Tag Archives: market lab report

Major averages were mixed yesterday on lower volume. The averages continue to close near the top of their intraday trading ranges. The gentle action continues as the market digests recent gains. Of course, one must not get complacent as we could have a repeat of late December. On the other hand, the market is all about being in the right stocks at the right time, and huge opportunities have been seen in names that we have issued reports on or discussed in our webinars, such as CyberArk Software (CYBR), up well over 50% since we first issued a Pocket Pivot Report on the stock, and Intrexon (XON), which was discussed in our webinars when it was setting up along the 30 price level. So while one can fret about what the indexes might or might not do, the fact remains that it is possible to make strong progress in this market IF one is in the right stocks, end of story. Futures are currently about flat and European stocks also remain relatively quiet. Social networking juggernaut Facebook (FB) had a pocket pivot. Earnings and sales remain strong, pretax margin 56.5%, institutional sponsorship has grown every quarter since the company went public 12 quarters ago. Drug manufacturer Regeneron Pharmaceuticals (REGN) had a pocket pivot after a constructive consolidation. Earnings and sales are accelerating, pretax margin 41.7%, ROE 52.3%, group rank 1. Tableau Software (DATA) had a continuation pocket pivot yesterday off of its 10-day moving average but continues to run into resistance around the $100 Century Mark as it stalled to close mid-range.

Major averages finished close to flat yesterday on mixed volume. They once again closed near their intraday highs which suggests support despite the quiet tip-toe fashion of recent days. Leading stocks are overall relatively quiet. Crude oil futures are trading lower as API data shows supply surging. The bottom that was put in a few weeks ago may be retested in the weeks ahead. Analysts speculated on oil going to new multi-year lows. Yesterday’s release of the most recent Fed meeting minutes revealed that a strong majority of members believe that the Fed can continue to soft-pedal on future interest rate increases. Thus the story remains the same Orwellian line that the U.S. economy is so “strong” that the Fed needs to keep interest rates near zero indefinitely. For now it is simply a matter of watching the action of individual stocks, as some strong profit opportunities (e.g., CYBR) have emerged over the past 1-2 weeks.