Home builders continue to impress, let’s see if the release of the FOMC Minutes today puts a damper on the buying pressure or gives it a boost.
Quite a few inside days today. The best day trading set ups may be a breakout of the previous days high or low. This type of simple trading pattern can lead to a nice trend day. Not much of an edge for e general market, still a stock specific mindset.
Stock Market Today: Map of the S&P 500
(click the map for a full view)
SPY price action didn’t give much to get excited about. Almost an inside day and a close below the open. No edge here long until the SPY trades above the $210.50 area.
(click the chart for a full view)
Stocks to Trade | Wednesday August 19, 2015
- A ton of inside candlesticks today.
- FB upgrade produced a nice day trade, let’s see if we get follow through today.
- Home builder stocks should be in your list.
- LULU finally catching up with UA, NKE and FL. Not a buy yet but should be in your tracking journal.
Charts in Focus
Clean bear flag pattern in CERN today. What makes the trade attractive is the close near the high and the resistance just above. A higher open that fails at resistance and then trades below yesterdays high is a solid plan.
(click the chart for a full view)
Earnings in play today > 1M avg shares: AEO, LB, LOW, NTAP, MOMO, SPLS, TGT, YOKU
Bullish Ideas ATR/Volume/Price: UA, NFLX, AMZN, HD, NEE, TSO, VLO, MBLY, UNH, PSX, NKE, TWC
Bearish Ideas ATR/Volume/Price: gmcr, viab, qrvo, yelp, jd, uri, juno, bidu, swks, kss, paa, dvn, baba, lyb, rrc, cvx, cern, wynn, unp, mmm,
Weak Stock Weak Close: gmcr, viab, qrvo, yelp, biib, twtr, juno, swks, mur, urbn, vtr, grub, pot, kmi, lltc, mat
Strong Stock Weak Close: LUV, DAL, JBLU
Weak Stock Strong Close: tgna, bidu, rax, rrc, cern,
Strong Stock Strong Close: MAS, TJX, TOL, LEN, ROST, TSO, ARMK, BK, UNH
20 day Breakdown: wmt, hpq, urbn, bp, kkr, vtr, ntap, lvs, cnq, tgna, wynn
20 Day Breakout: DHI, HD, TJX, ARMK, MAS, PHM, LEN, MCD, UNH, ROST, TOL, GT, CAR, HOLX, KIM, LULU, HCN, AFL, HUM
2x Normal Volume: WMT, DHI, HD, LOW, TJX, ARMK, URBN, A, CCE
Watch List Longs: TJX, HD, TRV, VLO, BK, MCD, SBUX, HON>107, TWC, TOL, LEN, JNPR, ADBE
Watch List Short: kss, cop, cvx, all, wmt, xom, m, dow, hpq, lltc, qcom, ntap, klac
Inside days: aapl, ge, intc, emc, tsm, xom, dow, jnj, pg, abbv, wmb, met, mgm, yum, stx, twx, dd, mbly, crm, dvn, unp, usb, clr, wfm, wba, emr, mos, pgr, brcm, all, tmus, joy, cien, sti, cree, etn, cf, ip, ibm, hrb, mxim, d, mmm, wdc, pru
FOMC Minutes | Trading Game Plan August 19
FOMC Minutes Eyed as Chinese Sell-Off Continues
All eyes will be on the U.S. on Wednesday, with the minutes from the July FOMC meeting being released this evening and the latest CPI inflation figures early this afternoon.
The key event in the markets today is undoubtedly the release of the FOMC minutes from the meeting at the end of last month. The meeting was not followed by a press conference and so the only insight we’ve had to this point around what was discussed came from the statement, which actually told us very little.
What makes these minutes so important is the fact that September has long been touted as the month when the Fed will finally raise interest rates for the first time in more than nine years. Fed Chair Janet Yellen has herself repeatedly hinted that the Fed would rather raise rates this year as it will enable them to slowly return to the path of normalization without risking the recovery in the U.S. economy with fast sharp rate rises.
With that in mind, the minutes should offer insight into whether, as at the end of July, the Fed was still largely in agreement that this is still necessary and if so, when the likely take-off will occur, September or December.
FOMC minutes might shed light on September’s lift-off – UOB
FXStreet (Edinburgh) – In the opinion of analysts at UOB Group, today’s FOMC minutes could give a hint of a potential Fed’s lift-off next month.
“We will be receiving the minutes from the July FOMC meeting”.
“Although this meeting pre-dates China events and latest payrolls, hopefully we will get some clues on not just the first hike timing but also on the rate trajectory going forward”.
“Prior to the minutes, focus will be on CPI data. Together, both the minutes and CPI data will probably help us shape up expectations of a September rate hike”