Thursday April 21, 2016
Economic Calendar & Watch Lists 4/21/2016
Morning Notes
US futures are unchanged currently while European stocks are trading slightly lower as markets await the ECB decision on interest rates. Asian stocks closed higher led by a sharp rally higher by over +2.7% in the Nikkei on the weakening Yen.
Technicals
The SPY pushed higher in yesterday’s session and closed well off the highs on the late afternoon sell pressure. Support will lie first at the former descending resistance line which is now present support at $210, followed by the low of yesterday’s range at $209.39 and $208.94. Resistance will lie at the high of yesterday’s range at $210.92, followed by $211, $211.50, $211.66, and $211.77.
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**
$UA
$YUM
$URI
$WYNN
Economic Calendar
8:30 Weekly initial unemployment claims expected +12,000 to 265,000
8:30 Mar Chicago Fed national activity index expected +0.14 to -0.15
8:30 Apr Philadelphia Fed business outlook survey expected -3.4 to 9.0
8:30 USDA weekly Export Sales
9:00 Feb FHFA house price index expected +0.4% m/m
10:00 Mar leading indicators expected +0.4%
1:00 Treasury auctions $16 billion of 5-year TIPS
Notable Earnings Before Open
JCI: Johnson Controls – EPS Est. $.82, Rev. Est. $9.01B
LUV: SouthWest Airlines – EPS Est. $.84, Rev. Est. $4.81B
GM: General Motors – EPS Est. $1.01, Rev. Est. $35.75B
VZ: Verizon Wireless – EPS Est. $1.06, Rev. Est. $32.51B
UA: Under Armour – EPS Est. $.02, Rev. Est. $1.03B
AXP: American Express – EPS Est. $1.81, Rev. Est. $NA
BIIB: Biogen – EPS Est. $4.48, Rev. Est. $2.76B
Notable Earnings After Close
SBUX: Starbucks – EPS Est. $.39, Rev. Est. $5.03B
SKX: Skechers – EPS Est. $.53, Rev. Est. $917.25M
MSFT: Microsoft – EPS Est. $.63, Rev. Est. $22.11B
ETFC: Etrade – EPS Est. $.33, Rev. Est. $476.21M
GOOGL: Alphabet Inc – EPS Est. $7.95, Rev. Est. $20.34B
April 21st Swing Watch List
$SCHW – One of my favorite financial names to trade is just starting to breakout near resistance. If it clears and markets continue to remain strong, this should net us a nice return in a short time. Looking for 30-50% here with a June16 Call spread. Buy to open Jun16 30c, Sell to open Jun16 32c, net debit .55.
$TRUE – A wonderful bull flag on the daily under major resistance. Looking for the long entry over 6.50, stop 6.25 and a sharp move to 7.