The Last Hour of Trading

The large stock indexes recorded losses on Monday, retreating from their historic highs. The declines can be attributed to the industrial and tech sectors.

General Electric (GE) fell 6.3%, suffering its biggest losing day in 6 years, after analysts piled on and slashed their price target for the stock, noting the high chances the industrial giant might lower its dividend.

After stocks succeeded in holding their own around the zero line for most of the trading day, losses on the indexes accelerated in the last trading hour, the tech sector (XLK) weighing them down with losses of 0.4%.

Last week, the Dow Jones and the S&P 500 succeeded in closing at historic highs on each of the week’s 5 trading days. That came against the backdrop of hope that Donald Trump’s tax initiative is advancing in the right direction, the Senate giving the budget proposal their approval this past Friday.

On the one hand, the market’s stretched, i.e. at overbought levels. On the other, you can’t dispute that the market’s trending upwards. The question is, “Which securities will become pricey if tax reform doesn’t go through this year?” Alternatively, could the market go into freefall as the year nears the end?

Investors are also waiting for news about the personage who will replace the standing Fed Chair, Janet Yellen, next year. President Trump said yesterday that he’s “very very close” to naming a nominee.

Out of the 97 companies on the S&P 500 which have already reported their numbers for last quarter, 73.2% have outstripped analysts’ forecasts; the average over the last 4 quarters was 72%.

Daily Summary: The Dow Jones retreated 0.23%, the S&P 500 declining 0.4%, the NASDAQ shedding 0.64%.

The industrial sector (XLI) fell 0.8%, making it one of the biggest weights on the S&P 500. In addition to the sharp decline in GE, the sector was dragged lower by a precipitous fall of 10.4% in the stock of Arconic (ARNC), after the aluminium giant – which split off from Alcoa two years ago – missed its earnings forecast, and announced a new CEO.

Hasbro (HAS) toppled 8.6% after the toymaker’s holiday season forecast came out lower than expected, the collapse of the toy store chain, Toys R Us, likewise hurting sales. The stock of Hasbro’s competitor, Mattel (MAT) fell 3.2%.

On the S&P 500, 91 stocks rose to new 52-week highs, 6 dipping to new yearly lows; on the NASDAQ, 104    stocks recorded new 52-week highs, 41 falling to new yearly lows.

About 5.84 billion shares changed hands on U.S. exchanges, on par with the 5.83 billion average over the last 20 trading days.

Tuesday: As has happened quite a few times over the last few weeks, most of the economic figures – and weekly IPOs – have been concentrated in the second half of the week. In the meantime, investors are waiting for a flood of reports, with no fewer than 189 companies on the S&P 500 and 12 companies on the Dow Jones expected to report this week.

After closing, Whirlpool (WHR), the household electric appliance maker, fell 6.58% after disappointing with its earnings report, while also lowering its forecast.

IndexLastDaily change
DJX23,276(0.22%)Down
SPX2,565(0.40%)Down
Nasdaq6,587(0.64%)Down

 

Tuesday’s Hot Stocks: WHR, EDU, MCD

IPOs: None

Have a great trading week!

 

 

Economic Calendar

 

DAYTIME (EST)EventForecastImpact
Tuesday9:45PMI Composite Flash54.8Medium
Wednesday8:30Durable Goods Orders1.0 %Medium
Wednesday9:00FHFA House Price Index0.4 %Medium
Wednesday10:00New Home Sales555 KMedium
Wednesday10:30Oil InventoriesLow
Thursday8:30Jobless Claims235KMedium
Thursday10:00Pending Home Sales Index0.5 %Medium
Friday8:30GDP2.5 %High
Friday10:00Consumer Sentiment101.1Medium

 

 

Earning Calendar

 

SymbolCompanyAM/PMDay
ARNCArconic Inc.AMMonday
HALHalliburton CompanyAMMonday
HASHasbro, Inc.AMMonday
KMBKimberly-Clark CorporationAMMonday
STTState Street CorporationAMMonday
WHRWhirlpool CorporationPMMonday
CATCaterpillar Inc.AMTuesday
EDUNew Oriental Education & Technology Group Inc.AMTuesday
GLWCorning IncorporatedAMTuesday
GMGeneral Motors CompanyAMTuesday
LLYEli Lilly and CompanyAMTuesday
LMTLockheed Martin CorporationAMTuesday
MCDMcDonald’s CorporationAMTuesday
MMM3M CompanyAMTuesday
UTXUnited Technologies CorporationAMTuesday
YNDXYandex N.V.AMTuesday
AMDAdvanced Micro Devices, Inc.PMTuesday
COFCapital One Financial CorporationPMTuesday
ESRXExpress Scripts Holding CompanyPMTuesday
EWEdwards Lifesciences CorporationPMTuesday
ILMNIllumina, Inc.PMTuesday
TAT&T Inc.PMTuesday
TXNTexas Instruments IncorporatedPMTuesday
BAThe Boeing CompanyAMWednesday
BAXBaxter International Inc.AMWednesday
DPSDr Pepper Snapple Group, Inc.AMWednesday
GDGeneral Dynamics CorporationAMWednesday
HESHess CorporationAMWednesday
IPInternational Paper CompanyAMWednesday
IRIngersoll-Rand PlcAMWednesday
KOThe Coca-Cola CompanyAMWednesday
TMOThermo Fisher Scientific Inc.AMWednesday
VVisa Inc.AMWednesday
WBAWalgreens Boots Alliance, Inc.AMWednesday
WYNWyndham Worldwide CorporationAMWednesday
AFLAflac IncorporatedPMWednesday
AMGNAmgen Inc.PMWednesday
CTXSCitrix Systems, Inc.PMWednesday
DLRDigital Realty Trust, Inc.PMWednesday
LVSLas Vegas Sands Corp.PMWednesday
NXPINXP Semiconductors N.V.PMWednesday
ORLYO’Reilly Automotive, Inc.PMWednesday
VRTXVertex Pharmaceuticals IncorporatedPMWednesday
AALAmerican Airlines Group Inc.AMThursday
BMYBristol-Myers Squibb CompanyAMThursday
CELGCelgene CorporationAMThursday
CHTRCharter Communications, Inc.AMThursday
CMCSAComcast CorporationAMThursday
CMECME Group Inc.AMThursday
COPConocoPhillipsAMThursday
HSYThe Hershey CompanyAMThursday
MCKMcKesson CorporationAMThursday
MOAltria Group, Inc.AMThursday
MPCMarathon Petroleum CorporationAMThursday
TWTRTwitter, Inc.AMThursday
UNPUnion Pacific CorporationAMThursday
UPSUnited Parcel Service, Inc.AMThursday
VLOValero Energy CorporationAMThursday
AMZNAmazon.com, Inc.PMThursday
BIDUBaidu, Inc.PMThursday
BMRNBioMarin Pharmaceutical Inc.PMThursday
CERNCerner CorporationPMThursday
GILDGilead Sciences, Inc.PMThursday
GOOGLAlphabet Inc.PMThursday
INTCIntel CorporationPMThursday
KLACKLA-Tencor CorporationPMThursday
MSFTMicrosoft CorporationPMThursday
NOVNational Oilwell Varco, Inc.PMThursday
VRSNVeriSign, Inc.PMThursday
WDCWestern Digital CorporationPMThursday
ABBVAbbVie Inc.AMFriday
AONAon plcAMFriday
CLColgate-Palmolive CompanyAMFriday
COGCabot Oil & Gas CorporationAMFriday
CVXChevron CorporationAMFriday
LYBLyondellBasell Industries N.V.AMFriday
MRKMerck & Co., Inc.AMFriday
PSXPhillips 66AMFriday
VTRVentas, Inc.AMFriday
XOMExxon Mobil CorporationAMFriday

 

Today’s Picks – Day Trading!

SymbolBreakoutBreakdownMomentumMomentum
NKTR25.02LITEHAS
JUNO47.03 ARNC
PAYX64.75 GE
LITE60.20  
MOMO31  
TEVA14.30  
TRGP42.50  

  

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%
72.10.2017TROXLongClose18.10.2017+13.93%
83.10.2017ABTLongClose11.10.2017+1.60%
99.10.2017ZGNXLongClose12.10.2017+3.26%
1016.10.2017INSMLongClose19.10.2017-2.82%
 

 

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

 No.1 –  JWN  

Company NameNordstrom
Entry Point41.70
Stop Area42.60
1st Target41.05
Swing Target39.63
Avg. Volume2.40M
SectorServices | Apparel Stores
Earning Date9 Nov
Risk RateNormal
Risk\Reward Ratio2.30:1

 

No.2 – CVS   

Company NameCVS Health Corporation
Entry Point75.79
Stop Area76.55
1st Target75.15
Swing Target72.12
Avg. Volume5.61M
SectorHealthcare | Health Care Plans
Earning Date6 Nov
Risk RateNormal
Risk\Reward Ratio4.83:1

 

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