After Closing: Apple’s Lackluster Results

The tech-leaning NASDAQ recorded another new high yesterday while the rest of the market spun its wheels around the price levels it had seen earlier in March. In essence, that’s what happens when buyers place their bets on a select group of large tech firms, a group that’s been the driver behind the market’s recent gains.

A lot of the discussion of late on Wall Street has revolved around the strong momentum in tech heavyweights like Amazon (AMZN) and Facebook (FB), which seem to be utterly unstoppable. With that said, things aren’t looking so pretty for the stocks that have been shunted aside. In effect, a growing number of stocks have fallen to 12-month lows. Take Monday for example. The stocks falling to 12-month lows represented 2% of all of the stocks on the NASDAQ – and on a day, when as a whole the index soars to a new historic high, that’s something that’s an anomaly.

The last time we really saw this phenomenon was in July ’15, when the market hit a “localized” high before concerns cropped up about energy sector bankruptcies and volatility in China’s currency, two factors that would later spur losses on the NASDAQ.

There were few if any catalysts yesterday, investors awaiting the outcome of the Federal Reserve’s 2-day meeting which began yesterday, the high point being the central bank’s announcement today. Investors, likewise, are awaiting the release of the official April employment report before the week fades into the weekend. Earnings reports continue to be released, and all-in-all point to strength.

With that said, though, the figures from the durables sector continue to disappoint. Yesterday, weak car sales figures provided further evidence of the fact that American consumers are in no rush to open their wallets.

In Summary for the Day: The Dow Jones rose 0.2%, the S&P 500 tacking on 0.1%, with the NASDAQ edging up 0.1%. The Russell 2000 dropped 0.6%, crude continuing to lose ground with a sharp drop of 2.6%.

One of the stocks that stood out in yesterday’s trading was Coach (COH), which soared 11.4% after reporting a an upswing in earnings on the background of a 3% jump in sales in its North American stores, outstripping analyst forecasts of revenue growth of just 1.6%. Delta Airlines (DAL) soared 5.4% after recording higher than expected earnings. In contrast, a stock that was recently the darling of the chip sector, AMD, toppled no less than 24.4% on the heels of its Q1 loss and its disappointing full-year forecast, its board noting that large capital expenditures are likely to weigh on earnings.

After Closing: Tech giant, Apple (AAPL) reported a surprise decline in Q1 iPhone sales yesterday after closing. AAPL, which rose 0.6% in regular trading, fell 1.86% after closing, and is expected to weigh on the market today.

On the S&P 500, 47 stocks rose to new 52-week highs, 9 dipping to new yearly lows; on the NASDAQ, 145 stocks recorded new 52-week highs, 51 falling to new yearly lows.

About 7 billion shares changed hands on U.S. exchanges, above the 6.5 billion average over the last 20 trading days.

Wednesday: The Federal Reserve is expected to signal that it sees economic growth coming out on the very low side for Q1, but that’s not what will prevent it from proceeding with its planned rate hikes this year. In its latest meeting, the Federal Reserve forecasted 2 more rate hikes on the year, investors pricing in chances of over 50% that the next rate hike is earmarked for June. The Federal Reserve is expected to leave interest rates unchanged today upon the release of its 14:00 policy announcement.

The ADP survey on new private sector jobs will be released at 8:15 today before the opening bell, analysts’ consensus being a projection of 175 thousand new April jobs. At the same time, in the event we get solid ADP numbers, investors will be skeptical about the sector’s ability to accurately predict Friday’s official employment report reading after its failure to do so last month, the ADP report likewise released then just a few days prior to the official employment report. In March, the ADP report recorded an uptick of 263 thousand new private sector jobs, trouncing expectations and upping economist expectations for the monthly report, leading to harsh disappointment when the reading came out at only 98 thousand for the American job market, in its entirety.

IndexLastDaily changeR2R1PPS1S2
DJX20,9500.17%Up     
SPX2,3910.12%Up236.91236.18235.30234.57233.69
Nasdaq6,0950.06%Up132.73132.39132.04131.70131.35

Like every week, crude inventories will be released at 10:30.

Wednesday’s Hot Stocks: AAPL, TWLO, WTW, FEYE, ETSY, GILD, EL

IPOs: None

Have a great trading day!

  

Economic Calendar

 

DAYTIME (EST)EventForecastImpact
Monday8:30Personal incomeMedium
Monday8:30Consumer spendingMedium
Monday9:45Manufacturing PMIMedium
Monday10:00ISM manufacturingHigh
Monday10:00 Construction spendingMedium
Tuesday14:00April vehicle salesLow
Wednesday8:15ADP payrollsHigh
Wednesday9:45Services PMIMedium
Wednesday10:30Crude Oil InventoriesLow
Wednesday10:00ISM non-manufacturingMedium
Wednesday14:00Fed decisionHigh
Thursday8:30Jobless claimsHigh
Thursday10:00Factory ordersMedium

 

Earning Calendar

 

SymbolCompanyAM/PMDay
THCTenet Healthcare Corp.PMMonday
LLLumber Liquidators Holdings, Inc.AMTuesday
MAMastercard IncorporatedAMTuesday
AETAetna Inc.AMTuesday
COHCoach, Inc.AMTuesday
COPConocoPhillipsAMTuesday
CVSCVS Health CorporationAMTuesday
MOSThe Mosaic CompanyAMTuesday
MRKMerck & Co., Inc.AMTuesday
PFEPfizer Inc.AMTuesday
GILDGilead Sciences, Inc.PMTuesday
AAPLApple Inc.PMTuesday
WTWWeight Watchers International, Inc.PMTuesday
TWXTime Warner Inc.AMWednesday
ELThe Estee Lauder Companies Inc.AMWednesday
FBFacebook, Inc.PMWednesday
AIGAmerican International Group, Inc.PMWednesday
KHCThe Kraft Heinz CompanyPMWednesday
TSLATesla, Inc.PMWednesday
METMetLife, Inc.PMWednesday
VIABViacom, Inc.AMThursday
KKellogg CompanyAMThursday
CABCabela’s IncorporatedAMThursday
CBSCBS CorporationPMThursday
ATVIActivision Blizzard, Inc.PMThursday
SHAKSHAKE SHACK INC.PMThursday
ZZillow Group, Inc.PMThursday
MCOMoody’s CorporationAMFriday
CICigna CorporationAMFriday
CTSHCognizant Technology Solutions CorporationAMFriday

  

Today’s Picks – Day Trading!

SymbolBreakoutBreakdownMomentumMomentum
MMM197.12 COHAMD
PX126 GRUBCVS
TEAM35 THCBG
V92.80 DALLL
CI159.07 UALAMAG
BG 75YY 

 

New York Strategy Swing

#DateStockLong\

Short

StatuesData CloseProfit\

Loss

16.3.2017LBTYKLongClose14.3.2017+2.47%
28.3.2017FTNTLongClose9.3.2017+0.37%
313.3.2017ARNCLongClose21.3.2017+1.92%
414.3.2017MOMOLongClose20.3.2017+5.50%
515.3.2017PTLALongClose17.3.2017+0.65%
617.3.2017NTNXLongClose21.3.2017-4.23%
722.3.2017FNSRShortClose25.3.2017-2.78%
827.3.2017AKAOLongClose31.3.2017+11.31%
930.3.2017AFSIShortClose3.4.2017-6.63%
103.4.2017ARNCLongClose31.3.2017-2.52%
113.4.2017GMEShortClose10.4.2017+1.95%
125.4.2017IPXLLongClose11.4.2017+7.03%
1313.4.2017NKTRLongClose21.4.2017+0.61%
1425.4.2017LULUShortClose2.5.2017-0.17%
1526.4.2017GNCLongClose28.4.2017-4.39%
1628.4.2017CARALongClose1.5.2017-3.23%
171.5.2017AAOILongClose2.5.2017+0.54%
18      

 

Today’s Picks – Swing “New-York Strategy

 No.1 –  SCSS

Company NameSelect Comfort Corporation
Entry Point31.07
Stop Area30.29
1st Target31.70
Swing Target33.29
Avg. Volume1.25M
SectorConsumer Goods | Home Furnishings & Fixtures
Earning Date
Risk RateNormal
Risk\Reward Ratio2.85:1

 

No.2 – CRZO

Company NameCarrizo Oil & Gas, Inc.
Entry Point25
Stop Area26.25
1st Target24.55
Swing Target
Avg. Volume1.48M
SectorBasic Materials | Independent Oil & Gas
Earning Date9 May
Risk RateNormal
Risk\Reward Ratio4.85:1