Mid-Market Update: The bulls were anxious to see this morning’s jobs number in order to help them regain some lost momentum this week. Futures were negative ahead of the open, but they improved ahead of the news that nonfarm payrolls rose by 178,000 in November.
Pre-Market Update: The market followed a similar pattern on Thursday, as the major indices were mixed with continued divergence between the blue-chips and tech. The rotation has punished momentum stocks that aren’t in the mix, which is either a sign of continued weakness or a buying opportunity.
Mid-Market Update: Today’s flat to slightly lower action has been no surprise, as I mentioned that there could be choppiness into tomorrow’s job report. The suits-and-ties have forecasted that 180,000 jobs were added last month, and Wall Street will be looking for growth.
Pre-Market Update: The market finished mixed on Wednesday despite getting off to a good start. Oil rose as OPEC decided to cut production, but it ran into key resistance levels at $49-$50. Economic news has been good of late, and traders are anxiously looking ahead to tomorrow’s jobs report.
Mid-Market Update: Oil was up 7% in pre-market trading this morning ahead of OPEC’s oil-production decision. Futures were also up and pointing towards a higher open, with record highs still on the horizon.
Buy to open the ETFC January (2017) 35 calls (ETFC170120C00035000) for a maximum price of $1.15.
Buy to open the QQQ January (2017) 122 calls (QQQ170120C00122000) for a maximum price of $1.10.
Buy to open the RMBS February (2017) 14 calls (RMBS170217C00014000) for a maximum price of $0.70.
Buy to open the TIVO January (2017) 22.50 calls (TIVO170120C00022500) for a maximum price of $0.65.
Pre-Market Update: The bulls returned to their winning ways on Tuesday following some opening weakness, as the market finished mostly higher. The small-caps slacked, but tech tapped another all-time intraday high. Today’s action could see wider swings as a result of OPEC’s decision and the subsequent reaction in oil prices to a possible cut in production.
Mid-Market Update: One of my favorite sectors to play long and short positions on is the grocery and supermarket stocks. I usually stick to two names for the most part, which I have recommended on a frequent basis as official positions for the portfolio over the years.
Pre-Market Update: The bears made a brief appearance on Monday following three weeks of hibernation, but they did little damage in their efforts to slow the momentum. The small-caps had their 15-session win streak halted, although the pullback held rising support and last Monday’s levels. The close off of the lows was slightly bullish, but volatility rose to a level that needs to be respected.
Mid-Market Update: Futures were showing a slippery open this morning, with near-term support coming into play. While this is giving the talking heads comfort in knowing that the market doesn’t always go straight up, they can hang their hats on finally calling for a pullback, providing the losses hold into the close.
Pre-Market Update: The bulls kept their post-election momentum going on Friday, as the market closed higher for the third-straight week. With three trading days left in the month of November and the bears still in hibernation, record highs are still possible, as fund managers will be forced to chase as they come back from a holiday week.
Pre-Market Update: The market continued its traditional Thanksgiving rally this week, as the major indices pushed record highs again on Wednesday. Tech was a little slack, but the small-caps extended their winning streak to 14-straight. Today’s half-session is expected to be flat, as volume will be light and much of Wall Street will be taking extended vacations.
Mid-Market Update: The small-caps continue to shine and are working on their 14th-straight win, providing they hold today’s gains into the close. The post-election rally has been breathtaking, and I mentioned that it could be smooth sailing into the first week of December.
Buy to open the IMAX January (2017) 36 calls (IMAX170120C00036000) for a maximum price of $1.10.
Pre-Market Update: The market enjoyed another banner day on Tuesday, as all of the major indices continued their assault on all-time highs. With my fluff targets now in play, all we have to do is try and relax during the Thanksgiving action. Trading will likely be light today ahead of the Thanksgiving holiday on Thursday, but we will still be watching for warning signs of a market top while we nibble on bullish positions.
Mid-Market Update: With many of the slick-talking pros taking it easy and going on early vacations this week, the bulls aren’t giving the market a reason for a pullback, as the technical outlook continues to improve.
Pre-Market Update: The market continued its run to record highs yesterday, as the bulls got off to another good start for the week. I have been talking about the early hibernation by the bears into December and, with volatility falling below a key level of support, this week looks “all clear” to stay long.
Mid-Market Update: Futures were forecasting a slightly higher open and continued strength to higher highs ahead of this morning’s opening bell. Today’s action has helped the broader market break out to fresh all-time highs, and my fluff targets from this morning’s Pre-Market Update are coming into play.
Pre-Market Update: The bulls started last week on another high note, with the Russell 2000 joining the Dow in setting fresh 52-week peaks. However, the divergence continued, as the broader market and tech showed weakness. The bears tried their best against rising support, but they struggled for back-to-back sessions.
Mid-Market Update: November options expiration day has been bullish over the past 13 years, as the bulls have won the battle in 11 of them, or nearly 85% of the time. The bears had an edge going into today’s action, as futures were slightly weak overnight and heading into this morning’s opening bell.
Pre-Market Update: The bulls continued their thirst for higher highs, with the small-caps leading Thursday’s pack. The financial stocks showed strength again, which put the bears back on defense. Wall Street might be hesitant to go long over the weekend, but my current outlook shows blue-sky territory now continuing into the first week of December.
Mid-Market Update: I mentioned in yesterday’s Mid-Market Update that the king of the penny-beat, Cisco Systems (CSCO, $29.81, down $1.76), was reporting earnings, and it had a slight surprise for Wall Street on Wednesday after the close. The company actually beat estimates by $0.02, and revenue was higher as well. The problem was that the current forecast came in $0.02-$0.04 below expectations.
Pre-Market Update: The talking heads were finally patting themselves on the back yesterday, as they blamed Wednesday’s “pullback” on a market that had gone too high, too fast. However, that theory was broken by last Friday’s close. In reality, the market was split and closed mixed, with tech continuing its rebound. The financial stocks held the bulls from what would likely have been clean sweep, but momentum is still on their side.
Mid-Market Update: Earnings will come back into play in a big way today and for the rest of the week, as a number of high-profile companies and Wall Street darlings are set to confess their latest numbers.
Pre-Market Update: This week’s morning choppiness continued on Tuesday, and the market moved within a narrower trading range for much of the session. However, momentum picked up in the afternoon, led by the Nasdaq, and the Dow extended its win streak to seven-straight sessions. Higher highs continue to appear to be on the horizon, and volatility is also relaxing.
Mid-Market Update: Bank of America (BAC, $19.97, down $0.11) shares cleared $20 on Monday and are trying to hold longer-term resistance at this level. Momentum is a powerful tool, although it can sometimes be intimidating to even the best traders.
Buy to open the AAPL January (2017) 115 calls (AAPL170120C00115000) for a maximum price of $1.40.
Pre-Market Update: The market was mixed during much of Monday’s action, as both the bulls and bears split the session. Some of the baby bulls showed up to push the financial stocks to fresh highs, but the bigger story was the small-caps, which tapped a fresh all-time peak.
Mid-Market Update: Although the Nasdaq is holding near-term support, several high-profile tech stocks are getting whacked today. Shares of Apple (AAPL), Facebook (FB), Netflix (NFLX) and Alphabet (GOOG) are down around 3% on average.
Pre-Market Update: The market was oversold as it came into last week following a two-week pullback and backtest to the major moving averages. While a rebound was nearly a given on a Hillary Clinton win, a Donald Trump presidency wasn’t, and that caught Wall Street off guard.
Mid-Market Update: Despite another choppy open, the bulls have pushed higher highs today and are on track for the best week in two years. The market quickly went from being oversold coming into the week to being stretched at current levels heading into the weekend.
Pre-Market Update: The Dow surged to all-time highs on Thursday despite the pullback in tech. The action has caught Wall Street off guard, as most thought a selloff would occur as a result of a Trump presidency, but they were wrong. More follow-through today would be bullish for next week.
Mid-Market Update: The market is taking two different paths today, with the Dow pushing an all-time high while tech is pulling back. The divergence is a slightly bearish signal, as a number of high-profile stocks are taking hits.
Take profits and sell to close the first half of the MSFT December 57.50 puts at current levels.
Pre-Market Update: The market shrugged off a rocky start and some overnight jitters to push higher highs and additional layers of resistance yesterday, registering its third-straight win. The gains helped put all-time highs back in reach, and the VIX closed below 15 for the first time since late October.
Mid-Market Update: While much of the nation watched the electoral votes come in last night in anticipation of who might win the election, futures were giving a much clearer signal. Dow futures were down more than 800 points at one time last night, but they recovered massively ahead of this morning’s opening bell.
Pre-Market Update: Despite a slow start to the session, the bulls got their second-straight win on Tuesday. The slight dip on the open was a simple backtest to fresh support and one that was expected following Monday’s huge rally. The rebound to higher highs was also a given, with the bears holding resistance ahead of the presidential election.
Mid-Market Update: Shares of Shake Shack (SHAK, $32.75, up $0.45) will be on the move in extended trading on Wednesday, as the company is scheduled to announce earnings after the closing bell. Shares recently tested a multi-month low of $30.90 but held the 52-week low of $30 that was set in January of this year. Below is a two-year chart that shows the IPO debut and the subsequent run towards $100 afterwards.
Pre-Market Update: The bulls registered their best session since March following Monday’s blowout rally, which put an end to a nine-session slide. The bears were caught off guard, and they gave back more than half of the losses over that time period, but they still hold an edge as additional layers of resistance come into play.
Mid-Market Update: Futures were showing a strong open this morning following the news over the weekend that the FBI would not bring any charges against presidential candidate Hillary Clinton regarding her email debacle. While I often say that market pundits like to attach a headline when the market goes higher or lower, my notes from the weekend focused on the market’s oversold condition and a possible rebound rally this week.
Pre-Market Update: The bears pushed lower lows to end last month, and November also started off weak, with a break below the October lows ahead of the Fed news mid-week. The zombies’ decision to leave interest rates unchanged was certainly not a shocker from a hand that has been read worse than a fish at a poker table filled with sharks.
Mid-Market Update: Futures were flat ahead of this morning’s non-farm payrolls report, but they improved following the news that 161,000 jobs were added for October, with the unemployment rate falling from 5% to 4.9%. Wall Street was looking for a print of 175,000.
Pre-Market Update: The nervousness on Wall Street went up a notch following Thursday’s continued pullback and ahead of this morning’s jobs report. Good or bad, the lower lows came on continued volatility, as another key level of resistance was cleared. The upcoming weekend and presidential election will make it hard for investors to stay long, and buying on weakness seems to have gone out of style.
Mid-Market Update: Wall Street will be cheerleading for Starbucks (SBUX) to announce better-than-expected earnings today, as they are due to be released after the close. Analysts are expecting the company to post a profit of $0.55 a share on revenue of $5.68 billion.
Buy to open the SBUX January (2017) 47.50 puts (SBUX170120P00047500) for a maximum price of $1.10.
Set a Limit Order to sell to close the LSCC December 7.50 calls at $0.90.
Pre-Market Update: The market pundits were accurate in predicting that the Fed would stand pat on raising interest rates, and the December meeting is now in focus. Still on the radar for this week is Friday’s unemployment report, which could come in weaker-than-expected based on another private sector jobs report released on Wednesday.
Mid-Market Update: The bears are trying to push fresh lows ahead of the Fed’s decision on interest rates today, which is due to be released at the top of the hour. Wall Street is nearly 100% certain that no rate hike will be announced, but I have taught myself to expect the unexpected when it comes to trading the stock market.
Pre-Market Update: The market pulled back on Tuesday, with the major indices falling below the previous October lows. The stretch below support and the lower lows could lead to further weakness, as Wall Street is finally noticing the spike in volatility.
Mid-Market Update: The market has traded on both sides of the ledger during the first half of the action and ahead of the Fed’s two-day meeting that starts today. The zombies will be sleeping through the get-together, however, as the upcoming presidential election is just a week away. There is no scheduled press conference afterwards, so risk may be limited.
Buy to open the MSFT December 57.50 puts (MSFT161216P00057500) for a maximum price of $1.00.
Pre-Market Update: Trading was extremely tight on Monday, with Wall Street still waiting for a major breakout or breakdown to occur. Although the bulls and bears offered no clues, the small-caps and the VIX traded higher after holding support and resistance, respectively.
Mid-Market Update: Shares of Microsoft (MSFT, $60.38, up $0.51) recently broke out to a fresh 52-week and all-time high of $61.37 following a better-than-expected earnings report. Earlier this month, the company reported earnings of $0.76 a share on revenue of $22.3 billion. Wall Street was looking for a profit of $0.68 a share on revenue of $21.7 billion.
Pre-Market Update: The bulls got their best shot at testing and possibly breaking out to fresh all-time highs last week, but the bears had other plans. The Nasdaq was within 1% of its lifetime high going into heavy-weight Apple’s earning’s announcement. The results failed to impress Wall Street, despite the company forecasting a strong holiday season for its products.
Mid-Market Update: Today is the 85th anniversary of the worst two-day stretch ever on Wall Street, in which the Dow lost a whopping 23% of its value. I was reminded of this 1929 nugget of history while I was doing my homework last week, and it’s one reason why I said it would be imperative the bulls clear resistance by the end of this week. So far, that hasn’t happened.
Pre-Market Update: The market pulled back on Thursday during another choppy session and a continued tight trading range. Although the bulls held support for the most part, the small-caps’ fall back below the 1,200 level was another bearish development.
Mid-Market Update: The Dow hasn’t made a triple-digit move in 11 sessions, and the lack of 1% moves in the overall market has confirmed the trading range that I warned about at the start of last week. I followed up those comments this morning by saying that the tight action could continue into the presidential election, but the lower lows, I warned, are concerning.
Buy to open the QQQ November 115 puts (QQQ161118P00115000) for a maximum price of $1.20.
Pre-Market Update: Although the bulls held support and the blue-chips finished the session higher on Wednesday, the lower lows for the week are a cause for concern. Additional weakness and a move below last week’s lows could lead to some end-of-month drama and provide more momentum for the bears.
Mid-Market Update: The market started off weak this morning following a number of disappointing earnings reports, but it has rebounded off of its lows heading into the final hours of trading.
Pre-Market Update: I know I have sounded like a broken record all month by continually hinting that the market could possibly return to all-time highs. Well, the bulls were almost there, and they were looking for Apple (AAPL) to help take them back to the promised land. However, a disappointing report has caused another “skip” in the record, and that has Wall Street preparing for another pullback.
Mid-Market Update: Shares of Six Flags Entertainment (SIX) could make a major move on Wednesday, as the company is scheduled to report earnings before the opening bell. The technical setup is bearish, and earnings have been choppy over the past year.
Take profits and sell to close the first half of the QQQ November 120 calls at current levels.
Buy to open the SIX November 50 puts (SIX161118P00050000) for a maximum price of $1.50.
Pre-Market Update: Tech came through in a big way on Monday, as the Nasdaq cleared major resistance. Merger and acquisition news stole the headlines, but the bigger development was the bulls’ ability to clear upper resistance across the board. Volatility continued to fall, but it is holding lower support ahead of a busy week for earnings.
Mid-Market Update: I covered a few companies that are scheduled to report earnings this week in this morning’s Pre-Market Update and, with this being the busiest week for third-quarter earnings, the slate is heavy.
Pre-Market Update: The bulls snapped a two-week losing streak as the market made slight gains last week. However, the technical picture has weakened, with the bears growling and a number of high-profile earnings due out this week. Volatility has been creeping lower, but it could come back into play in a big way if corporate earnings come in with sketchy results or if outlooks are lowered.
Mid-Market Update: Today’s action has been mostly flat, but the bulls are on track to get the weekly win. The bears have made several attempts to crack support, although it appears the recent trading range will carry over into next week.
Pre-Market Update:The bears made an appearance on Thursday, but they did little to disrupt my thesis of staying long. Volatility continued to fade, although it could get going again if October options expiration comes into play today. In recent months, the action has been less volatile on expiration days, and a VIX close below 13.50 would be a very bullish sign ahead of the weekend.
Mid-Market Update: The bulls are working to secure a three-session win streak today, and they are also trying to end a two-week losing streak that began at the start of October. Overall, trading has been choppy, as Wall Street is awaiting October options expiration tomorrow.
Pre-Market Update:The market trudged higher on Wednesday to push near-term resistance levels once again. Continued strength appears to be in the cards, but October options expiration is this Friday, so how we finish the week will be the more important part of the overall picture.
Mid-Market Update: E*Trade Financial (ETFC) is scheduled to announce earnings this Thursday, after the closing bell. The company is expected to post a profit of $0.40 a share on revenue just south of $471 million.
Pre-Market Update:The bulls recovered the losses from earlier in the week and pushed upper resistance on Tuesday following an all-day romp in positive territory. However, the failure to clear resistance remains a concern, and the bears are still holding the VIX above 15.
Mid-Market Update: The bulls are pushing higher highs today, and the market’s near-term resistance levels are being tested. Tech and the small-caps are leading the charge, although IBM (IBM, $150.52 down $4.25) is weighing down the Dow slightly following the company’s earnings update.
Pre-Market Update:The bulls held court for much of Monday’s session, while the bears pushed near-term support. Although the action was frustrating to follow, there were some bullish clues that suggest higher highs should be in play into the end of the month.
Mid-Market Update: The bulls are shooting to get their third-straight Monday win today, but they have been having trouble keeping the bears at bay since the opening bell. The losses have been contained, however, and a rebound off of the lows into the close would be a slightly bullish signal.
Buy to open the ETFC November 29 calls (ETFC161118C00029000) for a maximum price of $1.15.
Pre-Market Update:The bulls got off to a good start last week, but trading was choppy heading into the mid-week Fed minutes. Although the market closed with mixed results on the news, Thursday’s pullback was another reminder of how close the bears are to making this a nasty October. However, Friday’s rebound is keeping the bulls in the game, and earnings season will start to pick up steam in the coming weeks.
Mid-Market Update: As is true with most small-cap stocks, shares can be volatile. Lattice Semiconductor (LSCC, $6.03, down $0.03) has a market cap of $722 million, and the company is expecting to generate revenue north of $460 million this year. Theoretically, a $1 billion buyout offer for LSCC could provide the acquirer with a great company for under $10 a share.
Pre-Market Update: The bears are on track to score their second-straight weekly win this afternoon, as the bulls need to make up losses of 1%-2% across the board. While that is certainly possible, I’m more worried about the market’s down-trending resistance level ahead of the weekend.
Buy to open the QQQ November 120 calls (QQQ161118C00120000) for a maximum price of $1.20.
Mid-Market Update: With today’s push towards lower lows, the bears are in familiar territory, and the market’s support levels from September are now back in play. Today’s close should provide additional, crucial details as to whether the August lows will be tested or if current support levels hold and a rebound is in store for next week.
Pre-Market Update: The market was skittish on Wednesday, but stocks managed to hold onto their gains following the release of the Federal Open Market Committee (FOMC) minutes. Unfortunately, there were no major hints in the Fed update that a rate hike would come in November or December, as the zombies tiptoed through another meeting while leaving Wall Street and investors guessing.
Buy to open the LSCC December 7.50 calls (LSCC161216C00007500) for a maximum price of $0.40.
Mid-Market Update: The market has traded within a tight range and on both sides of the ledger today ahead of this afternoon’s Federal Open Market Committee (FOMC) minutes, which will be released at 2 p.m. EST. Anxiety over the next potential rate hike remains, and Wall Street will be digesting the news afterwards to get a better idea about what the zombies are thinking.
Sell to close the KR November 27.50 puts at current levels.
Pre-Market Update: The bears pushed monthly lows during Tuesday’s session, and the bulls struggled into the closing bell. Continued weakness today could get the September lows in play, but these levels will need to hold in order to avoid a possible selloff.
Mid-Market Update: While I was a little uneasy about a pullback today, I’m not too worried at the moment, providing fresh support levels hold and lower lows aren’t set versus those made earlier this month. It is too early to say whether a session bottom is in, but the major indices have shown signs that they are trying to stabilize.
Pre-Market Update: The bulls followed the game plan we drew in the sand ahead of Monday’s open, as the Dow halted its Monday losing streak at three. The major indices held most of their gains into the close, and volatility settled down despite the pop at the opening bell.
Mid-Market Update: This afternoon, I want to take a look at some of the companies that will be reporting earnings this week, as there could be an opportunity for a trade amongst these names. If I see an opportunity with a good risk/reward profile, I will send out a Trade Alert, so stay tuned.
Buy to open the FNSR November 31 calls (FNSR161118C00031000) for a maximum price of $1.45.
Pre-Market Update: The bears got their first weekly sweep in three weeks last Friday, as the major indices closed slightly lower. The damage was minimal, however, and the bulls held near-term support on the pullback, while volatility stayed relatively low.
Mid-Market Update: Shares of Rave Restaurant Group (RAVE, $2.84, up $0.06) continue to disappoint investors this year, as they have traded to a fresh 52-week low $2.72 this morning. This once-high-flying, small-cap stock came into the year at $6.39 and has since lost approximately 56% of its value at current levels. As you can see from the three-year chart below, shares reached an all-time high of $16.20 on March 12, 2015, but continued losses and changes in management have not been a winning formula for a higher stock price.
Pre-Market Update: The market could be on the verge of establishing a short-term trend, either bullish or bearish, as a result of this morning’s jobs report and the start of third-quarter earnings season next week. The recent action is suggesting that higher highs could come into play, but the market can turn on a dime, as we have seen throughout the year.
Mid-Market Update: Today’s choppy action seems to be par for the course considering that Wall Street is waiting for tomorrow’s nonfarm payroll numbers to cross the tape. The bears have controlled much of the session, but the bulls have touched green territory in some areas to keep things interesting.
Pre-Market Update: The bulls battled back on Wednesday to regain their momentum, as they spent the day in positive territory. While the bears took the day off, they haven’t gone away, and they still hold the weekly lead.
Mid-Market Update: I have always admired Under Armour (UA) and the fact that it is chasing the 800-pound gorilla in the space — Nike (NKE) — while building its own brand. However, on a technical level, UA shares could be headed towards a backtest to $35-$32.50.
Pre-Market Update: The bears got their second-straight win on Tuesday, and the market’s lower levels of support have now come back into play. If the bulls can’t rebound today, this week’s listless trading could last into next week, and there could be a continued pullback into the start of third-quarter earnings season.
Mid-Market Update: The market got off to a good start this morning, as the bulls looked motivated to regain resistance. However, trading turned choppy about an hour into the session, and the bears are still lingering.
