A French Kiss

Stocks on Wall Street took off on Monday after a rally swept all of Asia and Europe after the centrist candidate, Emmanuel Macron, won the first voting round of the French presidential elections. Every poll projects that Macron, a European Union devotee, will win in the next round, becoming the next president of France come May 7th.

The relief rally sprung to life, players letting down their guard after the far-right candidate, Le Pen, an advocate of isolationism, nationalism and breaking ranks from the EU, fell flat, political analysts now giving her very little chance of victory in two weeks’ time. Yesterday’s movement revealed that large market players had taken more defensive positions in advance of the French elections and are now coming off the sidelines and returning to the market.

In Summary for the Day: The S&P 500 soared 1.08%, the NASDAQ rising 1.24%.

Investors on Wall Street are ready to move into full gear, this week, the busiest of the earnings season with more than 190 S&P 500 firms expected to report before the closing bell on Friday, Google (GOOGL) and Microsoft (MSFT) among them.

Until now, the earnings season has come out better than preliminary forecasts. We have not seen analysts’ back down with their expectations over the last few weeks, which means that not only is the bar high but companies have managed to scale it!

Out of the 100 companies on the S&P 500 which have already reported, 77% have hit their earnings forecasts, which has helped up expectations for earnings growth to 11% from 10% earlier in the earnings season.

On the S&P 500, 72 stocks rose to new 52-week highs, 2 dipping to new yearly lows; on the NASDAQ, 191 stocks recorded new 52-week highs, 43 falling to new yearly lows.

About 6.8 billion shares changed hands on U.S. exchanges, above the 6.3 billion average over the last 20 trading days.

Tuesday: Almost immediately after the resolution of the French election uncertainty, the market’s focus was on the prospects of Washington shutting down at the end of the week. Funding to keep the federal government pulsing runs out on Friday at midnight, unless Congress agrees to a temporary financing patch. The last time the government had shut down for this reason was during the period spanning October 1st – October 16th 2013. During that period, the S&P 500 rose 1.6%, though not without its fair share of volatility, the index seeing intraday movement of over 1% on 3 separate occasions.

Be primed and ready today for earnings reports from these key companies before opening: MMM, CAT, MCD, LLY, DD, T, LMT and VLO. After closing, keep your eyes peeled for ARNC, X, and COF.

The macroeconomic calendar will be packed today, and will include the Case-Shiller and FHFA house price indexes at 9:00 N.Y. time, new home sale numbers coming out at 10:00, the Consumer Confidence index likewise expected for 10:00.

Index Last Daily change R2 R1 PP S1 S2
DJX 20,764 1.05% Up          
SPX 2,374 1.08% Up 236.91 236.18 235.30 234.57 233.69
Nasdaq 5,984 1.24% Up 132.73 132.39 132.04 131.70 131.35

Tuesday’s Hot Stocks: CAT, GGP, RRC, CVS, JWN, ESRX, ZION, DD, VLO

IPOs: None

Have a great trading day!

Economic Calendar

 

DAY TIME (EST) Event Forecast Impact
Tuesday 9:00 Case-Shiller Home Price Index Medium
Tuesday 9:00 FHFA Housing Price Index Medium
Tuesday 10:00 New Home Sales Medium
Tuesday 10:00 Consumer Confidence Medium
Wednesday 10:30 Crude Inventories Low
Thursday 8:30 Initial Claims High
Thursday 8:30 Durable Orders Medium
Thursday 8:30 Initial Claims High
Thursday 10:00 Pending Home Sales Medium
Friday 8:30 GDP-Adv. Medium
Friday 9:45 Chicago PMI Medium
Friday 10:00 Michigan Sentiment – Final High


Earning Calendar

 

Symbol Company AM/PM Day
CAT Caterpillar Inc. AM Tuesday
DD E. I. du Pont de Nemours and Company AM Tuesday
KO The Coca-Cola Company AM Tuesday
LLY Eli Lilly and Company AM Tuesday
MCD McDonald’s Corporation AM Tuesday
MMM 3M Company AM Tuesday
VLO Valero Energy Corporation AM Tuesday
X United States Steel Corporation PM Tuesday
JNPR Juniper Networks, Inc. PM Tuesday
COF Capital One Financial Corporation PM Tuesday
ARNC Arconic Inc. PM Tuesday
BA The Boeing Company AM Wednesday
HSY The Hershey Company AM Wednesday
PEP Pepsico, Inc. AM Wednesday
FFIV F5 Networks, Inc. PM Wednesday
AMGN Amgen Inc. PM Wednesday
CELG Celgene Corporation AM Thursday
JCI Johnson Controls International plc AM Thursday
AAL American Airlines Group Inc. AM Thursday
UPS United Parcel Service, Inc. AM Thursday
SBUX Starbucks Corporation PM Thursday
MSFT Microsoft Corporation PM Thursday
GOOGL Google Class A PM Thursday
GPRO GOPRO, INC. PM Thursday
AMZN Amazon.com, Inc. PM Thursday
CL Colgate-Palmolive Company AM Friday
CVX Chevron Corporation AM Friday
PSX Phillips 66 AM Friday
XOM Exxon Mobil Corporation AM Friday

 

 

 

 


 

Today’s Picks – Day Trading!

Symbol Breakout Breakdown Momentum Momentum
AN 44.20 AAOI SHLD
A 54.82 BMRN W
STX 49.79 FUEL O
APH 72   VTR
IBM 159.60    

  

New York Strategy Swing

# Date Stock Long\

Short

Statues Data Close Profit\

Loss

1 6.3.2017 LBTYK Long Close 14.3.2017 +2.47%
2 8.3.2017 FTNT Long Close 9.3.2017 +0.37%
3 13.3.2017 ARNC Long Close 21.3.2017 +1.92%
4 14.3.2017 MOMO Long Close 20.3.2017 +5.50%
5 15.3.2017 PTLA Long Close 17.3.2017 +0.65%
6 17.3.2017 NTNX Long Close 21.3.2017 -4.23%
7 22.3.2017 FNSR Short Close 25.3.2017 -2.78%
8 27.3.2017 AKAO Long Close 31.3.2017 +11.31%
9 30.3.2017 AFSI Short Close 3.4.2017 -6.63%
10 3.4.2017 ARNC Long Close 31.3.2017 -2.52%
11 3.4.2017 GME Short Close 10.4.2017 +1.95%
12 5.4.2017 IPXL Long Close 11.4.2017 +7.03%
13 13.4.2017 NKTR Long Close 21.4.2017 +0.61%
14
15
16
17
18

 


 

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

Company Name GNC Holdings,
Entry Point 8.19
Stop Area 7.75
1st Target 8.60
Swing Target 9.57
Avg. Volume 4.48M
Sector Services | Drug Stores
Earning Date
Risk Rate Low
Risk\Reward Ratio 3.14:1

 

No.1 –    GNC

Company Name GNC Holdings,
Entry Point 8.19
Stop Area 7.75
1st Target 8.60
Swing Target 9.57
Avg. Volume 4.48M
Sector Services | Drug Stores
Earning Date
Risk Rate Low
Risk\Reward Ratio 3.14:1

 

No.2 – LULU

Company Name Lululemon Athletica
Entry Point 52.42
Stop Area 54.05
1st Target 51.55
Swing Target 49.40
Avg. Volume 3.17M
Sector Consumer Goods | Textile – Apparel Clothing
Earning Date
Risk Rate Normal
Risk\Reward Ratio 1.85:1