Monday, August 29, 2016
Economic Calendar & Watch Lists
Morning Notes
US Futures are relatively unchanged this morning while European markets trade lower by nearly -1% after comments from Fed Chair Janet Yellen signaled increased probability of a rate hike in the near term which moved the dollar higher and sent commodity prices lower. Asian stocks closed mostly mixed.
Technicals
The SPY traded in an extreme range on increased volume throughout Friday’s session and closed on the the upper support pivot. Support will lie at the upper support pivot at $217.30, followed by the low of Friday’s range at $216.25, then $215.83, and strong support at $215 in the form of former ascending resistance as well as a daily support point. Resistance will lie at the high of Friday’s range at $219.12, followed by the all time highs at $219.60.
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**
$HLF
$NFLX
Economic Calendar
8:30 July personal spending expected +0.3%
8:30 July PCE deflator expected unch m/m and +0.8% y/y
10:30 August Dallas Fed manufacturing outlook
11:00 USDA weekly grain export inspections
4:00 USDA Weekly Crop Progress
Notable Earnings Before Open
NONE
Notable Earnings After Close
CRM: Salesforce – EPS Est. $.22, Rev. Est. $2.02B
August 29th Swing Watch List
$WATT – A historically big mover with a bullish setup here. Long entry is over 17.00, stop 16.20. Target will be 19.
$V – Looking at this big flat top with multiple taps at 81. I think we get it when the market perks up. Looking at a cheap options play here. The IV is low so, Oct16 77.5/82.5 for a debit of 3-3.05 should do the trick. As usual, 30-50% will be the target.
$OCN – Looking good for a breakout into a nice window over 3.44, stop 3.23. Target is 4.50.
$RH – On short watch for a move below the 9/50 EMAs as this one has failed to hold the gap. Short entry is under 31.80, stop 32.50. Target is 30.00.
