, and QQQ gained 1.65% on very low volumes.  The VXX fell 2.4% to 19.70 and T2122 rose further into the overbought territory at 93.02.  10-year bond yields fell to 1.477% and Oil (WTI) rose almost 3% to $76.00/barrel (despite being down 1.5% early in the morning session).  

US airline stocks all gapped sharply lower on the weekend flight cancellation news.  However, they made a nice recovery, in spite of multiple pieces of bad news.  They had to cancel another 1,000 flights Monday (this time blaming winter storms).  In addition, Dr. Fauci (NIH) told MSNBC that the US should consider implementing a vaccine mandate for all domestic air travel.  When asked for comment on this, the White House referred to last week’s statement by the President saying the measure had been considered, but the consensus recommendation was that it was not necessary at this time.  Despite gap-downs of almost 3%, AAL closed -0.49%, UAL closed -0.65%, DAL closed -0.76%, LUV closed -0.26%, and JBLU closed -0.75% on the day. 

China’s 10-year bond yields fell to their lowest level in 18 months as the Chinese government promised “proactive measures” to stabilize their economy in 2022.  Most analysts believe this will mean adding stimulus to stop the decline in economic growth that is being forecast to be the lowest since at least 1990.  Various ministries, including the Chinese Central Bank, finance ministry, and commerce ministry all commented on the call announcing vague plans to stimulate growth including tax and fee cuts. This could have implications for the corporate world as the second-largest economy diverges from the tightening now underway in the US and west.

GS told its employees Monday that effective February 1, all employees who come in their US offices will be required to show proof of full Covid vaccination (including booster shot).  This includes both employees and visitors to the offices.  In addition, starting January 10, the company plans to double Covid testing to a required twice weekly for anyone entering US offices of GS.  It is unclear if other banks will follow suit, but GS has been the leader which other big banks have followed on covid policy so far.

Overnight, Asian markets were green across the board.  Japan (+1.37%), Shenzhen (+0.83%), and Taiwan (+0.82%) led the gains.  In Europe, markets are green across the board at mid-day, with the lone exception of a slightly red FTSE.  The FTSE (-0.02%), DAX (+0.65%), and CAC (+0.50%) lead the region with the latter 2 being typical.  As of 7:30 am, US Futures are pointing toward another modest gap higher at the open.  The DIA implies a +0.25% open, the SPY is implying a +0.24% open, and the QQQ implies a +0.46% open at this hour.

Overnight, Asian markets were green across the board.  Japan (+1.37%), Shenzhen (+0.83%), and Taiwan (+0.82%) led the gains.  In Europe, markets are green across the board at mid-day, with the lone exception of a slightly red FTSE.  The FTSE (-0.02%), DAX (+0.65%), and CAC (+0.50%) lead the region with the latter 2 being typical.  As of 7:30 am, US Futures are pointing toward another modest gap higher at the open.  The DIA implies a +0.25% open, the SPY is implying a +0.24% open, and the QQQ implies a +0.46% open at this hour. 

LTA Scanning Software

With the bulk of traders still away on holiday (as evidenced by light volumes), the bulls had a free path to push stocks higher as we head into year-end. At least early on, this looks to be a pattern that will repeat today. With that said, beware of intraday whipsaw because, with light volume, it would not take nearly as much work to increase volatility and punish those who chase. Remember, plan the trade and trade the plan.

Remember the first rule of making a lot of money in the market is to not lose a lot of money in the market. So, stick to your trade rules and on managing the things you can control. When you're wrong, admit it and take your loss. (That's why we set stops.) Trade with the trend, keep consistently taking profits when you have them, and move your stops in your favor.

Ed

Swing Trade Ideas for your consideration and watchlist: ARCE, GMRE, SBS, NVDA, ON, AMD, MSFT. You can find Rick's review of tickers on his YouTube Channel here. 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.

TC2000 Discount

🎯 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 PlansPrivate 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

Scrubbed Flights and Good Holiday Sales

Thursday saw a modest gap higher with about 15minutes of follow-through.  The rest of the day was a dead market grinding sideways in a very tight range.  However, heavy selling (or dark pool reporting) saw the biggest candle of the day give back a decent portion of the gains the last 5 minutes.  This left us with white candles with upper wicks in all 3 major indices.  All 10 major sectors were green on the day with Consumer Cyclical and Industrials leading the way.  However, also note that, as expected, the last trading day before the Xmas break was a low volume day.   For the day, SPY gained 0.62%, DIA gained 0.55%, and QQQ gained 0.75%.  The VXX lost a percent to 20.18 and T2122 rose into the overbought territory at 88.10.  10-year bond yields rose to 1.493% and Oil (WTI) rose more than a percent to $73.76/barrel.  

Omicron is back in the news over the weekend as UAL, DAL, AAL, and JBLU had to cancel 1,600 US flights between Friday and Sunday due to covid cases among crews.  While this sounds terrible, it really only accounted for about 5% of all flights over the weekend.  Still, travel-related stocks are dropping in premarket on the news.  In better news, the UK government released a study on Sunday that reports omicron patients are 70% less likely to require hospitalization than those with the delta variant.  This falls roughly in line with a previous South African study finding omicron patients to be 80% less likely to require hospitalization. However, the news may need to be tempered by the fact that omicron is more communicable.  So, in theory, there should be more omicron infections than delta cases.

Bloomberg reported Sunday that MA found that holiday (Nov. 1- Dec. 24) sales rose 8.5% versus 2020 (+10.7% from 2019).  However, note that these ARE NOT inflation-adjusted numbers.  So, the majority of the gains were due to price increases and not new buying.  The largest gains were in apparel (47%), jewelry (32%), and electronics (16%).  MA also reports that ecommerce now accounts for 21% of all holiday sales, which is equal to department store sales.

Mortgage rates fell to a four-week low this week.  The 30-year fixed-rate conforming loan rate averaged 3.27% (down from 3.30%).  However, refinance loan applications rose only 2% while new home purchase loan applications fell 3%.

Overnight, Asian markets were mixed on mostly modest moves.  Malaysia (1.15%) was an outlier to the upside.  Taiwan (+0.49%), India (+0.49%), and Australia (+0.44%) led gainers.  South Korea (-0.43%) and Japan (-0.37%) paced the losses.  In Europe, stocks are mostly green at mid-day.  The FTSE (-0.02%), DAX (+0.15%), and CAC (+0.21%) are typical of the region with Denmark (+1.11%) an outlier.  As of 7:30 am, US Futures are pointing toward a bullish gap to start the week.  The DIA implies a +0.55% open, the SPY is implying a +0.62% open, and the QQQ implies a +0.85% open at this hour.  10-year bond yields are flat, but Oil (WTI) is down almost 1.5% in early trading.

There are no major economic news scheduled for release Monday. Note that Canadian markets are closed Monday in Tuesday for the holiday.  There are no earnings reports scheduled for Monday either before or after the market.  

LTA Scanning Software

As we start back up from the Christmas break, it looks like the bulls are in charge as of premarket. Remember that volume is still expected to be low with a lot of big fund leaders extending their holiday another week. With that said, beware of intraday whipsaw that will absolutely punish those who chase. Remember, plan the trade and trade the plan.

Remember the first rule of making a lot of money in the market is to not lose a lot of money in the market. So, stick to your trade rules and on managing the things you can control. When you're wrong, admit it and take your loss. (That's why we set stops.) Trade with the trend, keep consistently taking profits when you have them, and move your stops in your favor.

Ed

Swing Trade Ideas for your consideration and watchlist: No trade ideas for Monday. You can find Rick's review of tickers on his YouTube Channel here. 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.

TC2000 Discount

🎯 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 PlansPrivate 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

Stocks Came Back Tues But Look Flat Early

On Turn-Around Tuesday, markets gapped the opposite of Monday’s gap-down.  Then, after a couple of hours of sideways waffle, they started a slow rally that lasted until stocks gave back some of the post-gap gains during the last half hour of the day.  This gave us large, gap-up, white candles that closed on their highs and tested the T-line in all 3 major indices.  On the day, SPY gained 1.73%, DIA gained 1.59%, and QQQ gained 2.23%.  The VXX fell almost 5% to 21.66 and T2122 shot back up to mid-range at 66.32.  10-year bond yields shot up to 1.47% and Oil (WTI) jumped 4.17% to $71.47 per barrel.  

A study released overnight from the American National Institute for Communicable Diseases done using South African patients has found that omicron has an 80% lower risk of hospitalization and a 70% lower risk of severe disease compared to the Delta variant.  The study has not yet been peer-reviewed.  Bloomberg reports that while important, at least one UK scientist fears the data may be somewhat biased by the time of year each sample set of data was taken from.  (South Africa immunized 44% of its population during the time period the data was drawn from and seasons changed.)  Still, for the market, this has to be seen as positive.

The World Bank reported overnight that they are forecasting a sharp decrease in GDP growth in China for 2022.  They have lowered their Chinese forecast to +5.1%, which would be the slowest growth in China since 1990.  For reference, Chinese GDP grew 8% this year (which itself is below the 8.1% that had been forecast in October).  This slowing of the second-largest economy could have major US market implications. 

Mortgage rates fell to a four-week low this week.  The 30-year fixed-rate conforming loan rate averaged 3.27% (down from 3.30%).  However, refinance loan applications rose only 2% while new home purchase loan applications fell 3%.

Overnight, Asian markets were almost green across the board on modest moves.  Only Shanghai (-0.07%) remained on the red side of flat while India (+1.10%) was an outlier to the upside.  Most exchanges showed very modest green moves with Hong Kong (+0.57%) and Malaysia (+0.52%) leading the way.  In Europe, markets lean toward the green side on minor moves for the most part at mid-day.  The FTSE (+0.10%), DAX (+0.19%), and CAC (+0.09%) are typical of the continent in early afternoon trading.  As of 7:30 am, US Futures are pointing to a flat open.  The DIA implies a +0.15% open, the SPY is implying a +0.06% open, and the QQQ implies a -0.01% open at this point.

The major economic news scheduled for release Wednesday includes Q3 GDP (8:30 am), Conf. Board Consumer Confidence and Nov. Existing Home Sales (both at 10 am), and Crude Oil Inventories (10:30 am).  The major earnings reports scheduled for the day are limited to KMX, CTAS, MSM, and PAYX before the open.  There are no major reports scheduled for after the close.  

LTA Scanning Software

After the Tuesday rebound, beware of a dead market as we are now near the point where traders take off early to get a few extra days of holiday vacation. Intraday whipsaw has been the norm lately, but the global markets and US premarkets are suggesting traders are at least taking the day off. to put a hurt on chasers.

When you're wrong, admit it and take your loss. (That's why we set stops.) Remember the first rule of making a lot of money in the market is to not lose a lot of money in the market. So, stick to your trade rules and on managing the things you can control. Trade with the trend, keep consistently taking profits when you have them, and move your stops in your favor.

Ed

Swing Trade Ideas for your consideration and watchlist: APPS, NKE, MSFT, V, ARKG, AMD, MU. You can find Rick's review of tickers on his YouTube Channel here. 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.

TC2000 Discount

🎯 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 PlansPrivate 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

Whipsaw Reigns as EV Stocks Take Beating

Markets gapped down well over a percent and then followed through the first hour of the day. However, this led to a sideways waffle the rest of the session but ended on an up wave that had the 3 major indices closing near their highs of the day.  This volatility left us with gap-down, white Hammer-type candles across the major indices.  On the day, SPY lost 1.06%, DIA lost 1.23%, and QQQ lost 1.10%.  The VXX rose almost 4% to 22.78 and T2122 dove deep into the oversold territory at 4.44.  10-year bond yields rose to 1.426% and Oil (WTI) fell 3.1% to $68.66/barrel.  

In a follow-up to the weekend story of Senator Manchin essentially killing President Biden’s domestic spending and climate agenda, markets reacted to the news during the day.  In particular, electric vehicle (EV) stocks plummeted as the prospect of EV tax incentives, more widely available charging stations, etc. were killed as part of the package.  RIDE lost 8.15%, FFIE lost 9.45%, NKLA lost 7.31%, and recent IPO RIVN lost 7.90%.  TSLA and GM (which no longer qualify for federal tax credits) fared relatively better.  TSLA lost 3.50% and GM lost 2.03% on the day.

After the close NKE and MU both easily beat estimates on both revenue and earnings.   MU spiked 7% in after-hours trading on this news.  Meanwhile, NKE was up almost 3% in the post-market session.  However, this morning GIS easily beat on revenue but missed on earnings.  At the same time, RAD handily beat on earnings but missed on revenue. 

Overnight, Asian markets leaned heavily to the green side on varying moves.  Only Malaysia (-0.09%) showed any red while Japan (+2.08%), Hong Kong (+1.00%), and Shanghai (+0.88%) led the gains.  In Europe, stocks are green across the board at mid-day.  The FTSE (+1.00%), DAX (+1.10%), and CAC (+1.03%) are typical of the continent, with outliers like Russia (+0.35%) and Norway (+1.60%).  As of 7:30 am, US Futures are pointing to a gap higher at the open.  The DIA implies a +0.89% open, the SPY is implying a +0.95% open, and the QQQ implies a +1.08% open at this hour.  10-year bond yields are up strongly to 1.451% and Oil (WTI) is up 1.5% in early trading.

The major economic news scheduled for release Tuesday is limited to Q3 Current Accounts (8:30 am).  The major earnings reports scheduled for the day are limited to GIS and RAD before the open.  Then after the close, AIR reports. 

LTA Scanning Software

Once again markets made most of their eventual move in the overnight gap. However, there was just enough intraday whipsaw to put a hurt on chasers. Only the mega-cap DIA has not tested its December lows, as the SPY and QQQ passed their test Monday. It looks like we may be headed back to retest the T-line next. So, consider whether there is a trend at the moment and whether you have an edge. Either way, keep a close eye on volatility and don't forget that volume is likely to dry up as the week goes on.

When you're wrong, admit it and take your loss. (That's why we set stops.) Remember the first rule of making a lot of money in the market is to not lose a lot of money in the market. So, stick to your trade rules and on managing the things you can control. Trade with the trend, keep consistently taking profits when you have them, and move your stops in your favor.

Ed

Swing Trade Ideas for your consideration and watchlist: MCK, JNPR, ABUS, NEM, LSI, CSCO, PGR, CVS, AVGO, VZ, CERN, GILD. You can find Rick's review of tickers on his YouTube Channel here. 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.

TC2000 Discount

🎯 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 PlansPrivate 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

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