From Dream to Reality: Dow Tops 20,000 for First Time!

S2 S1 PP R1 R2 Daily change Last Index
0.78% 20,069 DJX
228.16 228.86 229.22 229.92 230.28 0.80% 2,298 SPX
124.64 125.03 125.25 125.64 125.86 0.99% 5,656 Nasdaq

The Dow Jones Tops 20,000 for the First Time.

Finally, it happened! The Dow Jones surpassed the 20,000 point level for the first time in history in yesterday’s trading on the background of strong earnings reports and the growth-oriented initiatives of newly inaugurated President Trump, sparking a rally the likes of that seen right after the elections!

Individual investors had started buying in to the market again, in serious measure, right after the elections. The psychologically key 20,000 point level now helps resume this uptrend, luring once sidelined investors, sitting on piles of cash. The new market milestone is like a magnet, drawing in individual investors who feel that they’ve been left behind. The market is still on its honeymoon with “The Donald”; at the same time, our projection is that by the time the end of the year rolls around, market movement will be determined more by interest rates rather than Trump’s fiscal policy. The concern is that Trump’s policies will lead to a surge in inflation that is already afoot in the core indexes – and it goes almost without saying that Yellen will raise hikes a few times this year. Likewise, voices are already being heard from the European Central Bank and the Bank of England about closing shop on the bond-buying quantitative easing programs that have kept rates low in Europe to present.

Trump has already taken a number of business-friendly steps since having taken office this past Friday, including signing a memorandum of understanding to cut existing regulation for local manufacturers, while also preparing the groundwork for 2 new crude pipelines. The S&P 500 and NASDAQ got in on the celebration with new historic highs of their own.

The Dow Jone’s trek from the 10,000 point level to the 20,000 point level lasted almost 2 decades. It took the index only 42 days, though, to climb from 19,000 points to 20,000 points, making it the second fastest 1,000 point rally on the index in its 120 year history. The fastest ever 1,000 point rally on the Dow was the index’s climb from 10,000 to 11,000 points, spanning the dates, March 29th to May 3rd, i.e. just 24 days. The ascent from 18,000 to 19,000 points took the index 483 days.

In summary for the day, the Dow Jones rose 0.8%, the S&P 500 also tacking on 0.8%, while the NASDAQ rose 1%. The Russell 2000 also continued climbing, with gains of 1% on the day. Financial stocks (XLF) took the lead, soaring 1.7%, followed by tech stocks (XLK) which leapt 1.1%. Stocks sensitive to bond yields fell behind, REIT funds dropping 0.7% and communication stocks shedding 0.2%.

One of the stocks standing out in yesterday’s trading was ACAT, which rocketed almost 42% after being bought out by TXT in a deal valued at almost $250 million. The hard disk maker, Seagate (STX) jumped 14% on the heels of its large earnings surprise and stronger than expected revenue attributed to the high, stable prices of its hard drives.

Logitech (LOGI), the maker of peripheral equipment for computers, soared 13.5% in the wake of a large earnings surprise and a revenue high, with strength in its speaker and gaming unit. The company also succeeded in cutting costs and improving efficiency, contributing their part to the rise in profitability.

One of the stocks trading in the red yesterday was EAS which fell 6.2% on the background of a miss on both the top and bottom line; AKS also fell 4.8% after being downgraded by J.P. Morgan. FCX fell 3.8% after falling short of top and bottom line forecasts.

On the S&P 500, 76 stocks rose to new 52-week highs, just one dipping to a new yearly low; on the NASDAQ, 168 stocks recorded new 52-week highs, 9 falling to new yearly lows.

Thursday: Investors today will continue to digest a flood of earnings reports, including the carmaker, Ford (F), before opening, and the tech giants, Intel (INTC) and Google (GOOGL), after closing.

Today, the IPO market goes into first gear with 2 new issues, OBSV and ANAB, whose issue prices were set yesterday before the two kick off their first day of trading today. The 2 companies are from the biotech sector. OBSV is a biopharmaceutical company focusing on women’s reproductive health and pregnancy therapeutics, prospective stakeholders expected to invest $45 million in the issue. ANAB is developing antibodies for inflammation and immune-oncology, stakeholders expected to pour in $30 million for the new issue.

Today’s economic figures will include unemployment claims at 8:30 N.Y. time, and Markit’s PMI figures at 9:45. The Leading Indicators Index will be released at 10:00.

Today’s main earnings reports include: CAT, BX, F, CMCSA, DOW, NOC, RCL, LUV, RTN, BMY. After closing, be primed for the numbers of: GOOGL, INTC, SBUX, PYPL, VMW, VVV, JNPR, KLAC.


Initial Public Offerings (IPOs): ANAB, OBSV

Have a great trading day!

Economic Calendar
DAY TIME (EST) Event Forecast Impact
Thursday 8:30 Initial Claims 246K High
Thursday 10:00 Leading Indicators 0.5% Medium
Thursday 10:00 New Home Sales 589K Medium
Friday 8:30 GDP-Adv. 2.2% Medium
Friday 8:30 Durable Orders 3.0% Medium
Friday 10:00 Michigan Sentiment – Final 98.0 High
Earnings Calendar
Symbol Company AM/PM Day
MCD McDonald’s Corporation AM Monday
HAL Halliburton Company AM Monday
YHOO Yahoo! Inc. PM Monday
JNJ Johnson & Johnson AM Tuesday
BABA Alibaba Group Holding Limited AM Tuesday
LMT Lockheed Martin Corporation AM Tuesday
KMB Kimberly-Clark Corporation AM Tuesday
MMM 3M Company AM Tuesday
TRV The Travelers Companies, Inc. AM Tuesday
DD E. I. du Pont de Nemours and Company AM Tuesday
CA CA, Inc. PM Tuesday
TXN Texas Instruments Incorporated PM Tuesday
COF Capital One Financial Corporation PM Tuesday
STX Seagate Technology plc PM Tuesday
HES Hess Corporation AM Wednesday
ABT Abbott Laboratories AM Wednesday
TXT Textron Inc. AM Wednesday
NSC Norfolk Southern Corporation AM Wednesday
STT State Street Corporation AM Wednesday
UTX United Technologies Corporation AM Wednesday
BA The Boeing Company AM Wednesday
WDC Western Digital Corporation PM Wednesday
LVS Las Vegas Sands Corp. PM Wednesday
QCOM QUALCOMM Incorporated PM Wednesday
EBAY eBay Inc. PM Wednesday
MCK McKesson Corporation PM Wednesday
XLNX Xilinx, Inc. PM Wednesday
CCI Crown Castle International Corp. PM Wednesday
LRCX Lam Research Corporation PM Wednesday
VRTX Vertex Pharmaceuticals Incorporated PM Wednesday
NOW ServiceNow, Inc. PM Wednesday
CTXS Citrix Systems, Inc. PM Wednesday
NOC Northrop Grumman Corporation AM Thursday
SWK Stanley Black & Decker, Inc. AM Thursday
SHW The Sherwin-Williams Company AM Thursday
WRK WestRock Company AM Thursday
BIIB Biogen Inc. AM Thursday
TROW T. Rowe Price Group, Inc. AM Thursday
MJN Mead Johnson Nutrition Company AM Thursday
RTN Raytheon Company AM Thursday
RCL Royal Caribbean Cruises Ltd. AM Thursday
F Ford Motor Company AM Thursday
CMCSA Comcast Corporation AM Thursday
BMY Bristol-Myers Squibb Company AM Thursday
LUV Southwest Airlines Co. AM Thursday
DOW The Dow Chemical Company AM Thursday
CAT Caterpillar Inc. AM Thursday
CELG Celgene Corporation AM Thursday
POT Potash Corporation of Saskatchewan Inc. AM Thursday
PYPL PayPal Holdings, Inc. PM Thursday
SBUX Starbucks Corporation PM Thursday
JNPR Juniper Networks, Inc. PM Thursday
INTC Intel Corporation PM Thursday
MSFT Microsoft Corporation PM Thursday
GOOGL Alphabet Inc. PM Thursday
MXIM Maxim Integrated Products, Inc. PM Thursday
KLAC KLA-Tencor Corporation PM Thursday
VMW VMware, Inc. PM Thursday
GD General Dynamics Corporation AM Friday
NEE NextEra Energy, Inc. AM Friday
CL Colgate-Palmolive Company AM Friday
HON Honeywell International Inc. AM Friday
AAL American Airlines Group Inc. AM Friday
ABBV AbbVie Inc. AM Friday
CVX Chevron Corporation AM Friday
Today’s Picks – Day Trading
Symbol Breakout Breakdown Momentum Momentum
MAR 86.15 STX HA
PNC 121.33 LNG  
CRC 22.8 BA  


New York Strategy Swing
# Date Stock Long\


Statues Date Close Profit \ Loss # Date Stock Long \Short Statues Date Close Profit \ Loss
1 5.12.2016 CSC Long Close 6.12.2016 -1.62% 17
2 6.12.2016 YY Short Close 7.12.2016 +0.72% 18            
3 7.12.2016 ROST Long Close 14.12.2016 +0.42% 19
4 9.12.016 TWLO Short Close 13.12.2016 +2.01% 20
5 12.12.2016 PDCO Long Close 14.12.2016 +0.48% 21
6 13.12.2016 TLRD Long Open 22.12.2016 +1.87% 22
7 13.12.2016 IGT Short Close 14.12.2016 -0.19% 23
8 14.12.2016 CC Long Close 21.12.2016 +0.52% 24
9 29.12.2016 JWN Short Close 6.1.2017 +3.45% 25
10 6.1.2017 TRGP Long Close 9.1.2017 +0.20% 26
11 9.1.2017 NVDA Long Close 17.1.2017 +1.02% 27
12 10.1.2017 TLRD Long Close 10.1.2017 -3.27% 28
13 13.1.2017 LW Long Open   +0.09% 29
14 30  
15 31  
16 32
Today’s Picks – Swing “New-York Strategy

No.1 – CAH

Company Name Cardinal Health
Entry Point 76
Stop Area 74.65
1st Target 76.70
Swing Target 78.38
Avg. Volume 3.21M
Sector Services | Drugs Wholesale
Earnings Date
Risk Rate Normal
Risk\Reward Ratio 1.76:1