– James F. Taulman, former Editor-in-Chief of the first independently licensed website to offer stock reports and services based on the CAN SLIM® investment system.
7:30 AM – MORNING MARKET & WATCH LISTS UPDATE
NOTE: Today’s watch list can be found here.
U.S. stock futures are pointing higher this morning after President Donald Trump appeared to soften some of his trade rhetoric.
Major European and Asian markets were also higher.
QUOTE OF THE DAY:
“Winning is not always the barometer of getting better.”
– Tiger Woods
Last week, the major averages stormed through another volitile week which ended on a sour note Friday as the Dow Jones Industrial Average finished the day down 572 points, or -2.3%, while the S&P 500 dropped -2.2%, and the Nasdaq Composite fell -2.3%. That left all three indexes with weekly losses of worse than -2%.
By far the biggest issues affecting the market were – continued technology-industry woes and also escalating tariff tensions between the U.S. and China that threaten to erupt into a full-blown global trade conflagration.
Friday morning’s March employment report didn’t help as it showed an increase of only 103,000 nonfarm jobs for the month. This was the smallest monthly increase since last fall, and was well below the 170,000 anticipated. The unemployment rate of 4.1% was a tenth of a point higher than forecast, too. But, the latest report on employment still shows the tightest labor market in nearly two decades.
Late Friday afternoon the Dow Jones was on the verge of marking its fourth largest point decline in its history. The index was down 767 points, a decline of that magnitude represents its largest one-day skid since it plunged 1,032 points on Feb. 8th.
The Nasdaq briefly erased all of its gains for 2018 in late afternoon trade as well.
The S&P has now gone 49 trading days without notching a new high. Wallstreet’s benchmark did actually close just below its 200-day moving average on Monday – a closely watched technical level that is often used to gauge the long-term momentum. This was the first time the indexed close below that level since June 2016, but it subsequently rebounded above it. If the S&P closes below there again, that could spur deeper selling ahead.
The Dow and S&P 500 entered a correction phase back on Feb. 8th, defined as a drop of at least -10% from a most recent peak set on Jan. 26th.
The Nasdaq and S&P 500 do remain above their April 2nd lows, and all three major indices have managed thus far to basically hold above their respective 200-day moving averages.
Later this week, first-quarter earnings season gets under way as on Thursday and Friday we’ll see results from large banks such as BlackRock, Wells Fargo, and JPMorgan Chase.
Analysts and companies are looking for a strong earnings season, partly in response to the corporate tax cut signed into law in December.
For the first quarter, 52 S&P 500 companies have issued negative earnings guidance, while 53 have issued positive guidance, according to John Butters, senior earnings analyst at FactSet. That leaves the number of companies issuing negative guidance well below the five-year average of 80 and the number issuing positive guidance well above the five-year average of 28.
We now have a total of 15 stocks which we will be watching for a buyable breakout here.
One stock in particular is OLLI which is setting up in a base just above its 50-day moving average.
Chart courtesy of stockcharts.com – Click chart to enlarge.
No one has to wait for me to issue any type of alert. Any gains above the stock’s TRIGGER PRICE while the day’s volume is at least on pace to make the TRIGGER VOLUME would have this set up confirming a BUY signal up to the MAX BUY PRICE.
Current Portfolio Members can access all watch lists with updated trading criteria including – TRIGGER PRICE, TRIGGER VOLUME, and MAX BUY PRICE for every stock here.
Missed any of these morning reports? You can find all previous reports here.
As always, if anyone has any questions – please feel free to email me at firstname.lastname@example.org as I would be glad to assist you. _________________________________________________
About the Founder: James F. Taulman – James served as Editor-in-Chief of the first independently licensed website that offered stock reports and services based on the CAN SLIM® investment system.
He has developed a knack for being able to quickly and accurately analyze high-ranked stocks based on this winning investment strategy.
Over the years, Mr. Taulman has enjoyed assisting individuals from professional money managers to private investors with their needs in relation to implementing this investment approach on a daily basis in the current marketplace.
Each Sunday you could hear him deliver his weekly market report as part of the “Your Money Matters” radio program on ABC and CBS radio networks. _________________________________________________ Disclaimer: James Taulman is not an investment advisory service, nor a registered investment advisor or broker-dealer and does not purport to tell or suggest which securities or currencies customers should buy or sell for themselves. The independent contractors and employees or affiliates of Company may hold positions in the stocks, currencies or industries discussed here. You understand and acknowledge that there is a very high degree of risk involved in trading securities and/or currencies. The Company, the authors, the publisher, and all affiliates of Company assume no responsibility or liability for your trading and investment results. Factual statements on the Company’s website, or in its publications, are made as of the date stated and are subject to change without notice. It should not be assumed that the methods, techniques, or indicators presented in these products will be profitable or that they will not result in losses. Past results of any individual trader or trading system published by Company are not indicative of future returns by that trader or system and are not indicative of future returns which be realized by you. In addition, the indicators, strategies, columns, articles and all other features of Company’s products (collectively, the “Information”) are provided for informational and educational purposes only and should not be construed as investment advice.