One-man-team: Apple Steals the Show!

Index Last Daily change R2 R1 PP S1 S2
DJX 19,891 0.14% Up          
SPX 2,280 0.03% Up 229.37 228.49 227.72 226.84 226.07
Nasdaq 5,643 0.50% Up 126.14 125.79 125.32 124.97 124.50

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

 

DAY TIME (EST) Event Forecast Impact
Monday 8:30 Personal Income 0.4% Medium
Monday 8:30 Personal Spending 0.4% Medium
Monday 10:00 Pending Home Sales 1.3% Medium
Tuesday 9:00 S&P Case Shiller Home Price Index 5.0% Medium
Tuesday 9:45 Chicago PMI 55.0 Medium
Tuesday 10:00 Consumer Confidence 112.5 High
Wednesday 8:15 ADP Employment Change 165K High
Wednesday 10:00 ISM Index 55.0 High
Wednesday 10:00 Construction Spending 0.2% Medium
Wednesday 10:30 Crude Inventories Low
Wednesday 14:00 FOMC Rate Decision 0.625% High
Wednesday 14:00 Auto Sales Low
Thursday 8:30 Initial Claims 250K High
Thursday 8:30 Unit Labor Costs 1.9% Medium
Friday 8:30 Nonfarm Payrolls 170K High
Friday 8:30 Unemployment Rate 4.7% High
Friday 10:00 Factory Orders 1.4% Medium
Friday 10:00 ISM Services 57.0 Medium

 

Earning Calendar

 

Symbol Company AM/PM Day
ZBH Zimmer Biomet Holdings, Inc. AM Tuesday
NUE Nucor Corporation AM Tuesday
PCAR PACCAR Inc AM Tuesday
VLO Valero Energy Corporation AM Tuesday
ABC AmerisourceBergen Corporation AM Tuesday
HOG Harley-Davidson, Inc. AM Tuesday
PNR Pentair plc AM Tuesday
NDAQ Nasdaq, Inc. AM Tuesday
TMO Thermo Fisher Scientific Inc. AM Tuesday
DHR Danaher Corporation AM Tuesday
AET Aetna Inc. AM Tuesday
MA Mastercard Incorporated AM Tuesday
LLY Eli Lilly and Company AM Tuesday
UPS United Parcel Service, Inc. AM Tuesday
PFE Pfizer Inc. AM Tuesday
XOM Exxon Mobil Corporation AM Tuesday
AAPL Apple Inc. PM Tuesday
CB Chubb Limited PM Tuesday
APC Anadarko Petroleum Corporation PM Tuesday
CHRW C.H. Robinson Worldwide, Inc. PM Tuesday
OKS ONEOK Partners, L.P. PM Tuesday
AFL Aflac Incorporated PM Tuesday
EA Electronic Arts Inc. PM Tuesday
ILMN Illumina, Inc. PM Tuesday
PPL PPL Corporation AM Wednesday
IR Ingersoll-Rand Plc AM Wednesday
BAX Baxter International Inc. AM Wednesday
MPC Marathon Petroleum Corporation AM Wednesday
MPLX MPLX LP AM Wednesday
JCI Johnson Controls International plc AM Wednesday
ADP Automatic Data Processing, Inc. AM Wednesday
MO Altria Group, Inc. AM Wednesday
FB Facebook, Inc. PM Wednesday
MET MetLife, Inc. PM Wednesday
LNC Lincoln National Corporation PM Wednesday
SYMC Symantec Corporation PM Wednesday
ALL The Allstate Corporation PM Wednesday
NXPI NXP Semiconductors N.V. PM Wednesday
EW Edwards Lifesciences Corporation PM Wednesday
IP International Paper Company AM Thursday
CI Cigna Corporation AM Thursday
BSX Boston Scientific Corporation AM Thursday
EL The Estee Lauder Companies Inc. AM Thursday
COP ConocoPhillips AM Thursday
CME CME Group Inc. AM Thursday
PM Philip Morris International Inc. AM Thursday
MRK Merck & Co., Inc. AM Thursday
AMZN Amazon.com, Inc. PM Thursday
V Visa Inc. PM Thursday
AMGN Amgen Inc. PM Thursday
MSI Motorola Solutions, Inc. PM Thursday
WY Weyerhaeuser Co. AM Friday
HSY The Hershey Company AM Friday
LYB LyondellBasell Industries N.V. AM Friday
CLX The Clorox Company AM Friday
PSX Phillips 66 AM Friday


2.2.2017

Today’s Picks – Day Trading!

Symbol Breakout Breakdown Momentum Momentum
TMUS 63.68   CRUS SPR
CC 27.29   NVDA PVH
REN 47.50   ARNC CTXS
TWLO 30.50   CARA SPR
INCY 124.87   AMD D
FB 133.50     UPS
UA   18.50   X
TRV   116   AFL
CVX   110.72    
         
         
         

  

New York Strategy Swing

# Date Stock Long\

Short

Statues Data Close Profit\

Loss

1 29.12.2016 JWN Short Close 6.1.2017 +3.45%
2 6.1.2017 TRGP Long Close 9.1.2017 +0.20%
3 9.1.2017 NVDA Long Close 17.1.2017 +1.02%
4 10.1.2017 TLRD Long Close 10.1.2017 -3.27%
5 13.1.2017 LW Long Close 26.1.2017 +0.09%
6 31.1.2017 ATI Long Open   +1.29%
7 1.2.2017 AKAO Long Open   +3.25%
8            
9            
10            
11            
12            
13            
14            
15            
16            


Today’s Picks – Swing “New-York Strategy

No.1 – FAST

Company Name Fastenal Company
Entry Point 50.05
Stop Area 49.20
1st Target 50.95
Swing Target 51.51
Avg. Volume 2.76M
Sector Services | Industrial Equipment Wholesale
Earning Date
Risk Rate Normal
Risk\Reward Ratio 1.22:1

No.2 – DATA

Company Name Tableau Software
Entry Point 48.80
Stop Area 47.48
1st Target 49.40
Swing Target 53.02
Avg. Volume 1.10M
Sector Technology | Application Software
Earning Date
Risk Rate Normal
Risk\Reward Ratio 3.20:1