Bulls Eye Vaccines as New Year Starts

Markets opened relatively flat on New Year’s Eve.  However, after some normal volatility, the bulls won out.  All 3 major indices closed at new all-time high Closes (but not above prior intraday highs). The large-caps both printed “Morning Star type” candle patterns and the QQQ printed a Bullish Harami (of the Spinning Top variety).  On the day, the DIA gained 0.55%, the SPY gained 0.51%, and the QQQ gained 0.25%.  VXX was flat at 16.79 and T2122 (4-week New High/Low Ratio) inched up just outside of the overbought territory at 79.59.  10-year bond yields were flat at 0.916% and Oil (WTI) was also flat at $48.42/barrel.

In business news over the long weekend, TSLA reported they just missed its goal of shipping 500,000 cars in 2020, coming up just 450 cars short of the milestone.  Bitcoin also rallied above $34,000 for the first time.  And the NYSE delisted 3 Chinese telecom companies as required by President Trumps November executive order.  China vowed some unspecified retaliation on Saturday. In early Monday news, 226 GOOG employees have formed a union after ongoing disputes with management.

On the political front, the new Congress was sworn in. The Senate also completed the process by voting to override the President's veto of the $740 billion Defense Spending bill (now law). The same leadership was re-elected on either side of the aisle in both Houses, while the President continues to pressure and plot ways to overthrown his election defeat. This runs against the backdrop of the GA Senate runoff elections that are likely to leave the Republicans in control of the Senate but are very close races according to most pundits. No legislative agenda (such as a vote on raising stimulus payments to $2,000) is likely to take place until after those results.

Related to the virus itself, US infections continue to rage as the US.  The totals have risen to 21,113,528 confirmed cases and 360,078 deaths.  The post-holiday surge is still not fully upon us.  However, the 7-day daily average remains high at 216,886 new cases and 2,696 deaths per day.  Three more states have identified cases of the new strain of COVID-19 over the weekend.  Most experts have been saying they believe the new strain is already everywhere.  On Sunday, the federal government said it is in talks with the FDA to possibly speed up the rate of vaccinations by giving half doses of the MRNA vaccine to twice as many people.

Globally, the numbers rose to 85,579,769 confirmed cases and the confirmed deaths are now at 1,852,389 deaths.  As a reference, the world is averaging about 613,548 new cases and 11,066 new deaths per day.  The new strain first seen in the UK has now been found in 37 countries as well as Hong Kong and Taiwan.  Parts of Japan are going back into lockdown.  There is also now a different mutation out of South Africa. Oxford scientists say this strain has substantial changes in the structure of the virus and is therefore concerning related to current vaccine effectiveness.  British Health Minister Hancock said it is too early to tell, but he is incredibly worried about the new variant. In an interesting story, Bloomberg says France is approaching vaccinations in a very cautious way, having only completed 500 of the first round of shots to date, despite starting the same day as all other European countries.

Overnight, Asian markets were mostly green.  Malaysia (-1.51%) and Japan (-0.68%) were outliers.  However, South Korea (+2.47%), Shenzhen (+2.45%), and Australia (+1.47%) led the rest of the Asian exchanges higher.  This came despite Chinese Dec. Mfg. PMI data coming in below expectations.  In Europe, markets are solidly green across the board so far on Monday.  Among the big 3 bourses, FTSE (+2.59%) leads the way with the CAC (+1.52%) and DAX (+1.08%) more typical across the continent.  As of 7:30 am, US Futures are pointing to a moderate gap higher at the open.  The DIA is implying a +0.47% gap, the SPY a +0.43% gap, and the QQQ a 0.41% gap higher.

The major economic news for Monday is limited to Dec. Mfg. PMI (9:45 am) and a Fed speaker (Bostic at 10 am).  There are no major earnings reports on the day. 

The bulls seem to want to start off the new year on a small gap higher. With much of the big money expected to return to the office today, we may see some optimism coming off their vacation. For whatever reason, Bitcoin has taken a major Monday hit (down 10%) after having reached all-time highs.

Focus on the chart and your trading process. Lock in those base hit profits and maintain your discipline.  Follow the trend, respect support and resistance, and don’t chase moves you have missed.  Remember that trading is a marathon, not a sprint.  So, don’t try to get rich quick.  Do it in the long-run by hitting goals over and over again.

Ed

Swing Trade Ideas for your consideration and watchlist: COMM, TFC, TXN, SWCH, JNPR, HON, ORBC, AVTR, WFC. Trade your plan, take profits along the way, and smart. Also, remember to check for impending earnings reports. Finally, remember that any tickers we mention and talk about in the trading room are not recommendations to buy or sell.

🎯 Mike Probst: Rick, Got CTL off the scanner today. Already up 30%. Love it.

🎯 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

|607% in just 24 months |

Disclosure: We do not act on all trades we mention, and not all mentions acted on the day of the mention. All trades we mention are for your consideration only.

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

Year-End Trade Settlement Behind Us

Markets gapped higher about half a percent again Tuesday.  However, after the gap, the rest of the day saw a roller coaster selloff.  This caused large black Bearish Engulfing candles in the large-cap indices and a Black Spinning-Top type candle in the QQQ.  However, it is worth noting the QQQ also closed at yet another all-time high.  Part of the reason behind the post-gap selloff might be that Tuesday was the last day to sell (or buy) and have the trade settled before year-end.  On the day QQQ led at almost flat +0.09%, while the SPY (-0.19%) and DIA (-0.18%) were down slightly on the day.  The VXX rose over 3.6% to 17.43 and T2122 fell to the low side of the midrange at 45.35.  10-year bond yields rose to 0.938% and Oil (WTI) also gained a percent plus to $48.23/barrel.

During the day, Senate Democrats moved for unanimous consent to the increase in direct payments to Americans to $2,000.  However, that was showdown by Senate Majority Leader McConnell.  The “consensus view” is that McConnell will block all attempts for a Senate vote on the direct payments until after the GA Senate runoff elections end next week.  So, the only vote expected in the Senate this week will be a vote on overriding the President’s veto of the $740 billion Defense Spending bill.

Related to the virus itself, US infections continue the winter surge.  The totals have risen to 19,977,704 confirmed cases and 346,579 deaths. The expected post-holiday surge is still a couple of weeks away.  However, the 7-day daily average remains high at 184,221 new cases and the average number of deaths was raised by a record number of new deaths that brought the average to 2,250 deaths per day.  Overnight, a LA Congressman-elect died of Covid. In CA, Governor Newsome extended the stay-at-home order for two regions of the state Tuesday and the new order will stay in place until those regions' "available ICU bed capacity" rises to at least 15%.  Elsewhere, CO has genetically verified the first case of the new strain of the virus (first seen in the UK) that appears much more contagious, but also has no worse a rate of hospitalizations and is no more deadly than the original strain.  The more concerning point was that the case was found in a man who had no history of travel.  This implies the case was locally transmitted.

Globally, the numbers rose to 82,446,401 confirmed cases and the confirmed deaths are now at 1,799,505 deaths.  As a reference, the world is averaging about 563,575 new cases and 10,321 new deaths per day.  In the UK, they approved the Oxford-AZN vaccine today.  The AZN vaccine is less effective (70%), but also requires much less stringent storage temperatures.  In Asia, countries continue to retighten their borders due to the new strain of virus.  Taiwan and Hong Kong joined the list of countries prohibiting or tightening requirements for International travelers entering the country.  In China, the state-owned pharma company Sinopharm announced data showing their own vaccine is 79.34% effective based on two doses.

Overnight, Asian markets were mixed yet again, but this time leaned to the green side. Hong Kong (+2.18%), South Korea (+1.88%), and Taiwan (+1.49%) led the gainers.  The losses came from smaller exchanges like Indonesia (-0.95%), Thailand (-0.86%), and the larger Japan (-0.45%).  There is a similar story in Europe so far today, but on much more moderate moves.  Among the big 3 bourses, the FTSE (-0.06%) and CAC (-0.02%) are on the red side of flat, while the DAX (+0.08%) is just on the green side of flat.  As of 7:30 am, US futures are pointing to a positive open.  The DIA is implying a gain of +0.29%, the SPY implying a gain of +0.34%, and the QQQ implying a gain of +0.33%.

The major economic news for Wednesday is limited to Nov. Trade Balance and Nov. Retail Inventories (both at 8:30 am), Dec. Chicago PMI (9:45 am), Nov. Pending Home Sales (10 am), and Crude Oil Inventories (10:30 am).  There are no major earnings reports on the day.

With the last day to sell (and get the sale settled before year-end) behind us, the Bulls should have a tailwind today. However, with no earnings and no major recent economic news catalyst, it may not be a strong wind. Also, keep in mind that volume is expected to remain on the light side. 

Focus on working your process and keep your eye on the chart. Lock in those base hit profits and maintain your discipline.  Follow the trend, respect support and resistance, and don’t chase the moves you have missed.  Remember that trading is a marathon, not a sprint.  So, don’t try to get rich quick.  Do it in the long-run by hitting goals over and over again.

Ed

Swing Trade Ideas for your consideration and watchlist: MKC, HWM, NIO, RIOT. Trade your plan, take profits along the way, and smart. Also, remember to check for impending earnings reports. Finally, remember that any tickers we mention and talk about in the trading room are not recommendations to buy or sell.

🎯 Mike Probst: Rick, Got CTL off the scanner today. Already up 30%. Love it.

🎯 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

|607% in just 24 months |

Disclosure: We do not act on all trades we mention, and not all mentions acted on the day of the mention. All trades we mention are for your consideration only.

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

Direct Payment Increase Goes to Senate

Markets gapped up Monday on the signing of the Stimulus package.  However, stocks then roller-coastered sideways the rest of the day.  This left all 3 major averages with some soft of a gap-up Doji candle.  The worst of those was the DIA which printed a high-wick Shooting Star tyle candle.  On the day, SPY was up 0.86%, DIA up 0.66%, and QQQ up 1.01%.  VXX was flat at 16.82 and T2122 fell just outside of overbought territory to 78.15.  10-year bond yields fell slightly to 0.923% and Oil (WTI) dropped a percent to $47.69/barrel.

After hours the House passed a bill (with 73% voting for the measure) calling for the $2,000 direct payments President Trump said he wanted.  This will force the Senate Republicans to publicly vote for/against the matter that the President knows most GOP members oppose.  The other vote of note was that the House overrode the President’s veto of the $740 billion Defense Spending bill.  Again, this pushes the bill to the Senate where an override vote will be held today.

Related to the Chinese economy, a survey of Chinese executives done by China Beige Book said they do not expect their companies to return to 2019 profitability until after the first quarter of 2021.  In related news, the IMF reports that the Chinese economy now has more purchasing power than the US economy and that Chinese GDP should pass that of the US within the next 6-7 years.  Assuming the projections are correct, that would be the first time since the 1920s that the US did not have the largest GDP on the planet.

Related to the virus itself, US infections continue to rage as the US.  The totals have risen to 19,781,718 confirmed cases and 343,182 deaths.  As expected, there was a significant falloff in reported new cases and deaths over the long holiday weekend (as state and hospital offices were closed).  However, the 7-day daily average remains 184,692 new cases and the average number of deaths are 2,247 deaths per day.  The number of Covid-19 hospitalizations reached an all-time high of over 121,200 Monday.  In Los Angeles, one hospital system CEO reports they will need to begin rationing care with the expected Christmas wave of new cases.

Globally, the numbers rose to 81,769,157 confirmed cases and the confirmed deaths are now at 1,784,070 deaths.  As a reference, the world is averaging about 559,998 new cases and 10,143 new deaths per day.  In Asia, travel bans are ticking up again due to the newest strain of the virus.  Indonesia and the Philippines are banning foreigners from entering their countries as of January 1.  In Europe, the Netherlands will demand a negative PCR test within 72 hours of all arrivals. In follow-up news, Chinese CDC researchers say a study of 34,000 people in Wuhan show a 4.43% prevalence of antibodies.  This implies the number of cases in Wuhan was 10 times higher than officially reported.  However, outside that city of 11 million, he rate is only 0.44%, which falls more or less in-line with Beijing totals.

Overnight, Asian markets were mixed again.  Japan (+2.66%) again far out-paced other gainers with Hong Kong (+0.96%) next in line.  Among losers, Indonesia (-0.94%), Shenzhen (-0.64%), and Shanghai (-0.54%) paced the losses.  In Europe, markets are green across the board.  The FTSE (+2.12%) made significant catch-up gains while the DAX (+0.28%) and CAC (+0.44%) are more typical as of this point in the day.  As of 7:30 am, US futures are pointing to a positive open.  The DIA is implying a gain of +0.45%, the SPY implying a gain of +0.48%, and the QQQ implying a gain of +0.44%.

The only major economic news for Tuesday is Conf. Board Consumer Confidence (10 am).  There are no major earnings reports on the day.

Once again, with no economic or earnings data and still being in the holidays, the bulls may be able to keep prices drifting higher.  However, beware of the possibility of year-end profit-taking and portfolio rebalancing that could lead to selling and rotation.  Also, keep in mind that volume is expected to be light.  The other potential driver would be the Senate vote on additional direct payments.  While expected to be rejected, if passed that extra $1,400 in American pockets could help the bulls.

As usual, focus on the process and chart, keep locking in profits and maintain your discipline.  Follow the trend, respect support and resistance, and don’t chase the moves you have missed.  Remember that trading is a marathon, not a sprint.  Don’t try to get rich quick.  Do it in the long-run by hitting goals over and over again.

Ed

Swing Trade Ideas for your consideration and watchlist: LYFT, TJX, SBUX, AAOI, YUM, MGM. Trade your plan, take profits along the way, and smart. Also, remember to check for impending earnings reports. Finally, remember that any tickers we mention and talk about in the trading room are not recommendations to buy or sell.

🎯 Mike Probst: Rick, Got CTL off the scanner today. Already up 30%. Love it.

🎯 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

|607% in just 24 months |

Disclosure: We do not act on all trades we mention, and not all mentions acted on the day of the mention. All trades we mention are for your consideration only.

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

Stimulus Signed With Strings Attached

Thursday saw a flat open in the Market.  Then after a sideways grind most of the day, a late-day “here comes a day off” rally in the afternoon saw an early close near the highs.  The large-caps printed inside days and the QQQ printed a Bullish Harami on the day.  At the close, SPYA was up 0.39%, QQQ up 0.44%, and DIA up 0.25%.  The VXX was down almost 3% to 16.88 and T2122 (4-week new High/Low ratio) fell, but remains well inside overbought territory at 89.69.  10-year bond yields rose slightly to 0.926% and Oil (WTI) rose to $48.30/barrel.

In another bad sign for BA, one of its just-recertified 737 Max planed had to divert for an emergency landing during its delivery flight to Air Canada (from the Arizona storage facility where 737 Max have been moth-balled during the 18-month flight ban).  The problem seemed to be an engine hydraulic warning, which forced the shutdown of the engine shortly after takeoff.  In other corporate news, FB is shutting down the Irish holding companies that allowed it to shift billions of dollars to Ireland to avoid higher taxes in the US and other countries.  Finally, Sunday BABA announced it is increasing its share buyback plan from $6 billion to $10 billion, but this has not helped the stock as Chinese regulators pressure the company o come in line with Chinese law.

The other major story of the weekend was President Trump’s continued calls for a more generous $2,000 per person direct payment and his not signing the stimulus bill which contains a $600 direct payment (and a lot of pork and unrelated spending).  The net effect is that the unemployment and loan programs expired Saturday.  However, on Sunday night, after strong-arming Republican Senators into agreeing to votes on an increase in the direct payments, his unfounded allegations of election fraud, and his desire to punish Social Media companies by repealing Section 230, he did sign the bill.

Related to the virus itself, US infections continue to rage as the US.  The totals have risen to 19,573,847 confirmed cases and 341,138 deaths.  As expected, there was a significant falloff in reported new cases and deaths over the long holiday weekend (as state and hospital offices were closed).  However, the 7-day daily average remains 183,773 new cases and the average number of deaths fell to 2,238 deaths per day. The expectation is that cases will soar again in a couple weeks after holiday travel and gathering spread has incubated.

Globally, the numbers rose to 81,217,556 confirmed cases and the confirmed deaths are now at 1,773,724 deaths.  As a reference, the world is averaging about 559,998 new cases and almost 10,128 new deaths per day.  Over the weekend the EU began vaccinations with the PFE-BNTX vaccine.  They are also expected to approve the AZN vaccine this week.

Overnight, Asian markets were mixed in modest trading moves.  Among the exchanges, Japan (+0.74%) was the clear leader to the upside, while Thailand (-2.26%) was far and away the biggest loser.  However, in Europe markets are green across the board so far today.  Among the 3 major bourses, The DAX up 1.52%, the CAC up 1.15%, and the FTSE lags at a flat +0.10%.  This was aided by an unexpected (and not yet ratified) Brexit trade deal. The UK Economic Minister reported that instead of a -6% GDP in 2021, the deal likely means only a -4% GDP.  As of 7:30 am, US futures are pointing to a gap higher.  The DIA is implying a gain of +0.52%, the SPY implying a gain of +0.68%, and the QQQ implying a gain of +0.73%.

There is no major economic news for Monday.  The only major earnings report on the day will be WB before the open.

With no economic or earnings data and still being in the holidays, the bulls may be able to keep prices drifting higher.  However, beware of the possibility of year-end profit-taking and portfolio rebalancing that could lead to selling and rotation.  The resumption of the expired stimulus programs may help, but this came at the cost of more political theatre to come.  Democrats plan to put the $2,000 direct payment to a vote today and the Republicans oppose the idea.  (Many see this as a GOP power struggle between outgoing President Trump and rest of his party led by Senate Majority Leader McConnell.)

It looks like a strong open today.  You will be very tempted to chase, but consider where markets are in general (near all-time highs) with political theatre ahead and expecting more bad virus news soon.  As usual, my advice is to focus on the process and chart, keep locking in profits and maintain your discipline.  Follow the trend, respect support and resistance, and don’t chase the moves you have missed. 

Ed

Swing Trade Ideas for your consideration and watchlist: No Trade Ideas Today. Trade your plan, take profits along the way, and smart. Also, remember to check for impending earnings reports. Finally, remember that any tickers we mention and talk about in the trading room are not recommendations to buy or sell.

🎯 Mike Probst: Rick, Got CTL off the scanner today. Already up 30%. Love it.

🎯 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

|607% in just 24 months |

Disclosure: We do not act on all trades we mention, and not all mentions acted on the day of the mention. All trades we mention are for your consideration only.

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

Stimulus Not Done Trump Wants Change

Tuesday brought us a small gap down in the large-caps and a small gap up in the QQQ.  After the open, the DIA slowly ground lower, the SPY and QQQ undulated more sideways.  The DIA printed a Bearish Harami and the QQQ printed a long-legged Doji, while the SPY printed a run-of-the-mill black-bodied candle.  On the day, QQQ gained 0.27%, SPY lost 0.17%, and DIA lost 0.69%.  The VXX fell a little under 2% to 18.11 and T2122 rose near, but just outside of the overbought territory at 77.03.  10-year bond yields fell to 0.921% and Oil (WTI) fell almost 2.5% to $46.80/barrel.

President Trump felt the need to lash out again overnight. This time his tweet called the Stimulus bill a disgrace and demanded Congress change the $900 Billion bill to add bigger direct payments to Americans.  He did not overtly threaten a veto, but the threat was implied.  This came out of the blue, especially since his own Treasury Sec. (Mnuchin) was one of the lead negotiators.  The President’s demand for larger direct payments also flies in direct opposition to the Senate GOP position that there should have been no additional direct payments (which was then negotiated up to the final agreed number of $600).  If vetoed, the move would also kill the $1.4 trillion omnibus spending bill, which would close the government.  Treasury yields climbed and futures moved down on the news.

In other after-hours Tuesday news, the NYSE announced that most of their trading floor personnel will go back to remote work as of December 28.  This includes all the market makers.  This follows the same rules as the historic floor operations shutdown back in March and is based on a new level of outbreak in the New York City area.

Related to the virus itself, US infections continue to rage as the US.  The totals have risen to 18,684,628 confirmed cases and 330,824 deaths.  The weekend saw another small reduction in new cases and deaths Monday, but the 7-day daily average remains 219,171 new cases and the average number of deaths rose to 2,781 deaths per day.  This comes after we reported the second-highest number of daily deaths on Tuesday.

Globally, the numbers rose to 78,476,586 confirmed cases and the confirmed deaths are now at 1,726,558 deaths.  As a reference, the world is averaging about 648,000 new cases and almost 11,700 new deaths per day.  In Europe, France agreed to reopen border crossing with the UK, but only for people who can present a negative test that had been taken within 72-hours of the crossing. However, with a queue that has already grown for 48 hours, it will take time to get drivers the test and clear the backlog.  In the meantime, German airline Lufthansa has begun flying special cargo flights of fresh produce to the UK.  (Sort of the opposite of the Western airlift into Berlin during the Berlin Blockade.) That said, Germany reported its highest daily death toll since the beginning of the virus.

Overnight, Asian markets were mostly in the green.  Among the major exchanges, South Korea (+0.96%) and Hong Kong (+0.86%) led the way.  The only losses were in smaller exchanges like Thailand (-0.59%) and Indonesia (-0.24%).  Europe is also mixed, but leans to the green side so far today.  Among the big 3 bourses, the FTSE (-0.09%) is on the red side of flat, but the DAX (+0.52%) and CAC (+0.46%) are green and more typical of the continent.  As of 7:30 am, US futures are pointing to a flat, but mixed open.  The DIA is implying a slight gain of +0.15%, the SPY also implying a slight gain of +0.16%, and the QQQ implying a small loss of -0.09%.

The major economic news on Wednesday includes Nov. Core PCE, Nov. PCE Price Index, Nov. Personal Spending, and Weekly Jobless Claims (all at 8:30 am), Univ. of Michigan Cons. Sentiment and Nov. New Home Sales (bot hat 10 am), and Crude Oil Inventories (10:30 am).  The only major earnings report on the day will be PAYX before the open.

With the holiday fast approaching, more and more traders will be away from the market. The President's ojection to the stimulus deal and fear over the virus (and almost inevitable new wave after people ignore the advice and congregate for Christmas and New Year's Day) are fighting against holiday cheer for the mind of th market. Remember that the bulls are extremely resilient. So, be careful, but don't take any rash actions. Stick to the chart.

Respect the trend, support and resistance, and price action. Focus on maintaining your trading rules. Keep booking those profits (and especially goals) when you have them...its all about base hits. Don't let greed get in the way of you achieving goals. Success is built one trade at a time, not by trying to hit the lottery. In short, get rich slowly...one trade at a time, just consistently achieving goals.

Ed

Swing Trade Ideas for your consideration and watchlist: WRAP, PINS, NKE, CCOI, FVRR, GTHX Trade your plan, take profits along the way, and smart. Also, remember to check for impending earnings reports. Finally, remember that any tickers we mention and talk about in the trading room are not recommendations to buy or sell.

🎯 Mike Probst: Rick, Got CTL off the scanner today. Already up 30%. Love it.

🎯 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

|607% in just 24 months |

Disclosure: We do not act on all trades we mention, and not all mentions acted on the day of the mention. All trades we mention are for your consideration only.

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

Stimulus Excitement vs New Strain Fear

Monday was a volatile day with stocks gapping down 1% - 1.4% at the open on fears raised by the wildfire spread of a new virus strain in the UK.  However, not too long after the open, the dip buyers stepped in to lead a rally that lasted until 3pm.  A small selloff at the end of a day took us to an indecisive day with large wicks (especially in the SPY) and the potential news that support had held after the gap down.  On the day, the SPY was down 0.36%, the DIA flat at +0.08%, and the QQQ was down 0.37%.  The VXX was up almost 8% to 18.44 and T2122 fell back again to dead center of the range at 51.31.  10-year bond yields fell just a bit to 0.94% and Oil (WTI) was off 2.5% to $47.79/barrel.

Congress passed the relief bill Monday night.  Details of the $900 billion stimulus package were also released.  The bill will include a $300/week supplement to unemployment through mid-March, $284 billion ins small business PPP loan/grants, and a $600 direct payment to most Americans.  It also includes an extension to eviction prohibition through January, $8 billion in funding for vaccine distribution, $15 billion for airlines, $14 billion for transit systems, and $10 billion for state highways.  It will also give $10 billion in childcare assistance, $15 billion for entertainment businesses, and finally another $7 billion for broadband (although none of the telecom companies have ever delivered on the string attached to the hundreds of billions of previous grants).  The last major element of the bill was that it ends the Fed lending programs, stops the FOMC from starting similar programs, and takes back $429 billion previous allocated to the Fed to lend in the prior relief bills.  This last measure is key as it takes a huge buyer out of the corporate bond market as well as a low-rate lender.

In Europe (and especially the UK), the new strain of virus is adding to the Brexit trade concerns.  Since France is the primary gateway from the UK into the EU, the French-English border is crucial to trade.  However, the border between the UK and France was closed to contain the new mutation of the virus.  This leaves thousands of trucks, hundreds of railcars, and a large, but unknown, number cargo ships stacked up on either side of the border.  This coming about 10 days before a hard Brexit where trade between the two will swap to WTO tariff rates and trade rules.  So, what was expected to be a trade nightmare has come two weeks earlier than expected.  In the UK, they fear their food stocks are already being impacted, though we are not talking famine.

Related to the virus itself, US infections continue to rage as the US.  The totals have risen to 18,473,716 confirmed cases and 326,772 deaths.  The weekend saw another small reduction in new cases and deaths Monday, but the 7-day daily average remains 218,531 new cases and the average number of deaths rose to 2,665 deaths per day.  Related to the stimulus bill, airlines are promising to bring back furloughed workers when they get their aid, but UAL and AAL said the move would only be work through March unless more aid or a change in the amount of travel volume happens.

Globally, the numbers rose to 77,817,977 confirmed cases and the confirmed deaths are now at 1,711,508 deaths.  As a reference, the world is averaging about 642,000 new cases and almost 11,500 new deaths per day.  In Asia, the outbreak at a Thai seafood market that rocked their stock exchange Monday doubled again today (to 1,000 cases after months on none).  India and Australia have now locked down individual provinces.  In South Korea, the government has curtailed Christmas celebrations by declaring a “special quarantine period.”  However, its not all bad news as Singapore has now received its first shipment of the PFE-BNTX vaccine.

Overnight, Asian markets leaned heavily to the red, but Thailand and India bucked the trend after an awful Monday session.  Japan (-1.04%), Shanghai (-1.86%), and Shenzhen (-1.76%) were typical for Asian exchanges.  However, in Europe, we see green across the board so far today.  Among the big 3 bourses, the FTSE (+0.30%) is an outlier, but the DAX (+1.06%) and CAC (+1.01%) are typical.  As of 7:30 am, US futures are pointing to a mixed open.  The DIA is implying a flat open of +0.05%, the SPY implying a slight move up at +0.24%, and the QQQ implying a small gap higher at +0.58%.

The major economic news on Tuesday is limited to Q3 GDP (8:30 am) and Conf. Board Consumer Confidence and Nov. Existing Home Sales (both at 10 am).  Major earnings reports for the day are limited to CTAS and KMX before the open.  There are no major reports after the close Tuesday.

With little economic news, the open will depend on how the market views the stimulus deal details versus fear over the impacts of the "new strain" of the virus. At least at this point, the bulls seem to have a slight upper hand. Remember that we expect lower volume as traders have either taken the week off or are perhaps leaving early this week. So, be careful in this holiday-shortened week.

Respect the trend, support and resistance, and price action. Focus on maintaining your trading rules. Keep booking those profits (and especially goals) when you have them...its all about base hits. Don't let greed get in the way of you achieving goals. Success is built one trade at a time, not by trying to hit the lottery. In short, get rich slowly...one trade at a time, just consistently achieving goals.

Ed

Swing Trade Ideas for your consideration and watchlist: NIO, AAPL, ADMA, FAS, BAC, CLF, CRSP, GNRC, FCX. Trade your plan, take profits along the way, and smart. Also, remember to check for impending earnings reports. Finally, remember that any tickers we mention and talk about in the trading room are not recommendations to buy or sell.

🎯 Mike Probst: Rick, Got CTL off the scanner today. Already up 30%. Love it.

🎯 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

|607% in just 24 months |

Disclosure: We do not act on all trades we mention, and not all mentions acted on the day of the mention. All trades we mention are for your consideration only.

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

New Strain in UK and Deal on Stimulus

On Friday, the large-caps made a small gap down while the QQQ made a small gap up at the open.  However, all 3 major indices then immediately sold off for most of the day.  A strong rally the last 20 minutes (perhaps on S&P 500 rebalancing or on Quadruple-witching preparation) still left all 3 with ugly black candles, but at least well up off the lows.  (In other words, all 3 indices were black Hammer-type candles with longer lower wicks.)  On the day, the SPY lost 0.82%, the DIA lost 0.52%, and QQQ lost 0.30%.  The VXX rose almost 2% to 17.08 and T2122 fell just out of the overbought territory to 76.74.  10-year bond yields rose to 0.945% and Oil (WTI) rose to $49.10/barrel.

The weekend drama was about a stimulus and government spending deal as Friday ended with a government shutdown expected and no stimulus deal yet done.  Late Friday night Congress kicked the can down the road by passing a 2-day stop-gap spending bill that ended at Midnight on Sunday night.  The hold-up on the stimulus deal was down to a few GOP Senators who want to end the Fed’s Lending Authority (kill the programs where the FOMC has been lending to businesses and banks as well as buying bonds after emergency previous Congressional authorization).  Late Sunday the two sides finally reached a deal, but Congress didn’t have time to type up and pass that agreement before the shutdown deadline.  So, they passed an additional one-day stop-gap spending bill last night that the President signed to keep the doors open. 

The other major news from the weekend was that Friday evening the FDA approval of the MRNA vaccine.  This announcement was made at the same press conference where the White House Vaccine Chief admitted communications problems had caused 14 states to believe they were getting up to 40% more of the PFE vaccine doses than they had actually been allocated.  So, the MRNA vaccine shipping may help fill some holes.  The MRNA vaccine began shipping on Sunday and the first vaccinations with this drug should happen Monday.  The main advantage of the MRNA vaccine is that it requires slightly less stringent (still -50 degrees) temperatures to store and ship, making its distribution easier.  The CDC followed the FDA lead Sunday by authorizing hospitals to administer the new vaccine.

Related to the virus itself, US infections continue to rage across the US, but came down just a bit.  The totals have risen to 18,267,579 confirmed cases and 324,869 deaths.  As mentioned, the weekend saw a small reduction in new cases, but the 7-day daily average remains 217,630 (over one-third of the world's cases) and the average number of deaths rose to 2,628 deaths per day. The apparent new threat (new strain) out of UK caused the US Surgeon General to a statement Sunday. He said it is too early to tell if the new strain of the virus would be prevented by the two current vaccines, but other vaccine candidates are on the way in the months to come...so we should trust the scientists.

Globally, the numbers rose to 77,264,853 confirmed cases and the confirmed deaths are now at 1,701,599 deaths.  As a reference, the world is averaging about 640,000 new cases and almost 11,000 new deaths per day.  In the UK, London was placed under emergency lockdown and PM Johnson says that the Christmas pause in restrictions will be modified as the Health Minister explained that the new virus strain (mutation) is out of control and spreading far worse than the original strain.  This news caused the reimposition of restrictions on travelers from the UK in many countries as the US, Denmark, the Netherlands, and even Australia have now detected cases of this new variant.  This includes a full stop of travel from the UK to France.  In more positive news for Europe, the EU Drug Regulator is expected to authorize the PFE/BNTX vaccine today.

Overnight, Asian markets were very mixed.  China was green as Shenzhen (+1.87%), Taiwan (+0.95%), and Shanghai (+0.76%) led the gainers.  However, most Asian exchanges were red with Thailand (-5.44%) and India (-3.14%) far outpacing the pack.  In Europe, markets are red across the board on massive fear stoked by the new virus strain in the UK.  Losses have been in the 2%-3% range as of mid-day.  Among the big 3 bourses, FTSE is at -2.03%, DAX at -2.84%, and CAC at -2.63%.  As of 7:30 am, US futures are pointing to a significant gap lower.  Right now the DIA is implying a -1.38% open, the SPY implying a -1.55% open, and the QQQ implying a -0.99% open.

There is no major economic news or major earnings reports for Monday.

With no economic data or earnings to change the storyline, markets are being dragged South by the new strain of virus in the UK. Expect the details of the stimulus agreement to also get some traction, but its a question of whether Mr. Market focuses on what didn't make the deal or what did. At least at the start, the Bears have the upper hand. The new MRNA vaccine is the wildcard, but remember PFE sold off in the days after the approval and release of their vaccine. So, be careful and remember this is a holiday-shortened week with light volume expected. It remains very possible that all the big money has already left town for Christmas vacation.

Focus on maintaining discipline. Respect the trend, support and resistance, and price action. Keep working the process and booking those base hits. Don't let greed get in the way of you achieving goals. Success is built one trade at a time, not by trying to hit the lottery. In short, get rich slowly...one trade at a time, just consistently achieving goals.

Ed

Swing Trade Ideas for your consideration and watchlist: No Trade Ideas for Monday. Trade your plan, take profits along the way, and smart. Also, remember to check for impending earnings reports. Finally, remember that any tickers we mention and talk about in the trading room are not recommendations to buy or sell.

🎯 Mike Probst: Rick, Got CTL off the scanner today. Already up 30%. Love it.

🎯 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

|607% in just 24 months |

Disclosure: We do not act on all trades we mention, and not all mentions acted on the day of the mention. All trades we mention are for your consideration only.

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

Waiting on Relief and Vaccine Approval

On Thursday, markets gapped about half a percent higher after unexpectedly high Initial Jobless Claims offset optimism stemming from stimulus deal and a second vaccine approval.  After the open, prices ground sideways the rest of the day.  This left us with all three major indices printing indecisive Dojis at new all-time high closes.  On the day, SPY gained 0.56%, DIA gained 0.44%, and QQQ gained 0.65%.  The VXX fell almost 1.5% to 16.75 and T2122 rose deeper into the overbought territory at 94.21.  10-year bond yields rose to 0.935% and Oil (WTI) rose over a percent to $48.33/barrel.

In late afternoon Bloomberg reported that the stimulus deal is being hindered by GOP efforts to end virus lending programs.  However, at the other end of the spectrum, 2 Senators (one from each party) are continuing to fight for a $1,200 direct payment to Americans instead of the $600 agreed by the 4 Leaders on Tuesday night.  So, it seems while the Leaders came to an agreement, the rank and file still have other ideas.  As of early Friday morning, House and Senate leaders said they expect a short government shutdown (funding runs out at midnight Friday), followed by a weekend approval vote on a deal covering both government funding and stimulus.

For the second time in two days (and third time in two months), GOOG was sued for antitrust activities on Thursday.  This time by a bipartisan group of Attorneys General from 38 states.  This suit focuses on allegations GOOG has maintained a monopoly in general search and search advertising.  While all these suits will take years to wind through the courts, the repeated announcements don’t help the stock one bit.

Related to the virus itself, US infections continue to rage as the US.  The totals have risen to 17,627,070 confirmed cases and 317,929 deaths.  Thursday did not see any more bad records but was still a bad day with almost 232,000 new cases and nearly 3,300 deaths.  This brings the 7-day averages to 220,690 new cases and 2,599 deaths per day.  Of course, the FDA Advisory Panel did recommend the MRNA vaccine for emergency use and FDA and FDA Head Dr. Hahn promised swift action (it will be approved today).  If all goes as planned, shipments of MRNA vaccine is expected to start Monday. This comes not a moment too soon as arguments between states, the federal government and PFE surfaced last night over how much vaccine was promised this week and whether shipment allotments have been reduced for the next couple weeks.

Globally, the numbers rose to 75,407,507 confirmed cases and the confirmed deaths are now at 1,671,135 deaths.  As a reference, the world is averaging about 642,000 new cases and almost 11,000 new deaths per day.  In Asia, Australia is beginning new travel bans between some of its states after a new cluster of cases was found around Sydney (at beaches).  In South Korea, 500 Covid-19 patients are waiting on a hospital bed to open up and have waited more than a day at this point.

Overnight, Asian markets leaned heavily to the down side.  Only a flat South Korea and India avoided red ink.  New Zealand (-1.60%), Malaysia (-1.31%), and Australia (-1.20%) led the losses.  In Europe, markets are mostly green so far today.  Only Belgium (-0.12%), Portugal (-0.63%), and Russia (-0.53%) buck the trend.  However, the big 3 bourses are typical of the modestly green overall picture.  Among those, the FTSE (+0.20%), DAX (+0.37%), and CAC (+0.01%) are all up slightly.  As of 7:30 am, US futures are pointing to a flat open.  Right now the DIA is implying a +0.03% open, the SPY implying a +0.12% open, and the QQQ implying a +0.08% open.   

The major economic news for Friday is limited to Q3 Current Account (8:30 am), Fed Bank Stress Test Results (4:30 pm) and a Fed Speaker (Brainard at 11:10 am).  Major earnings releases include DRI and WGO before the open.  Then NKE reports after the close.

Without a ton of economic data, a government stalemate, and sitting on Option Expiration Friday, the market may wait for more news before making its next move. However, we do sit at all-time highs, and a stimulus deal and new vaccine approval are expected very soon. So, the bulls do have the upper hand. Either way, be careful heading into the weekend in front of a holiday-shortened week. It is very possible all the big money has left town already.

Keep working the process and booking those base hits. Money in the bank trumps a "possible lottery ticket" every time. Keep your discipline and respect the trend, support and resistance, and price action. In short, get rich slowly...one trade at a time, just consistently achieving goals.

Ed

Swing Trade Ideas for your consideration and watchlist: PLAN, PAYC, AUY, JNJ, SHAK, KSU, ALEC, TSLA. Trade your plan, take profits along the way, and smart. Also, remember to check for impending earnings reports. Finally, remember that any tickers we mention and talk about in the trading room are not recommendations to buy or sell.

🎯 Mike Probst: Rick, Got CTL off the scanner today. Already up 30%. Love it.

🎯 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

|607% in just 24 months |

Disclosure: We do not act on all trades we mention, and not all mentions acted on the day of the mention. All trades we mention are for your consideration only.

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

Relief Deal, MRNA Vaccine Approval Close

The market opened flat after hope for stimulus was offset by a big November Retail Sales miss in the premarket.  After that markets ground sideways the rest of the day.  All 3 major indices printed indecisive candles (more wick than body), but QQQ also closed at another all-time high close.  On the day, SPY was up 0.13%, DIA down 0.16%, and QQQ gained 0.55%.  The VXX lost 3% on the day to 16.98 and T2122 fell a bit to 89.27 (still well into the overbought territory).  10-year bond yields were up to at 0.921% and Oil gained slightly to $47.83.

During the day, it was leaked that Congressional Leaders had more or less finalized negotiations on a $900 billion stimulus bill Tuesday night.  The deal reportedly will not include either business liability waivers or aid to state/local governments.  However, it will include another $600 direct payment to Americans.  The hope was to introduce the bill Wednesday after having it written up.  However, that did not get done.  So, Senate Majority Leader McConnell told Senators to be ready for a weekend vote on the bill.  This would mean the government would shut down just after midnight Friday night as the Stimulus bill will be attached to a government funding extension.  Also, during the day, the Fed raised its economic forecast to 4.2% GDP growth and unemployment back down to 5% in 2021.  Beyond that, Fed Chair Powell said they are holding rates the same and will continue with current policies (near-zero rates, bond buying, etc.) until we reach full employment.

GOOG was also sued Wednesday for antitrust activities by 10 states Attorneys General, led by Texas.  This suit also names FB as a co-conspirator and focuses on the alleged monopoly of advertising technologies and services (data tracking, which enables ad targeting).  This comes just a day after the new European law was proposed which will regulate and fine the same technologies as too invasive to personal privacy.

Related to the virus itself, US infections continue to rage as the US.  The totals have risen to 17,394,314 confirmed cases and 314,629 deaths.  Wednesday saw another record number of new cases (248,646) and deaths (3,538).  This brings the 7-day averages of 220,217 new cases and 2,570 deaths per day.  Meanwhile, the FDA approved a second over-the-counter rapid home covid-19 test (from ABT) on Wednesday.  On Thursday the FDA Vaccine Advisory Panel will debate and then vote on whether to recommend the MRNA vaccine for emergency use.  (Spoiler alert: they’ll recommend it.)  Following a recommendation, it will take hours to a day for the FDA to approve emergency use and shipping of the vaccine will begin about a day after that approval (which will give the CDC time to approve the administration of the MRNA vaccine).

Globally, the numbers rose to 74,662,200 confirmed cases and the confirmed deaths are now at 1,658,062 deaths.  As a reference, the world is averaging about 637,000 new cases and almost 11,000 new deaths per day.  French President Macron has tested positive shortly after a meeting with other EU leaders.  So, many other EU leaders are also now in isolation.  In Seoul South Korea, they have experienced the first case of a Covid-19 patient dying while waiting on a hospital bed to open up.  This comes as Japan also reported another increase in ICU patients. Interestingly, in Russia, President Putin told his media that mass vaccinations using the Russian "Sputnik" vaccine were necessary for the country. However, he said he would not personally be getting vaccinated because he was "too old." (This from a man who constantly promotes the idea of his strength, vigor, and fitness.)

Overnight, Asian markets were mixed, but leaned to the green side.  Australia (+1.16%), Shanghai (+1.13%), and Shenzhen (+0.93%) led the gainers.  Singapore (-0.51%) and Malaysia (-0.42%) led the modest losses.  In Europe we see a similar picture so far today.  Russia (+1.07%) is an outlier, but the FTSE (+0.01%), DAX (+0.80%), and CAC (+0.40%) are typical.  The only losses are very modest and seen among the smaller exchanges in Europe.   As of 7:30 am, US futures are pointing to another modestly bullish open.  The SPY is implying a +0.52% open, the DIA implying a +0.42% open, and the QQQ implying a +0.48% open at this point in the premarket.    

The major economic news for Thursday includes Nov. Building Permits, Nov. Housing Starts, Weekly Initial Jobless Claims, and the Philly Fed Mfg. Index (all at 8:30 am).  The major earnings reports include CAN, GIS, JBL, NAV, RAD, SAFM, and WOR all before the open.  Then after the close BB and FDX report.

With a considerable amount of economic data at 8:30 am, it is hard to gauge the open just yet. However, the bulls have the upper hand at the moment. With the announcement of a stimulus deal ready for voting and the approval of another vaccine expected, they should have the edge later in the day as well. However, we are counting on politicians and bureaucrats to deliver as expected. So, continue to be careful not to bank too much on the news. Remember a lot of potentially bad news from the virus itself is still possible.

Keep working the process and booking those base hits. Money in the bank trumps a "possible lottery ticket" every time. Keep your discipline and respect the trend, support and resistance, and price action. In short, get rich slowly...one trade at a time, just consistently achieving goals.

Ed

Swing Trade Ideas for your consideration and watchlist: WYNN, CHFS, SONO, VALE, AMD, CLF, X, BLNK, DKNG, CELH, FTCH. Trade your plan, take profits along the way, and smart. Also, remember to check for impending earnings reports. Finally, remember that any tickers we mention and talk about in the trading room are not recommendations to buy or sell.

🎯 Mike Probst: Rick, Got CTL off the scanner today. Already up 30%. Love it.

🎯 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

|607% in just 24 months |

Disclosure: We do not act on all trades we mention, and not all mentions acted on the day of the mention. All trades we mention are for your consideration only.

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

Stimulus Hope and Fed Meeting Fear

Markets gapped up eight-tenths of a percent before grinding sideways for a few hours.  After a small mid-day rally, the ground sideways again the rest of the day, closing near the highs.  On the day, SPY closed up 1.34%, DIA up 1.18%, and the QQQ up 1.07%.  The VXX fell over 4.5% to 17.56 and T2122 spiked back up deep into the overbought territory at 95.41.   10-year bond yield rose again to 0.908% and Oil (WTI) rose over a percent to $47.54 (the highest since late February).

During the day, House Speaker Pelosi invited her 3 counterpart leaders (House Minority Leader McCarthy, Senate Majority Leader McConnell and Senate Minority Leader Schumer) to a meeting to discuss stimulus and a government funding extension.  The four met just after the close, adjourned and then reconvened at 7:30pm.  This meeting came after she completed a hour-long negotiation call with Treasury Sec. Mnuchin.  McConnell also told reporters Congress would not leave town until a Covid package was complete.  There was no report after the evening session, but the developments have raised hope for a deal.

In a follow-up to a previous story about a new EU Law which can fine tech companies up to 10% of their global revenue if they don’t act as good gatekeeper, FB attacked AAPL overnight in praising the new law.  A FB spokesman went on to say they hoped the new law will keep AAPL in check from harming consumers and developers.  This came after AAPL had previously said it was enabling a privacy feature to allow users to block apps from tracking them across different platforms. (Of course, AAPL will still track users over those platforms.)  AAPL responded that FB's real problem was that its business model is about invasive tracking of consumers. So, this spat is not as much related to the law as it is over AAPL trying to assert dominance over which tech company controls all the data about user’s lives, habits, and preferences to enable it to sell better marketing to advertisers.  This will eventually become a hot topic in the US as well.

Related to the virus itself, US infections continue to rage as the US.  The totals have risen to 17,143,942 confirmed cases and 311,073 deaths.  We are now seeing 7-day averages of 216,733 new cases and 2,528 deaths per day.  MRNA submitted the paperwork for approval of their vaccine Tuesday.  Also during the day, the FDA approved the first over-the-counter rapid home covid-19 test (from an Australian company).  FL reported that a PFE production problem has caused the next two weeks of vaccine shipments to that state to be placed on hold.  NYC Mayor DeBlasio says he expects another city-wide lockdown right after Christmas based on the current trends.

Globally, the numbers rose to 73,938,418 confirmed cases and the confirmed deaths are now at 1,644,775 deaths.  As a reference, the world is averaging about 628,000 new cases and almost 11,000 new deaths per day. In the UK, Health Minister Hancock announced a new mutation of the virus has been found, which is spreading faster than the original variants, especially in specific places like London.  In related news, London was placed under the country’s toughest tier of restrictions as cases spike in the city. In addition, two of the largest British Medical Journals have posted editorials pleading with PM Johnson to not relax restrictions over Christmas as he has promised he will. At the same time, in Northern Ireland, hospitals are beyond full capacity with at least one hospital using parked ambulances to hold dozens of over-flow patients.

Overnight, Asian markets were mostly in the green. Taiwan (+1.68%) was by far the leader among gainers with Hong Kong (+0.97%) and Australia (+0.72%) being more typical.  The only red seen was modest losses in Chinese exchanges.  In Europe, we see a similar picture so far today.  Only Belgium and Finland show any red (modest) as most exchanges are solidly bullish mid-day.  The FTSE (+0.98%) is u, as is the DAX (+1.54%), and the CAC (+0.61%).  As of 7:30 am, US futures are pointing to a modestly bullish open.  The SPY is implying a +0.26% open, the DIA implying a +0.23% open, and the QQQ implying a +0.17% open at this point in the premarket.  

The major economic news for Wednesday includes Nov. Retail Sales (8:30 am), Dec. Mfg. PMI and Dec. Services PMI (9:45 am), Oct. Business Inventories (10 am), Crude Oil Inventories (10:30 am), FOMC Interest Rate Decision, Fed Interest Rate Projections, and FOMC Statement (all at 2 pm), Fed Chair Press Conf. (2:30 pm).  Some financial news outlets are worrying over a possible disappointment by the Fed, saying we may see a lessening of the Doveish tone, which may spook markets. The major earnings reports on the day are limited to TTC before the open and both ABM and LEN after the close.

With a considerable amount of economic data today and hope for more progress on a stimulus deal, the bulls may have the edge, but markets may wait to see what the Fed tone is this afternoon before making any big moves. Just remember that it's politicians that are behind stimulus news. So, anything that comes out are just as likely to be positioning as they are to be a deal announcement. The only edge a deal has remains time pressure as the lawmakers want to leave town as soon as possible. So, just be careful to not get carried away on market news.

Maintain discipline to your trading rules and focus on your process. As always, respect the trend, support and resistance, and price action. Put those singles and doubles in the bank when the market gives them to you. Don't swing for the fences on every trade. As they say, Bulls make money and Bears make money, but pigs get slaughtered. So, leave the top and bottom picking to the traders who need their ego stroked more than they need to make money.

Ed

Swing Trade Ideas for your consideration and watchlist: PLUG, WFC, NIO, BLNK, CPRI, EYE, CLF, SPWR. Trade your plan, take profits along the way, and smart. Also, remember to check for impending earnings reports. Finally, remember that any tickers we mention and talk about in the trading room are not recommendations to buy or sell.

🎯 Mike Probst: Rick, Got CTL off the scanner today. Already up 30%. Love it.

🎯 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.

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