fb
X
X
Tired?
Unfocused?
Off your game?
Read our free, updated as of Mar 3, 2022, Dr K report on how to optimize your mind and body so you can boost your focus when trading the markets.
YES, SEND ME THE REPORT !
Meet Dr K !
Chris Kacher
  • Nuclear physicist
  • Stock & crypto market wizard
  • Blockchain builder
  • Bestselling author
  • Top 40 charted musician
  • Biohacker
  • Former computer hacker
YES, SEND ME THE FILE !
YES, SEND ME BOTH !
Your email will always remain private.

MLR - PMP 9/3/14

Major market averages finished mixed on higher volume yesterday as institutions started to come back from the summer holidays. Commodities have been in a downtrend for a number of months, most likely due to strength in the dollar as improving economic reports and a slowdown in quantitative easing helps bolster the greenback. The euro on the other hand weakens as European countries remain mired in recession, spurring the need for more quantitative easing. That said, will the US economy be able to continue its slow climb out of the recessionary cesspool or are these reports exaggerated? The Fed seems to feel the need to keep interest rates at record lows for an extended period of time.

Many quality stocks continue to issue pocket pivot and gap up buy points:

Athletic clothing retailer UnderArmour (UA) had a pocket pivot after gapping up after its prior earnings report then moving tightly sideways. UA often violates its 50-dma so in this type of market environment, it is especially prudent to take profits when you have them, in context with the overall chart pattern.

Online platform company Yelp (YELP) cleared enough volume for a pocket pivot, and given its constructive price/volume action leading up to today's action, it is buyable. We hold a position in YELP. Earnings just turned positive, sales are robust, group rank 10.

Restaurant chain El Pollo Loco (LOCO) had a pocket pivot. Earnings jumped in the prior quarter to 0.15 compared to prior quarters which were either negative or 0.01 or 0.02. It is an IPO so volatility will be amplified. We own a position in LOCO.

Baidu (BIDU) had a pocket pivot. It also had a gap up on its prior earnings report and has since formed a tight pattern. Earnings are accelerating, sales are robust, pretax margin 39.7%, ROE 34.2%.

Regeneron (REGN) had a buyable gap up out of a multi-month base on a price target upgrade to $400 from $340 at Credit Suisse. Such upgrades carry less weight as they do not represent a material change to the company. Earnings and sales are robust, pretax margin 44.4%, ROE 58.5%. We reported on REGN on July 30 when it had a prior buyable gap up.

Rail transport company Canadian Pacific Railway (CP): accelerating earnings, pretax margin 25.4%, group rank 13. This is a slower stock for more conservative investors, but its price action can be quite constructive at times. It just passed confidently through 200 so the Livermore century rule would apply here.

Aircraft leasing company Aercap Leasing (AER) had a pocket pivot after a tight consolidation. Accelerating earnings and sales, pretax margin 30.4%, group rank 46.

Solar stock Canadian Solar (CSIQ): accelerating earnings, strong sales, group rank is still weak at 132.

Network security infrastructure company Palo Alto Networks (PANW): Robust earnings and sales, institutional sponsorship increasing over the last 8 quarters, group rank 62.

Southwest Airlines (LUV): Stellar earnings, group rank 40. Tends to hold its 50-dma well.

Machine-based security company FireEye (FEYE) had a bottom fishing pocket pivot (BFPP). It just closed above its 50-dma. Stellar sales growth, group rank 62.

Footwear company Skechers USA (SKX): stellar earnings, accelerating sales, group rank 17.

Transport-equipment manufacturer Trinity Industries (TRN): Strongly accelerating earnings, robust sales, group rank 8.

This information is provided by MoKa Investors, LLC DBA Virtue of Selfish Investing (VoSI) is issued solely for informational purposes and does not constitute an offer to sell or a solicitation of an offer to buy securities. Information contained herein is based on sources which we believe to be reliable but is not guaranteed by us as being accurate and does not purport to be a complete statement or summary of available data. VoSI reports are intended to alert VoSI members to technical developments in certain securities that may or may not be actionable, only, and are not intended as recommendations. Past performance is not a guarantee, nor is it necessarily indicative, of future results. Opinions expressed herein are statements of our judgment as of the publication date and are subject to change without notice. Entities including but not limited to VoSI, its members, officers, directors, employees, customers, agents, and affiliates may have a position, long or short, in the securities referred to herein, and/or other related securities, and may increase or decrease such position or take a contra position. Additional information is available upon written request. This publication is for clients of Virtue of Selfish Investing. Reproduction without written permission is strictly prohibited and will be prosecuted to the full extent of the law. ©2024 MoKa Investors, LLC DBA Virtue of Selfish Investing. All rights reserved.
FOR OUR FREE MARKET LAB REPORT :
Copyright ©2024 MoKa Investors, LLC DBA Virtue of Selfish Investing.
All Rights Reserved.
privacy policy