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  1. Phil

    Good morning! 

    Didn't want to scare anyone but did want to slap you complacent people in the face as we're at a very dangerous point in the markets – hitting our inflection points in the high end of our range right when we get earnings and clearly, from the look of the VIX – not enough people are hedging their portfolios.  Please take a good look at the Income Portfolio's adjusted TZA play as well as the new SQQQ trade – to cover us into AAPL earnings – just in case.  

    While hope is not a valid investing strategy, I do hope we hold up here and we're looking to stay above 3 of our 5 new, aggressive targets but, in truth, we don't want to lose any:

    • Dow 13,600 (Must Hold)
    • S&P 1,480 (7.5%)
    • Nasdaq 3,100 (2.5%)
    • NYSE 8,600 (7.5%) 
    • Russell 880 (10%)

    Keep in mind the tug-boat model, the Dow is still dragging us but the Nasdaq has fallen from the front to the back of the pack so that means less pull on the Dow now – just when we need more reason for it to go higher.  Since we are close to the upper end of our ranges – those 2.5% lines start to matter more as it's harder for each index to slog through that upper resistance around 10% than it is for them to jump up and down around the Must Hold lines.  

    QQQ WEEKLY We need the S&P and NYSE to confirm those 10% lines but that's probably not going to happen until and unless the Nasdaq pops and the Nasdaq doesn't pop unless AAPL pops and that brings us full circle back to earnings tomorrow night and there's nothing we can really do but watch and wait – although GOOG will be a good preview this evening.  

    I wish I had a better crystal ball than that but it really is all up to AAPL and, as you can see from the chart – it would be so easy to NOT break higher and form a technical top and roll over the indexes – just another failed attempt at new highs.  Breaking up is, indeed, hard to do…

    The Dollar is floating at $80, the Euro is at $1.33 with everyone at Davos this week.  The Pound is not confirming a Euro move up, falling to $1.585 (should be within 0.03 of the Euro) and the Yen failed at 90 and is now 88.85 after testing (stronger) 88.5 this morning.

    Oil bottomed out at $95.50 but back to $96.25 now that the NYMEX pump crew is back from their break.  Gold is $1,689, silver $32, copper $3.68, Nat gas fell back to $3.58 and $3.50 to $4 is still the right range for them this winter.  Gasoline went from $2.78 on Friday (and this morning, for that matter) to $2.835 and is now just under $2.83 – they don't need a reason – same pumping at the same NYMEX with no inventories until Thursday this week.  

    We SEEM to have a debt ceiling extension (still needs official vote) and China and Japan SEEM to be heading to war over those silly islands but, otherwise, it's business as usual and, if anything, the news is on the upswing, which really puts the pressure squarely on the shoulders of our 88 reporting S&P companies this week to make or break us and, of those, you can probably add the market caps of 80 of them together and not equal AAPL in size or in impact.  So we're WAITING

    Tuesday's economic calendar:

    8:30 Chicago Fed National Activity Index

    10:00 Existing Home Sales

    10:00 Richmond Fed Mfg.

    At the open: Dow -0.06% to 13642. S&P -0.07% to 1485. Nasdaq +0.07% to 3137.

    Treasurys: 30-year +0.05%. 10-yr +0.05%. 5-yr 0%.

    Commodities: Crude +0.1% to $96.14. Gold +0.07% to $1688.15.

    Currencies: Euro +0.01% vs. dollar. Yen -0.83%. Pound -0.2%.

    Market Preview: Stock futures tilt higher after being flat earlier as investors return from the long weekend, with the S&P benchmark +0.3%. Factors that could be boosting sentiment include GOP moves to extend the debt ceiling and surprisingly strong optimism among German investors. RIM jumps 6.4% on news it mayeventually sell its hardware production and license its software. Following earnings, Verizon is +0.8%, DuPont is +1.1% and J&J is-0.7%Calendar: Existing Home Sales, Richmond Fed Mfg., major tech earnings

    3:14 AM Asian are mostly lower, with Japanese stocks falling as the yen rises after the BOJ announced well-telegraphed further easing measures but said it will wait until next year to begin open-ended asset purchases. "The big question now is will the combined fiscal and monetary stimulus work?" asks investment strategist Stephen Corry. "The yen does look oversold and the Nikkei looks overbought." Japan -0.3%, Hong Kong +0.2%, China -0.6%, India -0.1%. 

    In addition to buy the rumor, sell the news action in the yen, Japanese shares sell off after the expected BOJ decision to up its inflation target to 2%. If getting busy ending deflation is of such import, the decision to wait until 2014 to being open-ended QE is a curious one. The Nikkei -0.4%, bringing its 2-day slide to about 2%.

    4:33 AM European shares are lower as investors absorb the BOJ's announcements of further easing and ahead of some big U.S. corporate results later, including IBM and Google. EU Stoxx 50 -0.8%, London -0.4%, Paris -0.7%, Frankfurt -1.2%, Milan -0.7%, Madrid-0.7%

    5:36 AM European shares pare their losses and even start to turn positive in some cases following a way better-than-expected ZEW survey of German investor confidence. EU Stoxx 50 -0.2%, London flat, Paris -0.2%, Frankfurt -0.5%, Milan +0.4%, Madrid -0.3%.

    House Republicans will attempt to pass a measure tomorrow that would extend the debt ceiling until May 19 by allowing the government to borrow what it needs to meet its obligations rather than by specifying a dollar amount for the limit. The Treasury would also be allowed to top up its emergency borrowing capacity, effectively pushing the debt deadline into the summer.

    The number of unemployed worldwide is forecast to rise by 5.1M this year to over 202M, the UN's International Labour Organization says in its annual report. It's worth pointing out that the ILO has cut its jobless figures down each year, although that's because of an increase in the number of people leaving the labor market. Since before the financial crisis in 2007, the total "jobs gap" is 67M.

    Dec. Chicago Fed National Activity Index: +0.02 vs. consensus of +0.28; +0.10 prior. The index's 3-month moving average increased to -0.11%, from a level of -0.13% in Nov. More on Chicago Fed National Activity Index: Production and Employment contributed +0.12 and +0.09 to index respectively. Personal consumption and housing impacted index by -0.17. The three-month moving average print at -0.13 is tenth consecutive reading below zero suggesting economic activity below its historical trend. The diffusion index increased to -0.05 from -0.12 in Nov.

    With S&P 500 companies retiring 8B shares through buybacks in the 18 months to October 2012, EPS figures are likely to get a surprisingly strong boost. It would be surprising because, as Robert Baird's Brian Rauscher says, analysts don't often factor in stock repurchases when making their forecasts.

    The NAAIM Survey of Manager Sentiment rises to 84.67 as of Jan. 16, up from 83.27 previously. Thanks to a big dip in the year's first week, the index remains below the "off the charts" bullish level of 88.1 hit just after Christmas.

    Investors are the most bullish they've been in the 3.5 year history of the Bloomberg Global Poll, with 53% picking equities to offer the best returns over the coming year, a 17-point jump from the November survey. Enthusiasm over Europe is a key, with just 45% believing the economy there deteriorating, down from 70% two months ago.

    Germany's ZEW index of investor economic sentiment rises to its highest since May 2010, jumping to 31.5 in January from 6.9 in December and coming in way above consensus of 12. Economic perspectives have improved on the 6 month horizon and the upbeat sentiment could lead to more companies investing, although the situation with Germany's trading partners is still considered to be weak. (PR)

    "Huuuuuge demand for Spain's new 10-year bond – order book of over €17B for the expected €3-4B deal," tweets Reuters' Jamie McGeever. Earlier, Spain sold more than €2.8B of 3-6 month bills, above its target of €2.5B, with yields falling also.

    Canadian retail sales unexpectedly rose 0.2% in November vs. a forecast of flat. In volume terms – which feeds into GDP calculations – sales rose 0.8%. Showing a small loss in early trade, the loonie pops back to flat

    China's automobile exports topped the one million vehicle mark for the first time in 2012 as total units delivered increased almost 30% for the year. Slowing demand in China has more domestic automakers looking to sell abroad and partner with western companies such as Volvo (VOLVY.PK) and General Motors.

    The GE of Europe:  Siemens' (SI) FQ1 net profit from continuing operations was reportedly little changed at €1.3B, above consensus of €1.14B, while revenue was also flat at €17.9B and missed forecasts of €18.1B. Earnings were hurt by a triple-digit million euro hit following delays in the delivery of high-speed trains to Deutsche Bahn, and by Siemens' exit from its solar business. New orders were above sales. Shares-1.6% premarket.

    Freeport-McMoRan (FCX): Q4 EPS of $0.78 beats by $0.04. Revenue of $4.51B beats by $0.03B. (PR)  More on Freeport McMoRan's (FCXQ4 results: Consolidated sales for full-year 2012 totaled 3.65B lbs. of copper, 1M oz. of gold, 83M lbs. of molybdenum, vs. 3.7B lbs. of copper, 1.4M oz. of gold, 79M lbs. of molybdenum for 2011. Estimates 2013 sales of 4.3B lbs. of copper, 1.4M oz. of gold, 90M lbs. of molybdenum. FCX+1.5% premarket.

    More on Brinker's International (EAT) FQ2: Comparable restaurants sales rose moderately by 1% at Chili's and 0.6% at Maggiano's with higher prices offsetting a company-wide 1.9% slip in traffic. International sales were up 2.7% during the period. (PR)

    PetMed Express (PETS): FQ3 EPS of $0.23 beats by $0.06. Revenue of $49.6M (-1.8% Y/Y) misses by $0.37M. Shares+2.2% premarket. (PR)

    More on Verizon (VZ): Higher pension costs and the impact of Superstorm Sandy drove the company's quarterly loss to more than double last year's mark. Pension liabilities shaved off $1.55 a share and the widespread damage from the storm cut another $0.07. Verizon added a net 567K FiOS digital connections during the period, 31% less than the number added during the same period a year ago. VZ -2.0% premarket. (PR)

    RIM (RIMM) shares +7.1% premarket after hitting a 13-month high in Canada yesterday following a German newspaper interview with CEO Thorsten Heins in which said the company could sell its hardware production or license its software to rivals.

    Are you freakin' kidding me?  AAPL $500???  Verizon (VZ) states on its Q4 call it activated 6.2M iPhones in Q4, good for 63% of total smartphone activations (up from 46% in Q3, and 56% in the year-ago period). Big Red had previously disclosed it activated 9.8M smartphones in the quarter. CFO Fran Shammo says about half of the iPhone sales involved the iPhone 5 – that remark comes as UBS points to survey data indicating a mix shift towards older and lower-capacity iPhone models. Apple (AAPL)+0.8%. (AT&T smartphone sales)

    Three breakfast reads:

    1) What Nobody Tells You About Goldman Sachs 

    2) UnitedHealth And WellPoint Are Well-Positioned For Obamacare 

    3) Applied Micro: Recent Developments Fuel Heavy Skepticism



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Zero Hedge

Bitcoin Buyer Beware

Courtesy of ZeroHedge. View original post here.

Entrepreneurs have a new trick to raise money quickly, and it all takes place online, free from the constraints of banks and regulators. As Axios reports, since the beginning of 2017, 65 startups have raised $522 million using initial coin offerings — trading a digital coin (essentially an investment in their company) for a digital currency, like Bitcoin or Ether.

One recent example, as NYT reports, saw Bay Area coders earn $35...



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Magic Quadrant In Picking Stocks And Sports Betting

By Jacob Wolinsky. Originally published at ValueWalk.

Picking stocks is a tricky game and so is sports betting. With the NFL and NCAA football seasons only a few months away, we can analyze the professional sports-betting industry to better understand the complexities behind making money in the stock market. Anybody who has traveled to Las Vegas, and bet on a sporting event, understands that simply choosing a game winner is not enough for a casino to pay you winnings. You also need to forecast how many points you think a certain team will win or lose by (i.e., the so-called “spread”) – see also What Happens in Vegas, Stays on Wall Street. In the world of stocks, winning/losing is not measured by spreads but rather equities ...



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Uber gets a backseat driver as Kalanick exits top job

 

Uber gets a backseat driver as Kalanick exits top job

Courtesy of John ColleyWarwick Business School, University of Warwick

TED Conference/Flickr, CC BY-NC ...



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Bitcoin In Perspective: Bill Gates Worth More, Gold 200 Times More

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An interesting article on HowMuch puts the Bitcoin phenomenon into proper perspective.

Google founder Larry Page’s net worth beats bitcoin’s entire market cap. Microsoft founder Bill Gates’s net worth is double Bitcoin.

Please consider The Bitcoin Economy, in Perspective.

Last year, Bitcoin became more stable than gold, and earlier this year, the price of a Bitcoin surpassed that of an ounce of gold for the first time. Currently, all the bitcoin in the world is ...



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Russell 2000 at Rising Support

Courtesy of Declan.

There wasn't much to say about today, but the one index which caught my attention was the Russell 2000. The index caught a bounce in demand at the rising trendline and also did enough to recover the 20-day MA. Traders looking for pullback opportunity could take a look at the Russell 2000. Stops on a loss of 1,397.


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Even though genetic information is available, doctors may be ignoring important clinical clues

Reminder: Pharmboy and Ilene available to chat with Members, comments are found below each post.

Even though genetic information is available, doctors may be ignoring important clinical clues

Courtesy of Greg HallCase Western Reserve University

Digitized strand of DNA. Mathagraphics/From www.shutterstock.com

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Swing trading portfolio - week of June 19th, 2017

Reminder: OpTrader is available to chat with Members, comments are found below each post.

 

This post is for all our live virtual trade ideas and daily comments. Please click on "comments" below to follow our live discussion. All of our current  trades are listed in the spreadsheet below, with entry price (1/2 in and All in), and exit prices (1/3 out, 2/3 out, and All out).

We also indicate our stop, which is most of the time the "5 day moving average". All trades, unless indicated, are front-month ATM options. 

Please feel free to participate in the discussion and ask any questions you might have about this virtual portfolio, by clicking on the "comments" link right below.

To learn more about the swing trading virtual portfolio (strategy, performance, FAQ, etc.), please click here ...



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Frontier laid off state Senate president after broadband vote it didn't like

Courtesy of Jean-Luc

Speaking of FTR – not nice people…

Frontier laid off state Senate president after broadband vote it didn’t like

By Arstechnica.com

Broadband provider Frontier Communications recently laid off the West Virginia state Senate president after a vote the company didn't like—and yes, you read that correctly.

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NewsWare: Watch Today's Webinar!

 

We have a great guest at today's webinar!

Bill Olsen from NewsWare will be giving us a fun and lively demonstration of the advantages that real-time news provides. NewsWare is a market intelligence tool for news. In today's data driven markets, it is truly beneficial to have a tool that delivers access to the professional sources where you can obtain the facts in real time.

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