Thursday, August 4, 2016

Indices closed mixed....

Indices closed mixed.

S&P 500 @ 2164.25, high 2168.19, low 2159.07

RSI @ 58.54

CMF @ 0.313

Internals were :

UP volume led by 1.24 to 1 in NYSE & 1.45 to 1 in Nasdaq

Advancing stocks led by 1.31 to 1 in NYSE & 1.06 to 1 in Nasdaq

Net new 52 wk highs were leading by 158 in NYSE & by 64 in Nasdaq

VIX Down 3.42% @ 12.42

Oil @ $41.93

Gold @ $1367.40

Stocks which were UP 1% or more included TSLA CTRP PANW
FB EGO KGC TWTR NXPI CTSH YHOO SINA DNKN TK
RIG WB LNG BABA MU LRCX CRUS.....

AH ER...OLED Down 7.83%, SWIR Down 15.26%
              FEYE Down 16.84%

AH Futures UP

AH Asian Markets UP

AH Oil & Gold Down

About market, TAPE reacted to BOE cut in rates and also higher oil for 2 days in a row. Indices are trying to fight off any negativity, but are falling short. It is all about jobs report, it will be another lackluster report which will keep fed from raising rates. Hopefully we will have a higher market for Friday as oil is looking firm. Friday's there is a closing BLOG around 7 PM.

BLOG does NOT give buy or sell.

Saleem

14 comments:

stocktrader_1996 said...

Hi Saleem,

Another jobs shocker...guess I'll be buying at least one financial with my proceeds today (looking to sell SWKS and FCX).

Stocktrader

stocktrader_1996 said...

Hi Saleem,

Sold FCX @ 12.31

Stocktrader

stocktrader_1996 said...

Hi Saleem,

Added more to QRVO @ 53.78 (in preparation for selling SWKS)

Stocktrader

stocktrader_1996 said...

Hi Saleem,

Added to SWN @ 14.13 (mostly due to the selling of FCX)

Sotcktrader

stocktrader_1996 said...

Hi Saleem,

Took profits in WLH @ 18.30

I am worried about homebuilder margin, so I thought it was a good opportunity to take some off ahead of the conference call. I'm actually looking at purchasing IBP on this dip at some point to maintain my homebuilding exposure in a way that maintains pricing power better.

Stocktrader

stocktrader_1996 said...

Hi Saleem,

Trimmed a little SPLK @ 59.89 as the focus shifts to cyclical stocks.

Looking to purchase BAC and IBP today if price permits.

Stocktrader

stocktrader_1996 said...

Hi Saleem,

Sold SWKS @ 65.30

Ok, now I have 19% cash ready to deploy. The only other stock I would consider selling is GM.

Stocktrader

Stocks100 said...

Hi Stocktrader,

Good luck with more QRVO and SWN

Saleem

stocktrader_1996 said...

Hi Saleem,

I'm struggling with my portfolio construction right now. Looking at my position sizes currently, I only have two stocks above 10%. I love having a lot of small chances for those huge moves, but it limits my ability to really size up high conviction thoughts like QRVO, which might not move as much as those small positions, but should grind higher very steadily.

When we are in bull mode in the market, I tend to think of which stocks can possibly make a 10-20% move, and that sometimes hurts me from taking an easy 5% gain.

Stocktrader

Stocks100 said...

Hi Stocktrader,

Yes...it is a dilemma which every trader faces in a changing TAPE. ...

Good luck with your strategy.

Saleem

stocktrader_1996 said...

Hi Saleem,

Added a bit more to SWN @ 14.15 because I wanted more energy exposure, especially in the natural gas area. Increased economic activity should drive more consumption.

I keep staring at QRVO wanting to add more, but I also like the cash on hand for opportunities. BAC TASR IBP Z are all potential adds but even now I don't have cash for more than two of them.

Stocktrader

stocktrader_1996 said...

Hi Saleem,

Bought BAC @ 15.00

Yes, I played the suckers game and bought financials after a strong jobs report (which never works lol).

I like the opportunity for these guys to cut costs for years, providing a tailwind to EPS. Also, this week marked a breakout in the 50- and 200-week MAs all in one week, in addition to a definitive break of the 200 DMA today.

I think portfolio managers remain underweight financials due to the everlasting thought that the Fed will not raise rates. This positioning could foster near term price appreciation.

Stocktrader

Stocks100 said...

Hi Stocktrader,

Good luck with BAC. ..IF this is a turn in Financials then you should be more than OK.

Saleem

stocktrader_1996 said...

Hi Saleem,

Current portfolio: QRVO SPLK SWN BAC FDX DKS GM ELY GWPH CY MACK, cash 7.4%

Stocktrader