Sunday, September 10, 2017

Irma downgraded to category 2......

@ 5.06 PM Irma got downgraded to category 2, which is much better news than category 5.

This downgrade of Irma will help sentiment on Wall Street.

Loss associated with Category 2 is much more contained and below wall street estimates.

Indices were trying to discount Irma's potential damage on Friday......

What to expect when Wall Street opens?

We need to look @ internal health of this market, through the eyes of RSI, and the numbers are :

DOW           48.58

S&P 500      52.34

Nasdaq        53.29

GLD            74.44

TAN            57.11

XLE           56.02

RUT           52.55

SOX          50.39

As you can clearly see that all indices and sectors are in good health and have not broken down.

Bull bear ratio showing lot of buying power remaining....traders got too pessimistic in a hurry.....

Logic says that Gold should sell off.......

Energy is always a tough call

TAN ( solar ) leaders are looking healthy JKS in particular.

RUT and SOX should rally back

DOW, S&P 500 and Nasdaq should rally .....

Based on anticipated moves, it may be wise to do some switching to stronger stocks from weaker ones.

Pre- market may give switching opportunities.

Political climate has taken a turn for the better, with inclusion of Democrats in extension of debt limit.

North Korea is listening to China by holding off any more fireworks ( missile works )

All in all better news from weather, North Korea and US politics......we may be looking @ pretty strong week......

Good luck with your own strategy and comfort level!

BLOG does NOT give buy or sell.

Saleem

3 comments:

stocktrader_1996 said...

Hi Saleem,

Last week: -0.15% (YTD: +27.40%)
Notable Winners: APPN YY ORCL
Notable Losers: FCX BAC TRIL TDOC

It was a slight pause after a few good weeks, but I still outpaced the averages. I hope to continue moving forward as we get through September and approach earnings season again. I think it becomes ever more important to be in strong stocks now as we approach year-end.

Portfolio: ORCL MU NOW YY BAC WUBA FCX HUBS TDOC MOMO PETQ X COUP INCY TRIL, cash 7.9%

Stocktrader

stocktrader_1996 said...

Hi Saleem,

Bought SPLK @ 68.05

After they quickly recovered from the execution hiccup, they stand poised to continue their run as the primary platform for real-time operational intelligence. I've had it in my head always that they are expensive as compared to peers, but in reality, the basing they've made over the last 2 years while still growing 30%+ has created a condition whereby they are actually somewhat cheap at 6.5x next year's revenues. I look for the recent relative strength to continue as institutions build positions into year end.

Stocktrader

Stocks100 said...

Hi Stocktrader,

Last week for me was positive .42%..ytd negative 20.91%

Good luck with SPLK.

Saleem