Mid-Day Report Archives - Page 31 of 67

The Next Big Swing In Stocks

Posted on May 9, 2016May 9, 2016 by The INO.com Team

Over the weekend I was analyzing the charts and it appeared to me that with Friday's red Trade Triangle on the S&P 500 that stocks have topped out. The similarity between August and September and this January and February is quite startling. If the same pattern holds true then the next big swing in the stock market will be to the downside.

Already we have seen weekly Trade Triangles in the NASDAQ (NASDAQ:COMP) and just recently in the S&P 500 (CME:SP500). These weekly red Trade Triangles many times act as early warning system and are a strong indicator to move to the sidelines in the case of the Indices.

I would not be surprised to see more back-and-forth choppy trading action before the market eventually falls under its own weight.

I am looking for stocks to make a cyclical low sometime in June if the same cycle holds true.

S&P 500 Chart Legend

1. First Low
2. Pivot Point
3. Second Low
4. Cyclic High
Continue reading "The Next Big Swing In Stocks" →

U.S. Job Growth Misses Estimates

Posted on May 6, 2016 by The INO.com Team

Hello MarketClub members everywhere. The U.S. economy created 160,000 jobs in April vs. the estimated 202,000 that economist were expecting, However, the unemployment rate held steady at 5 percent.

On a brighter note, wages rose during the month, with average hourly earnings up 8 cents an hour, representing a 2.5% annualized gain. The average work week also edged higher to 34.5 hours, according to the Bureau of Labor Statistics.

The indexes fell briefly after the report was announced this morning, but have since regained some ground and are currently trading close to their market open.

Key levels to watch this week:
S&P 500 (CME:SP500): 2,111.05
Dow (INDEX:DJI): 17,580.38
NASDAQ (NASDAQ:COMP): 4,969.32
Gold (FOREX:XAUUSDO): 1,294.11
Crude Oil (NYMEX:CL.M16.E): 46.07

Every Success,
Jeremy Lutz
INO.com and MarketClub.com

Which Stock Would You Buy?

Posted on May 5, 2016May 5, 2016 by The INO.com Team

Hello MarketClub members everywhere. So here's a question for you...

Which stock would you buy, Amazon.com Inc. (NASDAQ:AMZN) or Alphabet Inc. (NASDAQ:GOOG), formally known as Google? Both of these stocks are juggernauts in the Internet world, but now seem to be headed in different directions.

Let's take a look at Amazon. The stock is pretty amazing and just think, it all started by selling books at a discount to the major retail stores. Now they sell everything under the sun, plus they have technical services that are used by many other companies including Netflix. Continue reading "Which Stock Would You Buy?" →

It Looks Like Indiana Changed The World Last Night

Posted on May 4, 2016 by The INO.com Team

Hello MarketClub members everywhere. Like many people around the world, I was watching the events unfold last night in Indiana.

The two big surprises to me were the fact that Ted Cruz suspended his campaign and that Bernie Sanders won the Democratic primary. So what does all of this mean and how likely will it affect the markets?

For some time now the market has been moving sideways and looks as though it's reflecting the lower growth rates that we are seeing. Occasionally you'll see it pop, but then the market just seems to fall back under its own weight. The stock market is a forward-looking vehicle which looks ahead 6 to 9 months into the future. I think it's predicting that the battle between the representatives of both the Democrat and Republican parties will get nasty. All of which will translate into negative news for the stock market in the interim.

Having said all that, I'm going to do what I always do and that is separate fiction from fact with the use of the Trade Triangles. What I mean by that is if everyone says a stock should go up, but the stock is going down, then you have to understand that the trend is down and not what everyone wishes it should be. Continue reading "It Looks Like Indiana Changed The World Last Night" →

Did Warren Buffett Just Shoot Down Negative Interest Rates?

Posted on May 2, 2016May 2, 2016 by The INO.com Team

Hello MarketClub Members everywhere, Adam Hewison here, wishing you a happy and prosperous May. I believe this month is going to be a very pivotal one for the stock market.

In the back of many traders' minds is the old market adage, "sell in May and go away". Is that what is going to happen this May? It is perhaps a little too early to tell as there are many, many factors in play the least of which is, of course, the presidential election which has electrified and gripped the country in a way that I have never seen before. Like always, I'm going to rely on the Trade Triangles to tell me what is going on in the marketplace.

This morning, Warren Buffett indicated that he would take his money out of the banks if he had to pay them to keep his money. What he was referring to was negative interest rates. Berkshire Hathaway, which is the operation that Warren Buffett runs, is a conglomerate of companies and has about $60 billion in cash that it keeps in the bank. With the current low-interest rates, Berkshire Hathaway is earning about $600 million a year as opposed to the several billion of dollars it would earn in a more normal interest rate environment.

So in essence when one of the top investors in the world indicates that he would pull his money out of banks, he was saying to Janet Yellen, the head of the Fed, to back off the idea of negative interest rates. Way to go Warren - I think you win this one. Continue reading "Did Warren Buffett Just Shoot Down Negative Interest Rates?" →

Tag: Mid-Day Report