Markets opened basically flat Wednesday.  SPY opened 0.14%, DIA opened dead flat, and QQQ opened up 0.10%.  From there, all three major index ETFs meandered sideways until 2 p.m.  At that point, all three sold off for 30 minutes after the Fed rate decision, rallied for 30 minutes and then restarted its sideways chop, which continued into the close.  This action gave us black-bodied, indecisive candles in all three. SPY and DIA printed black-bodied Spinning Top candles.  SPY closed just pennies above its T-line (8ema) after a retest from above. For its part, QQQ printed a black Hammer candle that retested the T-line from below and failed that test while still closing in the top part of its candle.  This all happened on below average volume in all three major index ETFs.

On the day, five of the 10 of the sectors were in the red with Healthcare (-0.59%) out in front of the losers while Communications Services (+0.49%) paced the five gainers.  At the same time, SPY lost 0.45%, DIA lost 0.27%, and QQQ lost 0.19%. Meanwhile VXX fell slightly to close at 42.91 while T2122 dropped further back into the top of the mid-range to close at 61.68.  On the bond side, 10-Year Bond yields stayed flat at 4.538% and Oil (WTI) fell 1.15%, closing at $72.92 per barrel.  So, on Wednesday we saw a long wait for the Fed, a knee-jerk reaction to the FOMC decision and then more drift sideways.  It remains unclear whether traders are waiting on earnings, GDP, or the PCE inflation data…or maybe even the fallout from Trump’s policies. Still, it certainly feels like traders are waiting on something.

The major economic news on Wednesday included the Preliminary December Goods Trade Balance, which came worse than expected at -$122.11 billion (compared to a -$105.60 billion forecast and November’s -$103.50 billion value).  At the same time, Preliminary December Retail Inventories were down to +0.2% (versus November’s +0.4% reading).  Later, EIA Weekly Crude Oil Inventories showed a much bigger inventory build than predicted at +3.463 million barrels (compared to a +2.200-million-barrel forecast and the previous week’s 1.017-million-barrel drawdown).

In Fed news, as had been expected by 99.5% of Fed Fund Futures traders, the FOMC held rates steady at 4.25% – 4.50% despite President Trump’s demand last week that interest rates “be lowered immediately.”  The FOMC statement added a slightly more optimistic view of the labor market, but removed its mention that progress had been made on inflation.  The statement said, “The unemployment rate has stabilized at a low level in recent months, and labor market conditions remain solid,” and added “Inflation remains somewhat elevated.”  Later, during his press conference, Fed Chair Powell said, “I would say we’re (Fed Funds rates are) meaningfully above it [neutral].” He continued, “(However,) I have no illusion that anyone knows precisely how much (above) that is but having cut 100 basis points means that it’s appropriate that we not be in a hurry to make further adjustments.”

After the close, AMP, NLY, BHE, CLS, FIBK, LRCX, LEVI, MTH, META, MSFT, RJF, TER, TTEK, and WDC all reported beats on both the revenue and earnings lines.  At the same time, AXS, CHRW, CP, CCS, IBM, LBRT, NFG, NOW, and WHR all missed on revenue while beating on earnings.  On the other side, LSTR, SEIC, and URI beat on revenue while missing on earnings.  However, CMPR, LVS, RHI, SIGI, and TSLA missed on both the top and bottom lines.

Overnight, Asian markets were mostly green on modest trading. South Korea (+0.85%) led the region’s gainers while Thailand (-0.56%) paced the losses.  In Europe, the bourses are also mostly green (with two exceptions out of the 14) at midday.  The CAC (+0.60%), DAX (+0.23%), and FTSE (+0.47%) lead the region higher in early afternoon trade.  In the US, as of 7:50 a.m., Futures are pointing toward a mixed start to the say.  The DIA implies a -0.06% open, the SPY is implying a +0.24% open, and the QQQ implies a +0.45% open at this hour.  At the same time, 10-Year Bond yields are down to 4.494% and Oil (WTI) is flat at $72.59 per barrel in early trading.

The major economic news scheduled for Thursday includes Weekly Initial Jobless Claims, Weekly Continuing Jobless Claims, Preliminary Q4 Core PCE Prices, Preliminary Q4 GDP, and Preliminary Q4 GDP Price Index (all at 8:30 a.m.), December Pending Home Sales (10 a.m.), and Fed Balance Sheet (4:30 p.m.). The major earnings reports scheduled for before the open include FLWS, AOS, MO, ABG, AVY, BBVA, BX, BFH, BC, CAH, CRS, CAT, CHKP, CI, CMCSA, CFR, DOV, DOW, IP, KEX, LHX, LAZ, MAN, MMC, MA, MBLY, MUR, NOK, NOC, OSK, PH, PHM, DGX, RCI, ROP, SNY, SCSC, SNDR, SHW, SIRI, LUV, STM, TMO, TSCO, TT, UPS, and VLO. Then after the close, AAPL, AJG, TEAM, BKR, BOOT, CNI, CACC, DECK, EMN, GEN, HIG, INTC, KLAC, LPLA, OLN, PFSI, PPG, RMD, SKYW, X, V, and WY report. 

In economic news later this week, on Friday, December PCE Price Index, December PCE Price Index, December Personal Spending, Q4 Employment Cost Index, and Chicago PMI are reported.

In terms of earnings reports later this week, on Friday, ABBV, AON, ARCB, ALV, BSAC, BAH, BR, BEPC, BEP, CHTR, CVX, CHD, CL, ETN, XOM, BEN, GNTX, IMO, JHG, LYB, NVS, OMF, PSX, RVTY, VSTS, and GWW report.

So far this morning, MO, ABG, BFH, BIP, BC, CAH, CHKP, CMCSA, FLG, LHX, LAZ, MMC, MBLY, NOK, OSK, PHM, DGX, RCI, ROP, SIRI, STM, TMO, TT, and VLO all reported beats on both the revenue and earnings lines.  Meanwhile, AVY, CAT, DOV, FCFS, IP, KEX, MAN, NOC, PH, SHW, and LUV missed on revenue while beating on earnings.  On the other side, CI, SNY, and SXC beat on earnings while missing on revenue.  However, FLWS, AOS, DOW, MUR, SHEL, and TSCO missed on both the top and bottom lines.  

With that background, markets look undecided again this morning.  All three major index ETFs gapped higher to open the premarket.  However, since that point all three have traded down to print black-bodied candles.  Only QQQ has come up significantly off its premarket lows.  With that said, all three are back above their T-line (8ema).  So, the short-term trend is on the bullish side again.  The mid-term downtrend is now a mess and can best be described as broad-range chop.  In the long-term all three are bullish.  In terms of extension, none of the major index ETFs are very far from their T-line.  Meanwhile, T2122 is back in the middle of its mid-range. So, both sides have room to work today if they can find momentum.  In terms of the 10 Big Dogs, seven of the 10 are in the green again with TSLA (+3.70%) well out front leading the gains.  On the other side, MSFT (-4.09%) is almost 4% worse off than the other three red big dogs.  As far as liquidity goes TSLA leads the way, having traded almost 1.5 times more than NVDA (-0.24%) with META (+1.68%) not far behind.  However, note that it is a low-volume premarket today. 

As always, be deliberate and disciplined…but don’t be stubborn. If you have a loss, admit you were wrong and take that loss before it gets out of hand. And when the price does move in your direction, always move your stops in your favor and take a little profit off the table. You have to keep the “Legend of the Man in the Green Bathrobe” in mind. In a winning situation, it is NOT HOUSE MONEY you’re betting, it’s YOUR MONEY! There is no reason to keep raising your bet (risk) size just because you’ve had a win. Finally, remember that trading is not a hobby, it’s a job. The gains are real and so is the risk. So, treat it that way. Do the work and follow the process. Stick to your trading rules, trade with the trend, and take those profits when you have them. Do the work!

See you in the trading room.

Ed

🎯 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

Tuesday saw the Bulls take a step back toward redemption after Monday’s rough day.  SPY opened 0.19% higher, DIA opened 0.04% higher, and QQQ gapped up 0.25%. At that point, all three major index ETFs gave ground to the Bears for 15 minutes before beginning a rally that lasted until 11:15 a.m. for DIA.  From there, DIA chopped to the side with a modest Bearish Trend the rest of the day.  However, SPY and QQQ kept rallying until 3 p.m. when we saw modest profit-taking the last hour.  This action gave us white-bodied candles in all three major index ETFs.  SPY printed a white candle with a lower wick and tiny upper wick that crossed back above its T-line (8ema).  DIA gave us a white-bodied Spinning Top candle.  Finally, QQQ printed a large white candle with wicks at both ends.  It retested, but closed just below its T-line.  This happened on below average volume in all three major index ETFs.

On the day, seven of the 10 of the sectors were in the red with Consumer Defensive (-1.14%) way out front among the losers.  On the other side, Technology (+2.45%) was way, way (by 2%) holding up much better than any other sector. At the same time, SPY gained 0.84%, DIA gained 0.29%, and QQQ gained 1.48%.  Meanwhile, VXX lost 3.30% to close at 43.02 while T2122 dropped just outside of its overbought range to the top of the mid-range, closing at 76.11.  On the bond side, 10-Year Bond yields were just on the green side of flat at 4.538% and Oil (WTI) gained 1.05%, closing at $73.94 per barrel. So, Tuesday saw a rebound from the DeepSeek collapse with NVDA popping 8.70%, AAPL gaining 3.65%, and MSFT gaining 2.90%.

The major economic news on Tuesday included Preliminary December Core Durable Goods Orders (Month-on-Month), which came in up but lower than expected at +0.3% (compared to a +0.4% forecast but well above the November -0.1% reading).  On the headline number, Preliminary December Durable Goods Orders (Month-on-Month) were far below expectation at -2.2% (versus a +0.3% forecast and November’s -2.0% value).  Later, January Conf. Board Consumer Confidence reading was lower than had been predicted at 104.1 (compared to a 105.7 forecast and well down from the Dec. 109.5 reading).  Then, after the close, the API Weekly Crude Oil Stocks report showed a smaller inventory build that anticipated at +2.860 million barrels (versus a +3.700-million-barrel forecast and the previous week’s 1.000-million-barrel inventory build).

There was no Fed news Tuesday as the FOMC meeting began.  (That meeting is still expected to be a hold by most analysts and 99.5% of Fed Futures traders.)

After the close, BXP, FFIV, HLI, LFUS, LOGI, NXT, QRVO, SBUX, LRN, SYK, and UMBF all reported beats on both the revenue and earnings lines.  Meanwhile, CB and RNR missed on revenue while beating on earnings. On the other side, PKG beat on revenue while missing on earnings.

Overnight, Asian markets leaned toward to green side as Japan (+1.02%), India (+0.90%), and South Korea (+0.85%) paced the gains while China remained closed.  In Europe, with the sole exception of the CAC (-0.26%) we see green across the board at midday.  The DAX (+0.81%) and FTSE (+0.35%) lead the region higher in early afternoon trade.  In the Us, as of 7:40 a.m., Futures are pointing toward a green start to the day.  DIA implies a +0.62% open, SPY is implying a +0.80% open, and QQQ implies a +0.35% open at this hour.  At the same time, 10-Year Bond yields are down to 4.528% and Oil (WTI) is down about two-thirds of a percent to $73.31 per barrel in early trading.

The major economic news scheduled for Wednesday includes Preliminary December Goods Trade Balance and Preliminary December Retail Inventories (both at 8:30 a.m.), EIA Weekly Crude Oil Inventories (10:30 a.m.), FOMC Interest Rates Decision, and FOMC Statement (both at 2 p.m.), and Fed Chair Press Conference (2:30 p.m.).   The major earnings reports scheduled for before the open include AIT, ASML, ADP, AVT, EAT, GIB, GLW, DHR, EXP, FLEX, GD, GPI, HES, LII, MHO, MSCI, NDAQ, NSC, OTIS, PGR, SLGN, SF, TMUS, TEVA, and VFC.  Then after the close, AMP, AXS, CHRW, CP, CLS, CCS, CMPR, IBM, LRCX, LSTR, LVS, LEVI, LBRT, MTH, META, MEOH, MSFT, NFG, RJF, RHI, SEIC, SIGI, NOW, TER, TSLA, TTEK, URI, WDC, WHR, and WM report. 

In economic news later this week, on Thursday, we get Weekly Initial Jobless Claims, Weekly Continuing Jobless Claims, Preliminary Q4 Core PCE Prices, Preliminary Q4 GDP, Preliminary Q4 GDP Price Index, December Pending Home Sales, and Fed Balance Sheet. Finally, on Friday, December PCE Price Index, December PCE Price Index, December Personal Spending, Q4 Employment Cost Index, and Chicago PMI are reported.

In terms of earnings reports later this week, on Thursday, we hear from FLWS, AOS, MO, ABG, AVY, BBVA, BX, BFH, BC, CAH, CRS, CAT, CHKP, CI, CMCSA, CFR, DOV, DOW, IP, KEX, LHX, LAZ, MAN, MMC, MA, MBLY, MUR, NOK, NOC, OSK, PH, PHM, DGX, RCI, ROP, SNY, SCSC, SNDR, SHW, SIRI, LUV, STM, TMO, TSCO, TT, UPS, VLO, AAPL, AJG, TEAM, BKR, BOOT, CNI, CACC, DECK, EMN, GEN, HIG, INTC, KLAC, LPLA, OLN, PFSI, PPG, RMD, SKYW, X, V, and WY.  Finally, on Friday, ABBV, AON, ARCB, ALV, BSAC, BAH, BR, BEPC, BEP, CHTR, CVX, CHD, CL, ETN, XOM, BEN, GNTX, IMO, JHG, LYB, NVS, OMF, PSX, RVTY, VSTS, and GWW report.

So far this morning, VLVLY, ASML, ADP, EAT, GPI. HES, LII, MKTAY, NDAQ, NAVI, SLGN, SF, TMUS, TEVA, VFC, and VIRT all reported beats on both the revenue and earnings lines.  Meanwhile, AIT, GIB, GLW, GD, and MSCI missed on revenue while beating on earnings.  On the other side, DHR, MHO, and OTIS beat on revenue while missing on earnings.  However, EXP missed on both the top and bottom lines.

With that background, markets look undecided again this morning ahead of the FOMC decision (after Trump has “demanded lower rates”).  QQQ started the early session by gapping back up through its T-line (8ema) but is printing a Doji just above that level.  SPY gapped up to start the premarket, but has printed a black-body candle with no wicks since that point and is nearly back to Tuesday’s close.  For its part, DIA is printing a small, inside, white-body candle so far this morning.  However, with all three back above their T-line, the short-term trend is on the bullish side again.  The mid-term downtrend is now a mess and can best be described as broad-range chop.  In the long-term all three are bullish.  In terms of extension, none of the major index ETFs are very far from their T-line.  Meanwhile, T2122 is back in the top of its mid-range. So, both sides have room to work today if they can find momentum.  (Expect drift until the Fed decision at 2 p.m. where we are likely to see volatility.  In terms of the 10 Big Dogs, six of the 10 are in the green again with AMD (+1.25%) well out front leading the gains.  On the other side, NVDA (-1.37%) and AAPL (-1.16%) lead the four laggards. As far as liquidity goes NVDA leads the way, having traded almost four times more than TSLA (-0.47%).  However, note that it is a low-volume premarket today. 

As always, be deliberate and disciplined…but don’t be stubborn. If you have a loss, admit you were wrong and take that loss before it gets out of hand. And when the price does move in your direction, always move your stops in your favor and take a little profit off the table. You have to keep the “Legend of the Man in the Green Bathrobe” in mind. In a winning situation, it is NOT HOUSE MONEY you’re betting, it’s YOUR MONEY! There is no reason to keep raising your bet (risk) size just because you’ve had a win. Finally, remember that trading is not a hobby, it’s a job. The gains are real and so is the risk. So, treat it that way. Do the work and follow the process. Stick to your trading rules, trade with the trend, and take those profits when you have them. Do the work!

See you in the trading room.

Ed

🎯 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 all about Chinese startup DeepSeek calling US tech leader investments into AI into question.  SPY gapped gown 2.16%, DIA gapped down 0.80%, and QQQ gapped down 3.52%.  From that point, SPY and QQQ chopped along the bottom end of the opening gap the rest of the day.  Meanwhile, after its much smaller gap, DIA rallied modestly all day long.  This action gave us a large gap-down, white-bodied, near Marubozu candle in the SPY.  The post-gap rally got SPY back in the area of its T-line (8ema), but did not result in a retest. At the same time, QQQ gave us a huge gap-down Inverted Hammer type candle where price rallied off the lows, but then failed from the highs.  Finally, DIA printed the strongest candle, gapping down (but staying above its T-line), but then rallied all day to give us a large white Bullish Engulfing candle.

On the day, five of the 10 of the sectors were in the green with Consumer Defensive (+2.27%) way out front among the gainers.  On the other side, Technology (-4.05%) took a huge hit and was by far the biggest losing sector.  Meanwhile, SPY lost 1.41%, DIA gained 0.68%, and QQQ lost 2.91%.  At the same time, VXX popped 6.59% to close at 44.49 while T2122 dropped but remained in (the lower part of) its overbought range, closing at 82.47.  On the bond side, 10-Year Bond yields fell back to 4.534% and Oil (WTI) dropped 2.09%, closing at $73.10 per barrel. So, Monday was a market response (overreaction?) to an impressive Chinese startup AI that has been claimed to have been developed fast (two years by a handful of very good guys as a side gig) and trained very cheaply ($6 million) on supposedly lower-end hardware (since embargoes supposedly prevent China from getting the high-end AI cards).  This made the market question the literal hundreds of billions of dollars western tech giants have plowed into AI development and training.  However, this was later tempered by second-thoughts on whether the Chinese government might have secretly footed a hugely larger bill or if the performance was really as good as it appears.  The result was a big gap lower and then a rethink rebound with some rotation into big defensive names thrown in.

The major economic news on Monday was limited to December Building Permits which came in slightly below expectations at 1.482 million (versus to a 1.483 million forecast but down a bit from November’s 1.493 million reading).  Later, December New Home Sales came in higher than expected at 698k (compared to a 669k forecast and Nov. 674k value). 

There was no Fed news Monday as they prepare for Wednesday’s FOMC meeting.  (That meeting is expected to be a hold by most analysts and 99.5% of Fed Futures traders.)

After the close, BRO, CR, NUE, SANM, WRB, and WAL all reported beats on both the revenue and earnings lines.  Meanwhile, ARE missed on revenue while meeting on earnings.  On the other side, AGNC beat on revenue while missing on revenue.  However, GGG missed on both the top and bottom lines.

Overnight, Asian markets were mixed with many exchanges still closed for Lunar New Year.  In Europe, we see green with 12 of the 14 bourses above break-even at midday.  The CAC (+0.26%), DAX (+0.63%), and FTSE (+0.41%) lead the region higher in early afternoon trade.  In the US, as of 7:40 a.m., Futures are pointing toward a flat start to the day.  DIA implies a -0.08% open, the SPY is implying a +0.06% open, and QQQ implies a +0.08% open at this hour.  At the same time, 10-Year Bond yields are up to 4.565% and Oil (WTI) is up 0.72% to $73.70 per barrel in early trading.

The major economic news scheduled for Tuesday includes Preliminary December Durable Goods Orders (8:30 a.m.), January Conf. Board Consumer Confidence (10 a.m.), and the API Weekly Crude Oil Stocks report (4:30 p.m.).  The major earnings reports scheduled for before the open include ADNT, BA, GM, IVZ, JBLU, KMB, LMT, PCAR, PII, BPOP, RCL, RTX, SYF, SYY, and XRX.  Then after the close, BXP, CB, FFIV, HLI, LFUS, LOGI, NXT, PKG, QRVO, RNR, SAP, SBUX, LRN, and SYK report. 

In economic news later this week, on Wednesday, Preliminary December Goods Trade Balance, Preliminary December Retail Inventories, EIA Weekly Crude Oil Inventories, FOMC Interest Rates Decision, FOMC Statement, and Fed Chair Press Conference are reported.  On Thursday, we get Weekly Initial Jobless Claims, Weekly Continuing Jobless Claims, Preliminary Q4 Core PCE Prices, Preliminary Q4 GDP, Preliminary Q4 GDP Price Index, December Pending Home Sales, and Fed Balance Sheet. Finally, on Friday, December PCE Price Index, December PCE Price Index, December Personal Spending, Q4 Employment Cost Index, and Chicago PMI are reported.

In terms of earnings reports later this week, on Wednesday, AIT, ASML, ADP, AVT, EAT, GIB, GLW, DHR, EXP, FLEX, GD, GPI, HES, LII, MHO, MSCI, NDAQ, NSC, OTIS, PGR, SLGN, SF, TMUS, TEVA, VFC, AMP, AXS, CHRW, CP, CLS, CCS, CMPR, IBM, LRCX, LSTR, LVS, LEVI, LBRT, MTH, META, MEOH, MSFT, NFG, RJF, RHI, SEIC, SIGI, NOW, TER, TSLA, TTEK, URI, WDC, WHR, and WM report.  On Thursday, we hear from FLWS, AOS, MO, ABG, AVY, BBVA, BX, BFH, BC, CAH, CRS, CAT, CHKP, CI, CMCSA, CFR, DOV, DOW, IP, KEX, LHX, LAZ, MAN, MMC, MA, MBLY, MUR, NOK, NOC, OSK, PH, PHM, DGX, RCI, ROP, SNY, SCSC, SNDR, SHW, SIRI, LUV, STM, TMO, TSCO, TT, UPS, VLO, AAPL, AJG, TEAM, BKR, BOOT, CNI, CACC, DECK, EMN, GEN, HIG, INTC, KLAC, LPLA, OLN, PFSI, PPG, RMD, SKYW, X, V, and WY.  Finally, on Friday, ABBV, AON, ARCB, ALV, BSAC, BAH, BR, BEPC, BEP, CHTR, CVX, CHD, CL, ETN, XOM, BEN, GNTX, IMO, JHG, LYB, NVS, OMF, PSX, RVTY, VSTS, and GWW report.

So far this morning, GM, IVZ, JBLU, KMB, PII, BPOP, RTX, SAP, and SFY have all reported beats on both the revenue and earnings lines.  Meanwhile, ADNT, and XRX beat on revenue while missing on earnings. On the other side, LMT and RCL missed on revenue while beating on earnings.  However, BA missed on both the top and bottom lines.

With that background, markets look undecided so far this morning.  SPY is retesting its T-line (8ema).  However, both SPY and DIA are giving us Doji candles in premarket. For its part, QQQ gapped higher but has sold off in a black-body candle since then in the early session.  SPY and QQQ remain below their T-line (8ema).  With that said, the short-term trend is on the bearish side of mixed.  The mid-term downtrend is now a mess and can best be described as broad-range chop.  In the long-term all three are bullish.  In terms of extension, only QQQ is now extended below its T-line. Meanwhile, T2122 is back in the lower end of its overbought range.  So, both sides have room to work, but the Bulls have slightly more slack.  In terms of the 10 Big Dogs, six of the 10 are in the green with NVDA (+2.53%) far out in front on a rebound from Monday’s drubbing.  On the other side, AMZN (-0.57%) leads the four losers lower early.  As far as liquidity goes NVDA leads the way, having traded eight times as much dollar-volume as TSLA, which itself has traded twice as much as AAPL. 

As always, be deliberate and disciplined…but don’t be stubborn. If you have a loss, admit you were wrong and take that loss before it gets out of hand. And when the price does move in your direction, always move your stops in your favor and take a little profit off the table. You have to keep the “Legend of the Man in the Green Bathrobe” in mind. In a winning situation, it is NOT HOUSE MONEY you’re betting, it’s YOUR MONEY! There is no reason to keep raising your bet (risk) size just because you’ve had a win. Finally, remember that trading is not a hobby, it’s a job. The gains are real and so is the risk. So, treat it that way. Do the work and follow the process. Stick to your trading rules, trade with the trend, and take those profits when you have them. Do the work!

See you in the trading room.

Ed

🎯 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 market opened pretty much flat on Friday.  SPY opened dead flat, DIA opened down 0.12%, and QQQ opened up 0.01%.  From that point, all three major index ETFs ground sideways until 12:30 p.m. Then, SPY, DIA, and QQQ sold off slowly until a small bounce the last 10 minutes of the day.  This action gave us black-bodied Spinning Top type candles in all three.  QQQ printed what could be called a Dark Cloud Cover and DIA printed a Bearish Harami.  This happened on below average volume in all three major index ETFs.

On the day, seven of the 10 of the sectors were in the green with Communications Services (+0.81%) leading the way higher.  On the other side, Energy (-0.75%) was the laggard.  At the same time, SPY lost 0.29%, DIA lost 0.28%, and QQQ lost 0.57%.  Meanwhile, VXX fell just slightly to close at 41.74 while T2122 climbed even further into the middle of its overbought range, closing at 90.79.  On the bond side, 10-Year Bond yields fell back to 4.617% and Oil (WTI) was just on the red side of flat, closing at $74.56 per barrel. So, Friday was a nothing day that drifted lower in the afternoon. This is probably a clue that traders are waiting on the Fed decision on Wednesday after Trump demanded that the FOMC immediately lower interest rates.

The major economic news on Friday, included S&P Global Mfg. PMI, which came in higher than expected at 50.1 (compared to a 49.8 forecast and December 49.4 value).  At the same time, the S&P Global Services PMI was lower than expected at 52.8 (versus a 56.4 forecast and December’s 56.8 reading).  Combined, this gave us a S&P Global Composite PMI of 52.4, down from December’s 55.4 number.  Later, December Existing Home Sales were higher than predicted at 4.24 million (compared to the 4.19 million forecast and November’s 4.15 million).  At the same time, Michigan Consumer Sentiment came in down to 71.1 (versus a 73.2 forecast and December’s 74.0 value).  Meanwhile, Michigan Consumer Expectations were at 69.3 (compared to the 70.2 forecast and December’s 73.3 reading).  On the forward-looking survey, Michigan 1-Year Inflation Expectations were 3.3% (right on the 3.3% forecast and up sharply from December’s 2.8% expectations).  Looking out further, Michigan 5-Year Inflation Expectations were up, just not as much as expected at 3.2% (versus a 3.3% forecast and up from December’s 3.0%).

There was no Fed news Friday as they prepare for next week’s FOMC meeting.  (That meeting is expected to be a hold by most analysts and 99.5% of Fed Futures traders.)

Overnight, Asian markets were mixed again as some exchanges remained closed for Lunar New Year holiday.  India (-1.14%), Japan (-0.92%), and Shenzhen (-1.33%) led most of the region lower.  In Europe, markets are mostly red as of midday.  The CAC (-0.73%), DAX (-1.08%), and FTSE (-0.21%) lead the way lower in early afternoon trade.  In the Us, as of 7:30 a.m., Futures are pointing toward a big gap down with the QQQ (-3.92%), SPY (-2.33%), and DIA (-0.96%) after a Chinese startup (DeepSeek) said their open-source AI model had been developed in two months at a cost of just $6 million. (And reportedly outperforms US-based big-dollar models in at least some third-party tests). The report sparked massive concern about the market value of AI leadership into which major tech firms have (and are) poured hundreds of billions of dollars.  On the bond side, 10-Year Bond yields dropped sharply to 4.518% and Oil (WTI) is down three-quarters of a percent to $74.10 per barrel in early trading.

The major economic news scheduled for Monday is limited to December Building Permits (8 a.m.) and December New Home Sales (10 a.m.).  The major earnings reports scheduled for before the open include T, AND SOFI.  Then after the close, ARE, BRO, CR, GGG, NUE, SANM, WRB, and WAL. 

In economic news later this week, on Tuesday, we get Preliminary December Durable Goods Orders, January Conf. Board Consumer Confidence, and the API Weekly Crude Oil Stocks report.  Then Wednesday, Preliminary December Goods Trade Balance, Preliminary December Retail Inventories, EIA Weekly Crude Oil Inventories, FOMC Interest Rates Decision, FOMC Statement, and Fed Chair Press Conference are reported.  On Thursday, we get Weekly Initial Jobless Claims, Weekly Continuing Jobless Claims, Preliminary Q4 Core PCE Prices, Preliminary Q4 GDP, Preliminary Q4 GDP Price Index, December Pending Home Sales, and Fed Balance Sheet. Finally, on Friday, December PCE Price Index, December PCE Price Index, December Personal Spending, Q4 Employment Cost Index, and Chicago PMI are reported.

In terms of earnings reports later this week, on Tuesday, we hear from ADNT, BA, GM, IVZ, JBLU, KMB, LMT, PCAR, PII, BPOP, RCL, RTX, SYF, SYY, XRX, BXP, CB, FFIV, HLI, LFUS, LOGI, NXT, PKG, QRVO, RNR, SAP, SBUX, LRN, and SYK.  Then Wednesday, AIT, ASML, ADP, AVT, EAT, GIB, GLW, DHR, EXP, FLEX, GD, GPI, HES, LII, MHO, MSCI, NDAQ, NSC, OTIS, PGR, SLGN, SF, TMUS, TEVA, VFC, AMP, AXS, CHRW, CP, CLS, CCS, CMPR, IBM, LRCX, LSTR, LVS, LEVI, LBRT, MTH, META, MEOH, MSFT, NFG, RJF, RHI, SEIC, SIGI, NOW, TER, TSLA, TTEK, URI, WDC, WHR, and WM report.  On Thursday, we hear from FLWS, AOS, MO, ABG, AVY, BBVA, BX, BFH, BC, CAH, CRS, CAT, CHKP, CI, CMCSA, CFR, DOV, DOW, IP, KEX, LHX, LAZ, MAN, MMC, MA, MBLY, MUR, NOK, NOC, OSK, PH, PHM, DGX, RCI, ROP, SNY, SCSC, SNDR, SHW, SIRI, LUV, STM, TMO, TSCO, TT, UPS, VLO, AAPL, AJG, TEAM, BKR, BOOT, CNI, CACC, DECK, EMN, GEN, HIG, INTC, KLAC, LPLA, OLN, PFSI, PPG, RMD, SKYW, X, V, and WY.  Finally, on Friday, ABBV, AON, ARCB, ALV, BSAC, BAH, BR, BEPC, BEP, CHTR, CVX, CHD, CL, ETN, XOM, BEN, GNTX, IMO, JHG, LYB, NVS, OMF, PSX, RVTY, VSTS, and GWW report.

So far this morning, T, RYAAY, and SPFI have all reported beats on both the revenue and earnings lines.

With that background, the market looks mostly decided bearish early today.  All three major index ETFs opened the premarket with a big gap lower.  SPY and QQQ gapped down through to well below their T-line (8ema).  Since then, QQQ and SPY both charged even further down, but have come up well off their lows.  For its part, DIA gapped down to retest its T-line, but has since rallied to show up the only white-body pre-market candle of the three major index ETFs.  With that said, the short-term trend is on the bearish side of mixed.  The mid-term downtrend is now a mess and can best be described as broad-range chop.  In the long-term all three are bullish.  In terms of extension, QQQ is now extended below its T-line while SPY remains below but not stretched and DIA is above and not stretched. For its part, T2122 is back in the middle of its overbought range. So, we need more of a pause or pullback to keep the rally healthy (and it sure looks like we’re getting it).  In terms of the 10 Big Dogs, nine of the 10 are in the red with NVDA (-11.87%) far out in front leading the market lower.  On the other side, INTC (+0.34%) is the only green spot and is holding up much better than the others.  As far as liquidity goes NVDA also leads the way, having traded 5 times as much dollar-volume as TSLA, which itself has traded twice as much as MSFT.  In short, a tech blood-bath seems to be the order of the morning.

As always, be deliberate and disciplined…but don’t be stubborn. If you have a loss, admit you were wrong and take that loss before it gets out of hand. And when the price does move in your direction, always move your stops in your favor and take a little profit off the table. You have to keep the “Legend of the Man in the Green Bathrobe” in mind. In a winning situation, it is NOT HOUSE MONEY you’re betting, it’s YOUR MONEY! There is no reason to keep raising your bet (risk) size just because you’ve had a win. Finally, remember that trading is not a hobby, it’s a job. The gains are real and so is the risk. So, treat it that way. Do the work and follow the process. Stick to your trading rules, trade with the trend, and take those profits when you have them. Do the work!

See you in the trading room.

Ed

🎯 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 large-cap index ETFs opened flat as QQQ opened down Thursday.  SPY opened 0.09% lower, DIA opened 0.04% higher, and QQQ gapped down 0.47% at the bell.  At that point SPY and QQQ traded sideways with a slight Bullish trend until 1:30 p.m. before trading sideways in a tight range until 3:45 p.m. Meanwhile, after that open, DIA rallied slowly, but steadily until 1:30 p.m. before also grinding sideways until 3:45 p.m. All three major index ETFS rallied hard the last 15 minutes to go out on their highs.  This action gave us large white-bodied, almost Marubozu candles in all three.  DIA even completed a Doji Continuation Pattern (Doji Sandwich).  SPY also printed a new all-time high and all-time high close.  This all happened on well-below-average volume in all three major index ETFs.

On the day, all 10 of the sectors were in the green with Healthcare (+1.21%) way, way out in front leading the way higher.  On the other side, Technology (+0.17%) was the laggard.  At the same time, SPY gained 0.55%, DIA gained 0.93%, and QQQ gained 0.21%.  Meanwhile, VXX fell just shy of two percent to close at 41.93 while T2122 climbed further back into the middle of its overbought range, closing at 88.38.  On the bond side, 10-Year Bond yields rose back to 4.646% and Oil (WTI) dropped another 1.67% to $74.19 per barrel.  So, Thursday saw a mixed open and a fair amount of indecision.  However, the main moves of the day were bullish (especially the strong rally the last 15 minutes). 

The major economic news on Thursday included Weekly Initial Jobless Claims, that came in just a tad above predictions at 223k (compared to a 221k forecast and the prior week’s 217k reading).  On the ongoing side, Weekly Continuing Jobless Claims were higher than expected at 1,899k (versus a 1,860k forecast and the previous week’s 1,853k value).  Later, EIA Weekly Crude Oil Inventories showed a lower-than-expected drawdown of 1.017 million barrels (compared to a 2.100-million-barrel drawdown and the prior week’s 1.962 million barrels).  After the close, the Fed Balance Sheet showed a tiny $2 billion reduction for the week, ending at $6.832 trillion.

There was no Fed news Thursday as they prepare for next week’s FOMC meeting.  (That meeting is expected to be a hold by most analysts and 99.5% of Fed Futures traders.)  However, President Trump spoke virtually to the World Economic Forum in Davos.  In typical Trump fashion, he speech included airing of a number of grievances and threats of tariffs.  He accused JPM and BAC (without evidence as usual) of limiting access to “conservatives” such as gunmakers.  Then in his narcissistic “I’m Emperor” way, he told global leaders, “With oil prices going down, I’ll demand that interest rates drop immediately, and likewise they should be dropping all over the world.” (One might note that despite falling the last few days, oil prices are higher now than they were from October through December.  In addition, the 20 and 50-month SMAs for oil are rising. However, Trump has never been one to let facts get in the way of his narrative.)

After the close, ASB, BANF, COLB, ISRG, SSB, and TXN all reported beats on both the revenue and earnings lines.  Meanwhile, EWBC and SLM beat on revenue while missing on earnings.  However, CSX missed on both the top and bottom lines.

Overnight, Asian markets were mixed with Hong Kong (+1.86%), Shenzhen (+1.14%), and Taiwan (+0.97%) leading the seven gaining exchanges.  Meanwhile, India (-0.49%) paced the fiver losing ones.  In Europe, we see just three spots of red among the 14 bourses are midday.  The CAC (+0.81%), DAX (+0.26%), and again lagging FTSE (-0.34%) lead the market in early afternoon trade.  In the US, as of 7:30 a.m., Futures are pointing towards a modestly lower start to the morning.  The DIA implies a -0.27% open, the SPY is implying a -0.07% open, and the QQQ implies a -0.02% open at this hour.  At the same time, 10-Year Bond yields are a 4.64% and Oil (WTI) is up 0.62% to $75.08 per barrel.

The major economic news scheduled for Friday, we get S&P Global Mfg. PMI, S&P Global Services PMI, and S&P Global Composite PMI (all at 9:45 a.m.), Dec. Existing Home Sales, Michigan Consumer Sentiment, Michigan Consumer Expectations, Michigan 1-Year Inflation Expectations, and Michigan 5-Year Inflation Expectations (all at 10 a.m.).  The major earnings reports scheduled for before the open include AXP, ERIC, HCA, NEE, and VZ.  There are no reported scheduled for after the close Friday.

So far this morning, FCNCA, HCA, and VZ have reported beats on both the revenue and earnings lines.  Meanwhile, AXP missed on revenue while beating on earnings.  However, ERIC missed on both the top and bottom lines.

With that background, the market looks mostly undecided early today.  All three major index ETFs opened the premarket basically flat.  Since then, SPY hand QQQ have printed indecisive Doji candles.  For its part, the DIA has printed a large-body, small-wick, black candle since the start of the early session.  With that said, all three are still well above their T-line (8ema) and thus the short-term trend is bullish.  All three have also broken mid-term downtrend lines (running back to the mid-December all-time highs). However, they haven’t printed higher-highs and higher-lows to confirm an uptrend. So, downtrends are broken, but a new bullish trend hasn’t been established.  In the long-term all three are bullish.  In terms of extension, all three remain stretched above their T-line at this point.  For its part, T2122 is back in the middle of its overbought range. So, we need more of a pause or pullback to keep the rally healthy.  However, the market can remain over-extended longer than any of us can stay solvent betting on a reversal too soon.  In terms of the 10 Big Dogs, eight of the 10 are in the green with AMD (+0.86%) and TSLA (+0.85%) leading the market higher.  On the other side, NVDA (-0.37%) and INTC (-0.35%) are the only big dogs in the red and lag. As far as liquidity goes NVDA also leads the way, but just barely over TSLA.  Finally, remember it is Friday.  So, prepare your account for the weekend news cycle.

As always, be deliberate and disciplined…but don’t be stubborn. If you have a loss, admit you were wrong and take that loss before it gets out of hand. And when the price does move in your direction, always move your stops in your favor and take a little profit off the table. You have to keep the “Legend of the Man in the Green Bathrobe” in mind. In a winning situation, it is NOT HOUSE MONEY you’re betting, it’s YOUR MONEY! There is no reason to keep raising your bet (risk) size just because you’ve had a win. Finally, remember that trading is not a hobby, it’s a job. The gains are real and so is the risk. So, treat it that way. Do the work and follow the process. Stick to your trading rules, trade with the trend, and take those profits when you have them. Do the work!

See you in the trading room.

Ed

🎯 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 Wednesday, markets popped at the open again.  SPY gapped up 0.49%, DIA gapped up 0.31%, and QQQ gapped up 0.92%.  From there, SPY and QQQ rallied slowly and steadily until noon while DIA bounced sideway along its open and inside its gap.  At noon, SPY and QQQ followed DIA sideways the rest of the day. This action gave us indecisive candles in all three major index ETFs.  SPY printed a gap-up, white-bodied, Inverted Hammer or possibly a Shooting Star type based on follow-through.  QQQ printed something similar, but with a larger body.  For its part, DIA gave us a gap-up, black-bodied Doji.  This all happened on below-average volume in all three major index ETFs.

On the day, eight of the 10 of the sectors were in the red with Technology (+1.46%) by far the strongest sector while Utilities (-1.87%) and Energy (-1.43%) led the market lower.  It is worth noting that nine of the 10 Big Dogs were in the green, led by NFLX (+9.69%), NVDA (+4.43%), and MSFT (+4.13%).  At the same time, SPY gained 0.55%, DIA gained 0.27%, and QQQ gained 1.28%.  Meanwhile, VXX rose 1.52% to close at 42.75 while T2122 dropped but stayed just inside the overbought range, closing at 80.43.  On the bond side, 10-Year Bond yields rose back to 4.607% and Oil (WTI) dropped another 0.51% to $75.44 per barrel.  So, Tuesday saw a gap higher, then the broader indices rallied through the morning only to follow the Mega-Cap DJIA sideways the rest of the day.  Once again, most of the gain was accomplished at the opening gap. 

The major economic news on Wednesday was limited to the US Leading Economic Index, which came in as expected at -0.1% (compared to a forecast of -0.1% and a November reading of +0.4%).  Then, after the close, the API Weekly Crude Oil Stocks report showed a 1.000-million-barrel inventory build (versus the prior week’s 2.600-million-barrel drawdown).

There was no Fed news Wednesday as they prepare for next week’s FOMC meeting.  (That meeting is expected to be a hold by most analysts and 99.5% of Fed Futures traders.)

After the close, AA, CACI, CADE, and DFS reported beats on both the revenue and earnings lines.  Meanwhile, KNX, PLXS, and STLD missed on revenue while beating on earnings.  However, KMI missed on both the top and bottom lines.

Overnight, Asian markets were mixed but leaned toward the red side.  Thalina (-1.29%) and South Korea (-1.24%) paced the losses while Taiwan (+0.97%) and Japan (+0.79%) led the gainers.  In Europe, the bourses are leaning toward the green side with only three of 14 exchanges in the red at midday.  The CAC (+0.39%), DAX (+0.30%), and lagging FTSE (+0.01%) lead the region higher in early afternoon trade.  In the US., as off 7:45 a.m., Futures are pointing toward a mixed open.  DIA implies a +0.14% open, SPY is implying a -0.13% open, and QQQ implies a -0.50% open at this hour.  At the dame time, 10-Year Bond yields are up to 4.64% and Oil (WTI) is up a third of a percent to $75.71 per barrel in early trading.

The major economic news scheduled for Thursday includes Weekly Initial Jobless Claims and Weekly Continuing Jobless Claims (both at 8:30 a.m.), EIA Weekly Crude Oil Inventories (noon), and the Fed Balance Sheet (4:30 p.m.).  Trump also speaks at 11 a.m.  The major earnings reports scheduled for before the open include ALK, AAL, ELV, FCX, GE, HBAN, MKC, NTRS, ORI, TAL, and UNP. Then, after the close, COLB, CSX, EWBC, ISRG, and TXN report.

In economic news later this week, on Friday, we get S&P Global Mfg. PMI, S&P Global Services PMI, S&P Global Composite PMI, Dec. Existing Home Sales, Michigan Consumer Sentiment, Michigan Consumer Expectations, Michigan 1-Year Inflation Expectations, and Michigan 5-Year Inflation Expectations.

In terms of earnings reports later this week, Friday, we hear from AXP, ERIC, HCA, NEE, and VZ.

So far this morning, AAL, ELV, GE, MKC, NTRS, TAL, and TCBI have all reported beats on both the revenue and earnings lines.  Meanwhile, HZO and ORI missed on revenue while beating on earnings.  On the other side, SDVKY and VLY beat on revenue while missing on earnings. 

With that background, it looks like the market is undecided early today.  All three major index ETFs opened the premarket in one direction and have traded the other direction since that start.  SPY and DIA are giving us white body candles while QQQ is now showing a black-body candle. With that said, all three are well above their T-line (8ema) and thus the short-term trend is bullish.  All three have also broken mid-term downtrend lines (running back to the mid-December all-time highs). However, they haven’t printed higher-highs and higher-lows to confirm an uptrend. So, downtrends are broken, but a new bullish trend hasn’t been established.  In the long-term all three are bullish.  In terms of extension, all three are now stretched above their T-line at this point.  For its part, T2122 has fallen but remains in the bottom of its overbought range. So, we need more of a pause or pullback to keep the rally healthy.  However, the market can remain over-extended longer than any of us can stay solvent betting on a reversal too soon.  In terms of the 10 Big Dogs, six of the 10 are in the red with NVDA (-1.81%) well out in front leading the QQQ lower.  On the other side, META (+0.53%) is holding up better than the others.  Related to volume, NVDA also leads the way, having traded 1.5 times as much dollar-volume as TSLA (-0.44%), which itself has traded 5 times as much as AAPL (+0.16%) and MSFT (-0.66%). 

As always, be deliberate and disciplined…but don’t be stubborn. If you have a loss, admit you were wrong and take that loss before it gets out of hand. And when the price does move in your direction, always move your stops in your favor and take a little profit off the table. You have to keep the “Legend of the Man in the Green Bathrobe” in mind. In a winning situation, it is NOT HOUSE MONEY you’re betting, it’s YOUR MONEY! There is no reason to keep raising your bet (risk) size just because you’ve had a win. Finally, remember that trading is not a hobby, it’s a job. The gains are real and so is the risk. So, treat it that way. Do the work and follow the process. Stick to your trading rules, trade with the trend, and take those profits when you have them. Do the work!

See you in the trading room.

Ed

🎯 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 jumped higher on Tuesday.  SPY gapped up 0.52%, DIA gapped up 0.41%, and QQQ gapped up 0.54%.  From there was saw a little divergence.  QQQ sold off and recrossed its gap within the first 30 minutes, reaching the lows by 10:20 a.m. At that point, it rallied until 1 p.m. before drifting lower until 3 p.m. and grinding sideways into the close.  Meanwhile, SPY sold off much more mildly only getting back into the middle of its gap by 10:15 a.m. before starting a long, steady rally until 1:20 p.m.  From there it traded sideways all afternoon.  For its part, unlike the other two, DIA rallied from the open in a slow, steady climb the tempered during the afternoon but continued higher the last 90 minutes.  This action gave us a gap-up, white-bodied Hanging Man type candle.  DIA printed a gap-up, white-bodied large candle (which could be said to be part of a “Trader’s Best Friend” pattern).  However, QQQ printed a gap-up, black-bodied, long-legged Doji. 

On the day, all 10 of the sectors were in the green with Industrials (+2.14%) and Healthcare (+2.03%) leading the charge higher.  On the other side, Energy (+0.03%) was by far the laggard sector.  At the same time, SPY gained 0.92%, DIA gained 1.24%, and QQQ gained 0.59%.  Meanwhile, VXX dropped another 4.21% to close at 42.11 while T2122 climbed even higher into the top half of its overbought range, closing at 95.85.  On the bond side, 10-Year Bond yields plummeted to 4.564% and Oil (WTI) dropped another 2.30% to $76.09 per barrel.  (Much of the last two numbers can be attributed to a HUGE move lower by the US Dollar.)  So, Monday saw the Bulls gap markets higher, show some uncertainty, but then rally most of the day.  It appeared as if traders may have been reassured by the Trump administration holding off on tariffs so far and his initial moves to prop up the already strong oil and gas sectors while bypassing climate and environmental policies/laws.  This all happened on well-below-average volume in all three major index ETFs.   

There was no major economic news on Tuesday.

There was no Fed news on Tuesday either.

After the close, COF, HWC, IBKR, NFLX, STX, UAL, WTFC, and ZION all reported beats on both the revenue and earnings lines.

Overnight, Asian markets were mostly green.  Hong Kong (-.163%) was by far the biggest of the four losing exchanges.  Meanwhile, Japan (+1.58%), South Korea (+1.15%), and Taiwan (+0.97%) led the gainers.  In Europe, with two small exchange exceptions we see green across the board at midday.  The CAC (+1.24%), DAX (+1.32%), and lagging FTSE (+0.29%) lead the region higher in early afternoon trade. In the US, as of 7:30 a.m., Futures are pointing toward a green start to the day.  DIA implies a +0.38% open, the SPY is implying a +0.47% open, and QQQ implies a +0.87% open at this hour.  At the same time, 10-Year Bond Yields are at 4.578% and Oil (WTI) is up two-tenths of a percent to $75.99 per barrel in early trading.

The major economic news scheduled for Wednesday is limited to the US Leading Economic Index (10 a.m.) and the API Weekly Crude Oil Stocks report (4:30 p.m.).  The major earnings reports scheduled for before the open include ABT, ALLY, APH, CMA, GEV, HAL, HDB, JNJ, PG, TEL, TDY, TXT, and TRV. Then, after the close, AA, CACI, DFS, KMI, KNX, PLXS, and STLD report.

In economic news later this week, on Thursday, Weekly Initial Jobless Claims, Weekly Continuing Jobless Claims, EIA Weekly Crude Oil Inventories, and the Fed Balance Sheet are reported.  Finally, on Friday, we get S&P Global Mfg. PMI, S&P Global Services PMI, S&P Global Composite PMI, Dec. Existing Home Sales, Michigan Consumer Sentiment, Michigan Consumer Expectations, Michigan 1-Year Inflation Expectations, and Michigan 5-Year Inflation Expectations.

In terms of earnings reports later this week, Thursday, ALK, AAL, ELV, FCX, GE, HBAN, MKC, NTRS, ORI, TAL, UNP, COLB, CSX, EWBC, ISRG, and TXN report.  Finally, on Friday, we hear from AXP, ERIC, HCA, NEE, and VZ.

So far this morning, ALLY, BKU, CBSH, FNB, HDB, PG, and TDY have all reported beats on both the revenue and earnings lines.  Meanwhile, ABT, HAL, JNJ, TEL, TXT and TRV all missed on revenue while beating on earnings.  On the other side, CMA beat on revenue while missing on earnings.  However, GEV missed on both the top and bottom lines.

With that background, it looks like the Bulls want to run this morning.  All three major index ETFs gapped up to start the premarket and all three have given us a white-body candle since that point.  SPY and DIA are printing mostly-body candles while QQQ is giving us a small Spinning Top type candle so far in the early session.  With that said, all three are well above their T-line (8ema) and thus the short-term trend is bullish.  All three have also broken mid-term downtrend lines (running back to the mid-December all-time highs). However, they have not printed the higher-highs and higher-lows to confirm an uptrend (just continually gapping higher).  So, downtrends are broken, but a new bullish trend hasn’t been established.  In the long-term all three are bullish.  In terms of extension, all three are now stretched above their T-line at this point.  For its part, T2122 is also in the top part of its overbought range. So, we are in need of a pause or pullback to keep the rally healthy.  However, the market can remain over-extended longer than any of us can stay solvent betting on a reversal too soon.  In terms of the 10 Big Dogs, seven of the 10 are in the green with NFLX (+14.45%) way, way out in front due to last night’s earnings beat.  Meanwhile, TSLA (-1.16%) is by far the laggard.  Related to volume, NVDA (+3.02%) is leading the way, having traded 1.5  times as much dollar-volume as TSLA, which itself has traded 1.5 times as much as NFLX. 

As always, be deliberate and disciplined…but don’t be stubborn. If you have a loss, admit you were wrong and take that loss before it gets out of hand. And when the price does move in your direction, always move your stops in your favor and take a little profit off the table. You have to keep the “Legend of the Man in the Green Bathrobe” in mind. In a winning situation, it is NOT HOUSE MONEY you’re betting, it’s YOUR MONEY! There is no reason to keep raising your bet (risk) size just because you’ve had a win. Finally, remember that trading is not a hobby, it’s a job. The gains are real and so is the risk. So, treat it that way. Do the work and follow the process. Stick to your trading rules, trade with the trend, and take those profits when you have them. Do the work!

See you in the trading room.

Ed

🎯 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 Friday, essentially the market move was over at the opening bell.  SPY gapped up 0.88%, DIA gapped up 0.68%, and QQQ gapped up 1.91%. From there, all three major index ETFs meandered sideways all day, with QQQ closing not far below its open as SPY and DIA closed slightly above their opens.  This action gave us indecisive candles in all three.  SPY and DIA printed gap-up, white-bodied, Spinning Top candles.  At the same time, QQQ gave us a gap-up, black-bodied Spinning Top.  This happened on just below average volume in the QQQ while SPY and DIA traded well-below-average volume.

On the day, nine of the 10 of the sectors were in the green with Consumer Cyclical (+1.14%) and Technology (+1.12%) led the charge higher.  On the other side, Healthcare (-0.42%) was the only sector in the red and, by far, the laggard of the 10.  At the same time, SPY gained 1.00%, DIA gained 0.73%, and QQQ gained 1.69%.  Meanwhile, VXX was just on the green side of flat again to close at 43.96 while T2122 climbed even higher, into the top half of its overbought range, closing at 93.81.  On the bond side, 10-Year Bond yields rose a bit again to 4.623% and Oil (WTI) fell 0.81% to $78.04 per barrel.  So, Friday was all about the open.  Once that was behind us, the market seemed to just chop sideways.  It appeared as if many traders got out of town early to extend their three-day weekend by another day. 

The major economic news for Friday were limited to December Building Permits, which came in higher than expected at 1.483 million (compared to a 1.460 million forecast, but down from November’s 1.493 million).  At the same time, December Housing Starts came in much higher than expected a 1.499 million (versus a1.330 million forecast and November’s 1.294 million).  Later, December Industrial Production SPIKED to +0.9% (compared to a +0.3% forecast and the +0.2% November value).  On an annualized basis, December Industrial Production was a +0.55% (versus the November -0.61% reading).  Then, at the close, November TIC Net Long-Term Transactions where down sharply to $0.79 billion (compared to a $159.9 billion forecast and October’s $159.1 billion value).

There was no Fed news Friday.  However, the Treasury Department announced it would start extraordinary measures to avoid a UD Debt Limit breach as of today.  The outgoing Treasury Sec. Yellen announced the statutory borrowing limit would be reached Tuesday.  As part of the “extraordinary measures,” all government investment into government employee benefit funds are being suspended as well as any other spending not immediately needed to pay benefits.

Overnight, Asian markets were mixed.  India (-1.37%) was the biggest mover and led the four losing exchanges lower.  Meanwhile, Hong Kong (+0.91%) and Thailand (+0.90%) paced the eight gainers.  In Europe, we also see a mixed picture with six green bourses, seven red ones, and the FTSE unchanged in early afternoon trade.  In the Us, as of 7:30 a.m., Futures are pointing toward a modestly green start to the week.  The DIA implies a +0.45% open, the SPY is implying a +0.37% open, and the QQQ implies a +0.45% open at this hour.  At the same time, 10-Year Bond Yields are down to 4.57% and Oil (WTI) is down 2.4% to $76.01 per barrel in early trading.

There is no major economic news scheduled for Tuesday.  The major earnings reports scheduled for before the open include MMM, SCHW, DHI, FITB, FOR, KEY, EDU, PLD, and UMC.  Then, after the close, COF, IBKR, NFLX, STX, UAL, WTFC, and ZION report.

In economic news later this week, on Wednesday, we get US Leading Economic Index and the API Weekly Crude Oil Stocks report.  Then Thursday, Weekly Initial Jobless Claims, Weekly Continuing Jobless Claims, EIA Weekly Crude Oil Inventories, and the Fed Balance Sheet are reported.  Finally, on Friday, we get S&P Global Mfg. PMI, S&P Global Services PMI, S&P Global Composite PMI, Dec. Existing Home Sales, Michigan Consumer Sentiment, Michigan Consumer Expectations, Michigan 1-Year Inflation Expectations, and Michigan 5-Year Inflation Expectations.

In terms of earnings reports later this week, Wednesday we hear from ABT, ALLY, APH, CMA, GEV, HAL, HDB, JNJ, PG, TEL, TDY, TXT, TRV, AA, CACI, DFS, KMI, KNX, PLXS, and STLD.  On Thursday, ALK, AAL, ELV, FCX, GE, HBAN, MKC, NTRS, ORI, TAL, UNP, COLB, CSX, EWBC, ISRG, and TXN report.  Finally, on Friday, we hear from AXP, ERIC, HCA, NEE, and VZ.

So far this morning, MMM, SCHW, DHI, FITB, KEY, and ONB all reported beats on both the top and bottom lines.  Meanwhile, EDU beat on revenue while missing on earnings.  However, UMC missed on both the top and bottom lines.

With that background, the market appears to be continuing its uncertain rally from last week (climbing the wall of worry if you like).  All three major index ETFs gapped up to begin the premarket.  However, all three have also printed indecisive, yet white-bodied, candles since that start.  With that said, all three do remain above their T-line (8ema) and thus the short-term trend is bullish.  All three have also broken their mid-term downtrend line (running back to the mid-December all-time highs). However, they have not printed the higher-highs and higher-lows to confirm an uptrend.  So, downtrends are broken, but a new bullish trend hasn’t been established.  In the long-term all three are bullish.  In terms of extension, QQQ, SPY and DIA are pretty stretched above their T-line at this point.  For its part, T2122 is also in its overbought range. So, we are in need of a pause or pullback to keep the rally healthy.  However, the market can always stay over-extended longer than any of us can stay solvent betting on a reversal too soon.  In terms of the 10 Big Dogs, nine of the 10 are in the green with INTC (+2.05%) and TSLA (+1.94%) leading the way while AAPL (-1.79%) lags.  Related to volume, TSLA is leading the way, having traded almost 2.5 times as much dollar-volume as NVDA (+0.46%), which itself is almost twice AAPL’s trade. 

As always, be deliberate and disciplined…but don’t be stubborn. If you have a loss, admit you were wrong and take that loss before it gets out of hand. And when the price does move in your direction, always move your stops in your favor and take a little profit off the table. You have to keep the “Legend of the Man in the Green Bathrobe” in mind. In a winning situation, it is NOT HOUSE MONEY you’re betting, it’s YOUR MONEY! There is no reason to keep raising your bet (risk) size just because you’ve had a win. Finally, remember that trading is not a hobby, it’s a job. The gains are real and so is the risk. So, treat it that way. Do the work and follow the process. Stick to your trading rules, trade with the trend, and take those profits when you have them. Do the work!

See you in the trading room.

Ed

🎯 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 opened up mixed to get us started on Thursday.  SPY gapped up 0.23%, DIA opened 0.01% lower, and QQQ gapped up 0.47%.  From there, all three major index ETFs sold off for 30 minutes and then meandered sideways in waves until 1 p.m.  At that point, SPY and QQQ diverged from DIA.  SPY and QQQ made another leg lower for an hour, then rallied for an hour to get back to where they were at 1pm before selling off again the last hour.  For its part, DIA just kept meandering sideways all day.  This action gave us a Bearish Engulfing candle in the QQQ that gapped above and then failed its downtrend line, closing just above its T-line (8ema).  The SPY gave us a Dark Cloud Cover that also gapped above and then failed its downtrend line, but remains above its T-line.  Meanwhile, DIA printed a black-bodied Spinning Top Doji type candle.

On the day, eight of the 10 of the sectors were in the green with Utilities (+2.05%) way out in front leading the way higher.  On the other side, Technology (-0.24%) and Consumer Cyclical (-0.23%) were the only sectors in the red and the laggards. At the same time, SPY fell 0.19%, DIA lost 0.26%, and QQQ dropped 0.70%.  Meanwhile, VXX was just on the green side of flat at +0.16% to close at 43.62 while T2122 rose another 1.80%, closing at 87.56.  On the bond side, 10-Year Bond yields dropped again to 4.615% and Oil (WTI) fell 1.69% to $78.69 per barrel.  So, Thursday was an indecisive day that might have been signaling reversal of Wednesday’s pop.  (Just remember that every candle signal needs confirmation.)  This happened on well-below average volume in all three major index ETFs.

The major economic news Thursday included Weekly Initial Jobless Claims, which came in higher than expected at 217k (compared to a forecast of 210k and the prior week’s 203k).  For ongoing, Weekly Continuing Jobless Claims were lower than was predicted at 1.859k (versus a 1,870k forecast and the previous week’s 1,877k value).  At the same time, the December Export Price Index was higher anticipated at +0.3% (compared to the +0.2% forecast and November’s flat 0.0%).  On the incoming side, the Dec. Import Price Index was +0.1% (versus a -0.1% forecast and in-line with November’s +0.1%).  Meanwhile, the Philly Fed Mfg. Index was MUCH higher than expected at 43.3 (compared to a -5.0 forecast and December’s -10.9 reading).  On the jobs side, Philly Fed Mfg. Employment was also stronger at 11.9 (versus December’s 4.8 value).  At the same time, Dec. Core Retail Sales were up, but less that expected at +0.4% (compared to a forecast of +0.5% and November’s +0.2%).  For the headline number, Dec. Retail Sales were lower than predicted at +0.4% (versus a forecast of +0.6% and November’s +0.8%).  Later, November Business Inventories were up a tick as anticipated at +0.1% (compared to a +0.1% forecast and October’s flat 0.0% value).  At the same time, Nov. Retail Inventories were up, but not as much as predicted at +0.5% (versus the +0.6% forecast, but up sharply from October’s +0.1% reading). Then, after the close, the Fed Balance Sheet showed a $20 billion decline from $6.854 trillion to $6.834 trillion. 

In Fed news, on Thursday, Fed Governor Waller told CNBC that a rate cut cannot be ruled out for March.  He said, “(Inflation) is getting close to what our 2% inflation target would be.”  More broadly, Waller said, “If inflation data comes in as it has, I’d expect a cut in the first half of the year” … “If inflation is down and the labor market stays solid, you could think about restarting rate cuts several months from now…I don’t think March could be completely ruled out.”  Later, Chicago Fed President Goolsbee told the Wall Street Journal, “I have over the last several months become more comfortable that this is a stabilization of the job market at a full-employment-like level, as opposed to something that was crashing through normal and turning into something worse.”  

After the close, JBHT missed on both the revenue and earnings lines.

Overnight, Asian markets were mixed but leaned bullish with five exchanges in the red and seven in the green.  New Zealand (+1.00%) led the gainers while Thailand (-0.88%) paced the losses.  In Europe, the picture is greener with 13 of the 14 bourses above break-even at midday.  The CAC (+1.04%), DAX (+0.98%), and FTSE (+1.29%) lead the region higher in early afternoon trade.  Meanwhile, in the US, as of 7:40 a.m., Futures are pointing toward a modest move higher to start the day.  The DIA implies a +0.38% open, SPY is implying a +0.34% open, and QQQ implies a +0.42% open at this hour.  At the same time, 10-Year Bond yields are down to 4.582% and Oil (WTI) is just on the red side of flat at $78.61 per barrel in early trading.

The major economic news scheduled for Friday are limited to Dec. Building Permits and Dec. Housing Starts (both at 8:30 a.m.), Dec. Industrial Production (9:15 a.m.), and Nov. TIC Net Long-Term Transactions (4 p.m.).  The major earnings reports scheduled for before the open include CFG, FAST, RF, SLB, STT, TFC, WBS, and WIT.  Then, after the close, there are no reports scheduled.

So far this morning, CFG, RF, SLB, STT, TFC, and WBS have all reported beats on both the revenue and earnings lines. Meanwhile, WIT missed on revenue while coming in in-line on earnings.  However, FAST missed on both the top and bottom lines.

With that background, the market tepidly bullish this morning.  The three major index ETFs made a small gap higher to start the premarket.  All three have managed to print small white body candles since the start of the early session, but there are no break-aways from the recent few days’ range.  With that said, all three do remain above their T-line (8ema) and thus the short-term trend is bullish.  It is worth noting that SPY has rejoined DIA (by virtue of the premarket gap higher) in being above their mid-term downtrend line which extends back to mid-December.  So, the downtrends are broken in those two, but a new bullish trend (higher-highs and higher-lows) hasn’t been established.  In the long-term all three are bullish.  In terms of extension, none of the three are too extended above their T-line.  For its part, T2122 is in its overbought range. So, both sides have room to work today, but the Bears have a bit more slack. In terms of the 10 Big Dogs, all 10 are in the green with NVDA (+0.85%) and AAPL (+0.82%) leading the way while INTC (+0.10%) lags.  Related to volume, TSLA (+0.70%) is leading the way, having traded almost twice as much dollar-volume as NVDA, which has traded twice as much as AAPL.  That said, it is a low-volume morning so far.  (Remember this is Options Expiration day and Monday is a holiday.)   

As always, be deliberate and disciplined…but don’t be stubborn. If you have a loss, admit you were wrong and take that loss before it gets out of hand. And when the price does move in your direction, always move your stops in your favor and take a little profit off the table. You have to keep the “Legend of the Man in the Green Bathrobe” in mind. In a winning situation, it is NOT HOUSE MONEY you’re betting, it’s YOUR MONEY! There is no reason to keep raising your bet (risk) size just because you’ve had a win. Finally, remember that trading is not a hobby, it’s a job. The gains are real and so is the risk. So, treat it that way. Do the work and follow the process. Stick to your trading rules, trade with the trend, and take those profits when you have them. Do the work!

See you in the trading room.

Ed

🎯 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 big banks and especially CPI delivered for the Bulls on Wednesday.  SPY gapped up 1.39%, DIA gapped up 1.48%, and QQQ gapped up 1.57%.  From there, all three major index ETFs saw a follow-through rally for about 40-60 minutes, an hour of selloff, and then a rally that lasted the rest of the day.  Only profit-taking the last 30 minutes prevented the market from going out on the highs.  This action gave us gap-up, white-body candles in all three major index ETFs.  SPY and QQQ had larger bodies, but all three were some form of a Spinning Top.  All three are now above their T-line (8ema).  However, it is worth noting that SPY and QQQ retested and back down from their Bear downtrend line that extends back to the all-time highs in mid-December.

On the day, all 10 of the sectors were in the green with Financial Services (+2.56%) and Technology (+2.26%) leading the way higher.  On the other side, Consumer Defensive (+0.03%) was by far the laggard. At the same time, SPY gained 1.82%, DIA gained 1.67%, and QQQ gained 2.26%.  Meanwhile, VXX plummeted 8.16% to close at 43.55 while T2122 popped up into its overbought range, closing at 86.01.  On the bond side, 10-Year Bond yields plummeted to 4.653% and Oil (WTI) spiked 3.94% to $80.56 per barrel.  So, after the strong gap higher Wednesday, the Bulls won the tug of war, but it was not decisive.  In other words, there was plenty of wick on both ends of all three major index ETF candles. This happened on slightly above-average volume in the SPY, DIA, and QQQ.

The major economic news Wednesday included December Month-on-Month Core CPI, which came in a tick better than expected at +0.2% (compared to a +0.3% forecast and November value).  On the annualized basis, December Year-on-Year Core CPI was also a tick better than expected at +3.2% (versus a +3.3% forecast and November reading).  For the headline numbers, December Month-on-Month was up a tick as predicted at +0.4% (compared to a +0.4% forecast and a +0.3% November number). On an annualized basis, December Year-on-Year CPI was as anticipated at +2.9% (versus a +2.9% forecast but two ticks higher than November’s +2.7% value).  At the same time, the NY Empire State Mfg. Index was way down to -12.60 (compared to a +2.70 forecast and a December +2.10 reading).  Later, EIA Weekly Crude Oil Inventories showed a 1.962-million-barrel drawdown (less than the forecasted 3.500-million-barrel drawdown, but higher than the prior week’s 0.959-million-barrel draw. 

In Fed news, on Wednesday, Richmond Fed President Barkin told reporters that the December CPI “continues the story we have been on, which is that inflation is coming down towards target.”  Barkin continued, “The ‘economy weakening’ argument seems to be decaying … You keep seeing good numbers on retail sales, unemployment, and the like Demand, you are hearing, is good, solid, fine.”  Separately, NY Fed President Williams said, “The process of disinflation remains in train.”  He went on, “Monetary policy is well positioned to keep the risks to our goals in balance.”  However, he also expressed caution based on indecision over the new administration’s policies.  He said, “The economic outlook remains highly uncertain, especially around potential fiscal, trade, immigration, and regulatory policies. Therefore, our decisions on future monetary policy actions will continue to be based on the totality of the data, the evolution of the economic outlook, and the risks to achieving our dual mandate goals.”  Elsewhere, Minneapolis Fed President Kashkari commented that “Tariffs themselves don’t cause inflation, but retaliation does and the whole issue is more complicated.”  Finally, Chicago Fed President Goolsbee said he continues to see progress on inflation and that he is optimistic for a soft landing in 2025. However, he also said the CPI report was both somewhat encouraging and somewhat discouraging in equal measure.  He continues to see continued progress on inflation, but he is also “wary of the seasonal pattern of inflation.”

After the close, CNXC and FUL both reported a miss on revenue while also beating on earnings.  Later, SNV reported beats on both the top and bottom lines.

Overnight, Asian markets were mostly green with 10 of the 12 exchanges above break-even.  Malaysia (-0.42%) was the only appreciable loser.  Meanwhile, Taiwan (+2.27%), Australian (+1.38%), and South Korea and Hon Kong (both +1.23%) led the region higher. In Europe, we see a similar picture with 11 of 14 bourses showing green at midday.  The CAC (+2.00%), DAX (+0.26%), and FTSE (+0.60%) lead the region higher in early afternoon trade.  In the US, as of 7:30 a.m., Futures are pointing toward a mixed start to the morning.  DIA implies a -0.18% open, the SPY is implying a +0.15% open, and QQQ implies a +0.34% open at this hour.  At the same time, 10-Year Bond yields are back up to 4.68% and Oil (WTI) has pulled back 0.94% to $79.28 per barrel in early trading.

The major economic news scheduled for Thursday includes Weekly Initial Jobless Claims, Weekly Continuing Jobless Claims, Dec. Export Price Index, Dec. Import Price Index, Philly Fed Mfg. Index, Philly Fed Mfg. Employment, Dec. Core Retail Sales, and Dec. Retail Sales (all at 8:30 a.m.), November Business Inventories and Nov. Retail Inventories (both at 10 a.m.), and the Fed Balance Sheet (4:30- p.m.).  Fed member Williams also speaks again at 11 a.m.  The major earnings reports scheduled for before the open include BAC, FHN, GS, INFY, MTB, MS, PNC, TSM, USB, and UNH.   Then, after the close, JBHT reports.

In economic news later this week, on Friday, Dec. Building Permits, Dec. Housing Starts, Dec. Industrial Production, and Nov. TIC Net Long-Term Transactions are reported.

In terms of earnings reports later this week, Friday, CFG, FAST, RF, SLB, STT, TFC, WBS, and WIT report.

So far this morning, BAC, FHN, INFY, MTB, MS, PNC, TSM, and USB all reported beats on both the revenue and earnings lines.  Meanwhile, UNH missed on revenue while beating on earnings.

With that background, the market seems undecided this morning.  All three major index ETFs gapped higher to start the premarket.  However, all three have also printed black-body candles since that point, with DIA being the only one with significant wicks (and the larges of those is to the upside).  This indicates the market is uncertain that its gap up in the early session was warranted.  With that said, all three do remain above their T-line (8ema) and thus the short-term trend is bullish.  It is worth noting that SPY and QQQ joined DIA (by virtue of their premarket gap higher) in being above their mid-term downtrend line which extends back to mid-December.  So, the downtrends are broken but a new bullish trend (higher-highs and higher-lows) hasn’t been established.  In the long-term all three are bullish.  In terms of extension, none of the three are too extended above their T-line, but they are starting to push things.  For its part, T2122 is now in the overbought range. So, both sides have room to work today.  In terms of the 10 Big Dogs, seven of the 10 are in the green with NFLX (+1.29%) leading the way while META (-1.54%) lags.  Related to volume, NVDA (+0.92%) is leading TSLA (-0.96%) by about 25% with TSLA having traded five times as much as the next closest ticker.

As always, be deliberate and disciplined…but don’t be stubborn. If you have a loss, admit you were wrong and take that loss before it gets out of hand. And when the price does move in your direction, always move your stops in your favor and take a little profit off the table. You have to keep the “Legend of the Man in the Green Bathrobe” in mind. In a winning situation, it is NOT HOUSE MONEY you’re betting, it’s YOUR MONEY! There is no reason to keep raising your bet (risk) size just because you’ve had a win. Finally, remember that trading is not a hobby, it’s a job. The gains are real and so is the risk. So, treat it that way. Do the work and follow the process. Stick to your trading rules, trade with the trend, and take those profits when you have them. Do the work!

See you in the trading room.

Ed

🎯 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