Netflix Provides the Goods!

The pattern continued yesterday too! The indexes recorded new historic highs, but the gains were paltry – and volatility was minimal. On the one hand the upward trend hasn’t tapered, but on the other, it hasn’t produced euphoria. There’s an ever-present bullish tendency in our market but it’s more the result of fear of missing the next spurt of gains as opposed to investors greedily coveting more profits.

The largest current ripping through the market yesterday was the sharp reversal in biotech stocks after President Trump renewed concerns about limiting prices, as well as strong movement in some large Chinese companies’ stocks. Stocks like YY, BIDU, BITA, and YRD all rallied to new highs.

Apple (AAPL) did a good job as a steadying influence for the NASDAQ, but FAANG stocks were mixed. In yesterday’s trading, most of the attention focused on NFLX in advance of the release of its Q3 earnings report. The company reported after closing. NFLX ended regular trading up 1.6%, rising another 1.3% in late trading on the heels of its earnings release, which as usual, hit early forecasts. The numbers from NFLX will be a good test for the mood on the market today. There’s potential for a “sell the news” response in the stock today, NFLX having already soared 65% year-to-date. Last week, the stock benefitted from a wave of upgrades, no fewer than 10 leading Wall Street analysts boosting their rating. On the flip side, when the trend on Wall Street is so strong, correction buyers will wait in ambush, ready to pounce the moment the stock falls even marginally.

Not much changed yesterday. It was the same movement we had seen for weeks, with a little rotation outside of small-caps and into financial stocks and other sectors. There’s no reason to expect the uptrend to encounter a serious obstacle at any point in the near future; the earnings season is historically good for the stock market.

Tuesday: The companies reporting today before opening include: HOG, JNJ, MS, GS, CMA, PGR, CSX. After closing, be primed for CREE and IBM, as they release their latest numbers. PGR will garner a lot of interest among investors, it being the first large insurance company to report after the wave of hurricanes that struck the U.S. over the last few months. Insurance companies are expected to record a sharp drop in earnings as a result. Later in the week, the insurance company, Travelers, will be reporting.

Today’s Economic Diary will include import and export prices at 8:30 N.Y. time, industrial output at 9:15 and the National Association of Home Builders (NAHB) housing price index at 10:00.

IndexLastDaily change
DJX22,9570.37%Up
SPX2,5580.18%Up
Nasdaq6,6240.28%Up

Tuesday’s Hot Stocks: NFLX, HOG, PGR, CSX, BMI, SONC

IPOs: None

Have a great trading day!

 

Economic Calendar

 

DAYTIME (EST)EventForecastImpact
Monday8:30Empire State Mfg Survey20.0Medium
Tuesday8:30Import and Export Prices0.5 %Medium
Tuesday9:15Industrial Production0.1 %Medium
Tuesday10:00Housing Market Index64Medium
Wednesday8:30Housing Starts1.170 MMedium
Wednesday10:30Oil InventoriesLow
Thursday8:30Jobless Claims240KMedium
Thursday8:30Philadelphia Fed Business Outlook Survey20.2Medium
Thursday10:00Leading Indicators0.1 %Medium
Friday10:00Existing Home Sales5.300 MMedium
 

Today’s Picks – Day Trading!

SymbolBreakoutBreakdownMomentumMomentum
ZTS65.83BIDUPCG
BLUE143.50BITATRGP
ATI25.51JPPSX
HLF79.64SOHUJWN
 MOMO 

 

New York Strategy Swing

#DateStockLong\

Short

StatuesData CloseProfit\

Loss

11.9.2017VNTVLongClose14.9.2017+1.35%
212.9.2017CPBShortClose15.9.2017-1.10%
318.9.2017INSMLongClose22.9.2017+1.92%
425.9.2017GPSLongClose2.10.2017+1.69%
527.9.2017SQMLongClose29.9.2017+1.69%
62.10.2017ATILongClose6.10.2017+3.12%
72.10.2017TROXLongOpen +14.38%
83.10.2017ABTLongClose11.10.2017+1.60%
99.10.2017ZGNXLongClose12.10.2017+3.26%
1016.10.2017INSMLongOpen -0.42%
11
12
13

  

Today’s Picks – Swing “New-York Strategy”

 No.1 –  ABEO

Company NameAbeona Therapeutics
Entry Point17.30
Stop Area15.70
1st Target18.20
Swing Target22.75
Avg. Volume1.05M
SectorHealthcare | Biotechnology
Earning Date14 Nov
Risk RateNormal
Risk\Reward Ratio3.41:1

Risk Rates: Normal – Regular size, High –Consider reducing size, Low – Consider increasing size