One-man-team: Apple Steals the Show!

IndexLastDaily changeR2R1PPS1S2
DJX19,8910.14%Up     
SPX2,2800.03%Up229.37228.49227.72226.84226.07
Nasdaq5,6430.50%Up126.14125.79125.32124.97124.50

Without Apple (AAPL), indexes could have only dreamed of ending in the green. The S&P 500 succeeded in eking out gains yesterday and cutting its 4-day losing streak as the Fed left interest rates unchanged. Traders expect the Fed to hike rates for the first time in June, giving a March hike slim chances of just 20%.

The tech-leaning NASDAQ was propped up by a 6.13% surge in the price of Apple (AAPL), after the company trounced analysts forecasts, announcing that iPhone sales had beaten out expectations. Without the spike in Apple, all of the indexes would have ended in the red. Apple is such an important component part in the major indexes that hedge fund managers have no choice but to chase the stock when it shows its prowess. There’s simply no other way to keep pace with the major indexes other than increasing exposure to AAPL. Seeing that the focus in investment management is performance relative to indexes as opposed to absolute performance, the risk of chasing a stock like Apple, likely to appear stretched tight in its own right, is not so big. In the event the stock corrects, so will the indexes to which it belongs, meaning an investment fund’s holdings will move in tandem with index performance.

In the Fed’s first meeting since Donald Trump was elected president, the central bank noted that the state of the job market remains positive, encouraging inflation, thus transmitting the message that the economy is in good shape.

Figures released earlier in the day showed factory activity accelerating to a level not seen in over two-and-a-half years during the month of January – and that private sector employers had picked up the pace of new hires. With that said, indexes had a hard time building up momentum, the S&P 500 just barely escaping its fifth consecutive day of losses.

In summary for the day, the S&P 500 tacked on 0.03%, the NASDAQ rising 0.5%.

One of the stocks standing out in yesterday’s trading was J.C. Controls (JCI) which fell 3.4% to the $42.50 level after its last quarter sales fell short of analyst expectations.

Intel’s competitor, computer processor maker, AMD, soared 16.3% to the $12.03 level in intraday volumes 4-times average after releasing its earnings numbers.

After Closing: Facebook (FB) soared 2% in late trading in the initial response to its strong earnings report that had outstripped analysts’ projection. At the same time, at the end of late trading, the gains had mostly dissipated, FB closing the late session up just 0.13%. Earlier in regular trading, FB had traded up as much as 2.23%.

On the S&P 500, 30 stocks rose to new 52-week highs, 2 dipping to new yearly lows; on the NASDAQ, 135 stocks recorded new 52-week highs, 27 falling to new yearly lows.

About 7.59 billion shares changed hands on U.S. exchanges, above the 6.8 billion average over the last 20 trading days.

Thursday: The market is preparing itself for the U.S. Department of Labor’s official employment report tomorrow, though in the meantime, traders will be carefully eyeing the earnings season which seems to get more and more fascinating, Amazon (AMZN) releasing its last quarter numbers after closing.

Until now, the earnings season numbers have been very good. American firms are making money and the numbers being released do justice for current market valuations. That’s not to say that stock prices are cheap, though by the same token, they’re not super-expensive. Of the S&P 500 companies reporting to date, 66% succeeded in beating out earnings forecasts, while 48% succeeded in beating out top line revenue forecasts. Firm earnings are expected to record sharp year-over-year quarterly growth of 7.5%.

Traders are expecting a solid January employment report tomorrow, after the ADP survey, which tabulates the number of new private sector hires, recorded an outstanding reading of 246 thousand for January. Economists now expect to see a reading of 175 thousand new jobs in the governmental employment report, though, in our view, the projection come Friday is likely to rise.

Today’s economic figures include weekly unemployment claims at 8:30 N.Y. time, unit labor costs and worker productivity figures to be released at the same hour.

The earnings reports expected for today include DLPH, MRK, DB, EL, BSX, COP, CME, and RL before opening. After closing, be primed of course for the primetime report of AMZN, along with V, AMGN, CMG, GPRO, and FEYE.

Thursday’s Hot Stocks: FB, DLPH, MRK, EL, CME, RL, QRVO, CAVM, MJN

IPOs: BBRX

Have a great trading day!

 

Economic Calendar

 

DAYTIME (EST)EventForecastImpact
Monday8:30Personal Income0.4%Medium
Monday8:30Personal Spending0.4%Medium
Monday10:00Pending Home Sales1.3%Medium
Tuesday9:00S&P Case Shiller Home Price Index5.0%Medium
Tuesday9:45Chicago PMI55.0Medium
Tuesday10:00Consumer Confidence112.5High
Wednesday8:15ADP Employment Change165KHigh
Wednesday10:00ISM Index55.0High
Wednesday10:00Construction Spending0.2%Medium
Wednesday10:30Crude InventoriesLow
Wednesday14:00FOMC Rate Decision0.625%High
Wednesday14:00Auto SalesLow
Thursday8:30Initial Claims250KHigh
Thursday8:30Unit Labor Costs1.9%Medium
Friday8:30Nonfarm Payrolls170KHigh
Friday8:30Unemployment Rate4.7%High
Friday10:00Factory Orders1.4%Medium
Friday10:00ISM Services57.0Medium

 

Earning Calendar

 

SymbolCompanyAM/PMDay
ZBHZimmer Biomet Holdings, Inc.AMTuesday
NUENucor CorporationAMTuesday
PCARPACCAR IncAMTuesday
VLOValero Energy CorporationAMTuesday
ABCAmerisourceBergen CorporationAMTuesday
HOGHarley-Davidson, Inc.AMTuesday
PNRPentair plcAMTuesday
NDAQNasdaq, Inc.AMTuesday
TMOThermo Fisher Scientific Inc.AMTuesday
DHRDanaher CorporationAMTuesday
AETAetna Inc.AMTuesday
MAMastercard IncorporatedAMTuesday
LLYEli Lilly and CompanyAMTuesday
UPSUnited Parcel Service, Inc.AMTuesday
PFEPfizer Inc.AMTuesday
XOMExxon Mobil CorporationAMTuesday
AAPLApple Inc.PMTuesday
CBChubb LimitedPMTuesday
APCAnadarko Petroleum CorporationPMTuesday
CHRWC.H. Robinson Worldwide, Inc.PMTuesday
OKSONEOK Partners, L.P.PMTuesday
AFLAflac IncorporatedPMTuesday
EAElectronic Arts Inc.PMTuesday
ILMNIllumina, Inc.PMTuesday
PPLPPL CorporationAMWednesday
IRIngersoll-Rand PlcAMWednesday
BAXBaxter International Inc.AMWednesday
MPCMarathon Petroleum CorporationAMWednesday
MPLXMPLX LPAMWednesday
JCIJohnson Controls International plcAMWednesday
ADPAutomatic Data Processing, Inc.AMWednesday
MOAltria Group, Inc.AMWednesday
FBFacebook, Inc.PMWednesday
METMetLife, Inc.PMWednesday
LNCLincoln National CorporationPMWednesday
SYMCSymantec CorporationPMWednesday
ALLThe Allstate CorporationPMWednesday
NXPINXP Semiconductors N.V.PMWednesday
EWEdwards Lifesciences CorporationPMWednesday
IPInternational Paper CompanyAMThursday
CICigna CorporationAMThursday
BSXBoston Scientific CorporationAMThursday
ELThe Estee Lauder Companies Inc.AMThursday
COPConocoPhillipsAMThursday
CMECME Group Inc.AMThursday
PMPhilip Morris International Inc.AMThursday
MRKMerck & Co., Inc.AMThursday
AMZNAmazon.com, Inc.PMThursday
VVisa Inc.PMThursday
AMGNAmgen Inc.PMThursday
MSIMotorola Solutions, Inc.PMThursday
WYWeyerhaeuser Co.AMFriday
HSYThe Hershey CompanyAMFriday
LYBLyondellBasell Industries N.V.AMFriday
CLXThe Clorox CompanyAMFriday
PSXPhillips 66AMFriday


2.2.2017

Today’s Picks – Day Trading!

SymbolBreakoutBreakdownMomentumMomentum
TMUS63.68 CRUSSPR
CC27.29 NVDAPVH
REN47.50 ARNCCTXS
TWLO30.50 CARASPR
INCY124.87 AMDD
FB133.50  UPS
UA 18.50 X
TRV 116 AFL
CVX 110.72  
     
     
     

  

New York Strategy Swing

#DateStockLong\

Short

StatuesData CloseProfit\

Loss

129.12.2016JWNShortClose6.1.2017+3.45%
26.1.2017TRGPLongClose9.1.2017+0.20%
39.1.2017NVDALongClose17.1.2017+1.02%
410.1.2017TLRDLongClose10.1.2017-3.27%
513.1.2017LWLongClose26.1.2017+0.09%
631.1.2017ATILongOpen +1.29%
71.2.2017AKAOLongOpen +3.25%
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Today’s Picks – Swing “New-York Strategy

No.1 – FAST

Company NameFastenal Company
Entry Point50.05
Stop Area49.20
1st Target50.95
Swing Target51.51
Avg. Volume2.76M
SectorServices | Industrial Equipment Wholesale
Earning Date
Risk RateNormal
Risk\Reward Ratio1.22:1

No.2 – DATA

Company NameTableau Software
Entry Point48.80
Stop Area47.48
1st Target49.40
Swing Target53.02
Avg. Volume1.10M
SectorTechnology | Application Software
Earning Date
Risk RateNormal
Risk\Reward Ratio3.20:1