Thursday, August 11, 2016

Some Warning Signs

Good morning folks, 
Yesterday we saw some weakness but it isn't anything to panic about. Let's see how the market manages to close out the week. 

We have oil basically flat premarket after a small pull back yesterday. We need to maintain over 40 dollars a barrel for the energy sector to continue its very tepid recovery. Actually what we need is oil over 50 dollars a barrel. Even at these levels I think there are a lot of companies that exist today that probably won't exist a year from now if oil prices stay in this range or lower. They may exist but they could be in bankruptcy proceedings, some form of major restructuring, or simply out of business with the remains being picked apart by corporate vultures.  

The dollar had a pretty good drop yesterday which could continue but what I found interesting was that Gold and the miners didn't really react to the move. Appetite for gold is showing no signs of abating, as figures from the World Gold Council revealed record investment demand (1,064 tons) in the first half of 2016. The trend for ETFs to pile in to the precious metal sent the price of gold soaring by 25% in H1, the biggest price rise since 1980. And for the first time ever, investment, rather than jewelry, was the largest component of gold demand for two consecutive quarters. I am not sure if this is a good sign or a sign of too many are on one side of the boat.
  
We continue to trade in a range and with earnings winding down we are going to have to wait and see what will act as the next catalyst. The IBB is on my radar I want to see it hold that 285 286 area as support. 

Earnings from three big retailers could today could set the tone for the markets. 

Pot stocks could get high if this winds up happening today >Get it?? High...Pot?? LOL I kill me!  
CARA INSY GWPH ZYNE
Rueters Reporting US Government to Announce Expanded Marijuana Research Tomorrow by Paul Quintaro 
The Obama administration is planning to eliminate certain barriers to marijuana research as part of a policy that would potentially catalyze more studies of the drug's medical functions. The government is expected to announce the new policy decision today, but has still declined to change marijuana's classification from its current status as a dangerous substance with no medical use. Related tickers: OTC:AEGYOTCQB:CNAB,OTCPK:ERBBOTCPK:GRNHOTCPK:HEMPOTCPK:HPNNOTCPK:LATF,OTCPK:MJNAOTCPK:PLPLOTCQB:VAPEOTCPK:VAPRVPCO OTC TRTC 
Today's Markets 
In Asia, Japan -0.2% to 16735. Hong Kong +0.4% to 22581. China -0.5% to 3002. India+0.3% to 27859.
In Europe, at midday, London -0.3%. Paris +0.7%. Frankfurt +0.6%.
Futures at 6:20, Dow +0.3%. S&P +0.2%. Nasdaq +0.3%. Crude -0.3% to $41.58. Gold-0.1% to $1350.
Ten-year Treasury Yield +1 bps to 1.51%
Today's Economic Calendar


STOCKS ON MY RADAR PREMARKET 
*PR = Press Release
CHK Asset sale after the close and an agreement with WPZ that will save them close to 2 billion

GURE earnings thin one small volume action premarket looks like a very undervalued company but its a china name and no insider buys only grants and sells Could be a day trade if it gets some good volume for a 2 test and roll 

LGF and NFLX  both had big insider buys announced after the close

RWLK potential follow through off pr yesterday and a 7 roll 

VRX report came out after the close that they may be under criminal investigation

VNDA some call activity with november 13 strike just broke long term trendline 

DXPE getting some follow through after yesterdays big pop off earnings Don't chase but this is one to watch for a setup on a pullback 

OCUL upgrade with a 21 Price target from JMP Small floater plenty of cash flirting with a 7 roll Premarket do not chase it 

KURA premarket pop off earnings tiny floater plenty of cash don't chase but could get a 7 test and roll 
Stocks discussed in this weeks Ticker Tv 







We had trouble with the new chat room and wound up having to go back to the old one yesterday. Hopefully we won't have any issues today. I know there are some things people would like to see changed in the new chat room however, I would appreciate it if you emailed me @ Tim@Alphawolf trading.com to bring it to my attention instead of in the chat room. I would like to keep the chat more towards news, stocks and trading ideas.


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