“No Bulls Allowed”

IndexLastDaily changeR2R1PPS1S2
DJX19,971(-0.61%)Down     
SPX2,281(-0.60%)Down229.18228.36227.39226.57225.60
Nasdaq5,614(-0.83%)Down126.03125.42124.78124.17123.53

Is Investor’s Honeymoon with Trump Over?

Yesterday, the large indexes on Wall Street recorded their largest daily losses this year, investors reminded that Trump’s immigration ban could be a forbearer of other executive policies adverse to the market. The presidential order signed by Trump on Friday forbids the entry of immigrants from 7 Islamic countries, including legal residents of America and Green Card holders. Over the course of this past weekend, thousands of people protested in major U.S. cities and airports, voicing disgust and contempt for the presidential order.

U.S. stocks had recorded a series of historic highs after the election of Donald Trump in November, encouraged by his promises to cut taxes and simplify regulation. It seems that investors had blindsided themselves, seeing only the market-friendly policies Trump had discussed over the course of his election campaign, with the immigration ban now serving as a reminder of the steps Trump could take that would in part undermine the economy.

Technology stocks (XLK) led the losses on the S&P 500 yesterday, the sector being one of the ones clearly hurt by the immigration restrictions, as the ban places hurdles before tech companies desirous of recruiting overseas talent.

In summary for the day, the Dow Jones fell 0.61% and closed beneath the 20,000 point level which it had scaled past for the first time ever last Wednesday. The Dow closed at 19,971 points yesterday. The S&P 500 shed 0.61%, the NASDAQ dropping 0.83% on the day. The Russell 2000, which is made up of the small cap U.S. stocks, recorded a 1.3% decline yesterday, relinquishing all of January’s gains.

Stocks fell yesterday despite the acceleration reported in U.S. consumer spending and the improvement seen in the December ’16 figure for pending home sales. These two figures pointed to local demand that could push up economic growth with the new year now afoot.

One of the stocks standing out in yesterday’s trading was American Airlines (AAL) which fell 4.4%, alongside United Continental which fell 3.6%. Some of the losses were attributed to the new travel limitations imposed on some Middle Eastern countries. The concern is that Trump’s ban on entry to the U.S. could be expanded to other countries or that stricter limitations could be placed on U.S. travel. Delta Airlines (DAL), which suffered a dire computer outage was compelled to cancel about 280 flights between Sunday and Monday. DAL ended sharply off by 4.1%.

On the S&P 500, 5 stocks rose to new 52-week highs, 5 also dipping to new yearly lows; on the NASDAQ, 49 stocks recorded new 52-week highs, 42 falling to new yearly lows.

About 6.67 billion shares changed hands on U.S. exchanges, slightly above the 6.65 billion average over the last 20 trading days.

Tuesday: The Federal Reserve will be commencing a 2-day meeting today, though today, earnings reports will probably nudge other economic and global developments out of center stage with crude giant, Exxon Mobil (XOM) reporting before opening, and Apple (AAPL) releasing its numbers after closing – tens of other companies reporting in between.

The reports before opening today will include PFE, MA, UPS, AET, and LLY. After closing, the main reporters will be X, APC, and AFL – and of course, AAPL.

A flood of earnings reports today is likely to retrain investors’ focus back on the market, and more specifically, fundamentals, i.e. what the market should really be looking at. Until now, 66% of the S&P 500 companies reporting have beaten out analysts’ forecasts, quarterly earnings rising 6.8% year over year.

In addition to earnings reports, today will likewise be jam-packed with economic figures. The morning kicks off with the Employment Cost Index at 8:30 N.Y. time, followed by the Case-Shiller housing price index at 9:00, and then the Chicago PMI at 9:45, with the Consumer Confidence Index coming out at 10:00.

The Fed will release its policy announcement tomorrow at 14:00.

After Closing: The Israeli pharmaceutical company, TEVA, tumbled almost 9% in late trading after the Delaware District Court invalidated 4 patents for the company’s flagship drug, Copaxone. Teva has already announced that it will appeal.

Tuesday’s Hot Stocks: TEVA, SANM, AEIS, RMBS, XOM, MA, UPS, LLY, VLO, HOG, ZBH

IPOs: None

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

 

31.1.2017

Today’s Picks – Day Trading!

SymbolBreakoutBreakdownMomentumMomentum
URI129.39GPROMMM
INFY13.74DGOPB
FTI33.17DISEEP
QCOM53.50NEPRRC
 CALACTSH

 

New York Strategy Swing

#DateStockLong\

Short

StatuesData CloseProfit\

Loss

15.12.2016CSCLongClose6.12.2016-1.62%
26.12.2016YYShortClose7.12.2016+0.72%
37.12.2016ROSTLongClose14.12.2016+0.42%
49.12.016TWLOShortClose13.12.2016+2.01%
512.12.2016PDCOLongClose14.12.2016+0.48%
613.12.2016TLRDLongOpen22.12.2016+1.87%
713.12.2016IGTShortClose14.12.2016-0.19%
814.12.2016CCLongClose21.12.2016+0.52%
929.12.2016JWNShortClose6.1.2017+3.45%
106.1.2017TRGPLongClose9.1.2017+0.20%
119.1.2017NVDALongClose17.1.2017+1.02%
1210.1.2017TLRDLongClose10.1.2017-3.27%
1313.1.2017LWLongClose26.1.2017+0.09%
14 
15 
16 

Today’s Picks – Swing “New-York Strategy

No.1 – FAST

Company NameFastenal Company
Entry Point50.24
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 – ATI

Company NameAllegheny Technologies,
Entry Point21.62
Stop Area20.80
1st Target22.20
Swing Target23.69
Avg. Volume2.82M
SectorIndustrial Goods | Metal Fabrication
Earning Date
Risk RateNormal
Risk\Reward Ratio2.52:1