Trader’s Digest: The 10 Stories We’re Reading Right Now
Wonder what traders are talking about today?We’re here with the top 10 stories we’re sharing with colleagues today, covering topics like: Why I’m Betting Against the Tesla Rebound Right NowOil Surges to Three-Year High as Middle East Tensions IntensifyHow Clarity in Price Action Leads to Victory And more!So check out these links right now and get up to speed:1) Why I’m Betting Against the Tesla Rebound Right Now (T3 Live)On Friday, we identified $314 as important resistance for Tesla (TSLA). It hasn’t make it there, but there is still a good short setup right here, right now. Read the Article -> 2) Oil Surges to Three-Year High as Middle East Tensions Intensify (Bloomberg)Crude in London and New York are at the highest levels since 2014 after U.S. President Donald Trump warned Russia to “get ready” for U.S. missiles to be fired at Syria and Saudi Arabia intercepted a missile over Riyadh. Read the Article -> 3) Goldman Sachs gets even more bullish on high-flyer Netflix, predicting big subscriber gains (CNBC)Investors should buy Netflix shares into its earnings report next week even after its stunning gains this year, according to Goldman Sachs. Read the Article -> 4) A Holy Grail Setup Is Forming on the SPX (T3 Live)Jeff Cooper identifies the Holy Grail Setup forming on the SPX daily chart. Watch the Video -> 5) Weak Inflation Data Push Gold Prices To Session Highs (Kitco)Gold prices pushed to session highs after U.S. inflation data came in weaker than expected. Read the Article -> 6) How Clarity in Price Action Leads to Victory (T3 Live)In this video lesson, Rob shows you how to give price action a clear structure so you have a template for winning trade setups. Watch the Video -> 7) Zuckerberg Faces House in Second Day of Facebook Testimony (The Wall Street Journal)Facebook CEO Mark Zuckerberg testifies before lawmakers on Capitol Hill Wednesday morning. Read the Article -> 8) Scott Redler Talks Trading with JC Parets of Technical Analysis Radio (T3 Live)Scott Redler sits down for a wide-ranging conversation about trading. Listen to the Podcast -> 9) Industry Analysts Project 16% Price Increase for S&P 500 Over the Next 12 Months (FactSet)Analysts are very bullish on stocks. Read the Article -> 10) 6 Ways to Get Motivated When You Feel Lazy (Lifehack)Let’s face it: even though bragging about how lazy you are on the Internet is for some reason constantly applauded, you can’t be lazy your whole life. Read the Article ->
Continue Reading -->Trader’s Digest: The 10 Stories We’re Reading Right Now
Wonder what traders are talking about today?We’re here with the top 10 stories we’re sharing with colleagues today, covering topics like:How the Stars Aligned for Today’s Power RallyBreaking Down JP Morgan’s Crash Call on TeslaRecord-High Increase in S&P 500 EPS Estimates for Q1 and CY 2018 And more!So check out these links right now and get up to speed:1) How the Stars Aligned for Today’s Power Rally (T3 Live)In today’s video lesson, Rob Smith shows the simple, but powerful pattern that revealed the big rally from this afternoon. THIS is a tool you need in your arsenal. Read the Article -> 2) China’s Counterpunch to Trump’s Tariffs Sparks Global Selloff (Bloomberg)Tit-for-tat tariff threats from the U.S. and China ignited fears that a trade war is beginning between the world’s two largest economies, sinking U.S. stocks. Read the Article -> 3) Art Cashin: Wall Street hopes tariff threats are an ‘opening ploy’ to negotiations (CNBC)all Street hopes the tariff threats between the United States and China are nothing more than tough talk followed by negotiations, closely followed trader Art Cashin told CNBC on Wednesday. Read the Article -> 4) Why the Semiconductors Control the Market Right Now (T3 Live)SMH, the Semiconductor ETF, carved out its largest monthly reversal since 2000. This is what it means for traders. Read the Article -> 5) Gold Prices Off Highs But Holding Gains Following Drop In ISM Service Sector Data (Kitco)Although gold is off its session highs, the market continues to hold on to modest gains following a drop in sentiment within the service sector. Read the Article -> 6) Breaking Down JP Morgan’s Crash Call on Tesla (T3 Live)JP Morgan recommended a very unusual options strategy for Tesla. Does it make any sense? Read the Article -> 7) Facebook CEO stops short of extending European privacy globally (Reuters)Facebook Inc Chief Executive Mark Zuckerberg said on Tuesday that he agreed “in spirit” with a strict new European Union law on data privacy but stopped short of committing to it as the standard for the social network across the world. Read the Article -> 8) Monday’s Simultaneous Break, and How to Trade It (T3 Live)Rob Smith breaks down a powerful signal that frequently occurs on the first day of the week. Read the Article -> 9) Record-High Increase in S&P 500 EPS Estimates for Q1 and CY 2018 (FactSet)During the first quarter, analysts increased earnings estimates for companies in the S&P 500 for the quarter. Read the Article -> 10) 3 Morning Routines of Highly Effective People (Inc.)What do Benjamin Franklin, Tony Robbins and Jack Dorsey have in common? Read the Article ->
Continue Reading -->Trader’s Digest: The 10 Stories We’re Reading Right Now
Wonder what traders are talking about today?We’re here with the top 10 stories we’re sharing with colleagues today, covering topics like:Putting the Pieces Together for a Big ShortFANG stocks’ bite has U.S. fund managers looking for alternativesVolatility Is Back, and That’s a Beautiful ThingAnd more!So check out these links right now and get up to speed:1) Putting the Pieces Together for a Big Short (T3 Live)Top trader Jeff Cooper explains how to put together a big short position with the help of the “plus one, minus two” strategy. Read the Article -> 2) FANG stocks’ bite has U.S. fund managers looking for alternatives (Reuters)Fund managers have begun to ditch so-called FANG stocks that powered the U.S. stock market to record highs in January and are slowly rotating into commodity-related shares and other value stocks which typically outperform in late-cycle recoveries. Read the Article -> 3) Tesla’s plunge could be ‘self-fulfilling’ prophecy for further declines, Morgan Stanley warns (CNBC)Tesla must quickly improve its Model 3 production rate if it wants to raise critically needed funds from investors at a decent price, according to Morgan Stanley. Read the Article -> 4) What’s Next for Best in Breed Amazon (T3 Live)Scott Redler identifies the key levels you need to watch in best in breed technology stock Amazon. Read the Article -> 5) Interview with Options Guru Jon Najarian (All Star Charts)JC Parets sits down with expert options trader Jon Najarian to discuss the higher volatility regime in US stocks. Read the Article -> 6) Volatility Is Back, and That’s a Beautiful Thing (T3 Live)In this lesson Jeff Cooper shows us 3 simple steps to bank big winners as the stock market is tanking. Read the Article -> 7) Trump hates Amazon, not Facebook (Axios)Capitol Hill wants Facebook’s blood, but President Trump isn’t interested. Instead, the tech behemoth Trump wants to go after is Amazon, according to five sources who’ve discussed it with him. Watch the Video -> 8) Why There Could Be Blood in the Street (T3 Live)Jeff Cooper argues that we could be in the eye of a stock market hurricane. Read the Article -> 9) Do Mega Deals Actually Benefit Shareholders? (FactSet)The full results show that on average over both the six-month and one-year post-completion horizons, buyers are underperforming the S&P 500 by a wide margin. Read the Article -> 10) 20 Quick Tips for Becoming More Productive (Inc.)Want to become a more productive person? Try implementing one or all of these tips. Read the Article ->
Continue Reading -->Trader’s Digest: The 10 Stories We’re Reading Right Now
Wonder what traders are talking about today?We’re here with the top 10 stories we’re sharing with colleagues today, covering topics like:The Power of the 1-2-3 Continuation BuyWall Street flat as oil offsets Facebook’s drop; Fed move awaitedFB Gets Destroyed, All Day LongAnd more!So check out these links right now and get up to speed:1) The Power of the 1-2-3 Continuation Buy (T3 Live)This simple pattern works like crazy. You can see the results for yourself. Read the Article -> 2) Wall Street flat as oil offsets Facebook’s drop; Fed move awaited (Reuters)U.S. stocks were little changed on Wednesday, ahead of an expected Federal Reserve interest rate hike, as weakness in Facebook’s shares (FB.O) for a third day were countered by gains in energy stocks. Read the Article -> 3) Facebook CEO Mark Zuckerberg Will Speak About Data Crisis in Next 24 Hours (Bloomberg)Facebook Inc. Chief Executive Officer Mark Zuckerberg plans to speak up shortly to address a barrage of criticism for the social-media company’s handling of the private data of millions of users. Read the Article -> 4) How to Combine Strong Technical Patterns with Incorrectly Priced Options (T3 Live)The Options in Play team used multiple analysis methods to nail this winning trade in CERN. Read the Article -> 5) Interview with NYSE Floor Governor Jay Woods (All Star Charts)JC Parets sits down with NYSE market maker Jay Woods to discuss war stories from the floor and a whole lot more! Read the Article -> 6) How to Bank Big Winners, Even When the Market’s Tanking (T3 Live)In this lesson Jeff Cooper shows us 3 simple steps to bank big winners as the stock market is tanking. Read the Article -> 7) Stock market: Guard against too much confidence in Russell 2000 high (USA Today)Guarding against irrational exuberance is critical right now. That’s because the stock market’s strong recovery from its early February drop has fooled investors into thinking the bull market is invincible. Watch the Video -> 8) FB Gets Destroyed, All Day Long (T3 Live)Rob Smith uses the Quant Edge method to break down multiple trade opportunities in this controversial stock. Read the Article -> 9) UK earnings growing at fastest rate in more than two years (The Guardian)Higher interest rates from the Bank of England have moved a decisive step closer after the latest official figures showed earnings growing at their fastest rate in more than two years. Read the Article -> 10) The World Is Getting Better. Here’s the Proof. (World Economic Forum)Bill and Melinda Gates are optimistic about the future, and they think you should be, too. Read the Article ->
Continue Reading -->The 1-2-3 Continuation Buy | Black Room Lessons | Sami Abusaad
Black Room LessonsWith Sami AbusaadIn today’s lesson Sami teaches us what he believes is one of the simplest patterns in trading. One that happens to work like crazy. Don’t be deceived by the term “simple.” Patterns that generate consistent results are usually the least complicated. Spend 10 minutes with Sami and learn the 1-2-3 continuation buy.
Continue Reading -->Sentiment Report: Traders Are Still Scarred Up from the February Collapse
The market’s been up for 5 of the past 6 days. So do traders believe the February volatility spike is behind us? The numbers say no. While the overall mood is improving, traders have not become positive. They’re actually leaning neutral to slightly bearish. This implies that the recent downturn left some scars… and perhaps that means there’s upside fuel still on the sidelines. Let’s go through our sentiment indicators so you can see what I mean. (click here for a primer on the sentiment indicators below) 1) VIX Spread – Neutral On Tuesday, February 6, the VIX hit a multi-year high at 50.30. Then it slowly drifted back into a more “historically normal” range between 16 and 20. Following the better-than-expected jobs report on Friday morning, it fell as low as 13.31, a level not seen since February 1. The VIX curve spent much of February inverted, but now it’s normalizing. The 3-months spread is around +2.00, which is neutral. Traders are clearly scaling back their expectations for volatility as markets climb, which isn’t at all out of the ordinary. (click here for a primer on the VIX spread) 2) CNN Fear & Greed Index – Bearish The Fear & Greed Index is at 25, which up from 8 last week. This index operates on a 0-100 scale, and a reading of 25 means traders are fearful. So traders are fearful, but less so. 3) AAII Sentiment – Bearish The American Association of Individual Investors said that just 26.4% of individual investors are bullish. This is a major decline from from 37.3% last week, and it’s the lowest reading since August 31, 2017. it should be noted that individual investors tend to lag the market — it takes them a while to get more bullish when the market’s rising, and longer to get bearish when the market’s declining. 4) CBOE Equity Put-Call – Neutral The newest reading of the CBOE equity put-call ratio is 0.61. This is the fourth straight number under the 0.654 long-term average. The 10-day moving average is now 0.62, which is slightly below that long-term average. Options traders were insanely bullish from December through early February. Then they got incredibly bearish as markets started breaking down. Now they’re looking neutral to modestly bullish. Conclusion Out of 4 sentiment indicators, we have: 0 bullish (down from 1 last week) 2 neutral (up from 1 last week) 2 bearish (flat from last week) Sentiment is still looking neutral to modestly bearish. Traders are clearly in a much better mood than they were at the February 9 low, but they’re not quite buying in whole-hog just yet. It may take a break above the February 27 interim high at 2789 to get traders convinced we can head back to all-time highs: The market’s been up for 5 of the last 6 days. That’s nice to see. And it’s even nicer to see that traders haven’t gone bullish. This implies that there are still people on the sidelines who can pile into the market. In particular, there seems to be a lot of doubt among individual investors, who tend to lag the market a bit. Typically, they take longer to get bullish when the market goes up. So perhaps that means we have more room to run from here.
Continue Reading -->How Patterns Within Patterns Identify Explosive Moves | Jeff Cooper
Jeff Cooper’s Daily Market Report In this lesson Jeff reviews a recent trade setup he gave his subscribers of the Daily Market Report in NKTR. Jeff outlines his “plus one minus two” buy pattern. See why trading pullbacks after a range expansion is one of Jeff’s favorite patterns.Get Jeff’s all-new home-study course Hit & Run Trading 2.0 for free when you start a 30 day trial for just $47.50>> Hit & Run 2.0 Home-Study Course << Get 30 Days of the Daily Market Report Best-Selling author Jeff Cooper
Continue Reading -->TWTR: 3 Easy Pieces of a Winning Trade | Jeff Cooper
Jeff Cooper’s Daily Market Report In today’s lesson, Jeff discusses a recent trade is TWTR Twitter. Today’s video outlines 3 easy pieces of any winning trade. Stack the right variables and profitable trading becomes a reliable event.Get Jeff’s all-new home-study course Hit & Run Trading 2.0 for free when you start a 30 day trial for just $47.50>> Hit & Run 2.0 Home-Study Course << Get 30 Days of the Daily Market Report Best-Selling author Jeff Cooper
Continue Reading -->Sentiment Report: Are There Still Too Many Bulls?
Last week, the market was in the most boring position possible. Stocks were consolidating and sentiment looked just a tad bearish. So there was no extreme in the technical position of the markets, and no extreme in sentiment either. That mad it hard to have a firm opinion on where things could go. We started the week on a happy note, before the bears took control and put in 4 straight down days. So let’s take a look at our sentiment indicators to see if the bulls are freaking out. (click here for a primer on the sentiment indicators below) 1) VIX Spread – Bearish On Tuesday, February 6, the VIX hit a multi-year high at 50.30. Then it slowly drifted back into a more “historically normal” range between 16 and 20. But it’s hovering around 25 on Friday as the fear gets ratcheted up. The VIX curve is still inverted, with a 3-month spread around -6.00 This means traders are still pricing in significant volatility, which makes sense. Ever since volatility exploded in early February, we’ve seen a huge expanion in range. (click here for a primer on the VIX spread) 2) CNN Fear & Greed Index – Bearish The Fear & Greed Index is at 8, which is dowm from 15 last week. This index operates on a 0-100 scale, and a reading of 8 means traders are very fearful (or bearish). 3) AAII Sentiment – Neutral Sentiment among individual investors is turning. The American Association of Individual Investors (AAII) said that 37.3% of individual investors are bullish, according to their latest survey. This is a substantial change from last week, when 44.7% of investors were bullish. The long-term average is 38.4%, so 37.3% is more or less neutral. 4) CBOE Equity Put-Call – Neutral The newest reading of the CBOE equity put-call ratio is 0.72. The 10-day moving average is now 0.623, which is slightly below the long-term average of 0.654. Options traders were insanely bullish from December through early February. Then they got incredibly bearish as markets started breaking down. Now they’re looking modestly bullish. Conclusion Out of 4 sentiment indicators, we have: 1 bullish (flat from last week) 1 neutral (flat from 0 last week) 2 bearish (flat from 3 last week) Sentiment is still modestly bearish. I’d argue that it’s just a little more negative than last week, and certainly not indicative of panic. This is good for the bears. If the market keeps declining, there are still plenty of bulls that can be turned bearish, which could mean more negative selling pressure. The bears should be most excited about the CBOE equity put-call ratio, which indicates a lot of call option demand over the past couple of weeks. Typically, we see very bearish CBOE equity put-call reading around market bottoms, and we’re not even close to that. I’d like to see a 10-day moving average above 0.7, and a 1-day reading over 0.8. An extreme 1-day reading sometimes marks short-term capitulation. Unfortunately, we won’t have Friday’s reading until the evening. So I’ll keep everyone posted Monday morning to see if things change.
Continue Reading -->Trader’s Digest: The 10 Stories We’re Reading Right Now
Wonder what traders are talking about today?We’re here with the top 10 stories we’re sharing with colleagues today, covering topics like:What the Semiconductors Are Yelling Through the MegaphoneS&P 500 Hits Tech-Heavy Milestone Last Seen With Dot-Com BubbleHow to Use Relative Strength for Options/Earnings PlaysAnd more!So check out these links right now and get up to speed: 1) What the Semiconductors Are Yelling Through the Megaphone (T3 Live)Tech leads the market. And the chips lead tech. Right now, they’re sending traders a very important message. Read the Article -> 2) S&P 500 Hits Tech-Heavy Milestone Last Seen With Dot-Com Bubble (Bloomberg)The high-flying technology sector hit a potentially ominous milestone on Tuesday: It now amounts to more than 25 percent of the S&P 500 Index. Read the Article -> 3) U.S. stocks to keep recovering, set to climb 8 percent this year: poll (Reuters)U.S. stocks will build on the recent recovery from a selloff earlier this month to rack up an over-8-percent gain for the year, according to a Reuters poll of Wall Street market strategists, extending a bull run that began in 2009. Read the Article -> 4) Most Current Projects Will Disappear in 5 Years, Says ‘Godfather of Ethereum’ (Bitcoinist)’Godfather of Ethereum’ and founder of Aeternity, Yanislav Malahov, explains why he believes most cryptocurrency projects will fail in the next 5 years. Read the Article -> 5) Scott Redler: Mapping Out SPX and QQQ Resistance on a Tricky Day (T3 Live)T3 Live’s Scott Redler breaks down how he maps out resistance levels for SPX and QQQ on a tough day for the market. Read the Article -> 6) The Fed’s Powell Inadvertently Gave a Rare Stock Tip in His Consistency (USA Today)New Federal Reserve Chairman Jerome Powell has given his first testimony before the House Financial Services Committee. Investors who were listening carefully got a rare stock tip from him. Read the Article -> 7) How to Use Relative Strength for Options/Earnings Plays (T3 Live)In this options trading lesson, Daniel Darrow reviews an options play in Dillard’s (DDS). Algo, learn to use relative strength/weakness to know which stocks to play. Watch the Video -> 8) Why Broadening Formations Are Your Key Guidelines for Profit-Taking (T3 Live)Rob Smith reviews Broadening Formations in multiple time frames, and shows us how they should be your main guidelines for profit-taking. Watch the Video -> 9) Porsche opens up about the electric Mission E, takes jab at Tesla (AutoBlog)Porsche is readying its Mission E for launch, with a 2019 target sales date. The all-electric Tesla Model S competitor has a lot of car fans excited, and has been drawing covetous looks since the concept’s unveiling back in 2015. Read the Article -> 10) The Mentality It Takes to Achieve GreatnessGet inside the mind of the notoriously competitive Kobe Bryant.
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