It has been a choppy week in the markets with a negative bias as earnings continue to roll in.
Earnings have been disappointing for a majority of the companies that have reported with very few upside surprises.
Oil had an early bounce off the Libya news and the Canadian fire yesterday but by the end of the day it had given most of it back. Gold actually finished red on the day while the miners ETF's managed to eek out some gains NUGT and JNUG both had nice bounces after 3 days of significant declines. The IBB barely closed in the green while the IWM closed at the low of the day. The tone of the markets has changed the XRT (retail ETF) and the XTN (transportation ETF) both closed at the low of the day.
We came into the week with a bearish bias and so far that thesis has been playing out. The economic data that could either accelerate the negative bias or give us a glimmer of hope to turn things around is JOBS! Earnings are important but people having jobs is another huge component to a healthy economy.
The type of jobs that are being created is extremely important. To me it doesn't matter if the unemployment rate is under 5 percent if the majority of the jobs being created are part time low paying jobs. We have been seeing a tremendous amount of quality, high paying jobs being wiped out in the oil and tech industries. If today's number disappoints we may see the recent weakness in the markets accelerate and gold could strengthen. If the number is strong we may get a bounce but in my opinion the Fed is in a bad spot with either outcome. If the number is too strong then the Fed should put raising the rate back on the table for as early as June. If it comes in weak it could be showing us signs that we are looking at more than just an earnings recession on the horizon.
By the time you are reading this article the number will already be out and the market will already be reacting to the news. Regardless of the jobs report outcome we just need to look for clean setups with low risk and high reward potential. If the trades aren't there then there is no reason to try and force them. Sitting on your hands can be a great strategy and there is nothing wrong with starting your weekend a bit early.
This weeks Ticker Tv stocks to watch list did not perform that well but that isn't a huge surprise since we came into the week with a fairly bearish bias. I will be doing this weeks market wrap video after the close and this weeks stocks to watch video will be done TOMORROW morning I am not sure exactly what time yet but I will post it either later tonight or early tomorrow morning.
Today's Markets
In Asia, Japan -0.3% to 16107. Hong Kong -1.8% to 20089. China -2.8% to 2913. India -0.1% to 25229.
In Europe, at midday, London -0.8%. Paris -1.1%. Frankfurt-0.8 %.
Futures at 6:20, Dow -0.2%. S&P -0.3%. Nasdaq -0.3%. Crude -0.8% to $43.98. Gold +0.8% to $1281.90.
Ten-year Treasury Yield flat at 1.74%
Today's Economic CalendarIn Europe, at midday, London -0.8%. Paris -1.1%. Frankfurt-0.8 %.
Futures at 6:20, Dow -0.2%. S&P -0.3%. Nasdaq -0.3%. Crude -0.8% to $43.98. Gold +0.8% to $1281.90.
Ten-year Treasury Yield flat at 1.74%
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
Agriculture
DBA, DAG
Stocks on my Radar Pre market
CRME Pr after the close gapper premarket could get some follow through 6 test and roll
SYNC potential follow through day and 4 roll
MDR earnings better that anticipated 4 roll gapper premarket potential continuation
ATVI earnings beat and raise more of a swing type don't chase it already gapping premarket
YELP earnings beat and raise gapping premarket
Stocks discussed in this week Ticker TV video are below the video replay is in the Ticker Tv section the right of the page.
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