Smooth Trip Gives Market Smooth Ride

Stocks on Wall Street rose in yesterday’s drama-free trading, the calm being well received after the strong volatility last week. The rat-a-tat of local political headlines has slowed with Trump continuing his first presidential trip overseas, flying yesterday from Saudi Arabia to Israel. After news came out of a weapons deal between the U.S. and Saudi Arabia amounting to billions of dollars, the weapons industry soared. General Dynamics (GD), Raytheon (RTN), and Lockheed Martin (LMT) all rallied to new highs. At the same time, the rally cooled off over the trading day, the abovementioned stocks rising between 0.6% and 1.6%. The Aerospace & Defense ETF, the XAR, rose 1.11%.

A number of appearances on the part of senior Fed officials didn’t prompt any news of note leading up to the release of the minutes from the central bank’s latest meeting which are expected to be released later this week. Traders also have their sights trained on a prospective extension of the crude production cut in the meeting OPEC will be convening this Thursday.

In Summary for the Day: The Dow Jones tacked on 0.4%, the S&P 500 rising 0.5% and the NASDAQ rallying 0.8%. Gold rose 0.6% on the backdrop of the continued weakness in the U.S. dollar, crude gaining 0.9%.

One of the stocks standing out in yesterday’s trading was Ford (F), which rallied 2.1% on the heels of the resignation of its CEO, Mark Fields, who had voiced frustration about the company’s stagnating stock price and its flagging momentum in electric car production and autonomous driving technologies. Qualcomm (QCOM) jumped 2.8% on the background of a rate hike from J.P. Morgan. Oclaro (OCLR) soared 10.2% on the background of positive coverage from the Jaffray’s brokerage house.

On the negative side, AMD fell 3.3% as investors engaged in profit taking on the heels of the latest rally. Citigroup cast doubt on the latest reports that AMD can reach a graphics licensing deal with Intel. Amgen (AMGN) fell 2.2% after it revealed that new cardiovascular risks were found with its Osteoporosis drug.

Back to OPEC! The oil cartel is expected to meet in two days’ time in Vienna, the consensus pointing to a 9-month extension of the production cut which has already been in effect for 6 months; the cuts were aimed at normalizing prices in light of a global oil gut.

There have been discussions about the possibility of a deeper production cut. The risk for OPEC, of course, is that it will have to relinquish part of the market segment it had won in a tooth and nail price war in 2015, after beating back American oil shale producers. American crude companies have increased their number of operational rigs over the last few months in response to the latest recovery in crude prices, prompted, in turn, by the cartel production cut.

On the S&P 500, 45 stocks rose to new 52-week highs, 3 dipping to new yearly lows; on the NASDAQ, 102 stocks recorded new 52-week highs, 60 falling to new yearly lows.

About 5.9 billion shares changed hands on U.S. exchanges, beneath the 6.9 billion average over the last 20 trading days.

Tuesday: Today’s Economic Diary will include new home sales at 10:00 N.Y. time, and earlier in the day, Markit’s Supply Managers’ service sector PMI at 9:45. Most earnings reports have already been released, but Toll Brothers (TOL) and AutoZone (AZO) will be releasing their financial results before the opening bell.

Trump’s trip to the Middle East and Europe is expected to continue to pique investors’ interests. Until now, the trip has been successful, the president sticking to the written script. That, in its own right, could help renew confidence in Trump if his trip is crowned a success.

The fact that until now Trump hasn’t succeeded in implementing his election agenda to a substantial degree has hurt the dollar, while at the same time propping up the Euro on the background of better forecasts for the continental bloc. The dollar index is off 0.9% since the elections, after having rallied prior by 6% come the month of January. The thick air surrounding the investigation of the Trump’s election campaign’s complicity with Russia needs to clear for the U.S. dollar to take off again.

IndexLastDaily change
DJX20,8950.43%Up
SPX2,3940.52%Up
Nasdaq6,1340.82%Up

Tuesday’s Hot Stocks: TTWO, A, TOL, MOMO

IPOs: None

Have a great trading day!

 

Economic Calendar

 

DAYTIME (EST)EventForecastImpact
Tuesday10:00New Home SalesMedium
Wednesday9:00FHFA Housing Price IndexMedium
Wednesday10:00Existing Home SalesMedium
Wednesday10:30Crude Oil InventoriesLow
Thursday8:30Initial ClaimsHigh
Friday8:30Durable OrdersMedium
Friday8:30GDP – Second EstimateMedium
Friday10:00Michigan Sentiment – Final High

 

Earning Calendar

 

SymbolCompanyAM/PMDay
AKRXAkorn, Inc.AMMonday
AAgilent Technologies, Inc.PMMonday
TTWOTake-Two Interactive Software, Inc.AMTuesday
TOLToll Brothers, Inc.AMTuesday
MOMOMomo Inc.AMTuesday
INTUIntuit Inc.PMTuesday
TIFTiffany & Co.AMWednesday
AAPAdvance Auto Parts, Inc.AMWednesday
DYDycom Industries, Inc.AMWednesday
EVEaton Vance Corp.AMWednesday
LOWLowe’s Companies, Inc.AMWednesday
HPQHP Inc.PMWednesday
CPRTCopart, Inc.PMWednesday
PVHPVH Corp.PMWednesday
NTAPNetApp, Inc.PMWednesday
WSMWilliams-Sonoma, Inc.PMWednesday
SIGSignet Jewelers LimitedAMThursday
DLTRDollar Tree, Inc.AMThursday
MDTMedtronic plcAMThursday
BBYBest Buy Co., Inc.AMThursday
MRVLMarvell Technology Group Ltd.PMThursday
ULTAUlta Beauty, Inc.PMThursday
SPLKSplunk Inc.PMThursday
COSTCostco Wholesale CorporationPMThursday
GMEGameStop Corp.PMThursday
BRCDBrocade Communications Systems, Inc.PMThursday
VEEVVeeva Systems Inc.PMThursday
NTNXNutanix, Inc.PMThursday
BIGBig Lots, Inc.AMFriday

  

Today’s Picks – Day Trading!

SymbolBreakoutBreakdownMomentumMomentum
MNST48.69 AAOITRIP
BERY56.94 WUBASRPT
ATVI57.3 PBYIRL
MAR104.52 LITE 
SWKS105.51 OCLR 
DKS 40.25CPB 
   PF 
   QRVO 
   ADSK 
   VMW 
   BF.B 

 

 

 New York Strategy Swing

#DateStockLong\

Short

StatuesData CloseProfit\

Loss

13.4.2017ARNCLongClose31.3.2017-2.52%
23.4.2017GMEShortClose10.4.2017+1.95%
35.4.2017IPXLLongClose11.4.2017+7.03%
413.4.2017NKTRLongClose21.4.2017+0.61%
525.4.2017LULUShortClose2.5.2017-0.17%
626.4.2017GNCLongClose28.4.2017-4.39%
728.4.2017CARALongClose1.5.2017-3.23%
81.5.2017AAOILongClose2.5.2017+0.54%
93.5.2017SCSSLongClose9.5.2017-1.71%
104.5.2017CRZOShortClose5.5.2017+0.30%
118.5.2017WTWLongClose16.5.2017+6.09%
1215.5.2017AANLongClose16.5.2017-1.70%
1316.5.2017CCLLongClose17.5.2017-0.41%
1417.5.2017AMAGShortOpen +4.96%
1517.5.2017AANLongOpen -1.05%
1619.5.2017TRCOLongOpen -0.60%
1719.5.2017GIMOLongOpen +1.46%
18      

 

Today’s Picks – Swing “New-York Strategy

No.1 –    SNAP

Company NameSnap 
Entry Point19.86
Stop Area21.06
1st Target19.20
Swing Target17.59
Avg. Volume31.74M
SectorTechnology | Internet Software & Services
Earning Date
Risk RateNormal
Risk\Reward Ratio1.89:1