Coronavirus Has Markets Spooked

Markets took a hit Friday as the spread of coronavirus spooked the bulls.  From a candlestick perspective, all three indices printed Bearish Engulfing signals on the day.  At the close, the SPY had lost 0.89%, the DIA lost 0.60%, and the QQQ lost 0.84%.  As you’d expect, the VXX rose 3.87%, but to a still historically-low 14.24.  Meanwhile, the T2122 fell closer to, but still not in oversold territory at 28.09.  With this all said, all the indices sit only about one percent from their all-time highs.

The spread of coronavirus has accelerated over the weekend, with the death toll now at 80+, about 2,900 cases confirmed and the WHO estimating some 100,000 people worldwide have the virus.  The US Center for Disease Control (CDC) now says there are 5 confirmed cases in the US and they are tracking close to 100 other suspected cases across 22 states. The biggest concern is that China says they have learned it can take up to 14 days for the virus to exhibit symptoms (like the fever which is being used to screen for it) and in the meantime, the virus can still be transmitted between people before those symptoms even show up.

While this is concerning and global markets are spooked at the thought of a pandemic, we do need to keep this in perspective. So far, the standard flu kills more than 100 times as many people each year as this virus has killed. And we haven't seen "panic in the streets" over the flu.

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In the US, the main story continues to be the impeachment trial.  The House Managers (Prosecution) wrapped up their 3-days of presentation on Friday. The President's Counsel then began by using entertainment language as they classified their Saturday presentation as a "trailer." They resume Monday, with the speculation now being their portion will be shorter since the facts are essentially undisputed. In related news, it was leaked Sunday night that the President's former National Security Advisor John Bolton claims the President told him directly that aid to Ukraine was linked to them investigating the Bidens (this claim to be made in his upcoming book). Time will tell whether he ever gets asked that under oath.

Monday’s major economic news is limited to the Dec. New Home Sales (10 am).  Major earnings on the day include ARNC, BMY, and DHI before the open.  After Monday’s close the market hears from FFIV, JNPR, PKI, and WHR.

Overnight, Asian markets are mostly closed (Lunar New Year), but those open are in the red.  In Europe, markets are strongly red across the board at this point in their day.  As of 7:45 am, U.S. futures to a large gap down on between one and a half and two percent.

As of Friday, even with a bad day, the trend remained bullish. However, as the coronavirus story escalates markets seem spooked across the world. A major gap-down to start the week could definitely give the bears the upper hand for a bit. However, the bulls have remained very resilient for months.  Regardless of what happens, all we can do is stick with the trends.  In this case, that may well mean stepping aside, hedging more or getting small until markets settle. If you do look for trades, hedge your risks, keep taking profits and move your stops to protect yourself. Above all, wait for any new trade to come to you...plan your trade and trade your plan.  

Ed

Swing Trade Ideas for your consideration and watchlist: Short: SCHW, KEY, TGT, GPC. Long: VTR, SSRM, ETSY, FSS, FSM, ULTA, JNJ, GDXJ. Trade smart, take profits along the way and trade your plan. Also, don't forget to check for upcoming earnings. The stocks/etfs we mention and talk about in the trading room are not recommendations to buy or sell.

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

🎯 Dick Carp: the scanner paid for the year with HES-thank you

🎯 Arnoldo Bolanos: LTA scanner really works $$, thanks Ed.

🎯 Bob S: LTA is incredible…. I use it … would not trade without it

🎯 Malcolm .: Posted in room 2, @Rick... I used the LTA Scanner to go through hundreds of stocks this weekend and picked out three to trade:  PYPL, TGT, and ZS.   Quality patterns and with my trading, up 24%, 7% and 12%.... this program is gold.

🎯 Friday 6/21/19  (10:09 am) Aaron B: Today, my account is at +190% since January. Thanks, RWO HRC Flash Malcolm Thomas Steve Ed Bob S Bob C Mike P and everyone that contributes every day. I love our job.

Hit and Run Candlesticks / Road To Wealth Youtube videos

|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

Bulls Less Worried After WHO

After a rocky start (likely on coronavirus epidemic fears), markets rebounded in the afternoon to close near their highs Thursday.  The SPY (up 0.25%) and the QQQ (up 0.32%) both closed at new all-time high closes, while the DIA closed slightly lower (down 0.09%), dragged lower chiefly by TRV, even after beating earnings expectations.  The VXX also fell to 13.49 and the T2122 remains in mid-range at 50.74.

In the afternoon, the World Health Organization said it was a bit too early to consider the coronavirus a public health emergency worldwide, saying it remains a “local” Chinese emergency for now.  As mentioned above, this seemed to help markets.  However, this story continues to lead global news as China has locked down (quarantined) more cities each with millions of inhabitants (at least 40 million at this point) and banned public transportation in those areas.  They have also banned the annual Lunar New Year celebration events that had been scheduled in Beijing. 

While apparently most of the 26 deaths from this virus have so far been elderly patients with pre-existing ailments, the concerning news Thursday was that some of the confirmed cases have shown no fever.  This is significant because the only screening tool available at the moment is measuring the temperature of travelers.  So, any cases not showing a fever would slip through transport hub screening undetected.

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In the US, the main story continues to be the impeachment trial.  The House Managers (Prosecution) wrap up their pre-determined 3-days of presentation on Friday. The President's Counsel then begins their presentation Saturday, with the speculation now being it will be shorter since the facts don't seem to be disputed.

For markets, earnings still hold major sway as INTC posted a big beat (after rallying the last couple days, almost as if that was expected).  Others posting beats after the close included DFS, TEFC, SIVB, SWKS, and ISRG. On the other side, ASML and RJF both posted misses.

On Friday, the major economic news is limited to Jan. Mfg. and Services PMIs (both at 9:45 am).   Major earnings reports are limited to APD, NEE, and WAT before the open, as well as AXP and SYF after the close.

Overnight, Asian markets were in the green.  In Europe, markets are mixed, but mostly in the green at this point in their day.  As of 7:45 am, once again U.S. futures are pointing to another gap higher of between a quarter and a half a percent.

The bulls remain resilient as the trend continues higher.  Still, the charge is not head-long, perhaps with some combination of fear over Coronavirus, Impeachment, weekend news leading to a little caution. Regardless, the trend remains intact.  So, while caution is warranted, don't fight the trend.  Look for long opportunities, hedge your risks, keep taking profits and move your stops to protect yourself. Above all, wait for the trade to come to you...plan your trade and trade your plan.  

Ed

No Swing Trade Ideas for your consideration and watchlist on Friday. Remember to take profits and hedge your risks. It's a long way to Monday with at least political and health headline risks in play. Trade smart, take profits along the way and trade your plan. Also, don't forget to check for upcoming earnings. The stocks/etfs we mention and talk about in the trading room are not recommendations to buy or sell.

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

🎯 Dick Carp: the scanner paid for the year with HES-thank you

🎯 Arnoldo Bolanos: LTA scanner really works $$, thanks Ed.

🎯 Bob S: LTA is incredible…. I use it … would not trade without it

🎯 Malcolm .: Posted in room 2, @Rick... I used the LTA Scanner to go through hundreds of stocks this weekend and picked out three to trade:  PYPL, TGT, and ZS.   Quality patterns and with my trading, up 24%, 7% and 12%.... this program is gold.

🎯 Friday 6/21/19  (10:09 am) Aaron B: Today, my account is at +190% since January. Thanks, RWO HRC Flash Malcolm Thomas Steve Ed Bob S Bob C Mike P and everyone that contributes every day. I love our job.

Hit and Run Candlesticks / Road To Wealth Youtube videos

|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

Just a Pause or Toppiness?

Markets gapped higher Wednesday, but then drifted back toward flat the rest of the day.  At day end, the SPY gained 0.01%, the DIA lost 0.01%, and the QQQ gained 0.26%.  The VXX gained 0.82% to a still-low 13.54 and the T2122 remains in the mid-range at 49.57.

The Coronavirus story continues to grow.  China now reports 17 deaths, nearly 600 confirmed cases and it has both quarantined the city and stopped public transport in the city where it was first confirmed.  This threat is complicated by the Chinese New Year (traditional travel period) which is happening right now.  Bloomberg reports literally hundreds of millions of Chinese are expected to travel this week and in 2019 nearly 3 billion trips were taken by Chinese in the 40 days from the Lunar New Year and the Spring Festival (the period that starts this week).  And those trips are not all local.

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In the US, the main story continues to be the impeachment trial.  Still, BA also continues to make the wrong kind of news as UAL told reporters it does not expect the 737 Max to fly before the end of summer, the FAA head said there is no timeline for reapproval of that plane and BA’s new CEO told Reuters that it is shelving a new mid-market aircraft project (a $15-$20bil  project) due to the 737 Max crisis. 

However, for markets, it seems that it’s all about earnings versus lowered expectations right now.  After hours last night ASML, BKR, KMI, and RJF all reported misses.  There will also be a number of major earnings reports Thursday, with CMCSA, PG, AAL, KEY, KMB, MTB, MKC, LUV, SWK, TRV, and UNP reporting before the open.  After the close AEP, DFS, HBAN, RMD, SIVB, SWKS, TXN, VFC, INTC, and ISRG all report.   

Other major economic news is limited to Weekly Jobless Claims (8:30 am) and Oil Inventories (11 am).  Dec. Home Sales (10 am).  CNBC feels there is a small bearish risk for US Markets from the ECB rate decision due Thursday about 7:45 am.  However, the most likely scenario is that this is a non-event.

Overnight, Asian markets were mostly in the red.  In Europe, major bourses are also in the red at this point in their day.  As of 7:45 am, once again U.S. futures are pointing to an open that is flat to lower by two-tenths of a percent.

Markets are showing a little hesitance this week. Perhaps this is due to being priced for perfection at the all-time highs. Or it could be some combination of fear over Coronavirus, Impeachment, or maybe even (gasp) less than thrilling earnings. Regardless, the trend has not been broken. It just seems to be in a lull so far this week. Keep reminding yourself that we are extended, but the trend remains bullish. So, while caution is warranted, don't fight the trend. Look for long opportunities near support but don’t chase. Hedge your risks, keep taking profits on a regular basis and move your stops to protect yourself. Above all, wait for the trade to come to you...plan your trade and trade your plan.  

Ed

Swing Trade Ideas for your consideratoin and watchlist: FMC, HOMB, MYL, ABBV, UTHR, VG, URI, CDW, SHOO, SKX, CAH, ACAD. Trade smart, take profits along the way and trade your plan. Also, don't forget to check for upcoming earnings. The stocks/etfs we mention and talk about in the trading room are not recommendations to buy or sell.

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

🎯 Dick Carp: the scanner paid for the year with HES-thank you

🎯 Arnoldo Bolanos: LTA scanner really works $$, thanks Ed.

🎯 Bob S: LTA is incredible…. I use it … would not trade without it

🎯 Malcolm .: Posted in room 2, @Rick... I used the LTA Scanner to go through hundreds of stocks this weekend and picked out three to trade:  PYPL, TGT, and ZS.   Quality patterns and with my trading, up 24%, 7% and 12%.... this program is gold.

🎯 Friday 6/21/19  (10:09 am) Aaron B: Today, my account is at +190% since January. Thanks, RWO HRC Flash Malcolm Thomas Steve Ed Bob S Bob C Mike P and everyone that contributes every day. I love our job.

Hit and Run Candlesticks / Road To Wealth Youtube videos

|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

Bulls Seem Ready to Run Again

Markets held their ground Tuesday, off the absolute highs but not falling far.  The SPY closed down 0.20%, the DIA down 0.49%, and the QQQ down only 0.04%.  T2122 has fallen back to the mid-range at 57.57 and the VXX gained only a fraction to close at a still historically-low 13.43.

On the news front, the CDC confirmed the first case of coronavirus had made its way from China to the US in the short time it has even had a name (about a week).  In other news, BA took another beating as it said it does not expect regulators to allow the 737 Max to fly again until at least mid-2020.  Finally, the impeachment trial began with wrangling over trial rules. It seems the Republicans are still leaning toward just a summary presentation of House findings and then a vote to acquit. They blocked a Democrat call to subpoena documents the White House refused to give the House and both sides are arguing over witnesses.

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The interesting news out of Davos was almost all made by President Trump, as is his want.  While the need to adapt to Climate Change and the need to work together globally was the theme (and near-universal opinion of attendees), President Trump remains vocally opposed on both counts.  Once again, he pooh-poohed climate change as not proven and unneeded drag on the economy. He also urged all countries to employ trade policies that are in their own countries’ internal best interests.  He also attacked the Fed again (saying the economy would be at a 4% growth rate except for the Fed dragging it down). And Finally, he announced an attempt to reform the WTO (which he neutered last year by removing a quorum among the Trade Dispute Judges).

Wednesday’s major economic news is limited to Dec. Home Sales (10 am). However, there will be a number of earnings reports, with APH, GD, JNJ, NSC, NTRS, TEL, and TXT all reporting before the open.  After the close ASML, CCI, DFS, FFIV, KMI, RFJ, SLG, and VAR report.

Overnight, Asian markets were green across the board.  In Europe, markets are mixed, but mostly higher at this point in the day.  As of 7:45 am, once again U.S. futures are pointing to a hefty gap higher of between four-tenths and a two-thirds of a percent.

It appears the bulls are back for more this morning. The generally good earnings and lack of major bearish news seems to have them ready for another leg up this morning. Just remember that we are still extended. For example, the Put-Call Ratio is at it's lowest mark in years. So, caution is warranted, but don't fight the trend. Look for long opportunities near support but don’t chase. Keep taking profits on a regular basis, moving your stops to protect yourself, and wait for the trade to come to you.   

Ed

Swing Trade Ideas for your consideratoin and watchlist: LW, GRMN, EYE, OSTK, TUP, VG, URI, MHK, MGM, MYL, MU. Trade smart, take profits along the way and trade your plan. Also, don't forget to check for upcoming earnings. The stocks/etfs we mention and talk about in the trading room are not recommendations to buy or sell.

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

🎯 Dick Carp: the scanner paid for the year with HES-thank you

🎯 Arnoldo Bolanos: LTA scanner really works $$, thanks Ed.

🎯 Bob S: LTA is incredible…. I use it … would not trade without it

🎯 Malcolm .: Posted in room 2, @Rick... I used the LTA Scanner to go through hundreds of stocks this weekend and picked out three to trade:  PYPL, TGT, and ZS.   Quality patterns and with my trading, up 24%, 7% and 12%.... this program is gold.

🎯 Friday 6/21/19  (10:09 am) Aaron B: Today, my account is at +190% since January. Thanks, RWO HRC Flash Malcolm Thomas Steve Ed Bob S Bob C Mike P and everyone that contributes every day. I love our job.

Hit and Run Candlesticks / Road To Wealth Youtube videos

|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

Extension Caution or Impeachment Fear?

The bulls refused to back off on Friday.  Once again all three major indices gapped higher.  It was an indecisive day after the gap, but still, the SPY gained 0.37%, the DIA gained 0.12% and the QQQ gained 0.49%.  All three closes were at the all-time high.  The VXX remains historically low at 13.32 and the T2122 remains in overbought territory but did back off slightly to 82.99.

In economic news Friday, the Treasury Department had to bring back the 20year bond (last issued in 1986) to help cover the ballooning budget deficit costs.  This had the short-term effect of steepening the yield curve.  In addition, Bloomberg reported that Larry Kudlow reports that the Trump Administration will seek to scrap a 1977 law that prohibits US companies from bribing foreign governments.  This issue was reported to have been a point of contention between the President and his previous Secretary of State.

Among stocks, BA took a hit when a new software problem for the 737 Max was announced.  In addition, JBHT took a major hit on their earnings miss.

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There is no major economic news Tuesday following the holiday, but the President is in Davos and is telling other countries to follow his protectionist path of "Insert Country Here First" approach. That itself is a first, coming from the leader of the country that led the free-trade and global market movements. In non-economic news, the Presidential impeachment trial begins today. In the market, there will be a number of earnings reports.  Among those reporting before the open are CMA, HAL, HBI, NUE, PGR, and ROL.  After Tuesday’s close IBM, ITW, NFLX, UAL, and VFC will report.

Overnight, Asian markets were strongly red across the board.  In Europe, the same is true red across the board.  As of 7:45 am, U.S. futures are pointing to third or a percent gap lower.

The bulls have been relentless for a long time. The long weekend, amount of extension and upcoming impeachment trial may have changed the tune to one that is a little more cautious. However, the trend is still the trend (until it is broken), so don't overreact. Look for long opportunities near support but don’t chase. Keep taking profits on a regular basis, moving your stops to protect yourself, and wait for the trade to come to you.   

Ed

Swing Trade Ideas for your consideratoin and watchlist: ANGI, LOW, WYND, ENPH, LW, MU, M, TUP, SNDL, YNDX. Trade smart, take profits along the way and trade your plan. Also, don't forget to check for upcoming earnings. The stocks/etfs we mention and talk about in the trading room are not recommendations to buy or sell.

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

🎯 Dick Carp: the scanner paid for the year with HES-thank you

🎯 Arnoldo Bolanos: LTA scanner really works $$, thanks Ed.

🎯 Bob S: LTA is incredible…. I use it … would not trade without it

🎯 Malcolm .: Posted in room 2, @Rick... I used the LTA Scanner to go through hundreds of stocks this weekend and picked out three to trade:  PYPL, TGT, and ZS.   Quality patterns and with my trading, up 24%, 7% and 12%.... this program is gold.

🎯 Friday 6/21/19  (10:09 am) Aaron B: Today, my account is at +190% since January. Thanks, RWO HRC Flash Malcolm Thomas Steve Ed Bob S Bob C Mike P and everyone that contributes every day. I love our job.

Hit and Run Candlesticks / Road To Wealth Youtube videos

|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

Bulls Run, But 3-day Weekend Ahead

The bulls gapped markets higher perhaps on a huge earnings beat by MS.  Regardless of the reason, after that gap markets traded sideways in a tight range until late afternoon.  Sometime after 3pm the bulls took over again and drove prices higher right into the close.  The SPY closed up 0.81%, the DIA up 0.89%, and the QQQ up 0.96%.  As you’d expect, the VXX fell 2.42% again to 13.29.  T2122 jumped higher well into overbought territory at 93.97.

Among the market news for the day was Bloomberg report a panel that seems to contradict the reports from Wednesday’s signing coverage of Phase One of the China Trade Deal.  The consensus from the Chief Economists from all the major US banks is that the trade deal would not have a strong impact on the US economy, at least in 2020.  They've concluded that growth will slow to 1.8%-1.9% this year (well below the 2.5% touted during the signing ceremony and in the Administration's post-signing interviews Wed.).  Time will tell, but economists seem skeptical.

On the cheerier side, DataTrek Research reported that US pickup truck sales (an indicator of small business activity) ended 2019 on a high note.  Those sales ended the year 2.3% higher than in 2018.  The other news was that GOOG has now joined AAPL and MSFT in the “More Than $1 Trillion Market Cap” club. The Fed keeps saying their mass Repo purchases are not stimulus, but the market sure keeps treating them that way.

Friday’s major economic news includes Dec. Building Permits and Dec. Housing Starts (both at 8:30 am), Dec. Industrial Production (9:15 am), JOLTS and Univ. of Michigan Consumer Sentiment (both at 10 am) and a few Fed speakers throughout the day.  Major earnings before the open include CFG, FAST, KSU, MTB, RF, SLB, and STT. There were also CNBC reports that BA will need to take another massive charge related to their 737 Max debacle. So watch that one for gapping as well.

Overnight, Asian markets were green across the board.  In Europe, the same is true as the rest of the world follows our lead from Thursday.  As of 7:45 am, once again U.S. futures are pointing to a gap higher of between a quarter and a third of a percent.

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The bulls continue their incredible run with new all-time highs seeming to come daily.  Over-extension, earnings and headline risk over a 3-day weekend are all very real issues at this point.  However, markets can remain overbought longer than bears can hold out while being too early.  So, consider caution and/or hedges on Friday, but don’t bet against the trend. Look for long opportunities near support but don’t chase. Keep taking profits on a regular basis, moving your stops to protect yourself, and wait for the trade to come to you.   

Ed

Sorry, but no Swing Trade Ideas on a Friday before a 3-day weekend. Trade smart, take profits along the way and trade your plan. Also, don't forget to check for upcoming earnings. The stocks/etfs we mention and talk about in the trading room are not recommendations to buy or sell.

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

🎯 Dick Carp: the scanner paid for the year with HES-thank you

🎯 Arnoldo Bolanos: LTA scanner really works $$, thanks Ed.

🎯 Bob S: LTA is incredible…. I use it … would not trade without it

🎯 Malcolm .: Posted in room 2, @Rick... I used the LTA Scanner to go through hundreds of stocks this weekend and picked out three to trade:  PYPL, TGT, and ZS.   Quality patterns and with my trading, up 24%, 7% and 12%.... this program is gold.

🎯 Friday 6/21/19  (10:09 am) Aaron B: Today, my account is at +190% since January. Thanks, RWO HRC Flash Malcolm Thomas Steve Ed Bob S Bob C Mike P and everyone that contributes every day. I love our job.

Hit and Run Candlesticks / Road To Wealth Youtube videos

|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

Bulls Still in Control

On a bullish day, some afternoon volatility left the SPY (up 0.20%) and DIA (up 0.39%) closing at all-time highs.  The QQQ had a more indecisive day closing up 0.04%.  The VXX closed down again at 13.62, while the T2122 stepped back just below overbought to 75.07.  It seemed that markets generally took the second day of earnings and the Phase-One Trade Deal with China in stride. 

Speaking of the trade deal, details released Wed. point to China apparently committing to purchase an additional $200bil of good/services over the next two years, meaning roughly an additional $100bil in 2020.  That would be a massive increase over the past where the 2017 base against these gains was about $130bil/yr. total exports to China.  China also pledged to crack down on intellectual property theft. 

Time will tell if these materialize, or how this shakes out globally (purchases from the US, mean less from elsewhere and both have ripple effects), but it certainly appears to be a big win for the US on a headline level.  Of course, on the downside, tariffs on Chinese goods will remain in place for at least another 10 months before review again.

Beyond follow-up on trade deal details, earnings are now front and center for markets. Already this morning, MS posted a massive beat and had pre-markets soaring.

Thursday’s major economic news includes Dec. Retail Sales, Philly Fed Mfg. Index, and new Jobless Claims (all at 8:30 am), Business Inventories (10 am) as well as another Fed speaker.  Beyond MS, other major earnings reports include BK, BLK, CSX, KMI, SWKS, SYF, and TFC.

Overnight, Asian markets were mixed but mostly green.  In Europe, markets are also mixed, but mostly red, especially the FTSE, DAX, and CAC, so far in their day.  As of 7:30 am, once again U.S. futures are pointing to an open higher of between one-tenth and one-third of a percent at this point.

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Despite some push-back by the bears, the bulls maintained control on signing day for Phase-One of a China Trade deal.  This leaves at or very near of all-time highs across all major indices.  Over-extension and earnings remain the obvious risks.  However, the moves, while relentless, are not over-exuberant.  So, continue to trade with the trend, while employing some caution.  Always look for opportunities, but don’t chase. Most importantly, remember to plan your trades, and trade your plans.  Take profits on a very regular basis, move your stops to protect yourself, and wait for the trade to come to you.   

Ed

Swing Trade Ideas for your consideration and watchlist: ANGI, BLDR, VRTX, OTEX, LDOS, ALLE, ANET, ZAYO, TRIP, AMCX, OSTK, LYFT. Trade smart, take profits along the way and trade your plan. Also, don't forget to check for upcoming earnings. The stocks/etfs we mention and talk about 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

Earnings and Deal Day Part 1

Markets had a somewhat volatile day that ended little changed.  The SPY ended the day down 0.15%, the DIA up 0.07% and the QQQ down 0.39%.  It seems that despite great beats by the big banks (C and JPM) and DAL in the pre-market, traders were leery of earnings season at the current market all-time highs.  There was also a fear that the phase one of the China trade agreement may disappoint markets as details come front and center Wednesday during the signing. 

The latter fear stemmed from Bloomberg reports that the existing tariffs are remaining in place and all provisions of the deal are already known by the public.  CNBC also reported that both sides understand that the US will not review the existing tariffs any sooner than 10 months after the phase one signing (i.e. after the election).  In addition, there is no agreed path toward eventual reduction of existing tariffs or even for new “phase two” talks.  So, the economic drag of the trade war on both economies is here for at least another year.  (Side note: Reports say the existing tariffs are costing the average American $800/year although details were not provided.)

In more cheery news, Amazon has lifted the prohibition on its Marketplace sellers using FedEx ground transport.  In addition, retail sales are coming in at 5% greater than 2018…which may read through to expectations of upcoming earnings reports.

Wednesday’s major economic news includes Dec. Core PPI and Jan. NY Empire Mfg. Index (both at 8:30 am), Oil Inventories (10:30 am) as well as two more Fed speakers.  Earnings reports before the open include BAC, GS, PNC, USB, CSX, TGT, and UNH. (GS beat and TGT missed so far this morning.)

Overnight, Asian markets were red across the board.  In Europe, markets are mixed, but mostly red so far in their day.  As of 7:30 am, once again U.S. futures are pointing to a flat open, just on either side of break-even at this point.

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Even on a rest day, the bulls have maintained control of the trend and we are within spitting distance of new highs.  However, over-extension and disappointment (over earnings or the partial trade deal) risks remain real.  Continue to use caution while still trading with the trend.  Look for opportunities, but don’t chase. Most importantly, remember to plan your trades, and trade your plans.  Take profits on a very regular basis, move your stops to protect yourself, and wait for the trade to come to you.   

Ed

Swing Trade Ideas for your consideration and watchlist: PCG, NKE, BMRN, MPLX, NXPI, DAR, HZNP, RS, OSTK, BLUE, CNQ. Trade smart, take profits along the way and trade your plan. Also, don't forget to check for upcoming earnings. The stocks/etfs we mention and talk about 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

Banks Kick-Off Earnings Again

Once again, the markets gapped higher on Monday.  There was also follow-through as news came that the US is removing China from the “Currency Manipulators” list and this helped the bulls continue to run all day.  At the end of the day SPY was up 0.69% and QQQ up 1.16%, while the DIA was up only 0.27% (held down by UNH).  As you’d expect, the VXX fell to the extremely low value of 13.78 while T2122 climbed back just barely into the overbought region at 81.71.

In addition to the China news, two other stories made news on financial outlets Monday.  The first of these was that the US Budget Deficit topped $1 trillion in 2019.  This was a 17% increase from 2018 and led the National Debt to climb to $23.2 trillion.  The second story was that the Impeachment trial of President Trump is likely to start Tuesday, January 21.

$50.00 discount with code: Privilege

However, today (the current Tuesday) another earnings season kicks off as the big banks report before the open today.  As this process starts, FactSet is reporting that earnings are expected to have fallen 2% in the fourth quarter.  This would be the fourth straight quarter of reduced earnings.  Still, as always, the companies have sand-bagged their numbers by guiding down forecasts during last quarter’s reports. So, it's anyone's guess as to whether Mr. Market "goes with the flow" or "registers protest over the trend."

Tuesday’s major economic news includes Dec. Core CPI (8:30 am) and Dec. Federal Budget Balance (2 pm) as well as another Fed speaker.  As mentioned above, C, JPM, WFC, DAL, and INFO all report before the open.

Overnight, Asian markets were mixed.  Europe is mixed but mostly red so far in their day.  As of 7:30 am, U.S. futures are pointing to a flat open, just on either side of break-even at this point.

Markets remain at their all-time highs, with the bulls in control of the trend.  However, over-extension remains a risk and earnings kick-off again today.  So, continue to use some caution while trading with the trend.  Look for opportunities, but don’t chase. Most importantly, remember to plan your trades, and trade your plans.  Take profits on a very regular basis, move your stops to protect yourself, and wait for the trade to come to you.   

Ed

Swing Trade Ideas for your consideration and watchlist: LHX, DAR, AMD, VRNT, INTC, MYL, UMPQ, KSU, TEL, AMCX, GRUB, BURL. Trade smart, take profits along the way and trade your plan. Also, don't forget to check for upcoming earnings. The stocks/etfs we mention and talk about 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 Week - New Highs?

Markets gapped higher again Friday.  However, they sold off steadily the remainder of the day (perhaps to avoid weekend headline risk).  While we closed up off the lows (and frankly still very near all-time highs), the SPY lost 0.29%, the DIA lost 0.46% and the QQQ lost 0.26%.  All three of the major indices printed Bearish Engulfing signals but did not fall back into the recent trading range that we broke out of Thursday.  Interestingly, the VXX fell again as well, to 14.12.  The T2122 also fell but remains in the mid-range at 44.62.

In a follow-up to last week’s main story, Iranians (mostly students) are protesting their own government after Iran publicly accepted the blame for shooting down the Ukrainian Passenger Jet.  Those protests turned violent overnight. President Trump made statements in support of the protesters and veiled threats against Iran cracking down on the protests.  He also threatened Iraq, saying they would lose their account at the New York Fed Bank if US troops are forced to leave Iraq.  (That account is used for processing Iraqi oil sales and to pay their government salaries and contracts.)

$50.00 discount with code: Privilege

This coming week we will see the signing of Phase One of the China trade deal Wednesday (only Vice Premier Li will attend from China, so President Trump may not take that victory lap yet).  The impeachment “trial” is also likely to start, if not finish this week. 

There is no major economic data or earnings reports on Monday. We’ll also see some more economic data starting Tuesday.  Finally, earnings season kicks back into gear again Tuesday with the big banks reporting.

Overnight, Asian markets were mixed, but mostly in all the green.  Europe is even more mixed with a split between red and green on their boards so far today.   As of 7:45 am, U.S. futures are pointing to a quarter to a third of a percent gap higher at this point.

Overall, markets remain at unprecedented heights and the bulls still control the trend.  However, over-extension remains a risk and we are just a day from truly starting a new earnings season.  So, all we can do is trade with the trend, look for opportunities, and use hedges.  Most importantly, remember to plan your trades, and trade your plans.  (Don’t let emotions jerk you around.) Take profits along the way, move your stops to protect yourself, and wait for the trade to come to you. 

Ed

Swing Trade Ideas for your consideration and watchlist: ZS, ETSY, GRUB, PFE, BMRN, LHX, NIO, FTCH, ANGI, CGC. Trade smart, take profits along the way and trade your plan. Also, don't forget to check for upcoming earnings. The stocks/etfs we mention and talk about 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

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