Technically we took out some important levels yesterday.
Both XLV and the IBB are doing what we had hoped in last weeks market wrap video. They held the areas of potential support and they appear to be consolidating which is what we wanted to see happen before they try to take out that price resistance overhead. Keep an eye on LABU and XLV if the markets continue this move higher.
Oil took a little pause yesterday after its strong move over 40 and the energy ETS's broke some long term trend lines. This move may be a head fake heading into Sundays big OPEC meeting but it still presents some short term trading opportunities. There was another bankruptcy announcement in the sector by EXXI after the close. I wouldn't be chasing anything especially the smaller lower quality names with extreme debt loads.
Gold and the miners showed some signs of weakness yesterday on the heels of the dollar showing some strength. The Bank of England will be revealing its rate decision this morning and that could potentially impact the dollar strength if the dollar strengthens watch for the gold correlation to continue.
The two sectors that I was concerned about in the market wrap video both had nice recoveries yesterday. The XRT which is the retail ETF and the IYT transportation index both had impressive bounces. We talked about how this market could be set up for one heck of a squeeze because of the high weighting of shorts betting against this extended rally. At some point the shorts will be right but the question is how much pain are they willing to endure before they are? Markets can stay irrational much longer than most can stay solvent.
JPM earnings certainly helped the financials which we needed. The earnings were not stellar but they really didn't need to to be. They just needed to be better than most people on the street anticipated. We have another group of financials reporting today and if they come in the same way we could see more follow through in the sector since it was priced for disappointment.
| Today's Markets
In Asia, Japan +3.2% to 16911. Hong Kong +0.9% to 21338. China +0.5% to 3082. India+1.9% to 25627.
Today's Economic CalendarIn Europe, at midday, London flat. Paris +0.3%. Frankfurt flat. Futures at 6:20, Dow -0.1%. S&P -0.1%. Nasdaq -0.1%. Crude flat at $41.75. Gold -0.6%to $1241.40. Ten-year Treasury Yield +1 bps to 1.77%
8:30 Initial Jobless Claims
8:30 Consumer Price Index 9:45 Bloomberg Consumer Comfort Index 10:30 EIA Natural Gas Inventory 1:00 PM Results of $12B, 30-Year Note Auction 4:30 PM Money Supply 4:30 PM Fed Balance Sheet |
ETF's on my Radar
Volatility & SPY OIL Biotech
UVXY XIV VXX TVIX SPXS SPXL UWTI DWTI GUSH DRIP LABD IBB LABU
UVXY XIV VXX TVIX SPXS SPXL UWTI DWTI GUSH DRIP LABD IBB LABU
Gold SILVER Dollar Financials
GLD NUGT JNUG USLV UUP FAS XLF FAZ
Minerals and Miners Utilities RETAIL Transportation
XME GDX GDXJ XLU XRT IYT XTN
DUST JDST
Stock on my Radar Premarket
*pr = Press Release
Trillium To Give Update On CD47 Program April 18th From 1pm-5pm CT
RPRX surprised they did not raise capital after the run yesterday Could get some follow through but definitely not one you want to chase
OVAS like the daily setup recent insider buys 7.50 through 10.71
EVOL super tiny floater with some pr this morning and the daily actually looks kinda hot could get a 6 test and roll but DO NOT GO big or heavy looks for real volume
ABBV hot daily some pr out this morning potential 60 test and roll Thick stock more of a swing type
MRK another hot daily with pr flirting with 56 roll Thick stock probably more of a swing
Stocks in this weeks TICKER TV watch list and how they are tracking
Market Wrap & Sector Watch a look back and a look ahead
No comments:
Post a Comment