Headline News: Wall Street is set to open lower as investors deal with supply chain disruptions and higher inflation’s impact on corporate earnings. Netflix (NFLX) reported third-quarter earnings better than expected, and revenues were in line with expectations. The company also added 4.4 million new subscribers, well above expectations of 3.84 million. However, the stock was down 2% in pre-market trading, reflecting investors’ concerns about future inflation’s impact on earnings. United Airlines (UAL) reported higher than expected revenue and is set to open by 1.7%. IBM (IBM), Tesla (TSLA), and Las Vegas Sands (LVS) are set to report after the markets close today. Markets: The S&P 500 rallied higher for the fifth day in a row closing at 4519.63 on Tuesday. The index is now just under potential resistance at 4520.47. The RSI index is also increasing in an uptrend, and the advance/decline line is near an old high. The S&P 500 is currently extended and overbought, so another close higher seems unlikely today. A sideways day or a small down day would be constructive for a potential attempt at a new all-time high. If selling should come in, there is possible support at 4492.99. We are currently Intermediate-term… Read More
Headline News: Wall Street is set for a higher open, as of 10/19/2021, after a slew of strong third-quarter earnings reports. Travelers Companies (TRV), Fifth Third Bancorp (FITB), and Johnson & Johnson (JNJ) all beat expectations and are higher in pre-market trading. Netflix (NFLX) and United Airlines (UAL) will report after the close today. The upbeat earnings are easing fears that increases in covid cases and rising inflation could slow the U.S. economy. Markets: The S&P 500 tested support at 4447.47, as of 10/18/2021, and then rallied to close higher at 4486.46. We feel the index needs to rest at these levels and form a base before testing the old high. The advance/decline line did not break through resistance, the net new high index moved lower yesterday, and the index is now overbought. If selling should come into the markets, potential support could come in at 4465.40 and then 4447.47. Possible resistance could now come in at 4520.47. We are currently Intermediate-term bullish and short-term bullish. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJFS Partner, DJWMG Windsor Wealth Planners & Strategist Futures trading is speculative, leveraged, and involves substantial risks. Investing always… Read More
Headline News: U.S. stock futures are set to open lower on concerns about the continued surge in oil prices and inflation fears. Also, investors will be waiting for earnings from the largest tech companies later this week. So far, 41 S&P 500 companies have reported third-quarter earnings, with 80% beating estimates. Also, the 10-year Treasury yield moved back above 1.61%, adding to the higher inflation fears. Markets: The S&P 500 closed higher at 4471.37 and above resistance at 4465.40. The three-day rally has been impressive, and some profit-taking today would be typical. So far this morning, S&P 500 futures are lower, and the index is set to open at 4446.25. If so, the next potential support level would then become the 50-day moving average at 4437.00. We feel that level could be tested today in early trading, but we think the level will hold, helping keep the recent uptrend in play for the rest of the week. We are currently Intermediate-term bullish and short-term bullish. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJFS Partner, DJWMG Windsor Wealth Planners & Strategist Futures trading is speculative, leveraged, and involves substantial risks. Investing always… Read More
Headline News: Wall Street is set to open higher after another round of better than expected third-quarter earnings reports were released. Goldman Sachs (GS) beat estimates for earnings and revenue helped by strong investment banking revenue. Also, retail sales for September increased by 0.7%, and excluding auto-related sales rose 0.8%. Year over year, those numbers were 13.9% and 15.6%, respectively. Markets: The S&P 500 had a dramatic rally on Thursday and closed above the 50-day moving average for the first time this month. The RSI index closed above the critical 50 level, and the advance/decline line is now just under an old high. We believe the recent selloff is potentially over, and we should see more follow-through buying today to confirm and possible new uptrend. Potential resistance could now come in at 4465.40, and support is now potentially at 4386.75. We are currently Intermediate-term bullish and short-term bullish. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJFS Partner, DJWMG Windsor Wealth Planners & Strategist Futures trading is speculative, leveraged, and involves substantial risks. Investing always involves risk, including the loss of principal, and futures trading could present additional risk based on… Read More
Headline News: Wall Street is set for a higher open after a slew of better than expected third-quarter earnings reports. Bank of America (BAC) reported profits were up by 58% to $7.7 billion and revenue rose 12% to $22.87 billion. Also, Morgan Stanley (MS), Citigroup (C), and Wells Fargo (WFC) all reported quarterly earnings better than estimated. Meanwhile, Initial unemployment insurance claims last week totaled 293,000 lower than expected and the first time below 300,000 during the pandemic. Markets: The S&P 500 rallied late in the day and closed at 4363.80, just below important resistance at 4367.73. The advance/decline line did move above a resistance level in support of the rally. So far, this morning, the S&P 500 futures are set to open at 4395.00, and we feel the recent selling is potentially now over. Potential resistance would then become 4419.54, which might be tested today if the buying should accelerate later in the day. We are currently Intermediate-term bullish and short-term bullish. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJFS Partner, DJWMG Windsor Wealth Planners & Strategist Futures trading is speculative, leveraged, and involves substantial risks. Investing always involves risk,… Read More
Headline News: U.S. stock futures are flat to start the day as investors react to new inflation data and third-quarter earnings reports. The consumer price index increased 0.4% in September and 5.4% year over year. Excluding energy and food, the increase was 0.2% for the month and 4% for the year. JPMorgan (JPM) reported better than expected third-quarter results that exceeded expectations. Also, Delta (DAL) posted higher than anticipated revenues but said higher fuel costs would pressure fourth-quarter earnings. Markets: The S&P 500 rallied early and traded above resistance at 4367.73 only to selloff, again, late in the day and close at 4350.65. The index has been low for three days in a row, and a rally today would be typical. However, we still want to see a close above resistance at 4367.73 to confirm the potential end of the selling. Possible support remains at 4305.91, and our opinion is that it will not be tested today. We are currently Intermediate-term bullish and short-term bullish. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJFS Partner, DJWMG Windsor Wealth Planners & Strategist Futures trading is speculative, leveraged, and involves substantial risks. Investing always… Read More
Headline News: U.S. stock futures were volatile overnight after China’s Evergrande missed a third interest payment, auto sales in the U.S. fell 17% in September due to the chip shortage, and a continued rise in energy prices. However, futures are set to open the day higher after JPMorgan (JPM) CEO predicted global supply chain issues “will not be an issue next year at all.” Markets: The S&P 500 sold off below support at 4367.19 and closed at 4361.19 on Monday. We are happy the gap from 10/7/2021 has been filled, but the index is now in jeopardy of moving lower today. If the 4367.73 level is not reclaimed and held, the sellers would be back in charge. If so, potential resistance would then be at 4305.91. We are still in a traditionally volatile time of the year, but the index needs to rally today on above-average volume to reinforce the move off the 10/4/2021 low. We are currently Intermediate-term bullish and short-term bullish. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJFS Partner, DJWMG Windsor Wealth Planners & Strategist Futures trading is speculative, leveraged, and involves substantial risks. Investing always involves risk, including… Read More
Headline News: Wall Street is set for a lower open after Goldman Sachs lowered its 2022 growth estimate to 4% from 4.4%, and they also reduced the 2021 estimate to 5.6% from 5.7%. The U.S. economy appears to be slowing after Friday’s weak unemployment report. The September Nonfarm payrolls rose by only 194,000 VS. the estimate of 500,000. Meanwhile, the third-quarter earnings season starts this week as analysts estimate a growth rate of 27.6% for S&P 500 companies. JPMorgan (JPM), Bank of America (BAC), Morgan Stanley (MS), Wells Fargo (WFC), and Citigroup (C) will announce this week. Markets: The S&P 500 had an inside day pattern on Friday and never challenged support or resistance line. Today, the index is set to open lower and immediately test old resistance at 4367.73. If so, the gap formed on 10/7/2021 will be filled, and buyers could potentially come back in and move the index higher. The recent trading action has moved us back to a short-term bullish stance today. We are currently Intermediate-term bullish and short-term bullish. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJFS Partner, DJWMG Windsor Wealth Planners & Strategist Futures trading… Read More
Headline News: Wall Street is set for a higher open after Congress appeared to agree on a deal that would raise the debt limit in the short term. Also, lower energy prices and a stable 10-yr yield at 1.52% have eased some investors’ recent concerns. Markets: The S&P 500 rallied off support and closed higher at 4363.55 and just under potential resistance at 4367.73. The RSI index moved higher in support of the rally closing higher at 45.07. So far this morning, the S&P 500 futures are indicating an open at 4398.00. If that should hold, we feel a potential bottom is now possible in place. We are currently Intermediate-term bullish and short-term bearish. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJFS Partner, DJWMG Windsor Wealth Planners & Strategist Futures trading is speculative, leveraged, and involves substantial risks. Investing always involves risk, including the loss of principal, and futures trading could present additional risk based on underlying commodities investments. The Relative Strength Index (RSI), developed by J. Welles Wilder, is a momentum oscillator that measures the speed and changes of price movements. The advance/decline line (A/D) is a technical indicator that… Read More
Headline News: Wall Street is set for a sell-off when the market opens after rising oil prices brought on fears of higher inflation. The 10-year yield traded at the highest yield since June, and that has investors selling mega-tech companies again this morning. A rise in inflation could force the Federal Reserve to begin a bond tapering policy sooner than expected. However, this morning the ADP U.S private payrolls increased by 568,000 jobs last month, which was more than expected, showing the U.S. economy is continuing to reopen. Markets: The S&P 500 rallied up to resistance at 4367.73 but sold off late to close higher at 4345.72. It appears this was only a snapback rally because the index is set to open below 4300 this morning. So, the potential support level at 4289.37 becomes critical and needs to hold again in today’s trading. We feel the index will test that level again today, and we are hoping for buyers to set up in a stage a late-day rally. If that level does not hold, then the next level of possible support becomes 4233.13. We are currently Intermediate-term bullish and short-term bearish. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠… Read More
