Picks of the Day December 6, 2017.


S&P 500 Falls for 4th Straight Session

Though on the face of it, indexes didn’t move much yesterday, there were tectonic moves under foot. The first thing that stands out is that the indexes ended mixed, the tech-leaning NASDAQ recovering, though the S&P 500 experiencing its fourth consecutive day of losses. Energy sector weakness counteracted the tech sector recovery, the S&P 500 suffering its longest losing streak since March. Add to that concerns about the ultimate fate of the Republican-led tax bill, and the quiet that stands out from the minor changes on the major indexes gives little insight into what’s really on the market’s mind.

As noted, energy stocks were some of the biggest losers on the day, crude tumbling 2.9% and the energy sector shedding 1.3% in turn. Tech stocks, though, bounced back, edging up 0.8%. So far, though, the sector is trading off 1.8% on the month. Facebook (FB) rose 1.87%, Alphabet (GOOGL) tacking on 1.3%. Amazon (AMZN) gained 0.9%. We saw a rarity yesterday in the market, a public spiff between Amazon and Google, the former refusing to sell some Google products on its site, the latter retaliating by blocking YouTube on some Amazon products. Pitted against each other, Google has long moved beyond searching capacity, and Amazon, is very far from being strictly a retail company. We’ll have to wait and see how this dramatic faceoff unfolds!

Why have tech stocks struggled of late?! The most common answer now given is something called AMT. AMT is an abbreviation for Alternative Minimum Tax and what’s on everyone’s minds, now, is whether the bill stamped out between the two houses of Congress will include it or not. The House version repealed it; in a last minute amendment before its bill Saturday morning, the Senate decided to keep it in. The Oxford definition is “a federal tax introduced in 1969 and intended to prevent wealthy individuals or companies from avoiding the payment of income tax through deductions and credits.” And truth be told, that’s where the money’s at! If the bill doesn’t included the AMT, it could be an even bigger boon for companies. We’ll recall, the thinking behind the market’s huge run is lower corporate taxes = higher dividends & more stock buybacks = more cash coming investors’ way!

Aviance Capital Management chief investment officer, Chris Bertelsen, noted, “People are becoming a little more risk averse with the march up in technology. While these are great companies, a stock like Amazon AMZN, +0.94% isn’t cheap. They’ve had a huge run, and they’ll need a pause to refresh a bit, which could be 10-15%, or even 25% in some names.” If that happens, it could be a bloodbath for the sector. With so many concerns up in the air – the federal government even possibly shutting down come the weekend – the conventional wisdom would seem to make sense, i.e. to preserve this year’s hard-earned gains.

On the bitcoin front, its meteoric rise hasn’t halted, Bitcoin representing half of net cryptocurrencies. The coin moved above $13,000 on Wednesday hitting an all-time high. Like we’ve noted before, trade at your own risk. “What goes up, most come down,” especially seeing that nearly half of respondents in a recent survey think that it’s just another bubble; the worth of a bitcoin, more than anything else, is a function of the worth people attribute to it, something that could change instantaneously. Reuters reported today that NiceHash, a cryptocurrency marketplace, reported that its wallet had been breached, with one executive saying that nearly $64 million worth had been lost. A heist like that could never happen with your stock or bond holdings, or cash, smug and safe in your bank account.

American Eagle (AEO) rose 2.4%, Brown-Forman (BF.B) rising 6.5%. United Parcel Service (UPS) fell 1.7% after warning of delivery delays.

Index Last Daily change
DJX 24,140.91 -39.73 (-0.16%)
SPX 2,629.27 -0.30 (-0.01%)
Nasdaq 6,776.38 +14.16 (0.21%)


Today’s Economic Calendar: Jobless claims will be coming out at 8:30, N.Y. Fed Chief, William Dudley speaking at 8:30. The EIA Natural Gas Report will be released at 10:30, the Fed Balance Sheet and the Money Supply coming out at 4:30.


Have a great trading day!

Economic Calendar


DAY TIME (EST) Event Forecast Impact
Monday 10:00 Factory Orders -0.4 % Medium
Tuesday 9:45 PMI Services Index 54.7 Medium
Tuesday 10:00 ISM Non-Mfg Index 59.0 Medium
Wednesday 8:15 ADP Employment Report 192,000  Medium
Wednesday 8:30 Productivity and Costs 3.0% Medium
Wednesday 10:30 Oil Inventories Low
Thursday 8:30 Jobless Claims 240 K Medium
Thursday 8:30 William Dudley Speaks   Medium
Friday 8:30 Nonfarm Payrolls 185,000 High
Friday 8:30 Unemployment Rate 4.1 % High
Friday 8:30 Average Hourly Earnings – M/M change 0.3 % High


Earning Calendar


Symbol Company AM/PM Day
HDS HD Supply Holdings, Inc. AM Tuesday
TOL Toll Brothers, Inc. AM Tuesday
VEEV Veeva Systems Inc. PM Tuesday
RH RH PM Tuesday
PLAY Dave & Buster’s Entertainment, Inc. PM Tuesday
AEO American Eagle Outfitters, Inc. AM Wednesday
HRB H&R Block, Inc. AM Wednesday
AVGO Broadcom Limited PM Wednesday
LULU Lululemon Athletica Inc. PM Wednesday
VRNT Verint Systems Inc. PM Wednesday
CIEN Ciena Corporation AM Thursday
MTN Vail Resorts, Inc. AM Thursday
DG Dollar General Corporation AM Thursday
UNFI United Natural Foods, Inc. PM Thursday
FNSR Finisar Corporation PM Thursday


Today’s Picks – Day Trading!

Symbol Breakout Breakdown Momentum Momentum
DK 33.74   FSLR BGS
MAC 66     HA


New York Strategy Swing

# Date Stock Long\


Statues Data Close Profit\


1 1.9.2017 VNTV Long Close 14.9.2017 +1.35%
2 12.9.2017 CPB Short Close 15.9.2017 -1.10%
3 18.9.2017 INSM Long Close 22.9.2017 +1.92%
4 25.9.2017 GPS Long Close 2.10.2017 +1.69%
5 27.9.2017 SQM Long Close 29.9.2017 +1.69%
6 2.10.2017 ATI Long Close 6.10.2017 +3.12%
7 2.10.2017 TROX Long Close 18.10.2017 +13.93%
8 3.10.2017 ABT Long Close 11.10.2017 +1.60%
9 9.10.2017 ZGNX Long Close 12.10.2017 +3.26%
10 16.10.2017 INSM Long Close 19.10.2017 -2.82%
11 24.10.2017 CVS Short Close 1.11.2017 +4.77 %
12 30.10.2017 SKX Long Close 31.10.2017 -1.42%
13 31.10.2017 STX Long Close 2.11.2017 -0.15%
14 3.11.2017 AKAM Long Close 8.11.2017 +1.37%
15 10.11.2017 JUNO Long Close 14.11.2017 +1.26%
16 16.11.2017 FLR Long Close 25.11.2017 +2.16%


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

No.1 –   SPLK

Company Name Splunk 
Entry Point 78.62
Stop Area 76.80
1st Target 79.45
Swing Target 84.88
Avg. Volume 1.9M
Sector Technology | Application Software
Earning Date
Risk Rate High
Risk\Reward Ratio 3.44:1