Thursday, August 1, 2013

Indices closed UP .83% to 1.36%....NICE !!!!!

Indices closed @ new record highs.

S&P 500 @ 1706.87, high 1707.85

RSI @ 69.25

CMF @ 0.268

Internals were :

UP volume led by 3.42 to 1 in NYSE & 3.58 to 1 in Nasdaq

Advancing stocks led by 1.63 to 1 in NYSE & 2.57 to 1 in Nasdaq

Net new 52 wk highs were leading by 307 in NYSE & 286 in Nasdaq

VIX Down 3.79% @ 12.94

Oil @ $107.89

Gold @ $1311.20

Stocks which were UP 1% or more included CLF MU AMD F
KORS FB CLDX KOG POT TCK GMCR NFLX LNKD
TIF AMZN GOOG RDN DNKN LULU BAC EBAY
LVS BIDU FFIV PCLN MA V ARUN CRUS C
LRCX SNDK CIEN JDSU FNSR QCOM
MOS NVDA M SBUX STLD SU MS
MGA SINA Z WYNN GS TRLA.....

In my portfolio :

Sold AMD @ $3.81

Bought F @ $17.19

Exposure 121%

AH ER :

Negative reaction OPEN Down 6.70%, WTW Down 14.74%

Positive reaction KOG UP 1.32%, LNKD UP 7.03%

AH Futures UP

AH Asian Markets UP

AH Oil UP

AH Gold Down

About market, TAPE was strong & closed near highs. Internals were strong. Momentum should continue as i am expecting jobs report to be in line or better.

BLOG does NOT give buy or sell.

Saleem

12 comments:

stocktrader_1996 said...

Hey Saleem,

After listening to Cramer last night and thinking more about YELP and its earnings, they appear to be gaining that critical mass necessary to separate itself from competitive peers. I am actually considering it for investment, even at these lofty levels. The total market potential for this kind of local business marketing is huge, and Cramer could be right that it might not stay public--it is a great strategic fit for those large companies trying to become the "everything" company for their consumer base (AAPL, GOOG, YHOO, etc).

As for LNKD, it doesn't seem they are capitalizing as well as some of these other reports we've seen like a YELP or TRLA. In their favor, there's no other investable pure-play on the business networking theme (Google+ the only other serious competitor). That fact basically means you have to own LNKD as a portfolio manager playing the space, and means the stock will likely continue to crawl higher month after month until the competitive landscape changes dramatically.

Stocktrader

stocktrader_1996 said...

Hey Saleem,

Bought TRLA @ 43.464. Hardly missed a beat thankfully with that sell/buyback.

Stocktrader

stocktrader_1996 said...

Hey Saleem,

Bought YELP @ 53.188 for reasons outlined above.

Cash is now fully deployed again.

Stocktrader

Stocks100 said...

Hi Stocktrader,

Great analysis for LNKD YELP.

Good luck with TRLA & YELP....

Saleem

stocktrader_1996 said...

Hey Saleem,

I think SODA and HLF are stuck for a while and might trend slowly lower for a bit. I'm considering selling (although I can't do SODA until Monday) because I need some additional financials exposure and this pullback looks interesting on that front. Actually, I still need more tech exposure too despite my worries about certain areas getting margin pressure.

Too many good stocks right now...

Stocktrader

Stocks100 said...

Hi Stocktrader,

You can still get some profit from HLF......

SODA & HLF have lost momo for now.

Saleem

stocktrader_1996 said...

Hey Saleem,

Yeah, I did sell HLF @ 64.48. I'm not super comfortable from a long term perspective and who knows what the next catalyst will be. There is definitely solid cash flows here to propel the stock in the form of buybacks, so the potential still exists for some form of huge short squeeze--I'm just not sure I am willing to play the game. I prefer a different kind of company as you know--something that brings value to consumers/business--I'm not sure how HLF fits there.

Stocktrader

Stocks100 said...

Hi Stocktrader,

Good move with HLF.....

I am looking @ MKTG for my 5th attempt @ earnings...any thought?

Saleem

stocktrader_1996 said...

Hey Saleem,

Hmm. The prior two days might have exhausted all the upside as it rallied on the positive report from MKTO. Also, the momentum indicator is still stuck below a positive crossover. It looks like a nice base has formed, but I'd rather enter at $15.25 than here based on yesterday's distribution day in a good market tape.

Although the marketing space is really expanding right now, it has also gotten more competitive as ORCL bought ELOQ and CRM bought ET. You also have recent IPO of MKTO (and tangentially MRIN). I think it may be hard to quantify MKTG's niche in the space now for an earnings play.

Some things to consider...

Stocktrader

Stocks100 said...

Hi Stocktrader,

I take that as DON'T Buy..

Thanks

Saleem

stocktrader_1996 said...

Hey Saleem,

Listening to the KOG conference call, there's really nothing unusual or spectacular--it's just steady progress forward. Their new well designs show good early indications, and other efficiencies from decreased costs and time for new wells is improving cash margins as time goes on.

Some of their production is hedged for 2014 @ ~$92/bbl so they aren't totally leveraged to higher prices until 2015, but that's not really a risk they want either--KOG is a volume production story. Their capex budget is based off $90/bbl to be conservative.

They pretty emphatically ruled out an equity offering for now.

They just got asked a question about the takeover stories/rumors. They said they are public and can't comment too much, but they said that because they are increasing production steadily, there are always companies wondering what they're up to (almost the quote from the CEO).

Stocktrader

Stocks100 said...

Hi Stocktrader,

KOG has moved UP steadily.....

KOG will increase production on a gradual basis.

On any pullback i may buy.

Saleem