Major averages fell yesterday on mixed volume. The S&P 500 and Dow Jones Industrials each closed below their 50-day and 200-day moving averages, respectively, while the broad New York Composite Index moved sharply and further below its own 200-day moving average and the small-cap Russell 2000 Index sliced through its 50-day moving average on the downside. After-hours yesterday Amazon (AMZN) reported blowout earnings, and is set up gap up about 18% this morning. NASDAQ futures are trading higher by about 0.15% at the time of this writing. Whether the action of a few recent big-stock NASDAQ names can turn this market around before it falls further is questionable, and today's action may be telling in this regard.
Branded drug maker Valeant Pharmaceuticals (VRX) had a buyable gap yesterday up on strong earnings. Earnings and sales are accelerating, pretax margin 35.7%, ROE 54.6%, group rank 7.
Medical care facilities operator Adeptus Health (ADPT) had a buyable gap up yesterday on a strong earnings report. Earnings and sales are skyrocketing, group rank 2.
Keep in mind that buy signal reports sent during market pullbacks are often designed to let members know of constructive action in certain stocks which may make them actionable when the market finds its feet. Otherwise, members should exercise discretion when deciding to act on such signals during potentially unfavorable general market action.
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. ©2019 MoKa Investors, LLC DBA Virtue of Selfish Investing. All rights reserved.