Picks of the Day January 3,2018

Back to the Racetrack!

If what we saw yesterday was only the aperitif, then investors’ appetite for 2018 has only begun to be whetted.

U.S. stocks rallied higher on the first day of the trading year, the NASDAQ closing for the first time ever above the 7,000 point level. Investors, yesterday, put their money where their mouth is, conveying their optimism that 2018 will bring with it further gains in the stock market.

The NASDAQ index, yesterday, saw support from the stocks of Apple (AAPL), Facebook (FB), Amazon (AMZN), and Google (GOOGL). The NASDAQ closed in April of last year above the 6,000 point level and above the 5,000 point level in 2015 – at which point it had succeeded in recovering fully from the dot-com crisis which had struck at the beginning of the millennium. The tech sector (XLK) soared 1.4% yesterday, after having surged 37% in 2017, crowing the sector as the best-performing on the S&P 500 on the year.

The S&P 500 likewise recorded a new historic on the first day of the trading year. Besides tech stocks, health, energy and the materials sectors each tacked on over 1%.

The large stock indexes closed the year, 2017, with their best performance since 2013. Many investors are saying that the stock rally is likely to continue this year when considering the successful passage of the tax bill which is expected to boost Wall Street firms’ profitability and stimulate the economy.

Daily Summary: The Dow Jones rose 0.42%, the S&P 500 tacking on 0.83%, the NASDAQ jumping 1.5%.

The stocks that stood out in yesterday’s trading included JCP, JWN, and KSS, which all climbed after Citigroup analysts gave the retail sector as a whole a bullish recommendation. The analysts noted the benefit the sector will accrue from the corporate tax cut.

Energy stocks rallied higher, despite the drop in the price of crude. Crude is trading at the high levels prices reached in 2015 against the backdrop of protests against the Iranian government and the ongoing production cut on the part of OPEC and Russia. The energy sector (XLE) soared 1.8% on the day.

The casino homes, WYNN and MLCO, fell after a report that pointed to a smaller than expected rise in casino revenues in Macau in December.

ABT soared 3%, recording another historic high, after receiving an upgrade from two different brokers.

About 6.7 billion shares traded hands on U.S. exchanges, compared to the 6.3 billion average over the last 20 trading days.

Wednesday: Despite this week seeing shortened trading of only 4 days, it’s far from “scot-free” when it comes to significant macro figures. The week’s focal point will be the official December employment report which will be released this Friday. Before that, though, investors will hone their sights on the minutes from the last Fed meeting that took place in December. The minutes are expected to provide important insight into the Fed’s take on inflation and interest rates.

The minutes will be released at 14:00 N.Y. time and are expected to cause volatility in today’s trading. Before that, throughout the morning, car sales numbers will be released – which are likely to affect movement in stocks like GM, F, and TSLA. The Supply Managers’ index for the industrial sector will be released at 10:00, along with infrastructure spending numbers – at the same hour.

IndexLast

Daily change

DJX24,8240.42%Up
SPX2,6960.83%Up
NASDAQ7,0071.5%Up

Hot Stocks: MGI, TTPH

IPOs: None

Have a great trading day!

 

 

Economic Calendar

 

DAYTIME (EST)EventForecastImpact
Tuesday9:45PMI Manufacturing Index55Medium
Wednesday10:00ISM Mfg Index58.0 High
Wednesday10:00Construction Spending0.6 %Medium
Wednesday14:00FOMC MinutesHigh
Thursday8:15ADP Employment Report185,000Medium
Thursday8:30Jobless Claims240 KMedium
Thursday9:45PMI Services Index52.4Medium
Thursday11:00Oil Inventories-4.6 M barrelsLow
Friday8:30Nonfarm Payrolls190,000Medium
Friday8:30Unemployment Rate – Level4.1 %High
Friday8:30Average Hourly Earnings0.3 %High
Friday10:00Factory Orders1.1 %High
Friday10:00ISM Non-Mfg Index57.6Medium

 

Earning Calendar

 

SymbolCompanyAM/PMDay
CMCCommercial Metals CompanyAMWednesday
MONMonsanto CompanyAMThursday
WBAWalgreens Boots Alliance, Inc.AMThursday
PSMTPriceSmart, Inc.PMThursday
CALMCal-Maine Foods, Inc.AMFriday
STZConstellation Brands, Inc.AMFriday
    
    

 

  

Today’s Picks – Day Trading!

SymbolBreakoutBreakdownMomentumMomentum
PE30.61 CENXVRSN
MTCH32.87 EDIT 
JD43.50 FSLR 
DISH56.84 AABA 
WRK64.87 SINA 
YY123.50 BABA 
MMC 80.12WB 
   AMBA 

 

New York Strategy Swing

#DateStockLong\

Short

StatuesData CloseProfit\

Loss

13.11.2017AKAMLongClose8.11.2017+1.37%
210.11.2017JUNOLongClose14.11.2017+1.26%
316.11.2017FLRLongClose25.11.2017+2.16%
46.12.2017SPLKLongClose8.12.2017+1.51%
511.12.2017NKTRLongClose2.1.2017+4.57%
618.12.2017SYYLongClose19.12.2017+0.14%