Wednesday October 12, 2016
Economic Calendar & Watch Lists
Morning Notes
US Futures are relatively flat this morning along with European markets in light trading action. Yesterday earnings season kicked off with Alcoa (AA) reported earnings that disappointed, dragging markets lower. Asian stocks closed mostly lower.
Technicals
The SPY traded sharply lower throughout yesterday’s session and tested a significant point of support. Support will lie at the low of yesterday’s range at $212.58 which also aligns with near term support, now creating a pivot point. Below $212.57 lies $212.31 and $210.78. Resistance will lie at the near term ascending support from the recent uptrend channel at $215.55, followed closely by the high of yesterday’s range at $215.74, then $215.99 and the 50 day moving average at $216.62.
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**
$CUDA
$FTNT
Economic Calendar
10:00 Aug JOLTS job openings expected -96,000 to 5.775M
Notable Earnings Before Open
NONE
Notable Earnings After Close
NONE
October 12th Swing Watch List
$JBHT – A nice flat top at 82.00 makes this interesting if energy moves higher. Options aren’t liquid enough to trade, but the stock is. Long entry is over 82.04, stop 81.30. Target is 84.
$SDRL – A nice bullish flag after a big move up in energy. If market rallies, look for SDRL to pop. Long entry is over 2.81, stop 2.67. Target is 3.00 and then 3.25 if we get a squeeze over that resistance.
$LULU – A big downward oversold spiral for this company. Looking to play a reversal out of oversold conditions. Long entry is over 58.04, but you could sneak a starter position over 57.00, stop at 56.
$VFC – On short watch below 54. If the market falls, I think 54 breaks and we get a test of that support area 52. Short entry is under 54, stop is over 55.
