Tag Archives: market lab report

Market Lab Report – Premarket Pulse 5/27/15

âMajor averages fell yesterday on higher volume. The higher volume was easily achieved after the low volumes printed on Friday prior to the 3-day weekend, though volume was above average on the S&P 500 showing a degree of institutional selling. Both the S&P 500 and DJIA bounced off their respective 50-day moving averages, but both gave up on recent range breakout attempts by dropping back below their prior breakout points. In addition, the small-cap Russell 2000 Index gapped back below its 50-day moving average in a “risk-off” move. With the major indices still trading sideways, unable to firmly break out, keeping stops tight in stocks is imperative. As we have said, keeping your profits as you baby-step your accounts higher is key to finishing the year up appreciably. This is not a grand slam home run market, unlike each of the years in the 1990s where two or three trades could make a massive difference in your account. But if you hit enough singles, you can finish the year up well ahead of any of the major averages. So keep stops tight and take profits when you have them in context with the stock(s) in question and the general market.

Market Lab Report – Premarket Pulse 5/26/15

Major averages tiptoed lower last Friday on lower volume ahead of the 3-day holiday weekend. The attempted breakout remains unconvincing, and any negative news in this news-driven environment would likely push the S&P 500 back into its base. European stocks and the euro are currently under some pressure as Spain and Greece face headwinds. Nevertheless, the action on behalf of leading stocks in the US remains constructive, thus tilting the odds in favor of a resumption in the uptrend, sloppy or otherwise. A number of actionable names are showing good profits in a short time from the date and time we sent members the emails such as: +39.8% gain in SKX, members notified 4/22 at 74.8, current price: 104.57 +8.1% gain in AYI, members notified 4/29 at 168.1, current price 181.68 +6.8% gain in REGN, members notified 5/8 at 481.29, current price 513.88 +9.0% gain in MOH, members notified 5/8 at 65.12, current price 71.01 As we discussed in the prior webinar, it is important to take profits when you have them in context with its chart and the general market since this market environment rarely serves up any stocks that sustain longer trends. And should you take profits too soon, such stocks usually issue additional pocket pivot and/or buyable gap up buy points along the way. To profit handsomely over the months in this QE-driven market, one must be quick to take profits.

Market Lab Report – Premarket Pulse 5/22/15

Major averages finished breakeven or slightly higher on mixed volume. While the indices remain reluctant to upside break outs, the number of actionable names which have performed well continues to grow. Thus, while market timing remains a difficult road to take, individual stocks have proven worthwhile. The markets shrugged off Thursday’s economic reports which mostly came in weak. This was likely a sign of renewed faith that rate hikes would be further postponed allowing a continuation of QE to prop the markets. Television station operator Gray Television (GTN) had a pocket pivot breakout. Keep in mind breakouts typically have not been working thus buying a stock on constructive weakness after a pocket pivot is often prudent. ROE 24.6%, earnings and sales are accelerating, group rank 38. Customer relationship management software provider Salesforce.com (CRM) had a buyable gap up on a strong earnings report. Earnings have been accelerating overall, group rank 32. Pharmaceutical maker Supernus Pharmaceuticals (SUPN) had a pocket pivot. Earnings have turned positive last couple of quarters and sales are skyrocketing, group rank 2. Keep in mind this is a small cap biotech thus risks are elevated. NXP Semiconductor (NXPI) had a pocket pivot off its 50dma. Pretax margin 22.7%, ROE 128.7%, group rank 10. NXPI gapped up in early March adding strength to its pattern.