Major averages sold off yesterday, but only the NASDAQ traded higher volume. The S&P 500 and Dow Jones Industrials escaped a distribution day after the U.S. proposed tariffs on another $200 billion worth of Chinese goods and services. Futures are moving higher this morning as the market shrugs off yesterday's sell-off and makes another move for new highs.
Futures are trading higher. Trade concerns remain at issue but meanwhile, QE remains a formidable force as markets get pushed higher on a string as we detailed in yesterday's Market Direction Report. In summary, markets and stocks this year have been largely trendless for the most part due to the tug-o-war between the Federal Reserve pushing for higher rates vs. global central banks which remain hamstrung on having to pump out continued near-record levels of capital flow via QE. The ingredients of the makings of a full blown trade war add to the rip-tide nature of the current market environment. Markets and stocks that rise on QE-vapor remain vulnerable.
Focus List Notes:
As earnings season approaches, aggressive purchases of Focus List names are obviously not advisable unless one believe one can gain a reasonable profit cushion ahead of earnings. That said, while all five names are holding up well, none are currently in buyable positions aside from BZUN, which is holding near-term support at its 50-dma and 20-dema.
Market Lab Report - Premarket Pulse 7/12/18
|12 Jul 2018 08:34 ET
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.