Today’s Trading Education…
If you are finding the current long-term tape is driving you crazy, here is a simple solution that works like a charm for day trading.
This is not a full trading plan but it come close. We are using the SPY ETF as an example but you can apply the trading strategy to any stock.
The concept is to use the 60 minute charts for your day trading trend and the open price indicator as your filter.
Watch the Video [4:34]
On the Tape Today...
$TGT below $68 triggers a short sale today. Buy to cover @ $66 (see chart)
$AMZN continue to impress with a solid breakout. Look for one more day of buying and sell longs into any capitulation type volume.
$MS buy-stop > $32.50, swing trade target @ $35.50. Minor resistance @ $34.
$TWLO "well-bid" breakout buy-stop $65.50, sell target $70. Exit the long if a day trade should the price trade below the open price.
$TGT 9-23-16 (Click to Enlarge)
U.S. Index Futures Are Little Changed; Facebook, Yahoo Decline
U.S. equity-index futures were little changed after a rally spurred by central-bank optimism put stocks on track for their best weekly advance in nearly three months.
Facebook Inc. lost 1.6 percent in premarket trading after saying it gave advertisers an inflated metric for the average time users spent watching a video, a miscalculation earlier reported in the Wall Street Journal. Yahoo! Inc. slid 1.5 percent after saying at least 500 million users had their personal information stolen in an attack on its accounts in 2014.
Twitter Inc. fell 2.8 percent after RBC Capital Markets downgraded the shares, citing a survey that found more marketing departments plan to cut their ad spending on the platform than boost it.
Stock Market Today: Heatmap of the S&P 500
Stock Trading Today 9-23-16 | $FB Video
Indexes March Higher Post-Fed; e.l.f Beauty Latest IPO To Soar
The stock market ended with decent gains Thursday, one day after the Fed decided to stand pat on interest rates, while also signaling that future rate hikes would be at a snail’s pace.
Red Hat (RHT) gapped up after reporting its fourth straight quarter of accelerating sales growth, but the stock gave back early gains. Shares still rose nearly 4%, but Red Hat ended below an 81.91 entry. Shares of Yahoo (YHOO) edged higher, unfazed by news that 500 million accounts were hacked.
Freeport-McMoRan (FCX) held up relatively in the group, rising 4%. It recently found support near 10 but is still below its 50-day moving average.
Continue reading and watch video @ investors.com
Why the Fed is losing credibility
How often can Fed lay out case for rate hike and then not follow through?
For the second time this year, Federal Reserve officials pointed to a looming rate hike and then pulled back, actions which have left the central bank “perilously close” to losing its credibility with the markets.
“There are only so many times you can lay out the case to act and then do nothing and still expect to maintain your credibility,” said Richard Moody, chief economist at Regions Financial Corp. in Birmingham, Alabama.
“If not there yet, the Fed is perilously close to being there,” he added.
The Fed on Wednesday kept interest rates unchanged but Chairwoman Janet Yellen said one increase is “appropriate” this year barring any major new risks to the economy.
Tape Reading the SPY ETF
$SPY gap and hold on light volume begs the question: “No sellers or no interest? Making an assessment of apathy at all-time highs sounds ludicrous but that’s what we see.
The $SPY traded close to 75 million shares less from one Thursday to the next. What would you call it?
If you’re struggling to find conviction, you’re not alone.
Stocks in Play: $FBresearch on finviz.com
$FB NEWS: Facebook, It’s Time to Open Up
The WPP boss has railed against the opacity of Facebook and Google for years, calling for independent checks on the effectiveness of advertising on the sites.
So when Facebook said on Thursday that it had overestimated the average viewing time for video ads on the social network for the past two years, the veteran ad man was proven right.
Facebook over-inflating its video view count is bad, but not as bad as it seems.
Facebook exaggerated a key metric advertisers use to assess the performance of their videos on the platform by potentially as much as 80% for more than two years, The Wall Street Journal reported.
It’s an embarrassing screw up and the report suggests one ad buyer, Publicis Media, was “upset” by the error, but while it certainly looks bad, there are a few reasons why it probably won’t be as bad for Facebook as it seems.
Stocks to Trade 9-23-16 | Friday Edition
Short-Term Trading Momentum:
Positive the last 20 and 5 trading days | closed 2% higher from the open: SRPT, CLVS, TWLO, PRGO, EQR
Negative last 20 and 5 trading days | closed 2% lower from the open:
Quarterly Order Flow:
Bullish Stocks to Trade: CLVS, TWLO, BABA, AMZN, TAP, AAPL, CHTR, NVDA, APC, APA, ADBE, TRGP,
Bearish Stocks to Trade: lvlt, dg, viab, cbs, low, dltr, vfc, xom, cost, cvs, expe, dis, ctsh, hes
2x Normal Volume: PG, BABA, HOT, MAR, LVLT, SRPT, APA, CLVS
Inside days: wfc, kr, nflx, gild, skx, endp, cf, wynn, sti, hfc,