Friday January 22, 2016
Economic Calendar & Watch List 1/22/2016
Morning Notes
US futures are pointing significantly higher and European stocks are trading sharply higher by nearly +3% on speculation that the central banks will step in to help support the global economy. Mario Draghi, the president of the ECB, speaking about possible stimulus measures at the ECB next month. In addition, the BOJ is conducting a meeting next week where further easing may take place. Asian stocks rallied and closed higher.
Technicals
The SPY traded higher in yesterday’s session and managed to hold partial gains into the close. Support will lie at the low of yesterday’s range at $184.64, followed by $181.02. Resistance will lie at the high of yesterday’s range at $188.87, followed by $190.11 and $193.26.
Small Cap Watch List
*Please refer to the momentum scanners displayed live in the chat room for potential plays at the market open.
**Others On Watch**
SBUX
FB
AXP
Economic Calendar
8:30 Dec Chicago Fed national activity index expected +0.15 to -0.15
8:30 USDA weekly Export Sales
9:45 Preliminary U.S. Jan Markit manufacturing PMI expected -0.2 to 51.0
10:00 Dec existing home sales expected +9.2% to 5.20 million
10:00 Dec leading indicators expected -0.1%
Notable Earnings Before Open
GE: General Electric – EPS Est. $.50, Rev Est. $35.99B
KSU: Kansas City Southern – EPS Est. $1.10, Rev Est. $601.33M
Notable Earnings After Close
NONE
January 22nd Watch List
OVAS – A nice biotech recovery here. If market and IBB can rally Fri, this is a great long setup. The strong close and hold over the 20 EMA confirms strength with the bulls here. Looking for an entry over 9.00, stop 8.75. First stop here is 10, then 10.50…could hit both targets same day if strong volume comes in.
HTWR – On watch for the third time in 2 weeks. This thing keeps teasing to rip and fill the gap, but the market congestion has really held things back. Still, looks good for that move back toward 40. Long entry over 33, stop 32.
ACTG – The first real sign of a trend reversal attempt in month or two, this has a great setup IF the market and relative volume stay up. Looking for a long over 3.90, add spot at 4.00. Stop will be 3.75. Room here is to 4.50 and then 5 with light resistance.
SALE – A LONG LONG basing pattern here going back to last summer. Looking for a move back to range highs after coming up off range lows. Room here is to 9.50 at the 50EMA, then 10-10.40. Long entry is over 9.00, stop 8.65.
ITCI – On short watch after bear flagging for a week and moving back toward the lows at the 200EMA. Looking for a short entry under 41.25-41.00, stop 42.50. Room here is down to 39.30-35.15, and then a big gap. This one has a monster ATR, so don’t crazy with your size on this. Respect the chart, give it room.
