Tag Archives: market lab report

Market Lab Report – Premarket Pulse 11/25/15

Major averages made a nice comeback on higher volume after earlier weakness due to Turkey shooting down a Russian military jet. Both the NASDAQ Composite and the S&P 500 Indexes found support at their 10-day moving averages. The Russell 2000 small-cap index surprisingly led on the upside with a 0.72% gain on the day vs. the NASDAQ’s 0.01% and the S&P’s 0.12%. Market weakness on such news events is usually short-lived, but the market’s reaction is probably from spillover effects from the Paris attacks. Barring any unexpected news events, odds favor the markets trading quietly higher on the day before and after Thanksgiving. Network security infrastructure provider Palo Alto Networks (PANW) had a buyable gap up on a strong earnings report. Earnings and sales are soaring, group rank 92. Telecom infrastructure firm Maxlinear (MXL) had a pocket pivot. It gapped higher on its prior earnings report. Earnings and sales are soaring, group rank 51. It closed in the lower half of its trading range, a weak close given yesterday’s comeback. Telecom infrastructure firm Dycom (DY) had a pocket pivot. After reporting earnings, it was weak but has since made a high volume reversal to the upside. Earnings are soaring, sales are strongly accelerating, group rank 51. We reported on DY on Nov 2 when it had a pocket pivot.

Market Lab Report – Premarket Pulse 11/24/15

Major averages fell mildly on lower volume. This holiday-shortened weak is traditionally a quiet one, but oil and other commodities are near major new lows which is unsettling to markets. The market is down this morning on news of a Russian jet being downed by Turkey while in Turkish airspace. Historically, these types of news pullbacks tend to be short-lived. It is widely believed the Fed will hike rates 25 basis points when they meet in December. For 2016, bond-market futures suggest rates will only rise an additional 50 basis points, but Goldman Sachs thinks the Fed is more likely to boost rates by 1% next year. They predict the economy will grow fast enough to spur the Fed to raise rates by an average of once a quarter. They cite a tight labor market, steady consumer spending, and stronger home sales, among other things.

Market Lab Report – Premarket Pulse 11/23/15

Over the weekend, we sent out the weekly report to members that covered our views on actionable stocks emailed to members for this past week. Â Major averages rose on mixed volume, a surprising occurrence as Friday was triple witching day when volumes are usually exaggerated. Incidentally, from here until the end of the year, the S&P 500 has always been up since 2003. Of course, keep in mind these are not “normal” times so even such good odds can be broken. Oil and the Commodity Research Bureau (CRB) Index are closing in on multi-year lows putting pressure on European markets. Futures are currently trading lower. CME FedWatch puts the odds at 74% that the Fed will hike rates when it meets in December. Meanwhile, the European Central Bank is expected to ease further this week. So as has been characteristic for this year, crosscurrents prevail making for a trendless, rip-tide environment in the major averages. Still, profit opportunities have presented in stocks provided one stay disciplined by taking profits in context with the stock’s chart and general market while keeping stops tight.