Stimulus Money Flowing Again

August 10, 2020 by Doug Campbell

With stimulus money once again flowing with the stroke of the Presidential pen, the path to record highs in the SP-500 is clear for the bulls for an easy headline.  Although we have several significant reports on the economic calendar this week, today is light, allowing earnings news and politics to drive the day.  While a new record in the SP-500 seems likely soon, traders should watch for possible profit-taking that could begin at any time having moved up 7-days in a row.

Asian markets closed Monday mixed but mostly lower remaining cautious with the rising tensions between the US and China.  However, European indexes are green across the board this morning, and US futures have recovered from overnight lows suggesting a modestly bullish open to begin the week. 

Economic Calendar

Earnings Calendar

Although the 3rd quarter earnings season starts slowing this week, Monday’s calendar remains quite busy with more than 200 companies reporting.  Notable reports include ANGI, GOLD, CGC, CDR, SCOR, CEIX, DUK, AGM, GOGO, HVT, IAC, INO, IPAR, JCOM, MAR, MELI, OXY, ON, PPL, APTS, RCL, SEAS, SPG, TME, TLRY, & WKHS.

New & Technical’s

With the stroke of a pen, the President signs a series of executive orders extending coronavirus relief through the end of the year after Congress failed to reach an agreement on the stimulus bill.  Those unemployed will receive $400 in additional financial support down from the $600 that lapsed over a week ago.  However, it requires the State to come up with $100 of the $400 benefit, and it’s unclear if they can do so.   The initial market reaction to this action showed mixed results, but the additional deficit spending has gold and silver futures flying high this morning.  Some analysts say gold could ready $4000 an ounce!  With the election less than 100 days away, the President also raised tariffs on aluminum reigniting the trade war with Canada, and of course, Canada retaliated in kind.  This weekend the US reached another grim milestone, topping 5 million coronavirus cases.  Daily infection rates have begun to level off in Florida, Texas, and California, with some mid-west, states becoming a concern as their numbers surge. 

With the SP-500 just over 1% from new record highs and the stimulus money flowing again, I suspect the path is clear for the bulls to push forward.  Although the index has moved higher seven sessions in a row, I can’t imagine institutions failing to reach that out for that record-high headline.  However, traders will also have to stay focused on the possible profit-taking that could begin at any time.  With a light day on the economic calendar, earnings results and political spin cycle are the likely drivers for today.

Trade Wisley,

Doug

Employment Situation in Focus

August 7, 2020 by Doug Campbell

All eyes are on the Employment Situation number and rightfully so.  A lot is riding on this number with estimates that range for 0 to 3 million jobs created.  Although futures are currently pointing to a bearish open, anything is possible after the number releases an hour before the market open.  An executive order banning all transactions in 45 with WeChat and TikTok is increasing tensions with China, and Congress left Washington for a week without a deal on stimulus, adding a bit more uncertainty as we slide into the weekend.

Asian markets closed in the red across the board last night in reaction to the rising tensions.  European markets are choppy and flat this morning as they monitor jobs news and US-China relations.  With a lot at stake as the US, market prices at or near record highs, anything is possible at the open as we react to the data.  Fasten your seat belt and prepare for wild price action as we head into the weekend.

Economic Calendar

Earnings Calendar

On the Friday earnings calendar, we have a lighter day, with 83 companies stepping up to report.  Notable reports include KIM, MGA, VTR, & VIRT.

News and Technical’s

Another day of big tech buying pushing the NASDAQ to another record high topping the 11,000 level for the first time.  The SPY is now less than 1.3 percent away from new record highs, and a lot will depend on the significant Employment Situation number at 8:30 AM eastern today.  The estimates range between 0 jobs gained last month to 3 million with a consensus estimate of 1.4.  Obviously, at the current elevation of the market, this number has the potential of creating considerable price volatility before the open.  Congress adjourned and went home for a week without a deal on the heavily anticipated stimulus bill, with both sides blaming each other for the delay.  Senator Sanders introduced a new bill called Make the Billionaires Pay Act.  If passed, it will require the richest in the country fork over hundreds of billions to the government with the intent of funding health care for Americans for the next year.  Tensions between the US and China continue to grow after the President signed an executive order banning transactions with WeChat and TikTok.  The order takes effect in 45 days, causing the shares of Tencent (TCEHY) to drop sharply.  There is no news yet of possible China retaliation. 

The technicals of the index charts remain very bullish with nothing but very high prices to hint of possible profit-taking could start at any time.  A lot is riding on the Employment Situation number.  Futures are weak this morning as we wait for the report, but anything is possible at the market open.  Buckle up; it could be a bumpy ride as we head into the weekend.

Trade Wisely,

Doug

Fed, Vaccine, and Stimulus

August 6, 2020 by Doug Campbell

Fueled by Fed, vaccine, and stimulus hopes the market shrugged off the very disappointing private payrolls numbers as the Dow surged more than 370 points, and the SP-500 closed only 2% below new record highs.  Today we face another big day of news-driven price action with more than 400 earnings reports and Jobless Claims.  As this rally stretches-out, remember profit-taking could begin at any time, so stay focused.  Although weak, the bears still exist, so be careful not to be lulled into complacency.

Asian markets closed mostly lower overnight, and European indexes are modestly lower across the board after the Bank of England holds rates steady.  US Futures have pulled back from overnight highs as we wait on earnings and jobless data before the open. It’s been a wild bullish party every day this week.  The question will the party go on, or will the hangover begin soon?

Economic Calendar

Earnings Calendar

On the Thursday earnings calendar, we now have more than 400 companies fessing up to quarterly results.  Notable reports include AL, AEP, APLE, BLL, BHC, BDX, BKNG, CAH, CUBE, DBX, FSLR, FLIR, FLO, GCI, GPRO, GWPH, HL, ILMN, IRM, KTB, MAIN, MELI, MUR, MYL, NWSA, NLOK, NCLH, PZZA, PLUG, POST, RMAX, QSR, STMP, TMUS, TM, TTD, TRIP, VIAC, WIX, YELP, & ZTS.

News & Technical’s

Even with a very disappointing ADP, private payrolls number, the market continues to rally energetically as if jobs no longer matter in the economy.  With the Dow closing up 373 points and SP-500 only 2% from new record highs the VIX struggles to decline, and the Absolute Breadth Index displays a remarkable divergence to the bullish price action.  How much longer this condition can continue to exist is anyone’s guess, but one thing for sure, the bulls continue to stampede higher with little to no regard for valuation.  Keep an eye on AAPL as it nears a 2 Trillion market cap accounting for a full 6.5% of the entire SP-500.  After another day of wrangling, Congress remains deadlocked on the next Stimulus plan.  Some have suggested a Friday deadline to get to an agreement, and the President has promised an executive order should they fail.  Gold and Silver continue to rally sharply as the debasement of the US dollar continues, and worry of substantial future inflation grows. 

Today we will get the latest reading on Jobless Claims with consensus estimates looking for a slight rise in applicants this week.  However, whatever the number is, I’m not sure it will matter as the market continues to ride the massive wave newly printed money.  As you plan your day, remember we will get the Employment Situation number before the market opens on Friday.  Consensus suggests an improvement in the unemployment rate of 11.1% last month to 10.5%. Even with the improvement, it isn’t easy to correlate the current market valuation with such a high level of unemployment.  As this multi-day rally stretches-out, stay vigilant to price action watching for the possibility that profit-taking could begin at any time.

Trade Wisley,

Doug

31st Record High

August 5, 2020 by Doug Campbell

The NASDAQ gap up this morning my well create its 31^st record high in the index this year.  Fueling the bullish morning sentiment is news that Congress is nearing a deal on another massive spending bill, and the Fed is nearing a commitment to leave interest rates low for years to get an inflation rate above 2%.  Yesterday Gold topped $2000 an ounce and is up by another $36 and Silver continue rapidly rising on the devaluing of the US dollar.  Buy, Buy, Buy and party like its 1999.

Asian markets closed mixed but mostly higher overnight as tensions grow with a US visit to Taiwan likely to anger China.  European markets are in rally mode this morning, reacting to favorable earnings results.  US Futures point to another gap up open ahead of a busy day of earnings and economic reports hopeful of a more than trillion-dollar stimulus deal on the way.

Economic Calendar

Earnings Calendar

On the Hump day earnings calendar, we have more than 300 companies reporting results.  Notable reports include FSLY, SQ, DDD, ALRM, ALB, AWK, ABC, BNFT, BWA, BIP, CWH, CNVA, FUN, CTL, CVS, DISCA, ENR, EPR, ETSY, FRT, FISV, FIT, FNV, GDDY, TWNK, HUBS, HUM, IIPR, JCK, LYV, MRO, MET, MRNA , NYT, NLSN, OIH, PAAS, PBPB, PSA, REGN< ROKU, SRE, STOR, SPWR, TRI, VSLR, W, WELL, & WEN.

News and Technical’s

News that Congress may soon reach an agreement on the stimulus bill and the possibility that FOMC may commit to not change interest rates until reaching a 2% inflation rate has today’s futures suggesting more new record highs.  The gap up at the open will create the 31^st new record high this year in the NASDAQ as unprecedented Fed actions, and government spending programs continue to drive the market higher.  Also quickly rising is Gold, which topped $2000 per ounce yesterday and is another $36 per ounce this morning as we continue to devalue the US dollar.  A national debit quickly nearing 27 Trillion seems to be of no consequence as long as the market moves higher.  Disney reported it lost 3.5 billion in theme park revenue, but with 100 million subscribers to the Disney Plus app, the stock is up more than 6% higher this morning.  Today we will hear from ADP on their Employment Report, International Trade, ISM Non-Manufacturing Index, and the Petroleum Status numbers as well as more than 300 earnings reports.  F=Remember we are building toward the Employment Situation number Friday morning.  Not that unemployment matters anymore in light of all the newly printed money.

Technically speaking, the bulls reaming solidly in control with the tech sector continuing to set new records and the Dow that may well top 27,000 with this mornings gap up.  The VIX remains elevated but closed below a 24 handle for the first time since February.  Today the DIA 50-day average is likely to cross the 200-day average recovering from the cross down that occurred in mid-March.  Follow suit will be the IWM cross that may rise above later this week or early next week, assuming the bears continue to stay away. 

Trade Wisely,

Doug

Big Tech Leads

August 4, 2020 by Doug Campbell

Big tech continues to lead the way higher with Congress deadlocked on the next stimulus bill and a sharply declining Absolute Breadth Index.  New tensions with China are having a slightly bearish effect on the market this morning as they label the US a ‘Rogue Country’ accusing the US of theft as the government clears the way for MSFT to purchase TikTok.  China once again vows retaliation as we head into another big day of earnings reports.

Asian markets saw bullnesss across the board during the night, with Hong Kong rising a full 2%.  European markets are mixed but mostly higher but have retreated from session highs on weak earnings results.  US Futures point to a modest decline at the open in reaction to China tensions with the latest reading on Factory orders and a slew of earnings reports for the market to digest this morning.

Economic Calendar

Earnings Calendar

Tuesday is a busy day on the economic calendar, with over 200 companies stepping up to reports quarterly reports.  Notable reports include BP, DIS, ATVI, ACM, ALL, AMCX, ANDE, ARNC, ANET, BYND, CNK, DVN, EXC, EXPD, EXR, FOXA, IT, GLUU, GDOT, IGT, KRR, LDOS, LC, TREE, LGIH, LPSN, MIC, MNK, MTCH, MCHP, NMST, NKLA, RL, TWLO, WU, WW, & WYNN.

News and Technical’s

It would seem the possible purchase of TikTok by MSFT has inflamed the tensions between the US and China.  During the evening, Chinese state media slammed the US as a ‘rogue country.’  They call it a smash and grab of the Chinese technology and vow retaliation.  The US has said that the App is a security risk funneling user data directly to the Chinese government, and without the possible purchase from MSFT, the was on the path to be banned by executive order.  After another day of negotiations that, according to reports, was productive but ended with no deal on the stimulus thus far.  The President is now saying if they don’t get it done soon, he could do by executive order.  Morgan Stanley believes the vast sums of money put into keeping people in work as well as supporting those that are unemployed could make the difference in driving up inflation.  The sharp rise in Gold and Silver would seem to agree with that sentiment.  What that might mean for the future of the economy and its effects on the overall market, only time will tell. 

Yesterday the QQQ closed at a new record high with all indexes rising with APPL and MSFT leading the bullish charge.  The massive imbalance in the market continues to grow as with just a few tech giants lifting the indexes as the Absolute Breadth Index continues to decline sharply.  That said, the technicals of the index charts remain very bullish with the DIA 50-day average posied to cross above its 200-day.  As the indexes stretch out to new records on the bullishness in tech Gold, Silver and bonds continue to rise, and VIX remains stubbornly elevated.  The question is, how long can this continue and what happens when the next shoe drops?  Stay focused, and flexible.

Trade Wisely,

Doug

AAPL Leading the Way!

August 3, 2020 by Doug Campbell

With AAPL leading the way, the bulls once again successfully defended vital price support levels on Friday with a remarkable surge of buying at the end of day Friday.  With a rise of 10.47%, APPL became the most valuable company in the world, and single handly was responsible for the majority of the rally.  The bullish pressure continues this morning with APPL indicated to gap up at the open. 

Asian markets were mixed but mostly higher overnight as China’s July manufacturing data come in above expectations.  European indexes trade bullishly across the board this morning and US Futures that traded flat most of the night have gone bullish this morning with new record highs likely in the QQQ at the open.  A busy economic and earnings calendar will likely keep volatility elevated in the week ahead, so remain focused on price action and remain flexible.

Economic Calendar

Earnings Calendar

Our biggest week of earnings reports for the 3^rd quarter is now behind us, but we still have a busy week with 146 companies reporting this Monday.  Notable reports include AIG, AWR, CRUS, CLX, CTB, ESS, IR, J, LEG, L, MCK, MOS, NNN, O, RNG, SBAC, TTWO, THC, TXRH, TSN, VVV, SPCE, VNO,& WMB.

News and Technical’s

Saturday negotiations on the stimulus bill ended in a deadlock with the unemployment bonus remaining as the major sticking point.  The $600 per week additional payment ended last Friday as the two sides duke it out with sound bites and rhetoric in the weekend news that will spill over into this week’s price action.  As pandemic infections spread widely across the country, Lord & Taylor, the owner of Men’s Wearhouse files for bankruptcy.  A theme that’s become all too familiar in recent months and sadly a reality that could easily continue through the rest of the year.  Last week the President threatened to ban the popular social media app TikTok but has since backed off the notion after MSFT announced it is in discussions to buy the company in a deal they hope to complete by Sept. 15^th.  A move that would, for the first time, put MSFT in direct competition with FB and TWTR. 

With a strong afternoon rebound, the bulls once again defend critical moving average support in the DIA mostly on the bullishness of AAPL.  Not only did the price of the stock soar 10.47% on Friday, but it also became the most valuable company in the world.  Pre-market activity indicates the rush to buy MSFT is not over with the stock indicated to gap up again at the open today.  Although the US Futures were relatively flat overnight, they have started the morning push that is likely to set new all-time high records in the QQQ.  Interestingly the Absolute Breadth Indicator continues to decline, which indicates fewer and fewer companies are responsible for the current rally.  Expect another wild week of price action, especially if we begin to see any profit-taking in the big tech stocks.

Trade Wisely,

Doug

Blowout Tech Earnings

July 31, 2020 by Doug Campbell

The worst reading on GDP in history and blowout tech earnings deliver a surprisingly muted response in the US Futures markets this morning.  Even with the concern of rising unemployment with the four tech giants adding more than 200 billion in valuation on Thursday afternoon, I would have expected more.  We have certainly seen the market leap higher on far less in recent months, have we not?  With this now in the rear-view mirror, perhaps the focus has turned the stimulus battle in Congress and the rising virus death toll.  Perhaps, we should consider the possibility of a sell the news event as we slide into the weekend.

Asian markets closed mixed with Japan falling as much as 3% overnight.  European markets trade mixed but mostly bullish this morning as they wait on their GDP numbers.  Ahead of another big round of earnings and economic reports, US futures point to modest gains at the open.  Expect volatility to remain elevated as we slide into the weekend.

Economic Calendar

Earnings Calendar

This Friday, we have just over 110 companies reporting.  Notable reports include ABBV, BAH, CAT, CHTR, DVX, CHD, CL, D, E, XOM, FCAU, GT, ITW, IYB, MELI, MRK, NWL, NOK, PSX, PINS, TIF, UAA, VFC, & WPC.

News & Technical’s

After the worst GDP reading in history, big tech surprised investors with blowout earnings results.  According to reports, the four tech giants added over 200 billion in valuation Thursday afternoon.  With a considerable increase in iPhone and iPad sales, it would seem a substantial amount of the stimulus checks went directly to buy new tech devices.  Maybe the biggest surprise is that the futures after such an impressive tech performance show bullishness but somewhat muted in response.  Perhaps it’s the infighting of Congress as they haggle over the new stimulus bill, the rising virus death toll, or the US/China tensions as Moderna experiences another cyber attack to steal details on the vaccine.  The one thing I think we can continue to count on is that this earnings season will continue to deliver surprises, and price action will likely remain volatile.

Although we experienced some significant selling yesterday morning that pushed the Dow briefly below its 50-day moving average, there was little to no technical damage left behind in the indexes by the end of the day.  The bulls showed their strength defending price support levels, and the bears can’t seem to sustain an attach longer than a couple of hours.  I hate even to bring this up, but with the muted futures response this morning, should we consider the possibility of a so-called sell the news event?  Maybe?  However, I will have to stay with the current trend and bullish patterns for now.  Today will get a reading on the Personal Income and Outlays and Consumer Sentiment with industrials and oil front and center on the earnings calendar. 

Trade Wisely,

Doug

Deluge of Big Tech Reports

July 30, 2020 by Doug Campbell

A deluge of big tech reports, GDP and Jobless claims have come together to create the perfect storm of uncertainty.  Today could be very challenging, but the Friday open has the potential to be very wild, and no one knows if the bulls or the bears will leading the charge.  Anything is possible, so consider the risk carefully you carry into today’s close.  Can they produce earnings strong enough to support current prices?  We will find out after the bell today.

Asian markets closed modestly bearish across the board overnight in reaction to the FOMC rate decision.  European markets trade cautiously this morning, leaning slightly into the red.  US Futures are decidedly bearish this morning, pointing to a gap down open ahead of earnings, GDP and jobless claims.  Buckle up the next 24 hours have the potential to be very volatile.

Economic Calendar

Earnings Calendar

All eyes will be on the big tech earnings reports after the bell today.  Overall we have more than 250 companies reporting their quarterly results will make it our busiest day so far this season.  Notable reports include FB, AMZN, AAPL, GOOGL, AMT, BUD, MT, AZN, TEAM, BAX, CARS, CC, CI, CLF, CMCSA, COF, COR, CS, CROX, DECK, DNKN, ELAN, EA, LLY, EXPE, F, FTS, GPC, GILD, GRUB, HBI, HST, K, KHC, LIN, LTC, MA, MGM, TAP, MCO, NEM, NOC, PG, PFPT, RDFN, SHAK, SIRI, SO, SWK, SYK, SYK, TW, UPS, X, VLO, VRTX, WM, WWE, XLNX, & YUM.

News & Technical’s

This morning we will likely get an historic reading on the GDP with numbers near the World War 2 economic impacts.  The question to be answered is the number already baked into the market’s pricing, or will there be a strong reaction.  At the same time will get the latest details on Jobless claims that could begin to creep back up due to the second wave virus impacts.  The FOMC yesterday decided to stand fast on interest rates and said the direction of the economy will be tied directly to the length and duration of the pandemic.  There are likely to be a lot of fireworks after the bell today as FB, AMZN, APPLE, and GOOGL report quarterly results.  The uncertainty surrounding these reports has the market on edge, and traders should expect a wild open on Friday as a result.  As Congress haggles over the details of the next stimulus bill, the still found time to hold a virtual flogging of the top tech business accusing them of everything from anticompetitive practices to outright stealing. I’m sure there is much more to come on this subject in the near future.

Even with the uncertainty and very choppy price action, the bulls have maintained majority control over the indexes.  However, with such a big day of data coming our way, anything is possible.  Going into the close today, traders will have to consider carefully the risk and price volatility we could experience Friday at the open.  The potential for a huge gap is high, and the big question yet to be answered is, will it be controlled by the bull or the bear?  Your guess is as good as mine.

Trade Wisely,

Doug

Considerable Uncertainty

July 29, 2020 by Doug Campbell

There seems to be considerable uncertainty amongst traders and investors facing a big day of earnings and a pending FOMC decision.  Yesterday was undoubtedly a frustrating day of intraday whipsaws and choppy price action that culminated in a bearish push reversing the bullish action seen on Monday.  What comes next is anyone’s guess, so stay focused and flexible.  Remember, there is no shame in standing aside, protecting your capital if you have no edge in such a new driven environment.  Cash is a position!

Asian markets closed the day mixed and relatively flat as they wait for the FOMC decision.  European markets also trade mixed chopping around the flat-line uncertain about what comes next.  US Futures trade flat this morning ahead of a massive day of data with an equal chance of encouraging the bulls or bringing on a bearish attack.  Buckle up for the wild ride the next couple days could provide.

Economic Calendar

Earnings Calendar

Earnings ramp-up today with 176 companies stepping up to report quarterly results.  Notable reports include FB, AMP, NLY, ANTM, APA, ADM, ADP, AVB, BCS, APRN, BA, BSX, CAKE, CCI, DB, DIN, DRE, EPD, EQIX, GRMN, GD, DE, GM, GLAD, GSX, KGC, LRCX, NSC, ORLY, ONDK, PYPL, QCOM, R, SNY, SHOP, SIX, SPOT, RGR, TWOW, RIG, & YUMC.

News & Technical’s

The market will have no shortage of data to digest today with 3^rd quarter earnings ramping up and including some of the tech giants reporting after the bell.  We will also get the FOMC decision at 2 PM Eastern, followed by Jerome Powell’s press conference 30 minutes later.  Republicans and Democrats seem to be digging into entrenched position over the next stimulus bill as the two sides step up the rhetoric as they battle between price tags of 1 to 3 trillion of additional deficit spending.  Meanwhile, on the coronavirus front, the official death toll from the pandemic crossed 150,000, with more than 65,000 new infections report yesterday.  With all this going on, Congress still has the time to bring in several of the top tech company CEO’s to grill them in public hearings. 

After a very choppy day of trading, the bears stepped up their activity as we headed into the close yesterday, reversing the bullish action on Monday.  Clearly, there remains considerable uncertainty among traders and investors amidst the mixed bag of earnings reports as companies report the impacts of the pandemic.  With a slew of morning earnings and economic reports followed by an FOMC decision, anything is possible.  Traders will have to be in top form to navigate the minefield of news that could create very volatile price action in reaction.  Plan carefully, stay focused, and flexible while weighing the considerable risk in such a new driven environment.

Trade Wisely,

Doug

Tech Giants Lead

July 28, 2020 by Doug Campbell

The tech giants MSFT, AAPL, GOOG, FB, and AMZN had nice rallies yesterday, lifting the indexes while the vast majority lacked the volume to break choppy consolidation ranges.  Please make no mistake that price patterns of stocks and the indexes remain bullish; however, there appears to be a palpable uncertainty as we ramp up earnings.  With a busy day of earnings reports, a reading on Consumer Confidence, and the beginning of the 2-day FOMC meeting, anything is possible, and price volatility could be challenging.

Asian markets were mixed but mostly higher overnight with modest gains in the SHANGHAI and HIS.  European markets are flat to slightly lower this morning amid stimulus hopes and rising US/China tensions.  US Futures are lifting off of morning lows but continue to point to a modestly lower open ahead a big day of earnings and economic data.  Remain focused and flexible as anything is possible.

Economic Calendar

Earnings Calendar

On the Tuesday earnings calendar, we have a big day with 93 companies reporting results.  Notable reports include MMM, AMD, AFL, AKAM, MO, AMGN, CAR, BXP, CNC, DB, GLW, DHI, DENN, EBAY, ECL, FEYE, BEN, HOG, JBLU, JNPR, MCD, MDLZ, MSCI, OKE, PFE, RTX, ROK, ROP, SPGI, STX, SHW, STAG, SBUX, TRU, V, WH, & YNDX.

News & Technical’s

The Senate unveils their version of the coronavirus relief plan with $1200 stimulus checks and $500 for dependents.  The bill includes a replacement of 70% of unemployed wages in the extended benefits.  There is also considerable funds to help schools trying to get back work this fall.  The President’s national security advisor Robert O’Brien has tested positive for COVID, but hot states are starting to show signs of slowing infection rates.  However, major league baseball postponed two games yesterday of their shortened season due to several players testing positive.  Today begins a marked increase in earnings season ramps up to a fevered pitch with several big tech reports on the way Wednesday and Thursday.  Today also starts the 2-day FOMC meeting that culminates in a 2 PM Eastern announcement Wednesday afternoon.  According to consensus estimates, the Consumer Confidence numbers expect a small decline when they are released a 10 AM Eastern.

Yesterday saw nice gains in APPL, AMZN, GOOG, FB & MSFT but, the majority of stock found it challenging to find enough volume to move out of choppy consolidation ranges.  Futures opened trading last night positive but have since shown some hesitation ahead of busy earnings calendar.  Although the VIX pulled back yesterday, it remains quite elevated closing above a 24 handle.  So as a few tech giants do the majority of the lifting, there seems to be a palpable uncertainty that the majority of stocks will have some trouble supporting current prices.  Only time will tell, but traders should prepare for considerable volatility as we progress through this new laden week.  Be careful not to overtrade staying focused on price action flexible as the market reacts to all the data.

Trade Wisely,

Doug