Wednesday March 2, 2016
Economic Calendar & Watch Lists 3/2/2016
Morning Notes
US futures are slightly lower this morning after the strong move higher in yesterday’s session. European stocks are trading slightly higher led by a move in commodity producers. Crude is lower by nearly -2% after API inventories showed a large inventory. Asian stocks closed higher.
Technicals
The SPY surged higher in yesterday’s session closing above a critical resistance pivot. Resistance will lie at the high of yesterday’s range at $198.21, followed by $200 and $201.90. Support will lie at the former resistance and critical pivot zone of $197.60 – $197.40, followed by the low of yesterday’s range at $194.45.
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**
Economic Calendar
8:15 Feb ADP employment change expected +188,000, Jan +205,000
9:45 Feb New York ISM, Jan -7.4 to 54.6
10:00 San Francisco Fed President John Williams speaks
10:30 EIA Weekly Petroleum Status Report
2:00 Fed Beige Book
Notable Earnings Before Open
NONE
Notable Earnings After Close
COST: Costco – EPS Est. $1.28, Rev Est. $28.43B
March 2nd Watch List
IVZ – A potential move back toward the $30 area if SPY continues to cooperate. A nice entry spot over the top at 28.00, stop 27.50. Room here is to 30.00 short term.
CSII – Higher risk setup as a long over move back toward the high of the post gap range, 9.96. Looking for a potential long over 8.81, stop 8.60. Room here is to 9.34-9.62.
CGI – A great setup for a bullish cross over the EMAs. Second attempt in a couple weeks. Looking for a long entry over 9.45, add spot 9.71 and 9.95. Stop will be 9.00 initially. Target short term is 11.04.
LGF – I will be watching LGF for a return to clearly defined resistance at 24.50. Looking for an entry starter over 22.43, stop 22.00. Will consider adding once we get over 23.
BECN – I like the range on this big mover and the bullish moves up. Looking for a long starter over 37.80, add spot over 38. Stop will be 37.25. First target is 38.70 and then 39.50, short term.
HCN – Another big runner with a 25% move straight up after earnings and off the lows. This is finally showing some slowing at a top and will be on short watch. Room is back down to 60-61. I like this for a short off 65 resistance and an add on new lows, or under the lows now 63.38, stop over 64. Still on watch (Day 2)!
SPY – I suspect SPY will test and or break thru the 200 mark here in the next couple weeks. I do not suspect we trade back below 190 before Mar16 options expiration. Looking at a SPY Bull Put STO Mar16 193p and BTO Mar16 190p for a net credit of .55 per spread. Looking for theta to kick in soon as SPY tests 200.