October 18, 2017

The NightCap

Daily-Wrap

The Market: A late day rally helped the market close well off the midday lows but all 4 major indices on the WSC Scorobard still finished down near or over 1%.  Based on the recent action, we expect to see lower levels in the short-term. In individual sectors, Retail (XRT) was the hardest hit sector on the WSC Scorboard with Priceline (PCLN) finishing down over 9% on the session after reporting EPS which beat expectations but guidance that fell short.  We will be watching Ctrip.com (CTRP) which is scheduled to report EPS tomorrow, November 10th, after the close — CTRP…

Huge intraday rally as Volatility continues

Daily-Wrap

The Market: It is not uncommon when the S&P is down 25+ points intraday for their to be a rally but to see the index trade down over 30 points and then finish the session slightly up is surprising.  Even with the recent volatility, we remain within a range from, roughly, 2130 to 2050 in the S&P.  We are interested to see if the Bulls can build on today’s move off the low and gap higher tomorrow.  If not, we would not rule out the S&P revisiting today’s lows in the short-term.  Expect the volatility to continue. Leading sectors today…

China & Buffett support stong session

Daily-Wrap

The Market: A strong overnight session in China which was triggered by changes to the latest monetary policy report and also on reports that China will overhaul state-owned enterprises helped get the market started and then Warren Buffett and Berkshire Hathaway (BRK.A, BRK.B) helped fan the fire by first purchasing Precision Cast Part (PCP) for $235/share in cash and then during an interview noted that he likes IBM (IBM) and answered a question about if he is buying that people should check the SEC filings in the coming days.  The Dow (DIA) led today’s rally. Energy (XLE) was the biggest…

Weak ADP data helps market gap

Daily-Wrap

The Market: The market gapped and continued higher for the first hour of trading which the news attributed to a weak ADP number which could keep the Fed from raising interest rates anytime soon.  After the first hour of trading the major indices began to lose ground and, while they all finished up on the day, they were all also well off their highs. Leading on the WSC Scoreboard was Retail (XRT) which was the only sector to finish up by over 1% followed closely by Technology (XLK) which closed up 0.97%.  The only two losing sectors on the day…

Hospitals rocket as Supreme Court rules

Daily-Wrap

  The Market: After an early morning small pop, which helped work off some of the very short-term oversold levels, the market declined the rest of the day finishing near the session’s lows. Energy (XLE) was the largest losing sector on the WSC Scoreboard followed closely by Transportation (IYT) which was the biggest loser yesterday.  However, we would be watching the IYT as it appears to be coming into a support region and could soon provide a trade set-up to the long side. Health Care (XLV) was the lone green sector on the Scoreboard as the Supreme Court ruled that…

Dollar giveth and taketh away

Daily-Wrap

Index & Sector performance 3/19/15 The Market: It was noted in last night’s write-up that where the S&P 500 (SPY) decided to stop yesterday gave us pause and left the door open for a pullback.  We still see risk in the S&P in the short-term but a move back over yesterday’s high would force us to revisit that view. Oil reversed much of yesterday’s gains but has managed to remain above yesterday’s lows.  We noted in last night’s commentary that the risk/reward in the USO looked favorable with a stop below $15.61 and we would continue to use that as…

S&P snaps 2 day losing streak

Daily-Wrap

Index & Sector performance 2/10/15 The Market: The S&P 500 snapped a 2 day losing streak with a solid rally closing up over 1% on the session while the NASDAQ led the charge finishing up over 1.50% helped by Apple (AAPL) which closed at a fresh all time highs.  The Russell 2000 (IWM) was the laggard but still managed to finish up 0.67%. All the sectors on the WSC Scoreboard were higher with the exception of Energy (XLE) which was taking its cue from Crude’s slide today after running into the 50 day SMA.  Utilities (XLU) was the biggest gainer…

Low vol narrow holiday trading range

Daily-Wrap

Index & Sector performance 11/25/14 The Market: Another uneventful holiday trading session across all 4 major indices on the WSC Scoreboard.  Action was also muted across the individual sectors with the exception of Energy (XLE) which lost 1.63%.  For XLE traders our take is that the lows may hold but we would either be looking for an opportunity to buy lower or on a break above $89.25. In Economic data, estimated 3rd quarter GDP growth came in better than previously reported while Consumer Confidence and the Richmond Manufacturing Index both missed expectations.  Tomorrow there is a slew of data including…