Posts

Showing posts from January, 2019

Some stocks for 2019: CREE, FISV, RTN, SNAP, TEAM

Image
Market Pulse. In this January market rally, for the fourth straight week, the sentiment has changed sharply in Wall Street and today bullish winds are breathing. From what seemed like a shy post-Christmas correction within a larger fall, today the vision is very different. Two key factors caused the change: Powell confirming the dovish tone of the FED, and the advances (although the officials deny, it seems serious and concrete) in the resolution of the Trade War. At least the markets have understood this, even despising the shutdown of the US government. As I permanently indicated in this blog, a positive US-China agreement would guarantee a good 2019 on the world stock exchanges. Let's see some ideas from stocks of my January' watchlist . 1. Cree Inc. CREE , $48.41 In these last two weeks (supported with its recent deal with STMicroelectronics STM ), this Mid-Cap light-product manufacturer, exceeded without problems, its SMA200 average and the Ichimo

BVL, la Bolsa de Valores de Lima: Perspectivas 2019-I

Image
(This post is intentionally written in Spanish). Preambulo. "Como habrán notado, comento muy poco la bolsa local. Es debido al enfoque de mi blog (Wall Street) y a las sabidas limitaciones de la BVL , que simplemente no van con mi gusto y estilo de trading: poco dinamismo al ser muy pequeña, pobre volumen diario negociado con escasas transacciones, alta volatilidad, pocas compañías negociables, ausencias de options como medio de inversión, pocos brokers online, excesiva dependiencia de un solo sector industrial (minería), poca influencia de nuestro acontecer político y económico local en el movimiento diario, etc. Es curioso, pero el país lleva años de crecimiento en todo aspecto y mientras tanto la BVL sigue manteniendo en esos años su iliquidez inalterable, tan es así que estuvo a punto de pasar a mercado frontera hace solo unos meses. A que se debe? Creo que hay un desconocimiento general sobre que es y cuales son las ventajas del Mercado de Valores. Por otro lad

Watchlist Update: Market Pulse, Sectors, NFLX

Image
Market Pulse. The apparent (and unclear) advances in the definition of the Trade War and a "new" FED, decidedly dovish , are sufficient arguments for Wall Street to continue resurging since its pullback at the end of 2018. The stock market seems not interested in the worrying 3-week shutdown of the US government, nor the economic slowdown of China and Europe ( all its macro data of Industrial Production very bad this week): the SP500 SPX closes this week with a 2.5% advance, in its best 10-day rally in a decade. The oversold market in late December was already very strong and it was expected to reach important support (in this case its simple moving average SMA200 of weekly chart, shown two weeks ago, here ) for the rebound to begin. The "buy the dip" trades have been strong, so much that the market sentiment, measured by the American Asociation of individual Investors , with a bearish survey in December, now moved strongly to bullish sentiment, in li

CTSH, CREE, GE, ROKU: trades for the short-term

Image
In a market that is too unstable for trading, different to what we are used to in Wall Street, intelligent alternatives are the day or swing trades: short, powerful and effective, to avoid the market volatility. In these cases, it's enough a basic technical analysis (that is, moving averages, support and resistance levels, Ichimoku clouds, trendlines, volume, candlesticks) to forecast stock movement, with certain success. Let's see some stocks of my January watchlist , ideal for short-term trades. 1. Cognizant Technology Solutions CTSH , $63.54 In its 10-minutes chart its clear that CTSH price has many sessions trying to pass the $63.90 level, that is turned now in a powerful short-term resistance. I put an alert in that level, and wait until price breakout this level for applying a day-trading strategy, for example, the ADX-Ichimoku, explain here. 2. Cree Inc. CREE , $42.58 In my main watchlist since October, CREE today overcome moving averages

Next critical levels for the SP500

Image
US Economy 2018 in a minute-reading. - The economy started the year very solid, with the momentum that came from 2017. - With the start of the Trade War (US tariffs on Chinese imports especially, and subsequent similar response of the Chinese), industrial production and international trade began to fall. The doubts began. - The Tax Reform, the increase in fiscal spending and the repurchase of shares allowed Wall Street and the economy to continue growing. In this sense, the FED applied the expected Rate Hikes, which reinforced the dollar against its global peers. The most vulnerable emerging markets felt this new blow. - At the end of the year, the worsening of the Trade War, the global deceleration and distrust of investors, passed the bill to both the economy and the markets, added to a necessary technical correction in the stock markets. The word recession begins to sound strong. - The resolution (if it happens or not) of the Trade War will determine the economic d