July FOMC Meeting Today: What Investors Need to Know Now
The U.S. Federal Reserve wraps up its two-day FOMC meeting today at 2 p.m. with its statement. There is no conference following today’s meeting, so every word in the statement will be dissected extremely closely.
Here’s what investors need to know about the July FOMC meeting and what is next for markets. The overwhelming consensus from economists is that the Fed will leave its monetary policy unchanged following the FOMC meeting today.
There is virtually no chance the Fed will announce an interest rate hike today. JPMorgan economist Michael Feroli told clients this week that they should expect a “sleepy event.” He did however say the Fed’s announcement should reflect an updated look at domestic economic data.Read More — >>
Here’s What to Expect From Today’s Fed Meeting
The two-day meeting is the first gathering of the Fed after the Brexit vote
As macro headwinds continue to build pressure on the Federal Reserve, it is not likely to go for a hike in interest rates in the ongoing Federal Open Market Committee (FOMC) meeting.
Recent happenings in the world, including terrorist incidents, have injected a great degree of uncertainty in the markets, which have also affected the US economy in one way or the other.
Therefore, the main challenge for policymakers is to assess the strength of the US economy vis-à-vis the weakness in the global economy while formulating the future policies.Read More $FOMC –>
On the Tape Today...
$WDC breakout continues to hold above $52. Looking for another trend day today. (see chart)
$CVX long-term up trend is still in place despite the recent decline. Look for a long on a buy-stop above $103.
$TGT impressive order flow the previous 6 weeks. Topping tail and 50% percent retracement say it's time to book profits. Next buy area is $73.
$VLO showing signs of accumulation. Not a long yet but the short is over. Keep it in your watch list for a potential change of trend.
$WDC 7-27-16 (Click to Enlarge)
U.S. stock futures rise, led higher by Apple
U.S. stock futures advanced Wednesday, as investors cheered Apple Inc.’s earnings and waited for a Federal Reserve statement due in the afternoon.
Apple shares AAPL, +6.75% gained 6% in premarket action after the iPhone maker late Tuesday posted quarterly profit that dropped from a year ago, but beat expectations. Revenue at the world’s largest company by market value also fell, yet topped Wall Street’s forecasts.
On the Fed front, the U.S. central bank is expected to stand pat on interest rates as it releases a policy statement at 2 p.m. Eastern Time. Traders want to see if Fed chief Janet Yellen and her colleagues offer any signals on the possibility of a September rate hike.Read More — >>
Stock Market Today: Heatmap of the S&P 500
Stock Trading Today 7-27-16 | $AAPL Rallies
U.S. Stock-Index Futures Rise as Apple Rallies on Cheaper IPhone
U.S. index futures climbed as Apple Inc. led technology shares higher and investors awaited the Federal Reserve’s update for clues on the timing of interest-rates increases.
Apple rose 5.8 percent in early New York trading after posting a smaller-than-expected revenue decline as its cheaper iPhone model gained more traction. Suppliers Qorvo Inc. and Skyworks Solutions Inc. gained in Europe. Twitter Inc. sank 11 percent after its third-quarter sales fell well short of analyst predictions. Coca-Cola Co., Boeing Co. and Facebook Inc. are among firms reporting results today.
“A rally of this size for Apple is pretty remarkable,” said Oliver Herington, who sells U.S. shares at London-based brokerage Atlantic Equities LLP. “It’s a big confidence boost for the market because a lot of investors around the world own it, and now they unexpectedly have a very nice buffer to work with.Read More — >>
Tape Reading the SPY ETF $SPY price action stuck in a nine day trading range.
If you’re a good tape reader, then you knew this was coming. The rally off the June 27 low was powerful, so this pause was needed. FOMC today should give it a jolt.
This was a good two weeks to improve your ability to spot sector rotation. It’s easier to trade when the market is obvious, but you need to pick the right stocks when it’s consolidating. Luckily earning season is giving us plenty of stocks in play.
$217.30 is the level to look for a breakout in the $SPY
Stocks in Play: $FB research on finviz.com
$FB NEWS: Can Facebook Crush Earnings Expectations Yet Again?
Wall Street expects the company to generate earnings of 81 cents per share from just more than $6 billion in sales, according to FactSet.
“Mobile has been the main driver of growth to date,” Cantor Fitzgerald analyst Youssef Squali wrote in an earnings preview. Video and Instagram will begin to “move the needle” in the second half of the year, he wrote, while Messenger, WhatsApp and virtual reality offering Oculus provide longer-term opportunities.Read More $FB –>
What to expect when Facebook reports earnings
Facebook Inc. is scheduled to report second-quarter earnings after the market closes Wednesday.
Facebook FB, -0.34% has monetized its mobile audience well and has potential future catalysts through Instagram, Oculus VR and its mobile-messaging platforms. However, there is a persistent worry that a large part of its user base is fleeing for Snapchat or other social networks.
Here’s what to expect:
Earnings: Analysts surveyed by FactSet expect Facebook to report adjusted earnings per share of 81 cents. The Estimize consensus, made up of 432 estimates, is for 84 cents.
In the year-earlier period, Facebook reported earnings of 50 cents, beating Wall Street estimates.Read More — >>
Stocks to Trade 7-27-16 | Wednesday Edition
Short-Term Trading Momentum:
Positive the last 20 and 5 trading days | closed 2% higher from the open: X, WYNN, LVS, MCHP, CAT, VLO, NXPI, MPC, PCAR, RIO, BHP, ADI, STX, WDC, MOS, BIDU, TIF
Negative last 20 and 5 trading days | closed 2% lower from the open: dri
Quarterly Order Flow:
Bullish Stocks to Trade: WYNN, CAT, WDC, AVGO, LRCX, UNP, AMGN, HLF, VMW, HD, EA, COST, IBM, YUM
Bearish Stocks to Trade: gild, dri, prgo, cvs, skx, cop
2x Normal Volume: GILD, MBLY, TXN, UA, MCD, CAT, LVS, NXPI, RLYP, LLTC, MCHP, FIS, PCAR, ADI
Inside days: baba, mrk, bx, nov, skx, tsla, dhr, hcp, scty, tyc, clr, nfx, oke, amtd, slr