Friday saw a gap higher that was immediately faded and more, but the bulls kicked into rally mode at 10 am and then again at 2:30 pm to take markets out on the highs.  This left us with large white candles with lower wicks in all 3 major indices.  However, we did not break out of the week’s lower trading range, with a lot of resistance overhead.  On the day, SPY gained 2.47%, DIA gained 1.63%, and QQQ gained 3.14%.  Overall, it was the best day for bulls since June of 2020.  The VXX fell 6% to 22.99 and T2122 rose but remains in the oversold territory at 17.82.  10-year bond yields fell to 1.793% and Oil (WTI) rose 0.62% to $87.15/barrel.

Over the weekend, Fed member (voter) Raphael Bostic told the Financial Times that the Fed “could” hike rates by half a percent in March, or on every increase this year if needed.  This was news because the Wall Street consensus is that all the rate hikes would be in quarter-point increments.  However, Bostic was quick to point out that, at this point, his vote would still be for 3 quarter-point increases in 2022.  That said, many have called for more aggressive measures and the big Banks (GS, MS, JPM, etc.) are already saying they now expect 4 or more rate hikes this year.  Add to this, Fed Chair Powell refusing to rule out a hike at every meeting this year and markets will need to price in the possibility of both more and more harsh tightening by the Fed that has been generally expected to this point.

In business news, Sunday reports claimed CTXS is very near a buyout at $104/share.  The move was widely rumored Friday as traders drove the price to $105.55.  So, oddly enough, it appears the company has agreed to sell at a discount to the current market price.  In earnings news this morning, TT beat on both lines while LHX and OTIS both beat on earnings and came in short on revenue.

Overnight, Asian markets were mixed, to the extent they were open (all Chinese markets are closed until Feb. 4th or 5^th).  South Korea (+1.87%) and Japan (+1.07%) led the gainers while Malaysia (-0.51%) paced the losses.  In Europe, stocks are mostly green as of mid-day.  The FTSE (-0.03%) and CAC (-0.12%) are the only red on the continent with the DAX (+0.22%) being more typical in early afternoon trading.  As of 7:30 am, US Futures are pointing toward a down open.  The DIA implies a -0.65% open, the SPY is implying a -0.46% open, and the QQQ implies a -0.12% open at this hour.  10-year bond yields are flat and Oil (WTI) is up half of a percent in early trading.

The only major economic news scheduled for release Monday is Chicago PMI (9:45 am).  Major earnings reports scheduled for before the market include OTIS and TT.  Then after the close, AXTA, CBT, CRUS, FN, GGG, KMPR, NXPI, SANM, and WWD report.

The bears and bulls remain locked in a struggle that has lasted a week. Resistance remains overhead, even as the major indices struggle with their T-lines. However, the bears have not been able to break the consolidation and resume the downtrend either. So, continued caution is key until either the downtrend resumes or a new bullish trend takes shape. Stay nimble, hedged, and/or out of the way.

Trade with the trend, don’t chase, keep consistently taking profits when you have them, and move your stops in your favor. Remember that the first rule of making money in the market is to not lose big money in the market. So, stick to your trading rules and manage the things you can control. Don’t be stubborn, protect yourself from yourself. When you are wrong, just admit it and take your loss. (That’s why we set stops in the first place.)

Ed

Swing Trade Ideas for your consideration and watchlist: UVXY, VMW, ZIM, PTON, RWM, XLE. 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.

Free YouTube Education  •  Subscription Plans • Private 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

On Thursday, for the third day in a row, markets gapped higher, put in a little follow-through and then sold off to spring the bull trap.  This left us with black candles (a very big one in the QQQ) with upper wicks.  On the day, SPY lost 0.46%, DIA squeaked out a +0.04% gain, and QQQ lost 1.01%.  The VXX rose to 24.49 and T2122 fell deeper into the oversold territory at 2.11.  10-year bond yields fell to 1.808% and Oil (WTI) was down slightly to $86.91/barrel.

During the day, Q4 GSP came in as a massive beat (a 40-year high).  The print was +6.9% while the consensus estimate was 5.5%.  So, the Q4 economy was much stronger than expected, but the strongest inflation in 40 years also contributed to this high print.  On the other hand, December Durable Goods Orders and Pending Home Sales both came in much weaker than expected.

After hours Thursday, AAPL, AJG, BZH, V, WDC, WRB, JNPR, RHI, and KLAC all reported beats on both lines.  However, EMN, MDLZ, OLN, RMD, SYK, TEAM, and X beat on revenue but missed on earnings.  On the opposite side, FICO and WAL beat on earnings but missed on revenue.  Meanwhile, BOOT and CE missed on both lines.

Overnight, Asian markets mixed.  Japan (+2.09%), Australia (+2.19%), and South Korea (+1.87%) led the gainers.  However, New Zealand (-1.64%), Hong Kong (-1.08%), and Shanghai (-0.97%) were all lower as the region gets ready for the long Chinese market holiday that begins Monday.  In Europe, stocks are nearly red across the board at mid-day, with the lone exception of Russia (+0.90%).  The FTSE (-1.23%), DAX (-1.97%), and CAC (-2.11%) are typical and lead the region lower on fear of a Russian invasion of Ukraine and the closing of the Nord Stream 2 Gas Pipeline.  As of 7:30 am, US Futures are pointing toward a down open.  The DIA implies a -0.74% open, the SPY is implying a -0.77% open, and the QQQ implies a -0.48% open at this hour.  10-year bond yields are trading higher at 1.841% and Oil (WTI) is up to $87.24/barrel in early trading.

So far this morning, CAT, CHD, CTXS, PSX, SYF, VFC, and WY have all reported beats on both lines.  Meanwhile, ALV, BAH, CHTR, HNNMY, and CL have reported beats on earnings, but came in light on revenue.  At the same time, CVX, LYB, and SEOAY beat on revenue, but missed on earnings.

The major economic news scheduled for release Friday includes Dec. PCE Price Index, Q4 Employment Cost, and Dec. Personal Spending (all at 8:30 am), and Michigan Consumer Sentiment (10 am).  Major earnings reports scheduled for before the market include ALV, BAH, CAT, CHTR, CVX, CHD, CL, LYB, MOG.A, SYF, VFC, and WY.  There are no major reported scheduled for after the close.

Overhead resistance, the realization of a rough year with no help from the Fed, and fear over a Russian invasion of Ukraine have the bears in control. However, while they have smacked down the bulls’ attempt at a rally the last 3 days in a row, the bears have not been able to drive the market to further depths. So, be careful in an environment of intraday reversals and overall indecision. Also, remember it’s Friday and there is a weekend news cycle to be endured. Consider hedging, getting small, and especially taking profits where you have them.

Trade with the trend, don’t chase, keep consistently taking profits when you have them, and move your stops in your favor. Remember that the first rule of making money in the market is to not lose big money in the market. So, stick to your trading rules and manage the things you can control. Don’t be stubborn, protect yourself from yourself. When you are wrong, just admit it and take your loss. (That’s why we set stops in the first place.)

Ed

Swing Trade Ideas for your consideration and watchlist: TZA, SQQQ, SPXU, SDOW, SDS, DXD, DUST, RWM, DOG, JDST, QID. 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.

Free YouTube Education  •  Subscription Plans • Private 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

Once again, the bulls gapped stocks 1%-2% higher at the open Wednesday.  Then we saw a sideways meander until 2 pm.  However, when the Fed announcement and presser came out, all 3 major indices sold off hard to the lows of the day before drifting back upward to close up off the lows.  This left us with gap-up, big black candles with good-sized wicks on both ends across the major indices.  On the day, SPY lost 0.33%, DIA lost 0.44%, and QQQ lost 0.16%.  The VXX rose 2% to 24.32 and T2122 fell back into the oversold territory at 11.27.  10-year bond yields spiked again to 1.867% and Oil (WTI) rose a bit under 2% to $87.07/barrel.

The big news of the day was the FOMC decision and Fed Chair Powell’s press conference.  Oddly enough, we learned exactly what we expected to hear.  The Fed signaled it will raise rates in March on an aggressive path to fight inflation, will have stopped buying bonds (completed the taper) by then, and will begin to significantly reduce its $9 trillion bond holdings over the remainder of the year.  Again, none of this was anything we did not already know.  So, perhaps it was Chair Powell’s refusal to rule out a hike at every meeting the remainder of the year (he was asked) that spooked markets.  Regardless of the exact trigger, markets sold hard on the news, but the bears did not have the strength to close us out on the lows or to reach significantly lower levels.

After the close Wednesday, AMP, CCI, INTC, LSTR, RJF, STX, NOW, TER, TSLA, URI, VRTX, and XLNX all reported beats on both lines.  However, EW, LVS, and PGR missed on both lines.  Meanwhile, DRE, LRCX, MKTX, and WHR missed on either the earnings or revenue lines while beating on the other.

Overnight, Asian markets reacted to the Fed news as the region was nearly red across the board.  (Malaysia +0.02% being the exception.)  South Korea (-3.50%), Japan (-3.11%), and Shenzhen (-2.77%) paced the losses.  In Europe, stocks are mixed at mid-day.  The FTSE (+0.49%), DAX (-0.45%), and CAC (-0.34%) are typical of the spread across the region.  However, Russia (+2.37%) is an outlier.  As of 7:30 am, US Futures are pointing toward a slightly green open.  The DIA implies a +0.04% open, the SPY is implying a +0.28% open, and the QQQ implies a +0.50% open at this hour.  10-year bond yields are down to 1.823% and Oil (WTI) is up 1% in early trading.

So far this morning, DHR, MO, MMC, DOW, MSCI, XEL, TROW, ROK, BLL, DOV, TSCO, TDY, AOS, JBLU, CMCSA, VLU, LUV, MKC, and ALK all reported beats on both lines.  However, MCD and TXT reported misses on both lines.  Meanwhile, SHW, NOC, IP, and KEX reported a beat on one line and a miss on the other.

The major economic news scheduled for release Thursday includes Dec. Durable Goods Orders, Q4 GDP, and Weekly Initial Jobless Claims (all at 8:30 am) as well as Dec. Pending Home Sales (10 am).  Major earnings reports scheduled for before the market include FLWS, AOS, ALK, ADS, MO, AIT, BLL, BX, BC, CNX, CMCSA, DHR, DOV, DOW, HCA, IP, JBLU, KEX, MA, MMC, MKC, MCD, MSCI, MUR, NOC, NUE, ORI, ROK, RCI, SAP, SHW, LUV, STM, TROW, TDY, TXT, TSCO, VLO, and XEL.  Then after the close, AAPL, AJG, TEAM, BZH, CP, CE, EMN, JNPR, KLAC, MDLZ, OLN, RMD, RHI, SYK, X, V, WRB, WAL, and WDC report.

Traders have had a night to reconsider the Fed news. Often this leads to a reversal of the initial reaction from the afternoon of the report. In this case, that may not happen, because the news was widely expected ahead of time. Either way, it looks like markets are tepidly bullish at least before the morning economic news comes out. If we do open higher, just remember that the last two gaps higher were met with a strong selloff later in the day. So, be careful chasing unless you are hedged, small positioned, and/or very nimble.

Trade with the trend, don’t chase, keep consistently taking profits when you have them, and move your stops in your favor. Remember that the first rule of making money in the market is to not lose big money in the market. So, stick to your trading rules and manage the things you can control. Don’t be stubborn, protect yourself from yourself. When you are wrong, just admit it and take your loss. (That’s why we set stops in the first place.)

Ed

Swing Trade Ideas for your consideration and watchlist: No trade ideas today. 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.

Free YouTube Education  •  Subscription Plans • Private 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

The good news is that Tuesday was a bit less volatile than Monday.  However, we opened with a 1%-2% gap lower.  This led to a roller-coaster in all 3 indices, with the SPY and DIA completely fading the gap before rolling over again.  Meanwhile, the QQQ roller-coaster stayed around the gap-down level before also closing on a downswing.  This left us with long-legged, Spinning Top (indecisive) candles in all 3 major indices.  On the day, SPY lost 1.19%, DIA lost only 0.21%, and QQQ lost 2.32%.  The VXX rose slightly to 23.82 and T2122 climbed just out of the oversold territory to 23.16.  10-year bond yields closed up to 1.781% and Oil (WTI) rose almost 2.5% to $85.38 on continued fear of a Russian invasion of Ukraine.

After hours, the Commerce Department released a report that said due to supply chain problems, some US manufacturers are down to less than 5 days’ worth of inventory of computer chips (semiconductors).  The report summarized survey finding from 150 manufacturers, which said on average they had maintained 40 days of supply in 2019, but were down to 5 days of inventory last fall and have not recovered.  While the report did not name any specific companies, it did cite the auto, consumer electronics, and medical device industries.  The report also said the worst-hit businesses are those that use older “legacy” (low margin) chips in their products.

After the close Tuesday, MSFT, COF, FFIV, and TXN all reported beats on both lines.  So far this morning, ADP, T, TEL, NDAQ, and GLW have all reported beats on both lines.  However, ANTM and GD both beat on earnings but came in light on revenue.

Overnight, Asian markets were mixed.  Australia (-2.49%) was an outlier with Japan (-0.44%) and South Korea (-0.41%) pacing losses and India (+0.75%), Shenzhen (+0.70%), and Shanghai (+0.66%) leading the gains.  In Europe, stocks are strongly green across the board at mid-day.  The FTSE (+1.80%) lags, while the DAX (+2.28%) and CAC (+2.26%) are typical of the continent in early afternoon trading.  As of 7:30 am, US Futures are pointing toward a strong start to the day.  The DIA implies a +0.94% open, the SPY is implying a +1.28% open, and the QQQ implies a +1.81% open at this hour.  10-year bond yields are up to 1.79% and Oil (WTI) is also up three-quarters of a percent in early trading.

The major economic news scheduled for release Wednesday includes Dec. Trade Goods Balance and Dec. Retail Inventories (both at 8:20 am), Dec. New Home Sales (10 am), Crude Oil Inventories (10:30 am), and then the FOMC Interest Rate Decision and FOMC Statement (both at 2 pm), followed by the FED Chair Press Conf. (2:30 pm).  Major earnings reports scheduled for before the market include ABT, APH, ANTM, ADP, T, BA, NSC, FCX, GD, GLW, HES, KMB, KNX, NDAQ, NSC, PGR, ROL, and TEL.  Then after the close, AMP, AVT, AXS, CACI, CLS, CCI, EW, FLEX, INTC, LRCX, LSTR, LVS, LEVI, MTH, MEOH, MKSI, PKG, PLXS, PTC, RJF, STX, SEIC, NOW, TER, TSLA, URI, VRTX, WHR, and XLNX report.

While we have other economic data and earnings, the Fed decision (and especially the statement and presser) will call the market tune today. Bull traders seem to be anticipating no shocks, as they’re trying to front-run the announcements. That leaves the real risk exposure to the downside. However, don’t be surprised if markets lose their nerve and decide to drift into the announcement today. Either way, we can expect tremendous volatility right after the announcement as traders reset positions once the outcome is known. So, as I continue to say, markets will not fall forever. Now is the time to be preparing for the rally that will follow (whenever it comes). Get those trading plans and rules tuned up, decide on your watchlists for a potential rotation, and be prepared. However, it is not time to predict a turn or chase moves you have missed. Trade carefully.

The first rule of making money in the market is to not lose big money in the market. So, stick to your trading rules and manage the things you can control. Trade with the trend, don’t chase, keep consistently taking profits when you have them, and move your stops in your favor. Don’t be stubborn. When you’re wrong, just admit it and take your loss. (That’s why we set stops.)

Ed

Swing Trade Ideas for your consideration and watchlist: CF, FANG, APA, USO, WSM. 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.

Free YouTube Education  •  Subscription Plans • Private 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

Monday was quite the roller-coaster ride.  A gap lower of 1%-1.7% across the 3 major indices and started a wild whipsaw ride (each whip being more than 1% in size) to the downside all morning.  The lows of the day were reached about 12:30 pm, when (for no particular reason) sentiment reversed and a wild whipsaw ride to the upside began.  Again, each major wave of movement was over 1% in size.  All 3 major indices closed in the green and near their highs of the day even as we saw a range of more than 5% in those indices on the day.  This left us with white candles with long lower wicks across the board.  On the day SPY gained 0.40%, DIA gained 0.39%, and QQQ gained 0.49%.  The VXX closed up 2.5% to 23.79 and T2122 remains deeply oversold at 2.47.  10-year bond yields ended up slightly after their own wild ride of a day, closing at 1.774% and Oil (WTI) was down 1.44% to $83.91. 

As mentioned, we experienced massive intraday swings Monday.  While this has not happened in a long time, huge intraday volatility is not unknown.  Bloomberg looked at the Nasdaq 100 (QQQ) over the last 25 years as a gauge for such volatility.  They found many days that were similar to Monday’s whipsaw action in both 2008 (Financial Crisis) and during 2000-2002 (dot-com bubble burst).  That said, the swing we just saw was the largest since January 8, 2001. This may give us a clue to the potential volatility to come during the shift from massive spending and debt related to pandemic recovery and the shift to the new Fed’s goal of reversing that situation to fight inflation.  The moral of the story is that if you’re trading, be damn sure you can handle real pain and are comfortable with volatility.

After the close on Monday, BRO, CR, IBM, STLD, and ZION all beat on both lines.  IBM spiked in after-hours trading after posting its best revenue growth in 10 years (+6.5%) on strong cloud services sales in Q4.  So far this morning, VZ, AXP, LMT, ADM, IVZ, and MMM have all reported beats on both lines.  Meanwhile, JNJ, NEE, RTX, and GE reported beats on earnings but came in light on revenue.

Overnight, Asian markets were nearly red across the board (with only India +0.75% in the green).  Shenzhen (-2.83%), Shanghai (-2.58%), and South Korea (-2.56%) led the region lower.  In Europe, we see the opposite at mid-day.  Bourses are green across the board on the continent with the FTSE (+0.84%), DAX (+0.54%), and CAC (+0.82%) leading the region higher.  As of 7:30 am, US Futures are pointing toward another major gap lower.  The DIA implies a -0.73% open, the SPY is implying a -1.39% open, and the QQQ implies a -2.00% open at this hour.  10-year bond yields are also up sharply to 1.774% and Oil (WTI) is flat in early trading.

The only major economic news scheduled for release Tuesday is Conf. Board Consumer Confidence (10 am).  However, major earnings reports scheduled for before the market include MMM, AXP, ADM, ERIC, GE, IVZ, JNJ, LMT, NEE, PCAR, PII, RTX, UMC, VZ, and XRX.  Then after the close, BXP, CNI, COF, FFIV, HA, MSFT, RNR, and SLGN report.

The Fed meeting starts today as markets are clearly spooked. What may have traders worried is any mention of 4 or more rate hikes this year, when the FOMC position to this point has been to expect 3 hikes. The wildcard everyone is waiting to drop will be what is said about the lightening of the Fed’s massive balance sheet of bonds and other mortgage-backed assets. So, as I said yesterday, now is the time to be preparing for the bottom. Not time to be predicting a turn or chasing moves you have missed. Trade carefully.

The first rule of making money in the market is to not lose big money in the market. So, stick to your trading rules and manage the things you can control. Trade with the trend, don’t chase, keep consistently taking profits when you have them, and move your stops in your favor. Don’t be stubborn. When you’re wrong, just admit it and take your loss. (That’s why we set stops.)

Ed

Swing Trade Ideas for your consideration and watchlist: UVXY, SPLK, QID, SDS, TDOC, HAL, FSLY. 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.

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

DISCLAIMER: Investing / Trading involves significant financial risk and is not suitable for everyone. No communication from Hit and Run Candlesticks Inc, its affiliates or representatives is not financial or trading advice. All information provided by Hit and Run Candlesticks Inc, its affiliates and representatives are intended for educational purposes only. You are advised to test any new trading approach before implementing it.  Past performance does not guarantee future results.  Terms of Service

Markets saw some whipsaw early, but then all 3 major indices started a protracted selloff at 11 am that lasted right into the close.  This left us with more big, ugly black candles with modest upper wicks.  On the day, SPY lost 1.96%, DIA lost 1.43%, and QQQ lost 2.77%.  All three have now given up their 200sma.  The VXX rose over 9% to 23.20 and T2122 fell even more to a ridiculously oversold 0.85.  10-year bond yields fell to 1.771% on strong bond demand and Oil (WTI) fell eight-tenths of a percent to $84.83/barrel.  All-in-all, it was the worst week in the market since March of 2020, with the QQQ down 7.45%, SPY down 5.75%, and DIA down 4.68% in a 4-day week. 

The dramatic fall in cryptocurrencies continues.  Bitcoin closed at $67,130 range in early November (11/7).  However, it closed at $35,096 on Saturday (after having fallen another 14% Friday and more on Saturday).  A pretty brutal 48% loss over 2.5 months.  In early trade today, Bitcoin is down almost another 5% to $33,498.30.  Along with the currency itself, related stocks continue to tumble.  One example is that MSTR was down almost 25% on the week last week.  In addition to the hit from the currency tumbling, one morel cause for this was the SEC announced late Thursday that they are rejecting the way MSTR has been accounting for its Bitcoin holdings.

In a hopeful sign on the inflation front, wholesale fertilizer prices have fallen every week this year.  The price of wholesale urea has fallen dramatically each day last week, including 8.2% on Friday alone.  Unfortunately, retail prices (what farmers pay) have not fallen yet.  However, the wholesale prices are back to the level they were at the first week of October, preceding the massive spike that lasted Oct.-Dec.

Overnight, Asian markets were mixed but lean to the downside.  India (-2.66%) was an outlier with South Korea (-1.49%) and Hong Kong (-1.24%) leading the losses.  Meanwhile, Taiwan (+0.50%) and Japan (+0.24%) paced the gainers.  In Europe, tensions from a potential Russian invasion of Ukraine have markets red across the board at mid-day.  Russia (-6.24%) is obviously an outlier, but the FTSE (-1.17%), DAX (-1.84%), and CAC (-1.83%) are representative of the continent.  As of 7:30 am, US Futures are pointing toward a down open.  The DIA implies a -0.32% open, the SPY is implying a -0.44% open, and the QQQ implies a -0.70% open at this hour.  10-year bond yields are down to 1.735% and Oil is flat in early trading.

The major economic news scheduled for release Monday is limited to Mfg. and Services PMI (both at 9:45 am).  Major earnings reports scheduled for before the market include: HAL and PHG.  Then after the close, BRO, CR, IBM, LOGI, STLD, and ZION report.

Markets are likely to look ahead to the Fed Meeting announcements and press conference on Wednesday. However, pretty much the whole market is sure what they will hear then…a rate hike coming in March as well as the beginning of the selloff of Fed-owned bonds. A wildcard might be something GS suggested in a weekend note. They said the Fed may do more than 4 rate hikes this year. If the Fed were to come out and say that on Wednesday, we could easily see capitulation selling. So, now is the time to be preparing for the bottom, but not predicting a turn or chasing short moves you missed. Trade carefully.

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

Ed

Swing Trade Ideas for your consideration and watchlist: TAK, BKR, CHD, BABA, IAC. 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.

Free YouTube Education  •  Subscription Plans • Private 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

The bears sprung a massive bull trap on Thursday, with a 3% intraday reversal mid-day.  Markets gapped higher and all 3 major indices followed through until about 11 am.  At that point, the 3 were up 1.5-2.0% on the day. Then the bears sprung the trap and selling kicked in, continuing the rest of the day. It even accelerated to a sheer drop in the last 15 minutes of the day.  This left us with big, ugly, black candles with large upper wicks in all 3 major indices.  On the day, SPY lost 1.10%, DIA lost 0.88%, and QQQ lost 1.30%.  The QQQ and DIA both fell through their 200sma, not finding support.  VXX rose another 4% to 21.22 and T2122 dropped deep into the oversold territory at 1.41.  10-year bond yields fell to 1.811% and Oil (WTI) also fell three-quarters of a percent to $86.29.

PTON got more bad news Thursday. The company announced it has halted production of its bikes and treadmills as demand has fallen dramatically.  On the day, PTON fell another percent and is now below the original IPO price.  In reaction, PTON put out a pre-announcement this morning, saying they expect Q2 revenue will be within their previously released guidance range and that they are taking significant corrective action to improve profitability.

After hours, NFLX reported a beat on earnings and came in inline on revenue, but it also reported slowing subscriber growth and it forecast future growth slowing even further.  As a result, NFLX fell 25% in post-market trading.  In other earnings news, so far this morning ALLY, INFO, and SLB have all beaten on both lines.  HBAN beat on earnings but missed on revenue.

Overnight, Asian markets were nearly red across the board, with only Hong Kong (+0.05%) hanging on to the green by the skin of its teeth.  Australia (-2.27%), Taiwan (-1.75%), and Shenzhen (-1.19%) paced the region’s losses.  In Europe, we see red across the board at mid-day.  The FTSE (-1.07%), DAX (-1.78%), and CAC (-1.66%) are leading the region lower as fears of a Russia-Ukraine war and rising rates grip markets.  As of 7:30 am, US Futures are pointing toward a down start to the day.   The DIA implies a -0.29% open, the SPY implies a -0.56% open, and the QQQ implies a -0.91% open at this hour.

The major economic news scheduled for release Friday is limited to Leading Indicators at 10 am.  Major earnings reports scheduled for before the market include: ALLY, HBAN, INFO, and SLB.  There are no earnings reports scheduled for after the close.

After Thursday’s afternoon selloff, fear is clearly gripping the bulls. We may be seeing capitulation selling as the correction picks up pace. So, be careful about chasing shorts. Just like chasing longs, that can be a dangerous approach in a volatile market. Also, don’t forget it is Friday and we need to prepare for the weekend news cycle. In addition, Friday is payday…so take some profits if you have them.

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

Ed

Swing Trade Ideas for your consideration and watchlist: AAPL, PENN, PLTR, DLTR, PM, XP. 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.

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

DISCLAIMER: Investing / Trading involves significant financial risk and is not suitable for everyone. No communication from Hit and Run Candlesticks Inc, its affiliates or representatives is not financial or trading advice. All information provided by Hit and Run Candlesticks Inc, its affiliates and representatives are intended for educational purposes only. You are advised to test any new trading approach before implementing it.  Past performance does not guarantee future results.  Terms of Service

Stocks gave us a small gap higher at the open Wednesday.  However, that was just the start of a roller-coaster “gap and crap” action that saw all 3 major indices close near their lows again.  This left us with big ugly black candles in all of those indices.  For the day, SPY lost 1.02%, DIA lost 0.96%, and QQQ lost 1.09%.  The VXX rose another 2.4% to 20.27 and T2122 fell deeper into the oversold territory at 12.75.  10-year bond yields actually fell a bit to 1.85% and Oil (WTI) was up another 1.46% to $86.68 on reports a Russian invasion of Ukraine may be imminent.

In a follow-up to a report made the other day about PTON hiring McKinsey to evaluate costs, there were two pieces of news today.  First, leaked audios came out with PTON execs are discussing cutting 41% of their sales and marketing staff, cutting some staff from their eCommerce group, and also closing 15 retail stores.  Secondly, CNBC has reported that PTON insiders sold over $500 million of stock prior to the start of the big decline that started in January 2021.

In other business news, T and VZ turned on their long-hyped 5G networks nationally.  Well, almost nationally.  The companies voluntarily “left off” 5G in 2-mile diameter exclusion zones around the 50 largest airports.  This was due to FAA fears that part of the 5G spectrum could interfere with altimeters used by planes to fly during bad weather.  The FAA has cleared about 45% of the larger passenger and transport aircraft to not be impacted.  However, if it had been turned on around those airports, the FAA estimated there would have been about 1,100 flight cancellations or delays per day.  (TMUS 5G is not impacted because it uses different frequencies than the low-band that T and VZ use.)

On the earnings front, so far this morning AAL, FHN, FITB, KEY, MTB, SNV, and TRV have all beat on both lines.  BKR and RF beat on revenue but missed on earnings.  UNP and NTRS do not report until closer to the open.

Overnight, Asian markets were mixed.  Hong Kong (+3.42%) was a massive outlier to the upside as China cut lending rates.  Oddly enough, mainland China exchanges closed slightly down after the news.  However, Japan (+1.11%) and South Korea (+0.72%) lead the way higher in the rest of Asia.  On the downside, India (-1.01%) was the only appreciable loser with half a dozen other exchanges being just on the red side of flat.  In Europe, stocks are mixed on modest moves as of mid-day.  The FTSE (-0.02%), DAX (+0.15%), and CAC (-0.20%) are typical of the continent.  As of 7:30 am, US Futures are pointing toward a gap higher.  The DIA implies a +0.45% open, the SPY is implying a +0.50% open, and the QQQ implies a +0.84% open at this hour.  10-year bond yields and Oil (WTI) are both down a bit in early trading.

The major economic news scheduled for release Thursday includes Weekly Initial Jobless Claims and Philly Fed Mfg. Index (both at 8:30 am), Dec Existing Home Sales (10 am), and Crude Oil Inventories (11 am).  Major earnings reports scheduled for before the market include: AAL, BKR, FITB, FHN, KEY, MTB, NTRS, RF, SNV, TRV, and UNP.  Then, after the close, CSX, ISRG, NFLX, PPG, and SIVB report.

The Chinese rate cut overnight was the big news, but earnings and fear of inflation (and Fed reactions to it) are likely to continue to be the main US market drivers. The bulls have not given up, even as the QQQ nears correction territory. However, “mind the gap” as morning optimism is just as likely to be a “gap and crap” as it is a the bottom is in. The bears clearly still have all the momentum so far this week (and year). In short, continue to trade carefully.

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

Ed

Swing Trade Ideas for your consideration and watchlist: EGO, BEKE, SWK, AU, EBAY, UAL, GDX, SAND. 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.

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

DISCLAIMER: Investing / Trading involves significant financial risk and is not suitable for everyone. No communication from Hit and Run Candlesticks Inc, its affiliates or representatives is not financial or trading advice. All information provided by Hit and Run Candlesticks Inc, its affiliates and representatives are intended for educational purposes only. You are advised to test any new trading approach before implementing it.  Past performance does not guarantee future results.  Terms of Service

Markets gapped down Tuesday and while the large-caps were more sideways after that, all three major indices closed not too far up off their lows.  This left us with gap-down Black candles to start the week.  On the day, SPY lost 1.76%, DIA lost 1.45%, and QQQ lost 2.49%.  The VXX climbed more than 7.6% to 19.86 and T2122 dropped into the oversold area at 14.15.  10-year bond yields spiked massively to 1.875% and Oil *WTI) soared another 2.41% to $85.85 on middle-eastern and Russia/Ukraine war fears.

The big business news on the day was MSFT acquiring ATVI in a $68.7 billion all-cash deal.  MSFT will pay $95/share in the deal, which will make it the number three company in that space.  It also gets ATVI out from under massive clouds around their corporate culture and legal issues around sexual discrimination and harassment suits filed by employees and the State of CA.  Oddly, ATVI spiked as high as $93 in premarket, opened at $86.68, and closed back down to $82.31…which was still up almost 26% on the day.  MSFT closed down 2.43% on the day.

In other business news, PTON hired consulting company McKinsey to “evaluate their cost structures.”  This almost always results in mass layoffs, store closures, and even business offering rationalization.  PTON closed down 3.51% on the day after the announcement.  Elsewhere, for the second time in less than a year, JPM announced it is raising salaries across a broad group of employees in an effort to keep and attract talent.

On the earnings front, so far today UNH, FAST, PG, and CFG have all reported beats on both lines.  BAC, MS, and ASML reported beats on earnings but came in light versus revenue estimates.  However, USB missed on both lines.

Overnight, Asian markets were mostly strongly lower, with a couple of very minor exceptions.  Japan (-2.80%) was an outlier, but New Zealand (-1.58%), Shenzhen (-1.28%), and Australia (-1.03%) were representative of the regional trend.  In Europe, stocks are mixed, but mostly modestly higher at mid-day.  Russia (+4.43%) is an outlier and is snapping back from a terrible Tuesday (war fear). However, the FTSE (+0.27%), DAX (+0.31%), and CAC (+0.70%) are leading most of the region higher in early afternoon trade.  As of 7:30 am, US Futures are pointing toward a modestly green open.  The DIA implies a +0.22% open, the SPY is implying a +0.28% open, and the QQQ implies a +0.31% open at this hour.  Bond yields continue to rise at 1.886% and Oil (WTI) is up another 1.29% in early trading.

The major economic news scheduled for release Wednesday is limited to Dec. Building Permits and Dec. Housing Starts (both at 8:30 am).  Major earnings reports scheduled for before the market include: ASML, BAC, CFG, CMA, FAST, MS, PG, PLD, STT, USB, UNH.  Then, after the close, AA, DFS, FUL, KMI, and UAL report.

Earnings, inflation, and fear over the acceleration of the Fed’s hawkish turn continue to be the major drivers in the market. The question of the day is whether we have found a little support OR the earnings news is just a setup for another “gap and crap.” The bears clearly still have all the momentum so far this week (and year). The wild ride in Oil since the beginning of December shows no sign of letup. However, one has to ask whether this is a bull trap as extended as the commodity and the major names are at this point. So, be careful in that space. Keep in mind that even though the direction is bearish, intraday whipsaw volatility remains likely. In short, trade carefully.

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

Ed

Swing Trade Ideas for your consideration and watchlist: BEKE, CECE, SCCO, TECK, EBAY, NEM, AMGN, HSY, RWM, UNG, QID. 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.

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

DISCLAIMER: Investing / Trading involves significant financial risk and is not suitable for everyone. No communication from Hit and Run Candlesticks Inc, its affiliates or representatives is not financial or trading advice. All information provided by Hit and Run Candlesticks Inc, its affiliates and representatives are intended for educational purposes only. You are advised to test any new trading approach before implementing it.  Past performance does not guarantee future results.  Terms of Service

Markets gapped down about three-quarters of a percent on Friday.  However, after the open, all 3 major indices oscillated on the day with the SPY and QQQ ending up back above the gap in positive territory.  This left us with large gap-down white candles in the SPY and QQQ and a gap-down white Spinning Top candle in the DIA.  On the day, SPY gained 0.04%, QQQ gained 0.62%, and DIA lost 0.57%.  The VXX fell a bit to 18.45 and T2122 also dropped a bit but remained in the mid-range at 46.65.  10-year bond yields spiked to 1.793% and Oil (WTI) rose to $83.82/barrel.

Earnings season is continuing to get into high gear.  This morning, BK, SBNY, and TFC all beat on both lines.  PNC beat on earnings but missed slightly on revenue.  However, the big news was that GS posted a massive miss on earnings, even with a huge beat on revenue. SCHW doesn’t report until after 8:30 am.

On Sunday Reuters reported that the oil market continues its recent tremendous rally as three factors have come into play.  First, outages (and threatened outages) from such places as Oman, UAE, and Russia’s far-east as well as fears of outages in politically torn Kazakhstan forced buyers to look elsewhere, driving up the price of supplies from the west.  Secondly, the impact of the omicron variant had been over-estimated by market participants, meaning demand remained more robust than was expected in December.  Finally, US and Canadian inventories have fallen to the lowest level since October 2018 (as a result of number two).  All of which have added buying pressure to western Oil markets.  In the last week, large integrated oil and gas names have spiked.  Among the winners on the week were BP (+7.99%), PBR (+14.53%), XOM (+4.34%), CVX (+3.14%), and RDS.A (+5.88%). 

The PBOC (Chinese Central Bank) released data overnight that showed the country’s “Digital Yuan” (cryptocurrency) added 261 million users in the last 6 months of 2021.  However, the total transactions over those 6 months were only worth about $8.3 trillion. As a reference, the country’s Alipay (phone-based payment system) accounted for almost $1.6 trillion in transactions during that same period.  You will need to decide for yourself whether this is good or bad news for crypto names.

Overnight, Asian markets were mostly lower.  India (-1.07%), Thailand (-0.99%), and South Korea (-0.89%) paced the losses.  Only Shanghai (+0.80%) and Shenzhen (+0.19%) showed green.  In Europe, markets are red across the board at mid-day.  The FTSE (-0.59%), DAX (-1.01%), and CAC (-1.03%) are typical of early afternoon trading in the region.  However, Russia (-4.70%) is a massive outlier to the downside (perhaps on tensions related to Ukraine and specifically gas and oil flows to Europe).  As of 7:30 am, US Futures are pointing toward a red start to the week.  The DIA is implying a -0.70% open, the SPY implies a -1.04% open, and the QQQ implies a -1.64% open at this hour.  10-year bond yields are also spiking to 1.818% and Oil (WTI)is up another 1.46% in early trading.

The major economic news scheduled for release Tuesday is limited to NY Fed Empire State Mfg. Index (8:30 am).  However, earnings season is back in gear with pre-market reports from BK, GS, PNC, SBNY, SCHW, and TFC.  Then, after the close, CNCX, IBKR, and JBHT report.

The Fed’s hawkish turn continues to spook markets and huge increases in energy prices weigh on general business and market sentiment. It looks like we are headed to test the recent lows again this morning. So, the bears clearly have the momentum in what is shaping up to be a rough January. Expect the rotation toward safety to continue with Oil and mega-cap non-cyclical names faring best. Keep in mind that even though the direction is bearish, intraday whipsaw volatility remains likely. In short, trade carefully.

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

Ed

Swing Trade Ideas for your consideration and watchlist: SQQQ, SPXU, XOM, BTU, CG, ILMN, TGT, F, AMAT. 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.

Free YouTube Education  •  Subscription Plans • Private 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