Daily Trade Ideas Public Archives - Page 70 of 243

AMZN Missed Bad, But Overall EPS Strong

October 29, 2021 by Ed Carter

Earnings continue to be the market driver as a strong group of reports overcame very disappointing Q3 GDP numbers. As a result, markets gapped higher at the open and then had some follow-through the first hour of the day. This died into a sideways grind in all 3 major indices and then a late-day rally took all 3 out near the highs of the day. The DIA printed a beautiful Bullish Harami that bounced up off the 8ema, but all 3 of the major indices had strong, white bullish candles. The SPY and QQQ both closed at new all-time high closes. On the day, SPY gain 0.98%, DIA gained 0.65%, and QQQ gained 1.09%. The VXX fell 3% to 21.27 and T2122 spiked to the top of the mid-range at 73.68. 10-year bond yields rose to 1.575% and Oil (WTI) rebounded hard after being down 1.5% in the premarket to close up 0.62% at $83.17/barrel.

During the day, FB announced the name it has chosen for the name change that they announced during their Q3 earnings report Monday. The name will be “Meta” and the company will begin trading under the ticker MVRS on December 1. The name change is similar to Google, who became Alphabet years ago. The move reflects a FB shift in emphasis away from social media and toward what it believes is the next major trend, “virtual reality.” This is the reason the name was announced at a VR event.

After hours, AMZN posted terrible numbers, missing badly on both earnings and also coming in $1 billion light on revenue. The company also lowered guidance for Q4. The other big dog name reporting after the close was AAPL, which beat on earnings but missed on revenue. Elsewhere, TEAM, GILD, DXCM, RSG, AJG, WDC, and DVA all beat on both lines. SBUX and FTV missed on revenue, but beat on earnings. SGEN missed on earnings, but beat on revenue. SYK followed AMZN’s lead and missed on both lines.

This morning Treasury Sec. Yellen is touting the Democratic $1.75 trillion spending agreement as being “anti-inflationary.” However, moments after the agreement had been “reached,” House Progressive Democrats said they would not vote for it unless other bills are voted upon at the same time. Elsewhere, the final earnings of the week continue to roll in. CHTR, AON, CL, CERN, CBOE, NWL, XOM, PSX, and CHD all beat on both lines. It is worth noting that both XOM and PSX absolutely crushed earnings estimates. So far today, only LYB (missing on earnings, but beating on revenue) and WY and LHX (both beating on earnings, but missing on revenue) have any red on the report cards art all.

Overnight, Asian markets mixed, but leaned to the red side. Shenzhen (+1.45%), Indonesia (+1.03%), and Shanghai (+0.82%) led the gainers. Meanwhile, Australia (-1.44%), South Korea (-1.29%), and India (-1.05%) paced the losses. In Europe, stocks are almost exclusively down at mid-day. Only a slightly green Belgium and Norway are preventing a red sweep. The FTSE (-0.18%), DAX (-0.79%), and DAD (-0.35%) are typical of the continent in early afternoon trading. As of 7:30 am, US Futures are pointing to a red open, led by Tech. The DIA is implying a -0.10% open, the SPY implies a -0.48% open, and the QQQ is implying a -0.87% open after AMZN missed badly and AAPL missed on revenue. 10-year bond yields are up in early trading and Oil is off slightly.

The major economic news scheduled for release on Friday is limited to Sept. PCE Price Index, Sept. Personal Spending, and Q3 Employment Cost Index (all at 8:30 am), Chicago PMI (9:45 am), and Michigan Consumer Sentiment (10 am). Major earnings reports scheduled for the day include ABBV, AON, BAH, CRI, CERN, CHTR, CVX, CHD, CL, XOM, FTS, FMCC, HUN, IMO, LHX, LAZ, LYB, NWL, PSX, PNM, POR, RCL, SJR, GWW, and WY before the open. There are no reports scheduled for after the close.

The bad AMZN miss (and AAPL miss on revenue) is going to color the action in the tech sector this morning. However, overall, the vast majority of earnings have been coming in strong and most of the major earnings reports are behind us after this morning. So, be prepared for some rotation as fear may drive traders away from FANGMAN names and toward later-cycle plays. Stay nimble and remember that it’s Friday…payday…and time to prepare your portfolio for the weekend (and end of the month).

The trend remains bullish in all 3 major indices, with the two broader indices sitting at all-time highs and the Dow just inches away. Keep in mind that long-term trading success has never come from betting on a reversal. So, remember, the trend is our friend. So, focus on your trade rules and on managing the things you can control. And that should include consistently taking profits when you have them and moving your stops. Watch your current positions before looking to add new trades. Trade carefully and think twice about holding through earnings.

Swing Trade Ideas for your consideration and watchlist: No Trade Ideas for Friday. You can find Rick’s review of tickers on his YouTube Channel here. Trade your plan, take profits along the way, and smart. Also, remember to check for impending earnings reports. Finally, remember that any tickers we mention and talk about in the trading room are not recommendations to buy or sell.

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

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

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

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

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

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

Hit and Run Candlesticks / Road To Wealth Youtube videos

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

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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

EPS Mostly Good As GDP and Claims Next

October 28, 2021 by Ed Carter

Markets started the day relatively flat on Wednesday. The QQQ rallied into the late afternoon before selling off hard the last hour of the day. However, the large-caps started their selloff early, but again gained steam the last hour of the day. This all left a big ugly black candles in the large-cap indices, which if you squint might be called Evening Star type. Meanwhile, the QQQ printed a white-body Northern Star type candle (just a gap-up short of a Shooting Star). This left the DIA and QQQ failing at all-time high level resistance and SPY pulling back to test that level as support. On the day, SPY lost 0.44%, DIA lost 0.69%, and QQQ gained 0.23%. The VXX gained 2.2% to 21.95 and T2122 fell to the low-end of the mid-range to 27.86. 10-year bond yields fell strongly to 1.545% and Oil (WTI) fell 3% to $82.11/barrel.

After the close, KLAC, EBAY, ALGN, ORLY, XLNX, EXR, MAA, RJF, DRE, and CINF all reported beats on both lines. Meanwhile, EW, F, and AFL beat on earnings but missed on revenue. CTSH, URI, and RE beat on revenue but missed on earnings. And AVB and FLS both missed on both lines. It should be noted that F crushed earnings by almost doubling the street estimate ($0.51 vs. $0.26 estimate).

In earnings so far this morning, MRK, LIN, AMT, MCO, HSY, LH, SIRI, CMCSA, YUM, BAX, TFX, LKQ, ABMD, NLSN, and ADS have all reported beats on both lines. CAT, NOC, WTLW, SWK, TAP, and TXT all beat on earnings but came up short of estimates on the revenue line. At the same time, AEP and XEL beat on revenue but missed on earnings. Finally, TROW, NEM, and MO missed on both revenue and earnings.

In miscellaneous news out of Washington, leaks are reporting that the Budget Bill that is being negotiated between Democrats has been whittled down again. From an original $3.5 trillion, the current size seems to be $2 trillion, but continues to move lower as more of the progressive agenda is abandoned to secure the vote of WV Senator Manchin and to a lesser degree AZ Senator Sinema. With that said, it appears a deal is very near as President Biden is expected to attend the Democratic meeting this morning, which most believe is a signal a deal will be done by then. Simultaneous to the negotiations of the taxes and spending in the bill, CNBC reports that major business groups are already organizing to fight any new business taxes through lobbying and media spending in the states of key Democratic votes. In particular, they want to fight the “Corporate 15% Minimum Tax” that was agreed globally.

Overnight, Asian markets red across the board. India (-1.94%), Shanghai (-1.23%), and Indonesia (-1.18%) led the losses, but the damage was universal in the region. This came as a higher producer price index and continued electricity crunch are raising the possibility of stagflation down the road a couple of quarters. In Europe, the picture is more mixed at mid-day. The FTSE (-0.28%) and DAX (-0.10%) are slightly lower, but the CAC (+0.60%) is among the half of the continent that is in the green in early afternoon trading. As of 7:30 am, US Futures are pointing toward a green opening as earnings continue to come in strong. The DIA is implying a +0.25% open, the SPY implies a +0.33% open, and the QQQ is implying a +0.58% open at this hour (and ahead of major economic news). 10-year bond yields are up just slightly and Oil (WTI) is off 1.5% in early trading.

The major economic news scheduled for release on Thursday is limited to Q3 GDP and Weekly Initial Jobless Claims (both at 8:30 am) and Sept. Pending Home Sales (10 am). Major earnings reports scheduled for the day include AOS, AGCO, ATI, ADS, AB, MO, AEP, AMT, BUD, AMBP, AVNT, BAX, BC, CARR, CAT, CBRE, CHKP, CMS, CMCSA, DQ, DBD, EXP, EME, FCN, GVA, GPI, HSY, HTZZ, HBAN, ITW, ICE, JHG, KBR, KEX, LH, LECO, LKQ, MDC, MA, MD, MDP, TAP, MCO, COOP, NEM, NLSN, NOK, NOC, NVT, ORI, OSK, OSTK, PATK, PBF, BTU, RLGY, RS, RDS.A, SAIA, SNY, SNDR, SHOP, SIRI, SAH, SWK, STM, TROW, TFX, TPX, TXT, VC, WST, WEX, WLTW, XEL and YUM before the open. Then after the close, ACHC, AMZN, AAPL, ATR, AJG, TEAM, AVTR, AVT, CHE, COLM, DVA, DECK, DXCM, EMN, ERIE, FE, FMX, FTV, GILD, HIG, HUBG, LPLA, MHK, RSG, RMD, SKX, SKYW, SSNC, SBUX, SYK, TEX, TXRH, TFII, X, VALE, WERN, WDC, INT, and AUY report.

Again, the flood of earnings is going to be a main driver. However, don’t overlook the Q3 GDP number possibly changing the mood among traders. Again, I would characterize the reports last night and so far this morning as largely positive. However, there were a handful of high visibility misses, such as TROW and MO as well as CAT missing on revenue. So, be prepared, stay nimble and remember that it is the actual market reaction to the news…not the news itself…that is really important to traders.

The trend remains bullish despite yesterday’s candles and all 3 major indices are still sitting very near all-time highs. Remember, the trend is our friend, but also keep in mind that big dogs AAPL and AMZN report tonight. So, focus on your trading process and on managing the things you can control. Remember that it’s discipline and good trading rules that will win in the long run. And that includes consistently taking profits when you have them and moving your stops. Watch your current positions before looking to add new trades. Trade carefully and think twice about holding through earnings.

Swing Trade Ideas for your consideration and watchlist: LC, PLBY, LCID, MRVL, F, MCD, OPEN, LVS. You can find Rick’s review of tickers on his YouTube Channel here. Trade your plan, take profits along the way, and smart. Also, remember to check for impending earnings reports. Finally, remember that any tickers we mention and talk about in the trading room are not recommendations to buy or sell.

🎯 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

Hit and Run Candlesticks / Road To Wealth Youtube videos

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

Free YouTube Education • Subscription Plans • Private 2-Hour Coaching

Earnings Remain Strong But a Few Miss

October 27, 2021 by Ed Carter

Markets were fairly volatile intraday on Tuesday. All 3 major indices gapped higher and ground sideways for an hour, but then sold off hard, back to the previous close before rallying again and then selling off again the last 15 minutes of the day. After all of that, the 3 major indices ended up little changed. All 3 printed black body candles with at least some higher wick and the two large caps closing near their lows. On the day, SPY gained 0.10% (to another new all-time high close), DIA lost 0.01%, and QQQ gained 0.28% (after having been at a new all-time high intraday). The VXX gained 2% to 21.47 and T2122 fell out of the overbought territory to 70.12. 10-year bond yields fell to 1.612% and Oil (WTI) rose about 1% to $84.58/barrel.

After hours, AMD, MSFT, GOOG, V, CB, CHRW, and FFIV among others all easily beat on both lines. Meanwhile, TXN beat on earnings but missed on the revenue line. TWTR posted misses on both lines, including a terrible miss on earnings.

In premarket earnings reports, TMO, MCD, BMY, ADP, FISV, TEL, KHC, HLT, GRMN, AVY, MAS, HOG, and KO all delivered beats on both lines. Meanwhile, CME, BSX, IP, GD, and WAB beat on earnings while coming up short on revenue. In the opposite camp, DTE and ROL missed on earnings, but beat on revenue. IP was the only report to miss on both lines so far today.

In political news, Senate Democrats unveiled their 15% Corporate Minimum Tax proposal on Tuesday. It is important to note that despite the name, the tax would only apply to companies that book $1 billion in profit for 3 consecutive years AND it includes credits as well as carry-forward of losses to offset the tax. On the health side, the FDA Advisory Panel also recommended that the FDA approve the PFE vaccine for kids aged 5-11 (in low doses). If the FDA does approve this use of the PFE vaccine, then CDC Dir. Walensky is expected to sign off and shots could begin immediately.

Overnight, Asian markets leaned heavily to the downside. Singapore (+0.42%), Taiwan (+0.24%), and Australia (+0.07%) were the only green in the region. At the same time, Hong Kong (-1.57%), Shenzhen (-1.10%), and Shanghai (-0.98%) led the region lower. The same story is taking shape in Europe at mid-day. The FTSE (-0.08%), DAX (-0.26%), and CAC (-0.25%) are typical of the continent with only a flat Greece and Belgium avoiding a red sweep in early afternoon trading. As of 7:30 am, US Futures are still pointing to a flat open. The DIA is implying a +0.05% open, the SPY implies a -0.05% open, and the QQQ is implying a -0.11% open at this hour. At the same time, 10-year Bond yields are down significantly to 1.59% and Oil (WTI) is off 1.25%.

The major economic news scheduled for release on Wednesday is Sept. Durable Goods Orders, Sept. Trade Balance, and Sept. Retail Inventories (all at 8:30 am) and Crude Oil Inventories (10:30 am). Major earnings reports scheduled for the day include APH, AIT, ARES, ADP, AVY, BA, BCO, BMY, BG, CME, KO, CSTM, DTE, EVR, FISV, GRMN, GD, GM, HOG, HES, HLT, IP, KHC, MHO, MAS, MCD, NSC, ODFL, OC, PAG, ROL, R, SLGN, SIX, SPOT, TMHC, TEL, TDY, TEVA, TMO, TNL, UMC, VRT, and WAB before the open. Then after the close, AFL, AEM, ALGN, ALSN, NYL, AR, ACGL, ASGN, AVB, AXS, BHE, BMRN, CACI, CG, CCS, CHX, CNO, CTSH, FIX, CYH, EBAY, EW, ESI, EHC, ENSG, EQT, RE, FLEX, FLS, F, THG, INVH, JBT, KLAC, MTH, MEOH, MKSI, MOH, MUSA, MYRG, ORLY, OII, PPC, PLXS, PPD, RJF, SIGI, SCI, NOW, SNBR, STC, SU, TDOC, TROX, TTMI, TWLO, UCTT, URI, WCN, WFG, XLNX, and YUMC report..

Once again, the flood of earnings is going to be the driver today, at least early on. I would characterize last night’s reports as well as those that are already out this morning as largely positive. However, there were some misses on either earnings or revenue. There were even a couple of companies that missed on both. So, as always, it isn’t necessarily the news (earnings) that matters, but instead what’s most important is how Mr. Market reacts to that news. Be prepared, either way.

The trend remains bullish and the large-caps are still sitting at all-time highs (with the tech-heavy QQQ just below that breakout). Remember, the trend is our friend, but also keep in mind that more of the AAPL and AMZN report tonight. So, focus on your trading process and on managing the things you can control. Remember that it’s discipline and good trading rules that will win in the long run. And that includes consistently taking profits when you have them and moving your stops. Watch your current positions before looking to add new trades. Trade carefully and think twice about holding through earnings.

Swing Trade Ideas for your consideration and watchlist: NNDM, XELA, NIO, CHPT, SLV, FSM, F, GM, MS. You can find Rick’s review of tickers on his YouTube Channel here. Trade your plan, take profits along the way, and smart. Also, remember to check for impending earnings reports. Finally, remember that any tickers we mention and talk about in the trading room are not recommendations to buy or sell.

🎯 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

Hit and Run Candlesticks / Road To Wealth Youtube videos

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

Free YouTube Education • Subscription Plans • Private 2-Hour Coaching

Reports A Bit Mixed But Still Positive

October 26, 2021 by Ed Carter

Markets opened higher, immediately traded lower, and then began a steady rally into the mid-afternoon. There was some late-afternoon sag, but all 3 major indices closed as gap-up white candles. The DIA printed another Doji-type candle and the SPY printed a Spinning Top-type candle. On the day, SPY gained 0.54% (a new all-time high close), DIA gained 0.23% (a new all-time high close), and QQQ gained 1.02%. The VXX fell 3% on the day to 21.03 and T2122 remains in the overbought territory at 86.97. 10-year bond yields fell (after being higher in premarket) to 1.634% and T2122 fell slightly (again, after being up a percent during the premarket) to $83.47/barrel.

TSLA was the big winner on the day crossing above $1 trillion market cap on a 12.7% gain. This move came on premarket news that Hertz has ordered 100,000 of TSLA’s electric vehicles by the end of 2022. After the close, FB missed on revenue by close to $600 million but still beat slightly on earnings. (Monthly active users were down a bit, but daily average users were in line with expectations.) UHS reversed the results, beating slightly on revenue but missing on the earnings line. Meanwhile, CDNS and ARE beat on both lines.

After the close, FB missed on revenue by close to $600 million but still beat slightly on earnings. (Monthly active users were down a bit, but daily average users were in line with expectations.) UHS reversed the results, beating slightly on revenue but missing on earnings. Meanwhile, CDNS and ARE beat on both lines.

So far this morning, UPS, MMM, ADM, PNR, SPGI, CNC, and JBLU beat on both lines. RTX, GE, and XRX missed on revenue, but beat on earnings. Meanwhile, SHW, WM, PHM, LLY, and GLW all missed on earnings, but beat on the revenue line. Only LMT has reported a miss on both lines at this point in the day.

Overnight, Asian markets were mixed again but leaned to the green side. Japan (+1.77%) was a strong outlier to the upside, with South Korea (+0.94%) and Taiwan (+0.83%) being the leaders of the pack for those exchanges that were green. Hong Kong (-0.36%) and Shanghai (-0.34%) paced the losers. In Europe, markets are mixed, but the bulls have much more energy at mid-day. The FTSE (+0.60%), DAX (+0.93%), and CAC (+0.71%) are leading the continent higher while smaller exchanges like Norway (-0.52%), Denmark (-0.42%), and Finland (-0.41%) are headed the other way. As of 7:30 am, US Futures are pointing toward another bullish open. The DIA is implying a +0.34% gap higher, the SPY implying a +0.43% gap up, and the QQQ implying a +0.62% open at this hour. 10-year bond yields are down and Oil is flat in early trading.

The major economic news scheduled for release on Tuesday is limited to Conf. Board Consumer Confidence and Sept. New Home Sales (both at 10 am). Major earnings reports scheduled for the day include MMM, AAN, ARCH, ADM, ABG, CNC, GLW, CEQP, DAN, ENTG, FSV, GE, GPK, GBX, HAS, HUBB, IVZ, JBLU, LMT, HZO, MSCI, NVS, PCAR, PNR, PII, PHM, RTX, SPGI, ST, TRU, UBS, UPS, WM, and XRX before the open. Then after the close, ACCO, AMD, GOOGL, AMP, AGR, BXP, BYD, CHRW, COF, CB, CSGP, DLR, WIRE, EQR, FFIV, FBHS, GOOG, HA, IEX, JNPR, LBRT, LFUS, MSFT, NBR, NCR, PFG, RRC, TER, TXN, TWTR, V, and ZWS report.

Earnings are going to be the driver again today. So far today, it has been more of a mixed bag of reports among majors than we have seen early this earnings season. The trend remains bullish and the large-caps are sitting at all-time highs (with the tech-heavy QQQ closing on that blue sky fast). Remember, the trend is our friend, but also keep in mind that many of the FANGMAN big dogs report tonight. So, it’s possible we see some caution in at least the QQQ as traders wait to hear from GOOG, AMD, and MSFT tonight and then AAPL and AMZN on Wednesday. Be prepared, either way.

Focus on your trading process and on managing the things you can control. Remember that it’s discipline and good trading rules that will win in the long run. And that includes consistently taking profits when you have them. Watch your current positions before looking to add new trades. Trade carefully and think twice about holding through earnings.

Swing Trade Ideas for your consideration and watchlist: OPEN, ORCL, MRVL, CHWY, FUBO, FSLY, CHPT, NIO. You can find Rick’s review of tickers on his YouTube Channel here. Trade your plan, take profits along the way, and smart. Also, remember to check for impending earnings reports. Finally, remember that any tickers we mention and talk about in the trading room are not recommendations to buy or sell.

🎯 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

Hit and Run Candlesticks / Road To Wealth Youtube videos

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

Free YouTube Education • Subscription Plans • Private 2-Hour Coaching

Bad News For FB and PINS as FANGMAN on Deck

October 25, 2021 by Ed Carter

Markets opened flat in the large caps, but the QQQ gapped down a third of a percent on Friday. After indecision the first hour, all 3 major indices saw a selloff the last hour of the morning. From there was a sideways drift with a slight bullish slope. This left us with indecisive candles in all 3 major indices, a Doji in the SPY, a white Spinning Top in the DIA, and a Black Spinning Top in the QQQ. On the day, SPY lost 0.08%, DIA gained 0.23% (to close at a new all-time high close by a few cents), and the QQQ lost 0.84%. The VXX rose more than 2% to 21.70 and T2122 slipped slightly but remains in the overbought territory at 85.90. 10-year bond yields fell to 1.641% and Oil (WTI) rose almost 2% to $84.09/barrel.

Bloomberg reported Sunday that China is expecting a new Covid outbreak to get worse in the coming days. As a result, they have begun locking down some cities and regions (not to the provincial level yet). If there is any silver lining to this cloud, it is that the current outbreak is mostly in the northern provinces such as Inner Mongolia, which are not the important manufacturing or shipping regions. So, from a global supply chain perspective, this is as good as such a cloud gets.

Over the weekend in Europe, Brexit was back in the news. The British PM Johnson has been threatening to unilaterally suspend the portion of the post-Brexit trade deal related to Northern Ireland. So, on Friday the EU began internal discussions about terminating the entire trade deal in the case that Britain breaks the portion related to Northern Ireland. The two sides also began intense negotiations to avoid the break. The Pound fell half a percent on this news. If the deal were to be scrapped, it would wreak havoc with the UK economy at least for months.

This morning Bloomberg is reporting that FB has been keeping investors in the dark about an alarming new trend that is accelerating. This was part of the basis (if not the media/Congress publicized reason) behind the SEC whistleblower complaint in early October. It seems that researchers inside FB reported to executives in late March that teens (13-17) and young adults (18-29) are spending far less time and sending fewer messages in the last year. In fact, fewer teens are even signing up to the platform. The most troubling fact is that users across all age groups are creating fewer posts at a time when logically they were home more and had very little in the way of other social outlets. Obviously, these trends are a major threat to the company’s advertising business and is the driver behind the recent massive increase in FB marketing efforts.

Overnight, Asian markets were mixed. Shanghai (+0.76%) and Shenzhen (+0.72%) led to the upside. Meanwhile, Japan (-0.71%) and Thailand (-0.56%) paced the losses. In Europe, markets are also mixed as of mid-day. The FTSE (+0.38%) and DAX (+0.19%) are modestly higher, while the CAC (-0.20%) and many of the smaller exchanges are down in early afternoon trading. As of 7:30 am, US Futures are pointing toward an open just on the green side of flat. The DIA is implying a +0.04% open, the SPY implies a +0.12% open, and the QQQ implies a +0.26% open to start the week. 10-year bond yields are up to 1.663% and Oil (WTI) is up a percent in early trading. Finally, contrary to reports last week, PYPL announced that it’s not interested in buying PINS at this point.

There is no major economic news scheduled for release on Monday. Major earnings reports scheduled for the day include ARLP, HSBC, IBA, KMB, LII, OTIS, and QSR before the open. Then after the close, ARE, AXTA, BRO, CDNS, CR, CCK, FB, LOGI, OI, PKG, SSD, SUI, TBI, and UHS report.

As we head into a heavy earnings week, the rest of the world looks to be waiting on more direction. The bullish trend is getting some relief from over-extension and that rest may continue today as the market wants to see another earnings card before placing its next bet. So, the bulls remain in control of the trend, but biding time may be the order of the day. Remember, FB reports tonight, GOOG, AMD, and MSFT report Tuesday, and AAPL and AMZN report Wednesday…just among the FANGMAN leaders. Those reports could make major waves in the market. Be prepared.

Remember that it’s discipline and good trading rules that will win in the long run. And that includes consistently taking profits when you have them. Focus on your trading process and on managing the things you can control. Watch your current positions before looking to add new trades. Trade carefully and think twice about holding through earnings.

Swing Trade Ideas for your consideration and watchlist: APA, CLF, ARKK, EOG, DVN, HAL, BP, KRE, SAM, PFE, JNJ, ORCL, M. You can find Rick’s review of tickers on his YouTube Channel here. Trade your plan, take profits along the way, and smart. Also, remember to check for impending earnings reports. Finally, remember that any tickers we mention and talk about in the trading room are not recommendations to buy or sell.

🎯 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

Hit and Run Candlesticks / Road To Wealth Youtube videos

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

Free YouTube Education • Subscription Plans • Private 2-Hour Coaching

SPY Pushed to Record On Strong Earnings

October 22, 2021 by Ed Carter

Markets opened slightly lower on Thursday and then waffled around while the bulls found their footing. However, by mid-morning a slow, steady rally was underway that ran all the way into the close. This marked the 7^th straight higher close in the SPY and gave us a new all-time high close. DIA just missed both marks while printing a Hanging Man-type candle. Meanwhile, the QQQ printed a Bullish Engulfing candle. On the day, SPY gained 0.28%, QQQ gained 0.61%, and DIA lost 0.02%. The VXX fell 3% to 21.22 and T2122 backed off just a bit but it remains deep in the overbought territory at 92.8. 10-year bond yields rose again to 1.69% and Oil (WTI) fell almost a percent to $82.66/barrel.

During the day, cryptocurrencies took a hit as an algo ran amuck on one of the major exchanges. Binance reported that one of their institutional traders suffered an error in their algorithm. This caused massive selling which drove the price of Bitcoin from $65,000 down to $8,200 (down 87%) before immediately snapping back. So, it was similar to the stock market flash crash from 2010. At the time of Thursday morning’s crash, $40 million of bitcoin was traded on the Binance exchange.

After the close, INTC and WHR both missed on revenue but handily beat on earnings. INTC in particular decried the chip shortage for hurting its personal computer business. Meanwhile, CMG, SIVB, CE, and RHI all beat on both lines. However, SNAP missed on both lines and got crushed in post-market trading. Analysts are expecting the SNAP miss to read through to other online advertising platforms as the company specifically cited the AAPL opt-in vs opt-out privacy policy as impacting ad revenue.

So far this morning, the strong earnings continue as DHR, MMC, IQV, TSCO, KEY, DGX, IPG, SNA, VLO, LUV, AAL, and ALK have all posted beats on both the top and bottom lines. However, ALLE and T both missed on revenue while beating on earnings.

Overnight, Asian markets were mixed in modest trading. Singapore (+0.52%), Hong Kon (+0.42%), and Thailand (+0.36%) led to the upside. Meanwhile, India (-0.35%) and Shanghai (-0.34%) paced the losers. However, in Europe markets are strongly green across the board at mid-day. The FTSE (+0.54%), DAX (+0.85%), and CAC (+1.11%) are typical of the spread across the continent, but many of the smaller exchanges are following the French lead in early-afternoon trading. As of 7:30 am, US Futures are pointing toward a mixed, modest opening. The DIA is implying a +0.21% open, the SPY implies a +0.12% open, and the QQQ implies a -0.16% open at this hour. 10-year bond yields are down slightly and Oil (WTI) is up two-thirds of a percent in early trading.

The major economic news scheduled for release on Friday is limited to Mfg. PMI and Services PMI (both at 9:45 am), Federal Budget Balance (2 pm), and a couple of Fed speakers (Daly at 10 am and Chair Powell at 11 am). Major earnings reports scheduled for the day include AIMC, AXP, ALV, CLF, DSKE, GNTX, HCA, HON, RF, ROP, SLB, STX, and VFC before the open. There are no reports after the close.

Once again the bulls have refused to yield. So far, it looks like they are going to continue that drive toward blue-sky at the open today. With that said, we certainly appear to be working on borrowed time. It is not very often that you see this many white candles and green closes in a row. So, be careful. In particular, some traders might be looking to take profits after the run and heading into the weekend. So, be prepared for a pullback or at least a rest. As mentioned in recent days, don’t be chasing the rally. Let the market (and trade) come to you and trade carefully.

The weekend is upon us. So, think about how you want your portfolio to be adjusted ahead of the weekend news cycle. Take profits, hedge, and/or move stops as appropriate. You’re not missing anything if you don’t chase new positions. Remember it takes twice as long to recover losses, so the first rule of making big money is not losing big money. It is discipline and good trading rules that will win in the long run. And that includes consistently taking profits when you have them. Focus on your trading process and on managing the things you can control (while not worrying about things you can’t influence). Finally, watch your current positions before looking to add new trades.

Swing Trade Ideas for your consideration and watchlist: No trade ideas for Friday. You can find Rick’s review of tickers on his YouTube Channel here. Trade your plan, take profits along the way, and smart. Also, remember to check for impending earnings reports. Finally, remember that any tickers we mention and talk about in the trading room are not recommendations to buy or sell.

🎯 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

Hit and Run Candlesticks / Road To Wealth Youtube videos

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

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Strong Q3 Earnings Parade Continues

October 21, 2021 by Ed Carter

Markets opened essentially flat on Wednesday, but then rallied the first hour of the day. In the afternoon we got a selloff, only broken by a bullish surge during the last 5 minutes of the day. This left us with white bullish candles with upper wicks in the SPY and DIA, but a black Spinning Top candle in the QQQ. On the day, SPY gained 0.39%, DIA gained 0.44%, and QQQ lost 0.13%. The VXX fell to 21.95 and T2122 rose deeper into the overbought territory at 94.01. 10-year bond yields surged again to 1.658% and Oil (WTI) rose another 1.5% to $84.25/barrel.

After the close, the FDA cleared both the JNJ and MRNA vaccines for booster shots. At the same time, the FDA also authorized “vaccine mixing” (getting a booster from a different manufacturer than the original vaccine). This kicks the issue to the CDC, which will consider the data from JNJ and MRNA today and vote as soon as Friday. While it is expected the CDC will authorize booster shots of the vaccines to be given to elderly and at-risk patients 6 months after the patient’s original vaccination, who qualifies for an FDA-approved vaccine is totally at their discretion.

Also after the close, TSLA posted record revenue and earnings, beating on both lines. Among the other majors reporting last evening CSX, CCI, PPG, and LSTR all reported beats on both lines. However, IBM missed on both lines, and DFS missed on revenue while beating on earnings.

Overnight, Asian markets were mixed but leaned to the red side. Japan (-1.87%) was a huge outlier to the downside while Malaysia (-0.92%), India (-0.48%), and Hong Kong (-0.45%) were the non-outlier leaders to the downside. Thailand (+0.36%) and Shanghai (+0.22%) were the only appreciable winners on the day. In Europe, only Amsterdam is positive as the rest of the region is in the red at mid-day. The FTSE (-0.52%), DAX (-0.02%), and CAC (-0.40%) are typical of the spread across the continent in early afternoon trading. As of 7:30 am, US Futures are also pointing toward a down open. The SIA is implying a -0.26% open, the SPY implies a -0.22% open, and the QQQ implies a -0.18% open at this hour. 10-year bond yields are up just slightly and Oil is off about three-quarters of a percent in early trading.

The major economic news scheduled for release on Thursday is limited to Weekly Jobless Claims and Philly Fed Mfg. Index (both at 8:30 am), Sept. Existing Home Sales (10 am), and a couple of Fed speakers (Waller at 9 am and Williams at 9 pm). Major earnings reports scheduled for the day include ABB, ALK, ALLE, ALLY, AAL, T, AN, BX, CROX, DHR, DOW, EEFT, FAF, FCX, GPC, HRI, IPG, IQV, KEY, MMC, NUE, NVR, POOL, DGX, RCI, SAP, SCHN, SNA, SON, LUV, TSCO, TPH, TRN, UNP, and VLO before the open. Then after the close, SAM, CSL, CE, CMG, INTC, MAT, OLN, PBCT, RHI, SNAP, SIVB, USX, WRB, WAL, and WHR report.

We didn’t really see a pullback on Wednesday, but after the strong rally of the 5 days preceding it, the market is certainly due at least a rest. So, as mentioned in recent days, don’t be chasing the rally. Let the market (and trade) come to you. Trade carefully, and be prepared for a potential rest day.

Remember, you’re not missing anything, so don’t chase. It’s discipline and good trading rules that will win in the long run. And that includes consistently taking profits when you have them. So, don’t let greed get the better of you. Focus on your trading process and on managing the things you can control (while not worrying about things you can’t influence). Finally, watch your current positions before looking to add new trades.

Swing Trade Ideas for your consideration and watchlist: DIDI, BTCM, M, BEKE, NOK, REAL, ROKU, FCEL, BB, OXY. You can find Rick’s review of tickers on his YouTube Channel here. Trade your plan, take profits along the way, and smart. Also, remember to check for impending earnings reports. Finally, remember that any tickers we mention and talk about in the trading room are not recommendations to buy or sell.

🎯 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

Hit and Run Candlesticks / Road To Wealth Youtube videos

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

Free YouTube Education • Subscription Plans • Private 2-Hour Coaching

Bulls Are Loving Q3 Earnings So Far

October 20, 2021 by Ed Carter

Markets gapped higher Tuesday on more good earnings and then drifted higher in the morning. Stocks traded sideways in a tight range most of the afternoon before getting volatile the last couple of hours of the day. The good news for the bulls was that we closed on an upswing, which took us out near the highs in all 3 major indices. This left us with a strong, white gap-up candle in all 3 of those markets. On the day, SPY gained 0.76%, DIA gained 0.55%, and QQQ gained 0.76%. The VXX fell a percent to 22.17 and T2122 climbed up into the bottom of the overbought territory. 10-year bond yield spiked to 1.639% and Oil (WTI) gained half of a percent to $82.89/barrel.

The first Bitcoin-related ETF, BITO, which tracks CME Bitcoin futures began trading Tuesday. Trading was heavy early in the session but then slowed significantly after the early pop. BITO closed up 4.8% on the day. However, the debut did not go off without a hitch since the Blue Ocean trading system allowed overnight traders to purchase the ETF hours before it officially began trading on the NYSE.

After hours, strong earnings continued as NFLX posted a strong beat on earnings on revenue that was in line with estimates. It also reported better than expected new subscriber growth. UAL reported a smaller than expected loss and beat on the revenue line while reporting that travel is rebounding. At the same time, ISRG beat on both lines.

This morning healthcare is looking good as both ABT, BIIB, and ANTM beat on both lines. The banking space also continues its strong showing with regionals CMA, CFG, FHN, and MTB all reporting beats on both earnings and revenue. However, the oil patch may be under pressure as services provider BKR missed badly on both lines, and NEE beat on earnings while missing on revenue. VZ also beat on earnings but missed on revenue. Meanwhile, NDAQ reported beats on both lines.

Overnight, Asian markets were mixed again on modest moves. Hong Kong (+1.35%) was a clear outlier to the upside and India (-0.83%) was an outlier to the downside. Still, most exchanges in the region were flat or moved less than half of a percent in either direction. In Europe, markets are mixed but leaning toward the green side on modest moves at mid-day. The FTSE (+0.07%), DAX (+0.12%), and CAC (+0.03%) lead the volume but are among the smallest movers in early afternoon trading. As of 7:30 am, US Futures are pointing to a flat open. The DIA is implying a -0.01% open, the SPY implies an unchanged open, and the QQQ is implying a +0.08% open at this hour. 10-year bond yields are down slightly and Oil (WTI) is down over a percent in early trading.

The major economic news scheduled for release on Wednesday is limited to Crude Oil Inventories (10:30 am), Fed Beige Book (2 pm), and a Fed speaker (Quarles at 1 pm). Major earnings reports scheduled for the day include ABT, ANTM, ASML, BKR, BIIB, CP, CFG, CMA, DB, FHN, KNX, LAD, MTB, MSM, NDAQ, NEE, NTRS, BPOP, SCL, UNF, VZ, WSO, and WGO. Then after the close, CCI, CSX, DFS, EFX, GGG, HPQ, IBM, KALU, KMI, LRCX, LSTR, LVS, OMF, PPG, RUSHA, SEIC, FTI, THC, TSLA, UFPI, and VMI report.

After a strong rally the last 4 days, which included 3 gaps higher, stocks seem to be looking to rest at the open Wednesday. Once again, it has been the tech big dogs that have been leading us higher recently (with most of their earnings coming in the next week). However, this strong rally is a bit extended and markets may think it’s time to let the moving averages catch up. We are nearing the all-time highs in the major indices again, but there is still some resistance to work through. So, trade carefully, and be prepared for a potential rest day.

Swing Trade Ideas for your consideration and watchlist: GRPN, NUGT, SKIN, TME, FIS, PLBY, IQ. You can find Rick’s review of tickers on his YouTube Channel here. Trade your plan, take profits along the way, and smart. Also, remember to check for impending earnings reports. Finally, remember that any tickers we mention and talk about in the trading room are not recommendations to buy or sell.

🎯 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

Hit and Run Candlesticks / Road To Wealth Youtube videos

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

Free YouTube Education • Subscription Plans • Private 2-Hour Coaching

Vastly Improved but Risky

October 19, 2021 by Doug Campbell

The technical picture of the indexes has vastly improved in just five trading days, but it has also created a significant risk to retail traders. For example, yesterday’s 250 point whipsaw in the Dow demonstrated the market sensitivity to a single downgrade of Disney. Moreover, earnings season is notoriously volatile, and with prices spiking, it also creates significant risk if we see some disappointing results. Finally, it would be wise to keep in mind before rushing into already elevated stocks that inflation, high energy prices, and supply chain impacts could create substantial earnings uncertainties. So plan your risk carefully!

Overnight Asian markets were mixed but mostly higher, with Hong Kong leading the bullishness up 1.49%. European markets trade with modest gains across the board this morning, monitoring earnings results. Ahead of the earnings results and housing numbers, the premaket pump is well underway, suggesting a gap-up opening as we stretch out from recent lows. Expect considerable price volatility as we react to all the data.

Economic Calendar

Earnings Calendar

The earnings begin to ramp up today, with our first big tech reports beginning this afternoon. Notable reports include JNJ, NFLX, BK, CNI, FITB, HAL, IBKR, ISRG, KSU, OMC, PM, PG, SYF, TRV, UAL, & WDFC.

New & Technicals’

When the Covid-19 pandemic swept the globe in 2020, the U.K. was hit hard, reporting some of the highest cases numbers and fatalities in Europe. However, the U.K.’s speedy vaccination rollout was widely praised and helped to bring cases under control. Now the situation is looking dramatically different, with the country recording close to 50,000 new Covid cases a day — giving it one of the worst daily infection rates in the world. Worries about Evergrande’s ability to repay its debt and a total of $300 billion in liabilities have put global investors on edge about potential spillover into the rest of China’s real estate industry and economy. A closer look at Evergrande revealed a company with many of the same problems as others in the Chinese property sector but didn’t act as quickly to respond to government rules aimed at resolving those issues. The company failed to address tighter regulation on debt levels and was the biggest Chinese real estate issuer of overseas high-yield bonds. Wall Street’s primary regulator released its highly anticipated report on the GameStop mania on Monday. The SEC said online brokerages, enticed to increase revenue through payment for order flow, are turning stock-trading into a game to encourage retail investors’ activity. “Payment for order flow and the incentives it creates may cause broker-dealers to find novel ways to increase customer trading, including through the use of digital engagement practices,” the agency said.

The vastly improved technical picture of indexes has inspired considerable speculation buying ahead of big tech reports. Now the big question is, can they produce sufficient results to support the elevated stock prices? The danger for traders is the recent steep rise in prices places a lot of downside risk should the earnings happen to disappoint. The DIA is more than 1200 points off the low in just five trading days, and the SP-500 is nearing 200 points. Considering the volatility of the current price action creates a siginifiant risk to traders rushing in with the fear of missing out. So plan your risk carefully, and make sure you plan your trades carefully. Remember inflation, high energy prices, supply chain issues, consumer sentiment, as well as the beginning of the Fed taper could make for uncertain earnings results.

Trade Wisely,

Doug

Another Big Week of Earning Ahead

October 18, 2021 by Ed Carter

On Friday, all the reporting companies crushed their earnings. Then Retail Sales came in stronger than expected. As a result, stocks gapped about half of a percent higher at the open. After a little morning chop, prices drifted higher the rest of the day, closing not far off the highs. This left us with gap-up white candles that closed near the top of the candle. On the day, DIA gained 1.07%, SPY gained 0.76%, and QQQ gained 0.63%. The VXX was flat at 22.79 and T2122 fell but remained in the overbought territory at 84.31. 10-year bond yields spiked again to 1.574% and Oil (WTI) gained 1.66% to $82.66.

In an interesting lesson for changing future energy markets, German electric prices plunged overnight. The drop was not due to high coal inventories or natural gas supplies. No, this drop comes on weather forecasts. In particular, forecasters are calling for record wind across Germany later in the week. And the logic goes that record winds mean record wind-powered electrical production.

Toyota has announced it will build a new battery plant in the US. This is part of the company’s modest $3.4 billion investment in electric vehicles in the US over the next 9 years. However, the effort should result in about 1,800 jobs with production of electric vehicles beginning sometime in 2025. The company has also launched a major lobbying effort designed to get US lawmakers to provide a $4,500 tax credit for US taxpayers who buy a union-made electric vehicle.

AAPL is holding another product launch event today at 1 pm Eastern. This event will announce an all-Arm processor lineup (replacing the last products with INTC CPUs).

Overnight, Asian markets were mixed on modest trading. Shenzhen (-0.46%) and Taiwan (-0.45%) led to the downside. Meanwhile. India (+0.76%) and Malaysia (+0.48%) led to the upside. The rest of the region showed small moves in either direction. In Europe, prices are mostly down at mid-day, with the notable exceptions of Norway (+1.02%). The FTSE (-0.23%), DAX (-0.57%), and CAC (-0.76%) are typical of the spread in the continent in early afternoon trading. As of 7:30 am, US Futures are pointing toward a lower open. The DIA is implying a -0.26% open, the SPY implying a -0.24% open, and the QQQ implying a -0.18% open at this hour. The Dollar is starting the week slightly higher, but 10-year bond yields have spiked back up to 1.602% and Oil is up 1.6% to $83.58/barrel in early trading.

The major economic news scheduled for release on Monday includes Sept. Industrial Production (9:15 am), Federal Budget Balance (2 pm), and August TIC Net Long-Term Transactions (4 pm). Major earnings reports scheduled for the day are limited to ACI and STT before the open. Then after the close, STLD and ZION report.

The bears are looking to start the week by pushing against the 3-day rally that ended last week. However, most eyes are on major earnings reports coming later in the week. So far, we’ve seen nothing but very strong earnings reported. However, to be fair, most of those were in the “big bank” space. This week will be another test as another major wave of reports hits the wire. Remember that we now have a short-term bullish trend in place, having confirmed with a higher -high on Friday. However, there is still some resistance above to work through. So, trade carefully, and be prepared for volatility to continue.

Focus on your trading process and on managing those things you can control (while not worrying about things you can’t influence). Watch your current positions before looking to add new trades. Remember, you’re not missing anything, so don’t chase. It’s discipline and good trading rules that will win in the long run. That includes consistently take profits when you have them. So, don’t let greed get the better of you.

Swing Trade Ideas for your consideration and watchlist: BIDU, RLX, RIG, FCEL, KWEB, NEM, PLUG, PUBM, AG, IP, GDX, AEM, BEKE. You can find Rick’s review of tickers on his YouTube Channel here. Trade your plan, take profits along the way, and smart. Also, remember to check for impending earnings reports. Finally, remember that any tickers we mention and talk about in the trading room are not recommendations to buy or sell.

🎯 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

Hit and Run Candlesticks / Road To Wealth Youtube videos

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

Free YouTube Education • Subscription Plans • Private 2-Hour Coaching