Can the Donald Get the Market out of its Rut?!

S2 S1 PP R1 R2 Daily change Last Index
(-0.11%) 19,805 DJX
225.55 226.11 226.45 227.01 227.35 +0.18% 2,272 SPX
122.46 122.75 122.96 123.25 123.46 +0.31% 5,556 Nasdaq


Lips pressed, investors and traders alike are playing the waiting game until the end of the week when Donald Trump officially moves into the Oval Office, trading reserved for the time being. With that said, it’s hard to say that investors are waiting on the fence, though stock movement has been selective and measured – and of course, nobody wants to be caught off guard when the safety is released and markets are jarred back into motion.

The day’s big winner – on the background of Trump and his incoming administration’s continued twitting barrage – was the metal and steel sector. Investors in the sector were happy to hear the leading candidate for Commerce Secretary hint that the new administration is considering imposing tariffs and restrictions on Chinese steel imports. In the candidate’s view, imports of Chinese steel at drop bottom prices weighs on the industry, necessitating action on the administration’s part. The leading local firms in the sector recorded impressive gains, X climbing 8.5%, and STLD and NUE climbing 4.6% and 3.7% respectively.

The financial sector stabilized, its late rally helping the market end at the day’s highest level after gains in the stocks of Bank of America (BAC) and Morgan Stanley (MS) helped offset the losses in banking kingpin, Goldman Sachs (GS). The banking index ended up by almost a percentage point.

There was more drama in the stock of Mallinckrodt (MNK) on the background of the newsfeed that the Federal Trade Commission (FTC) is preparing an anti-trust suit against the company that alleges that the company exploited the monopoly it has with its Lupus and Multiple Sclerosis drugs. The FTC claims that the company engaged in price gouging when raising its dosage price by 2,165% to $28,000. After the stock collapsed 12%, trading was halted, and the company attempted to assuage investors’ fears by saying that it had reached a middle ground with the authorities, compelling it to pay $100 million to shelve the suit. After trading resumed, it seemed that investors bought the alibi to some extent, the stock ending off by “only” 6%.

Another company that could feel investor wrath was Cameco (CCJ). The uranium mining company had already announced 2 days ago that it would be laying off 10% of its work force, at the same time, lowering its financial forecast; the stock ended sharply off yesterday by 19%.

On the macro-level, the Consumer Price Index came out in keeping with expectations, standing at 0.3%, while the Beige Book and the speeches of outgoing President Obama, and Fed Chairwoman, Janet Yellen, didn’t impress much on the market.

In summary for the day, the S&P 500 scraped by with light gains of 0.18%, the NASDAQ rising slightly more – up 0.31% on the day – and the Dow lightly off with losses of 0.11%.

After Closing: Netflix soared 9% after routing analyst forecasts and announcing that it had signed up 7 million users, with plans to invest $6 billion in content in 2017.

Thursday: The earnings season is entering full swing with the earnings numbers of additional banks, along with those of the railway company, Union Pacific and the Israeli-cyber company, Checkpoint. Be primed as well for economic figures relating to housing, along with the Philadelphia Fed Survey, and weekly crude and gas inventories.

Thursday’s Hot Stocks: NFLX, CP, UNP, BBT, KMI, BK, NSC, CHKP

IPOs: None

Have a great trading day!


Economic Calendar
DAY TIME (EST) Event Forecast Impact
Tuesday 8:30 Empire Manufacturing 8.3 Medium
Wednesday 8:30 CPI 0.3% High
Wednesday 9:15 Industrial Production 0.6% Medium
Wednesday 10:00 NAHB Housing Market Index Medium
Wednesday 14:00 Fed’s Beige Book Medium
Thursday 8:30 Initial Claims 252K High
Thursday 8:30 Housing Starts 1193K Medium
Thursday 8:30 Building Permits 1217K Medium
Thursday 8:30 Philadelphia Fed 15.3 Medium
Thursday 11:00 Crude Inventories Low


Earnings Calendar
Symbol Company AM/PM Day
CMA Comerica Incorporated AM Tuesday
INFO IHS Markit Ltd. AM Tuesday
MS Morgan Stanley AM Tuesday
UNH UnitedHealth Group Incorporated AM Tuesday
UAL United Continental Holdings, Inc. PM Tuesday
CSX CSX Corporation PM Tuesday
FAST Fastenal Company AM Wednesday
GS The Goldman Sachs Group, Inc. AM Wednesday
C Citigroup Inc. AM Wednesday
KMI Kinder Morgan, Inc. PM Wednesday
NFLX Netflix, Inc. PM Wednesday
CP Canadian Pacific Railway Limited PM Wednesday
SLM SLM Corporation PM Wednesday
CHKP Check Point Software Technologies Ltd. AM Thursday
UNP Union Pacific Corporation AM Thursday
PPG PPG Industries, Inc. AM Thursday
BBT BB&T Corporation AM Thursday
IBM International Business Machines Corporation PM Thursday
AXP American Express Company PM Thursday
TEAM Atlassian Corporation Plc PM Thursday
SWKS Skyworks Solutions, Inc. PM Thursday
KSU Kansas City Southern AM Friday
COL Rockwell Collins, Inc. AM Friday
SLB Schlumberger Limited AM Friday
STI SunTrust Banks, Inc. AM Friday
SYF Synchrony Financial AM Friday
GE General Electric Company AM Friday


Today’s Picks – Day Trading

Symbol Breakout Breakdown Momentum Momentum
INSY 11.22 X CCJ
O 60.32 NUE TGT
KMB 117.41 MJN MNK
UAA 29 PM  
TEVA 33.56    
XOM 85.86    


# Date Stock Long\


Statues Date Close Profit \ Loss # Date Stock Long \Short Statues Date Close Profit \ Loss
1 5.12.2016 CSC Long Close 6.12.2016 -1.62% 17
2 6.12.2016 YY Short Close 7.12.2016 +0.72% 18            
3 7.12.2016 ROST Long Close 14.12.2016 +0.42% 19
4 9.12.016 TWLO Short Close 13.12.2016 +2.01% 20
5 12.12.2016 PDCO Long Close 14.12.2016 +0.48% 21
6 13.12.2016 TLRD Long Open 22.12.2016 +1.87% 22
7 13.12.2016 IGT Short Close 14.12.2016 -0.19% 23
8 14.12.2016 CC Long Close 21.12.2016 +0.52% 24
9 29.12.2016 JWN Short Close 6.1.2017 +3.45% 25
10 6.1.2017 TRGP Long Close 9.1.2017 +0.20% 26
11 9.1.2017 NVDA Long Close 17.1.2017 +1.02% 27
12 10.1.2017 TLRD Long Close 10.1.2017 -3.27% 28
13 13.1.2017 LW Long Open   -0.83% 29
14 30  
15 31  
16 32


Today’s Picks – Swing “New-York Strategy

No.1 – XOM

Company Name Exxon Mobil Corporation
Entry Point 85.86
Stop Area 87.5
1st Target 85.05
Swing Target
Avg. Volume 10.78M
Sector Basic Materials | Major Integrated Oil & Gas
Earnings Date
Risk Rate High
Risk\Reward Ratio 1.38:1


No.2 – TEVA

Company Name Teva Pharmaceutical
Entry Point 33.50
Stop Area 34.55
1st Target 33.05
Swing Target
Avg. Volume 10.34M
Sector Financial | REIT – Retail 
Earnings Date 14 Feb
Risk Rate Normal
Risk\Reward Ratio