Day traders should have plenty to do today.
Amazon’s earnings report today leads the way for a slew of big cap names to watch and trade.
AMZN finally broke out of a 3 month trading range nine days ago and the stock price has rallied $50 in that short period. Amazon reports after the close. Combining the recent large move and the post market earnings report, it will be hard to trade today during regular trading hours as everyone jockeys for position.
If you are a new day trader, I would wait until around 10am tomorrow to pick a clear spot to manage risk in AMZN.
July 23 Stock Market Today: Map of the S&P 500
(click the map for a full view)
SPY showed some back-bone yesterday trading above the open price for the entire session. The most constructive price action we could see would a pause for a few more days around the $210-213 level.
Might be hard to get though with a plethora of earnings this week.
(click the chart for a full view)
Stocks to Trade | Thursday July 23, 2015
- The last 2 days had more short-sale ideas with room to go than longs. Many of those trade have now reached areas where follow-through is less likely.
Interesting Chart Lessons:
Amazon’s earnings report today and the recent $50 rally will make this difficult to trade today. I would spend my time and money on something else today. The higher probability trade in AMZN would be tomorrow morning about a half hour after the open.
At that point the overnight orders are out of the way and fresh, clean orders will show the true order flow.
(click the chart for a full view)
Earnings in play today > 1M avg shares: T, FCX, GM, CY, LLY, BSX, CMCSA, CAT, DOW, UAL, BMY, LUV, PHM, SBUX, SWKS, CAM, V, CELG, PTEN, MCD, UNP, JNPR, FLEX, MXIM, AEP, NUE, AMZN, CB, MMM, UA, CBI, COF, DNKN, ETFC, TRIP
Bullish Ideas ATR/Volume/Price: AMBA, GOOG, GOOGL, FIT, TSO, CELG, NFLX, FB, MBLY, AMZN, VLO, HCA, WBA, MPC, ALXN, TWC, RCL, LLY, ACN,
Bearish Ideas ATR/Volume/Price: sndk, uri, eog, gmcr, utx, mon, ibm, mmm
Weak Stock Weak Close: bhi, cam, fast, fti, mro, mur, nov, oke, sfm, swft,
Strong Stock Weak Close: FIT, BA
Weak Stock Strong Close: emc, txn, lltc, nrg, rrc, aem, ntap, car, cree
Strong Stock Strong Close: C, JPM, LLY, ABT, IPG, SBCW, JBLU, CELG, HRB, AIG, AMBA, HFC, NKE, LEN, ACN, STT, TTWO
20 day Breakdown: wll, fti, mur, mchp, nov, mro, cam, cat, gps, bhi, ibm
20 Day Breakout: ABT, C, GOOG, GOOGL, HFC, HOG, HRB, IPG, UAL
2x Normal Volume: AAPL, HAL, EMC, BHI, GPRO, TXN LLY, FTI, DTV, ABT, CAT, GPS, LLTC, UTX, STX, CAM, ADI, HRB, AMTD
Watch List Longs: VLO, MO, TWC, DIS, TRV, SBUX, CVS, PM, BK, USB, COF, ABT, JPM, PNC, MS, WFC, EBAY, LEN, C, M,
Watch List Short: cop, bhi, hal, xom, kss, lltc, dd, intc, orcl
Inside days: ebay, bax, dis, tgt, axp, met, pgr, adm, ccl, hum, cah, scty, qihu, pru, twc, ctrp, sina
Amazon’s Earnings Report Today | AMZN Game Plan July 23
What to expect from Amazon’s earnings
On the heels of the company’s apparently successful “Prime Day,” analysts are expecting solid results from Amazon’s second-quarter earnings.
Amazon AMZN, +0.76% is set to report second-quarter earnings after the market closes Thursday.
Here’s what to expect:
Earnings: Analysts surveyed by FactSet expect Amazon to report a loss of 15 cents per share, narrower than the loss of 27 cents per share in the year-earlier period.
Revenue: Amazon is forecast to report sales of $22.4 billion, outpacing sales of $19.3 billion in the year-earlier period. Electronics and related merchandise are expected to have racked up about $15.7 billion in sales, with media bringing in $4.86 billion and Amazon Web Services generating $1.5 billion.
Stock Reaction: Following some analyst upgrades, Amazon’s stock hit an intraday record high Monday and went on to close at an all-time high above $488. In the past three months, Amazon has gained 25%, compared with the S&P 500’s gain of 1.4%.
What else to watch for: Apparel purchasing growth, supported by the company’s large selection, has Amazon poised to overtake Macy’s M, +0.33% as the No. 1 U.S. apparel retailer by 2017, Cowen and Co. said in a note. Cowen analysts upgraded the stock to outperform from market perform and raised their share-price target to $565 from $435.
Continue reading on marketwatch.com
How to Trade Amazon Stock Before Earnings (AMZN)
The earnings beat rolls on this week with many of tech’s heaviest hitters stepping up to the plate. Amazon (AMZN) earnings will be unveiled Thursday post market, so let’s take a deep dive into the stock ahead of the event.
On the technical front, AMZN has been firing on all cylinders. Its stock price held strong during the recent market swoon and was one of the first to surge to new highs once the selling pressure in equities finally lifted.
Amazon stock is up 14% in the past two weeks alone, so it’s fair to say optimism is running high into earnings. Accumulation days aplenty have cropped up during the recent ascent, showing heavy buying by the big boys.
To gauge market expectations heading into Amazon earnings, we can use the price of the July 24 weekly straddle that expires end of day Friday. Currently the July 24 $485 straddle costs $44.25, effectively pricing in a 9% move higher or lower in AMZN stock over the next few days.
For reference, the average gap in AMZN following its last four earnings releases was around 11%. So current expectations seem to be in line with its recent behavior.
Continue reading on investorplace.com