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inthemoneystock (< 20)

July 2011

Recs

3

Debt Man Walking

July 29, 2011 – Comments (0) | RELATED TICKERS: DIA , SPY , IWM

If the United States government raises the debt ceiling it will face problems down the road. If it does not raise the debt ceiling it will have to face some problems right now. Is there really a point in having a debt ceiling at all? Almost every administration in the past has raised the debt ceiling before. The question should be asked, is the United States at its breaking point where the country cannot absorb any more debt? The truth is that none of us really know for sure what the breaking point will be for the United States when it comes to debt. At some point the country will break because it has too much debt, however, we do not know if that number is $14.5 trillion, $16.5 trillion, or $50 trillion. These numbers are so large that it is impossible for the ordinary working man to understand the complexity of this situation.

The United States has long been recognized as the richest nation in the world. How can this be if this is the greatest debtor nation in the world? If you have ever been in debt on a personal level it is one of the worst feelings in the world. People have gone into deep depressions over unpaid bills and obligations. Debt and financial problems are the number one cause for divorce in the United States. Why does the government love to be in debt all of the time? The last time the United States was not in debt was when Andrew Jackson was the president, that was in 1835. Even at that time the United States had a financial panic just two years later in 1837 and then face a depression. So is debt good to have as long as it is manageable?

The major stock market indexes have been trading lower throughout the entire week including today. This country has kicked the can down the road when it comes to debt since it began. History suggests that the U.S. government will do it again. Either way the United States is a debt man walking.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

0

U.S. Dollar Index Plummets After GDP

July 29, 2011 – Comments (0) | RELATED TICKERS: UUP , SCCO , FCX

The U.S. Dollar Index futures (DX U1) plummeted lower after the second quarter gross domestic product(GDP) number was released. Normally, when the U.S. Dollar Index declines it will help to inflate the major stocks and commodity markets, however, today could be a different scenario. Stocks such as Freeport McMoRan Copper & Gold Inc.(NYSE:FCX), Cliffs Natural Resources Inc.(NYSE:CLF), and Southern Copper Corp.(NYSE:SCCO) are coming under early selling pressure despite the decline in the U.S. Dollar Index.

At this time, the inverse relationship between the U.S. Dollar Index and the major stock market indexes may not be intact. The stock markets are confused as the failed U.S. debt ceiling deal out of Washington remains in limbo. Traders should watch for any kind of news from the politicians, any indication of a debt ceiling deal could cause the markets to bounce intra-day. Traders should realize that the U.S. Dollar Index futures will have some short term intra-day support around the $74.00 area.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

2

Airline Stocks Scream Mayday

July 28, 2011 – Comments (0) | RELATED TICKERS: UAL , DAL , AAMRQ

Has anyone looked at the airline sector lately? These stocks are simply falling out of the sky. This industry group has always been considered the red headed step child of stocks, however, these stocks have been decimated. The scary part about this sector is that despite the airline stocks being oversold and extended to the downside, these stocks could go a bit lower before having staging a dead cat bounce.

United Continental Holding Inc.(NYSE:UAL) is one of the leading stocks in the group. This stock has declined by nearly $10.00 since May 19, 2011 when the stock traded as high as $26.84 a share. Traders should watch for short term daily chart support around the $16.00 area. If that level fails to hold the stock could test the $14.50 level. This is not a pretty picture for this stock.

Another leading airline stock that has been declining this year is AMR Corp.(NYSE:AMR). This leading airline stock is trading around $4.00 a share. This stock looks as if it could trade down to $3.50 before seeing any meaningful chart support. The last time AMR stock traded this low was in July 2009.

Delta Air Lines Inc.(NYSE:DAL), U.S. Airways Group Inc.(NYSE:LCC), and Southwest Airlines Co.(NYSE:LUV) are all trading at new 52 week lows. These stocks also look as if they could have a bit more downside in the near term. Investors should remember, these stocks simply cannot handle $100.00 oil.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

0

Stock Market Reality: The Truth On The House Vote

July 28, 2011 – Comments (0) | RELATED TICKERS: SPY , UUP , IBM

The markets are holding their collective breath as they look towards the vote later in the House of Representatives. John Boehner's bill outlining budget cuts and raising the debt ceiling will be on the chopping block. This is ultimately the biggest vote the markets have seen since TARP passed in 2008. The reason why it is so big? If it fails to pass, it is likely no deal will be reached by the August 2nd deadline. Should it fail to pass this evening, the futures will likely dive three-percent or more in after hours trading and Asia and Europe will tumble. If it passes, the futures will spike. Many amateurs think that even if the bill gets past the House, it will fail in the Senate. While this may be true, my guess is it will matter. Should the bill pass in the House, the Democrats will ask for small changes and revise it slightly, then pass it. Again, it all comes down to the first vote this evening. Watch it like a hawk.

The markets are bouncing slightly after yesterday. A little bit of optimism is creeping in on hopes the new spending and debt ceiling bill will pass. The SPDR S&P 500 ETF (NYSE:SPY) is trading at $131.29, +0.68 (+0.52%).  The Dollar continues to inch higher as well. This may be a leading indicator that is telling the market a deal is coming. The PowerShares DB US Dollar Index Bullish (NYSE:UUP) is trading at $21.14, +0.05 (+0.24%).

The leading sectors today are technology and banks. International Business Machines Corp. (NYSE:IBM), Apple Inc. (NASDAQ:AAPL), Google Inc. (NASDAQ:GOOG) and Amazon.com, Inc. (NASDAQ:AMZN) are all higher. In the financial arena, solid gains are being seen in Goldman Sachs Group, Inc. (NYSE:GS), JPMorgan Chase & Co. (NYSE:JPM) and Bank of America Corporation (NYSE:BAC).

Gareth Soloway
InTheMoneyStocks.com

  [more]

Recs

1

Kill Emotion Then Profit: Stock Markets Rise

July 28, 2011 – Comments (3)

The house will be voting this evening on the John Boehner plan. There are questions on whether or not it will pass. Should it pass, the debt ceiling will be raised within days. Slight optimism is keeping this market higher today. The SPDR S&P 500 ETF (NYSE:SPY) is trading at $131.59, +0.99 (+0.76%). Many investors were ready to jump out of the window yesteday, as fears of a default spread. Always avoid emotion and trade off logic. This was the key to buying longs yesterday and maximizing profits today.

Yesterday, I wrote a blog entry discussing why, how and when a budget and debt ceiling agreement would be reached. Understanding this helped avoid the fear that so many other amateur traders were swept up with. It also allowed me to enter long plays on Bank of America Corporation (NYSE:BAC) at $9.70, Cree, Inc. (NASDAQ:CREE) at $32.15 and ProShares Ultra S&P500 (NYSE:SSO) at $51.85. These were posted and time stamped to Research Center members.  All three plays are rocking it today. CREE is up 10% on the day, hitting a high of the day at $34.44 after the alert to buy at $32.25. Bank of America is trading at $9.80, +0.12 (+1.24%) and the ETF SSO, which is two times long the S&P 500 is trading at $52.32, +0.63 (+1.22%) after the buy alert was triggered at $51.85.

As profits continue to pile up, it is important to recognize why and how? First, avoid the Wall Street hype and focus on reality. Ignore emotion and use logic. By doing that you would clearly understand that the debt ceiling will be raised and the markets will rally.  The next step is to focus on the charts and find the appropriate buy levels. This was done on all three trades yesterday. This helps maximize profit.

Gareth Soloway
InTheMoneyStocks.com

  [more]

Recs

0

Too Big To Fail Keeps Markets Alive So Far

July 28, 2011 – Comments (0) | RELATED TICKERS: JPM , C , MS

As we all know by now, the large financial institutions have lead the markets lower over the past three months. This morning, it is the large financial stocks that are trading higher on the session keeping the markets alive. When the financial stocks show intra-day strength it is very difficult to see the major stock indexes decline. Now on the flip side, if the large financial stocks begin to sell off and decline then we should all be aware that the major stock indexes could continue to come under selling pressure.

This morning, leading financial giant J.P. Morgan Chase & Co.(NYSE:JPM) is trading higher by 0.35 cents to $41.02 a share. Short term traders should watch for intra-day resistance around the $41.20 area. This stock is the most important financial stock in the entire stock market.

Citigroup Inc.(NYSE:C) is trading higher by 0.29 cents to $38.55 a share. This financial giant will have intra-day resistance around the $39.00 level. Citigroup stock is still trading below all of its major daily chart moving averages which puts the stock in a weak technical position.

Goldman Sachs Group Inc.(NYSE:GS) is another leading financial giant that has rallied higher after reporting earnings on July 19, 2011. This stock will have intra-day resistance around the $137.00 level. Should GS trade higher throughout the session the next resistance level will be around the $138.00 area.

Other giant financial stocks that are trading higher include Morgan Stanley(NYSE:MS), and Bank of America Corp.(NYSE:BAC). It is important to remember that if the financial stocks begin to trade lower as the major stock indexes will come under pressure. The "too big to fail" stocks are carrying a lot of weight these days.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

0

Semiconductors Hang On By A String

July 28, 2011 – Comments (0)

This morning, the semiconductor stocks are weak once again. The popular and highly followed Semiconductor Holders Trust(NYSE:SMH) is trading lower by 0.37 cents to $32.11 a share. Many traders and investors are watching the $32.00 level very closely as this level has held as support for the past five months. Should the SMH close below the $32.00 level on the daily chart it could be a very negative sign that the semiconductor index is going to trade sharply lower.

Many leading semiconductor stocks are trading lower this morning. Semiconductor equipment manufactures such as Novellus Systems Inc.(NASDAQ:NVLS), KLA-Tencor Corp.(NASDAQ:KLAC), Lam Research Corp.(NASDAQ:LRCX), and Applied Materials Inc.(NASDAQ:AMAT) are all trading lower at the start of the day. These stocks have lead the declines in the sector lately and should be followed closely. It is very important to see these stocks trade off the morning lows or the semiconductor sector could break lower. Right now the entire chip sector is hanging on by a string.

Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

3

Nasdaq Gets The Pile-Driver

July 27, 2011 – Comments (2) | RELATED TICKERS: SNDK , QCOM , DGP

This afternoon, the major stock indexes are plummeting sharply lower. The catalyst for the decline is obviously the failure of Washington coming to some debt ceiling resolution. At this point, it really does not matter if the debt ceiling gets raised or not, it really comes down to knowing what the politicians are really going to do. It will help if the Republicans simply come out and say the debt ceiling will not be raised, period. This action would help to strengthen the U.S. Dollar and allow the government to get its financial house in order. This back and forth between both parties just makes for a lot uncertainty and that is what traders and investors hate the most.

Often the big declines that occur during these big political deals are simply a way to scare the politicians into doing a deal. The U.S. government takes in about $250 billion a month at this time. This is more than enough money to cover its financial debt obligations. The items that it cannot cover should simply be cut because the country simply can't afford it. Eventually the country has to get their financial house in order or it will become another Greece, Italy, or Spain. Sure, the U.S. can simply borrow more printed money from the Federal Reserve, but just look at where that strategy has gotten us. High energy and food prices are just a fraction of the price that the people have to pay when cash is created out of thin air by the central bank.

Gold and silver are the central banks worst nightmare. The recent increase in these precious metals was due to the failure of the European Union and the U.S. Dollar. Today, the U.S. Dollar Index is actually trading higher on the day and gold and silver are trading lower. Why do the central banks hate the stronger dollar so much? A strong dollar policy is good for the U.S. in the long run and also good for the world. After all, the U.S. Dollar is the world's reserve currency.

The Nasdaq Composite has lead the markets higher recently. Today, that tech heavy stock index is leading the major stock indexes to the downside. The Nasdaq Composite is trading lower by 2.79 percent this afternoon. This is a massive one day decline for any stock index. Leading stocks such as Google Inc.(NASDAQ:GOOG)), Apple Inc.(NASDAQ:AAPL), Qualcomm Inc.(NASDAQ:QCOM), and Sandisk Corp.(NASDAQ:SNDK) are plunging lower. These stocks have been stock market leaders that have all reacted well after reporting earnings, therefore, this tells us that people want out of this market until the politicians can get a debt ceiling resolution.

Everyone expects the politicians to come up with some kind of deal ceiling very soon. However, it would really help a lot if the Republicans just said this is it, we are not raising the debt ceiling. All the stock market wants right now is certainty. It does not really care if the debt ceiling gets increased or not. It just wants to know that something is certain.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

1

Buy These: Debt Ceiling Will Be Raised

July 27, 2011 – Comments (0) | RELATED TICKERS: BAC , GS , MS

With the markets panicking over the possible default of the United States, stocks are scary but cheap. When the debt ceiling is raised, a big rally will take place. The key is to be in positions that will reward you with big profits. Ultimately, the debt ceiling will be increased by the time August 2nd hits. The politicians will not risk their future careers by letting it go past. This means it is currently one of the greatest short term buying opportunities in the stock market.

Bank of America Corporation (NYSE:BAC) has the chart and trading history to be a big mover on any deal. The daily chart shows a beautiful bullish consolidation pattern here at $9.80. The stock bottomed recently and ever since has been one of the strongest in the market. This retrace gives buyers a second chance to catch this lightning in a bottle.

The bank stocks have all been under pressure over the last six months. However, recently they have outperformed. This tells smart Wall Street players that the financial plays are the place to be when a debt ceiling extension is completed. Other great plays would also be Morgan Stanley (NYSE:MS), Goldman Sachs Group, Inc. (NYSE:GS) and Wells Fargo & Company (NYSE:WFC).

Gareth Soloway
InTheMoneyStocks.com
  [more]

Recs

4

The Markets Control The Government...Just Watch

July 27, 2011 – Comments (0) | RELATED TICKERS: SPY , CVX , AMZN

The government is a puppet that the markets will ultimately control. This is the truth and the markets are starting to get angry today. As the debt ceiling talks continue to drag, the markets are starting to hit back. Early in the week, no agreement was a non event as there was a full week to maneuver. The markets had two small down days, dropping half a percent on the SPDR S&P 500 ETF (NYSE:SPY). Now Wednesday has arrived and there is less than a week to a possible default and downgrade of the United States debt rating.  As the markets start to collapse, the government will come together. Wall Street always wins. This should have been evident back in 2008 and 2009. When big money starts losing, the big boys come out and call the President and representatives.

For those of you that may doubt the control the stock market has over the government, just remember in late 2008 when TARP was originally voted on by the politicians. It failed to pass and the markets collapsed. The politicians, feeling the heat from their massive blunder, voted again and passed TARP.  This is the same thing that is going on now. The government is playing chicken with the markets and ultimately the stock market will win. A deal will be done.

The markets continue to trade lower, however, off their lows. Amazon.com, Inc. (NASDAQ:AMZN) reported great earnings last night but that good news was not nearly enough to keep the Nasdaq from falling close to 2% at the lows. Everything from Chevron Corporation (NYSE:CVX) to Apple Inc. (NASDAQ:AAPL) are getting pounded. The government will act soon. Just watch.

Gareth Soloway
InTheMoneyStocks.com
  [more]

Recs

0

Commodities Stocks Melt On Stronger Dollar

July 27, 2011 – Comments (0)

The U.S. Dollar Index futures (DX U1) are trading higher this morning by 0.37 cents to $74.01 per contract. As we all know by now, when the U.S. Dollar Index trades higher the leading commodity and energy stocks will usually come under selling pressure. The opposite effect will usually happen when the U.S. Dollar Index declines.

Leading commodity stocks such as Freeport McMoRan Copper & Gold Inc.(NYSE:FCX), Cliffs Natural Resources Inc.(NYSE:CLF), and Southern Copper Corp.(NYSE:SCCO) are all declining this morning. Many of the leading energy stocks are also selling off this morning. As long as the U.S. Dollar Index continues to hold up and trade higher throughout the session it would be prudent to expect further declines on all of the U.S. Dollar sensitive stocks.

Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

0

Business Software Could Be Getting Set For Lift Off

July 27, 2011 – Comments (0) | RELATED TICKERS: ORCL , SAP , CA

Recently, many of the leading business software stocks have come under selling pressure. At this time many leading stocks seems to be getting dragged down as the United States debt ceiling debate has no resolution yet. Leading business software stocks such as Oracle Corp.(NASDAQ:ORCL), SAP AG(NYSE:SAP), and CA Technologies Inc.(NASDAQ:CA), and NetSuite Inc(NYSE:N) have held up well considering all of the stock market uncertainty. Yesterday, German business software giant SAP AG stock actually broke out of a short term down trend. When a leading stock such as SAP rallies sharply higher the other leaders in the group will usually follow.

Traders should understand that NetSuite Inc.(NYSE:N) is scheduled to report earnings tomorrow after the closing bell. While the stock looks very attractive at current levels it is always very risking to own a stock before an earnings release.

Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

1

Till Debt Do Us Part

July 26, 2011 – Comments (0) | RELATED TICKERS: AKS , NUE , CLF

One minute we hear that the politicians are close to a debt ceiling increase deal and then another minute we hear that they are not. The stock market only cares about certainty. This afternoon, we have seen small buy programs hit the stock market throughout the trading session only to find out it was simply a false rumor that caused the intra-day spike. This tells us that the stock market is just dying to pop higher on any debt ceiling deal announcement. Here is the problem, everyone is now waiting for a debt ceiling rally. Therefore, any debt ceiling rally that the markets get could simply be short lived. Remember the old stock market adage, when everyone expects the same thing rarely will it happen.

Traders are some of the smartest people around. For example, most good experienced traders can tell when the markets are setting up to rally or break down. It still amazes me how traders do not run the world, it would be a much better place. Right now, traders are looking for a debt deal to get done, if they were not these markets would be tanking lower. So we should expect a deal of some sort to get done very soon. The big question that we must ask is, will the debt deal be a sell the news event? This is very possible after a short term rally or bounce. How many times do we see a stock surge higher after an earnings report or positive news only to come back down to earth in the next few trading days. This happens very often when everyone is expecting the good news. Right now, there are so many traders and investors expecting a debt ceiling increase that the move could be short lived. Just think about it, how could raising the debt ceiling be good for the economy? When is debt accumulation no longer a positive for the stock market? These will be the next set of questions that will be asked by traders and investors after this debt deal is settled.

Traders should simply expect more volatility over the next few weeks. No one really knows how long a debt ceiling bounce will last. What we do know is, the more people that expect a massive rally to take place after the debt ceiling announcement the more crowded and short term that rally might be.

Traders should also take note of the weakness in many of the leading steel stocks today. Stocks such as U.S. Steel Corp.(NYSE:X), AK Steel Holdings Corp.(NYSE:AKS), and Nucor Corp.(NYSE:NUE) are getting crushed today. This is not a good sign for a strong economic outlook. These stocks are not holding up at all compared to the major stock indexes. Don't expect the debt ceiling deal rally to last too long.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

0

Rare Earth Plays Will Make You Rich

July 26, 2011 – Comments (0)

Rare earth stocks are soaring today, lead by Molycorp, Inc. (NYSE:MCP), trading at $64.47, +4.62 (+7.72%). This monster move higher is due to three factors. The first is the continued fear over a Chinese monopoly on rare earth, the second is due to future demand of rare metals used to create things the world will need and the final is the fact that rare earth can be looked at as a safety net like gold in a time when Europe is a mess and the U.S cannot get a budget passed. Other stocks like Avalon Rare Metals (AMEX:AVL) and Rare Element Res Ltd Ordinary Shares (AMEX:REE) are also having significant pops.

The two small cap plays that could be the biggest gainers if this run in rare earth plays continues is China Shen Zhou Mining & Resources Inc. (AMEX:SHZ) and China GengSheng Minerals, Inc. (AMEX:CHGS). Both stocks are trading near their recent lows with SHZ currently trading at $3.30, down from a 52 week high of $10.84. CHGS is trading at $1.74, down from a 52 week high of $6.74. What makes these small Chinese rare earth plays so attractive is mainly their current pricing with rare earth prices soaring, and bullish consolidation on the daily charts. Keep these on high alert as they may make a move in the near term as MCP soars.

Gareth Soloway
InTheMoneyStocks.com
  [more]

Recs

2

Where Is The Debt Ceiling Fear?

July 26, 2011 – Comments (1) | RELATED TICKERS: GOOGL , AAPL , GS

The major stock indexes have pulled back over the past three trading days as the U.S. politicians have not raised the debt ceiling yet. President Obama and Treasury Secretary Tim Geithner have called for Armageddon in the stock markets if the debt ceiling is not increased. The stock markets are telling us a different story. The major stock indexes all traded into resistance over the past few days and needed to pullback or consolidate anyway. The trading community does not seem to be too worried about the debt ceiling issue at this time.

It is also very important to note that many leading stocks such as Google Inc.(NASDAQ:GOOG), Apple Inc.(NASDAQ:AAPL), and Goldman Sachs Group Inc.(NYSE:GS) have actually traded higher over the past few days. This type of activity in the leading stocks would not occur if the markets were fearful. Most traders and investors are expecting a bounce once Washington completes a deal between both sides. Now things can always change in the markets, however, the fear is just not there at this time.

Nicholas Santiago
InTheMoneyStocks,.com  [more]

Recs

0

Retail Stocks Look Unshaken

July 26, 2011 – Comments (0) | RELATED TICKERS: RTH , HD , TJX

The retail sector is holding up pretty well despite the early stock market decline. The Retail Holders Trust(NYSE:RTH) is trading higher by 0.25 cents to $109.86 a share. Short term traders can watch for intra-day support on the RTH around the $109.75 and $109.50 levels.

Some leading retail stocks that are holding up well this morning include Home Depot Inc.(NYSE:HD), Costco Wholesale Corp.(NASDAQ:COST), and TJX Companies Inc.(NYSE:TJX). These stocks are showing good intra-day relative strength, therefore, should the major stock indexes catch a bid higher these stocks could start to lead the markets higher.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

1

Transports Sink

July 26, 2011 – Comments (0) | RELATED TICKERS: IYT , FDX , UNP

This morning, the major stock indexes are coming under some early selling pressure. While all of the leading sectors are under pressure it is the highly followed iShares Dow Jones Transportation Index (NYSE:IYT) that is trading lower by 1.87 percent. The transport index is very important to many traders and investors as it will usually represent economic growth and expansion. When the transport index declines it will generally signal economic contraction. Traders and investors must realize that the Dow Jones Transport Index has been in a wide trading range since May 2011.

Some of the leading transportation stocks that are trading lower this morning include FedEx Corp.(NYSE:FDX), Union Pacific Corp.(NYSE:UNP), and United Continental Holdings Inc.(NYSE:UAL). Traders should watch for intra-day support on the IYT around the $95.00 area. Should the IYT bounce off the morning lows it is likely that the leading transportation stocks will also catch a bid and trade off the morning lows.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

0

Market Moving Tech Stocks Reporting Earnings After The Close

July 25, 2011 – Comments (0)

After the closing bell, leading internet movie rental provider Netflix Inc.(NASDAQ:NFLX) will report earnings. This stock is a market leader and will have a major effect on the Nasdaq 100 tomorrow. Shares of Netflix stock are trading higher this afternoon by $7.18 to $283.74 a share. This stock has held up well since breaking out on July 5, 2011. Whenever a leading stock reports earnings it is always a gamble as to how the stock will react after the earnings are released.

Texas Instruments Inc.(NYSE:TXN) is another leading technology stock that will report earnings after the close today. This leading semiconductor stocks is trading lower by 0.30 cents to $31.47 a share this afternoon. Traders must be aware that the Texas Instruments earnings report can impact the semiconductor sector tomorrow morning. Recently, the stock has been trading below all of the major daily chart moving averages which is a slight negative for the stock. On the positive side, Texas Instruments stock has traded off of its recent daily chart low of $30.17 a share. Once again, trading a stock into earnings is very risky.

Broadcom Corp.(NASDAQ:BRCM) is scheduled to report earnings after the bell. This leading semiconductor stock has been rallying higher since making a June 20, 2011 pivot low at $30.71 a share. The stock is trading lower this afternoon by 0.72 cents to $34.76 a share. Traders must keep a close eye on the reaction to Broadcom's earnings. This stock is a market leading semiconductor stock and a part of the NASDAQ 100.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

1

New 52 Week Highs Coming On The Stock Market

July 25, 2011 – Comments (0) | RELATED TICKERS: BAC , CREE , MOTR

Ultimately, new 52 week highs are coming to the S&P 500 within two weeks. Right now with all the fear out there, many people would find this hard to believe. However, it will happen, and shortly. The debt ceiling issues are in the eyes of every politician, media outlet and individual investor. Shorts have loaded the boat. What most people are not aware of, is that the President can raise the debt ceiling on his own if he must. It will not get to that but that is a fall back plan. The U.S. will not go into default soon and within a week there will be a 200 point up day on the Dow Jones Industrial Average when the debt ceiling has been raised.

Having said that, the key is to look for stocks that are still low no the chart but have put in bottoms. Those will be the best plays when the next push higher comes. It appears the financial stocks are primed for a blast off. Bank of America Corporation (NYSE:BAC) becomes a buy if it pulls back into the $9.75 range. The reversal off of earnings was a clear indication of a bottom and any retrace can now be looked at as a buying opportunity in the short run.

Another stock that has put in a nice bottom and is hovering just off its 52 week lows is Cree, Inc. (NASDAQ:CREE). A pull back to $31.50 yields a nice risk to reward swing trade to the upside. This stock has been beaten and should see more upside when the debt ceiling issues subside.  What is the next big trade idea all the hedge funds are jumping on?

Lastly, a small cap with explosive potential must be mentioned. The name of the stock is Motricity, Inc (NASDAQ:MOTR) and it is trading at $7.10 today. This stock is down from a 52 week high of $31.95. Over 20% of the float is short at this point and the forward price-to-earnings is around 7.  This is setting up for a squeeze of the century. Anything in the low seven range looks cheap when the markets break to new 52 week highs.

Gareth Soloway
InTheMoneyStocks.com

  [more]

Recs

3

Fear Mongering Is Stock Market Hype From Leaders

July 25, 2011 – Comments (0) | RELATED TICKERS: SPY

The hype was out there. Spread by people like Treasury Secretary Timothy Geithner, Republican John Boehner and President Obama. If an agreement was not reached by the time Asian markets opened Sunday evening, the markets may collapse, even crash. The fear was spread all weekend long by the media, running with these comments from powerful leaders. The markets opened lower, but barely down one-percent at 9:30am ET. The SPDR S&P 500 ETF (NYSE:SPY) opened at $133.30, down from a close on Friday of $134.58. This minor fall showed the true way the markets viewed these comments by powerful men. Plain and simple fear mongering.

This Sunday night deadline was nothing significant in reality. It was a made up deadline by people in power to scare the little guy into forcing the others hand. It failed miserably in forcing the other political parties hand but caused collateral damage. The only people that got screwed again were the small investor who panicked and dumped at the open.

These people in power need to realize their effect on the smaller investor. Fear mongering is nothing but a shady activity to try and get their political agendas passed while screwing the small player in the process.

Since the markets opened this morning and put this nonsense to bed, the markets have recovered and surged higher. The SPY is trading at
$134.12, -.46 (-.34%). The PowerShares DB US Dollar Index Bullish (NYSE:UUP) is trading at $21.11, -0.02 (-0.09%). SPDR Gold Trust (ETF) (NYSE:GLD) is trading at $157.44, +1.32 (+0.85%). The United States Oil Fund LP (ETF) (NYSE:USO) is trading at $38.82, -0.11 (-0.28%).

Gareth Soloway
InTheMoneyStocks.com  [more]

Recs

0

Mining Equipment Stocks Begin To Dig Out Of Last Weeks Hole

July 25, 2011 – Comments (0)

This morning, the mining and farm equipment stocks are all trading in positive territory. Last week, this sector was under pressure after Caterpillar Inc.(NYSE:CAT) reported earnings. Often after a sharp decline in a stock the next trading day the stock will retrace higher from the decline. This is what looks to be happening today in the mining equipment stocks.

Caterpillar Inc.(NYSE:CAT) is the leading mining equipment stock in the world. Last week, the stock dropped sharply lower after reporting earnings. This morning, CAT stock is trading higher by 0.24 cents to $105.37 a share. Traders must now watch for intra-day resistance around the $106.75 level. Should the stock decline throughout the day there should be intra-day support around the $104.00, and $103.00 levels.

Deere & Co.(NYSE:DE) is another leading farming and mining equipment stock. DE Stock is trading higher by 0.62 cents to $81.85 a share. This stock will have intra-day resistance around the $82.50, and $83.00 levels. Should the stock pullback, the intra-day support levels will be around the $81.00, and $80.50 levels.

Joy Global Inc.(NASDAQ:JOYG) is a leading mining equipment stock that is trading higher this morning by 0.47 cents to $100.32 a share. JOYG stock will have intra-day resistance around the $101.50 area. The intra-day support levels for JOYG stock will around the $99.20 level.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

0

Risk Off, Risk On, Which Is It?

July 25, 2011 – Comments (0)

Nearly every trading day the major stock indexes will either rally sharply higher or decline sharply lower. One day risk is on, another day risk is off. Last year, after the Federal Reserve Bank announced its QE-2 program and this caused the major stock indexes to rally sharply higher. At that time, traders and investors believed that the Federal Reserve would simply keep pumping cash into the financial system. This action by the Fed drove interest rates lower and caused the U.S. Dollar Index to fall. The weaker U.S. Dollar Index caused inflation around the world and that brings us to where we are today.

The debt ceiling increase in the U.S. is the big debate now. Should the United States continue to borrow more money in order to fund wars and social programs that it simply cannot afford? Believe it or not some people say yes. Meanwhile, if a family was leveraged to the hill they would be forced to cutback and make some tough choices. Yet, the United States government can simply borrow more money that it does not have. Obviously, the United States can also print its own money which is really defaulting on the American people. Congressman Ron Paul (R-Texas) said every time the U.S. prints money they cause inflation and that is a default on the American people as products become more expensive. Is he correct in saying this, or does the money supply not really matter? Well that is open for debate depending on who you talk to.

Does anyone care about the weak U.S. Dollar? Gold, silver, oil, gasoline, copper, corn, wheat, and most food products are so expensive because of the weak U.S. Dollar. Now sure, weather and demand will have some effect on prices, however, the weak U.S. Dollar is the driving force behind most of the inflated prices around the world. Just look at how fast oil prices declines when the U.S. Dollar Index strengthens. Gasoline prices effect every single consumer around the world. When gasoline prices increase it becomes a direct tax on the user of the product which is everyone. You cannot say that $4.00 a gallon gasoline at the pump does not have a negative effect on the U.S. consumer. This is not a soft patch it is a real tax on an already strapped U.S. consumer that caused the May stock market decline. Coffee, sugar, milk, and wheat are all products that have surged higher over the past two years. These are products that most people use everyday to live, if these products increase in price there will be less money to buy other goods. Remember, we cannot eat our i-Pad or cell phone.

Will the U.S. government raise the debt ceiling or not? Of course they will raise it, they have already increased it seventy times in the past. Can the politicians come up with real spending cuts such as war, and social programs? There should be cuts across the board, the same way a family would need to cut back in order to get out of debt so should the government. Why does the U.S. have a military presence in ninety different countries around the world. Why is the U.S. in five different wars that cost billions of dollars a day? Why are one out of seven people in the U.S. on food assistance programs? Why does every large corporation such as banks and auto manufacturers get bailed out whenever they make a bad decision? When will the United States return to true capitalism which allows companies to fail? Oh I forgot, only small companies are allowed to fail. Small business is what makes the United States a great country. That is starting to end and could be the end of the U.S. as we know it.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

2

Waiting To Exhale

July 22, 2011 – Comments (1) | RELATED TICKERS: XOM , CVX , CLF

Once again, as soon as the U.S. Dollar Index futures begin to trade higher the major stock indexes deflate and retreat quickly. This inverse relationship between the U.S. Dollar Index and the major stock indexes has been going over for about 10 years now. From time to time, the inverse correlation will break apart, however, that rarely occurs. This morning, traders can clearly see in chart below at how the up ticking U.S. Dollar Index will send the major stock indexes lower. The U.S. Dollar index is still one of the most important charts that any trader can follow.

Traders and investors should watch the commodity and energy stocks to come under pressure when the U.S. Dollar Index trades higher. Leading energy stocks such as Exxon Mobil Corp.(NYSE:XOM), and Chevron Corp.(NYSE:CVX) will usually trade lower on the back of a strong U.S. Dollar Index. Leading commodity stocks such as Cliffs Natural Resources Inc.(NYSE:CLF), and Freeport McMoRan Inc.(NYSE:FCX) will usually decline lower when the U.S. Dollar Index rallies higher. It is important to note, these same stocks will generally rally higher as soon as the U.S. Dollar Index pulls back or declines. These days, traders that are long simply have to hold their breath that the U.S. Dollar Index will fall in order for the stock market indexes to inflate and trade higher.

Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

2

Not Everything Is Pretty Out There

July 21, 2011 – Comments (0) | RELATED TICKERS: BBRY , NVLS , CTXS

This afternoon, the major stock indexes are surging higher on heavier volume. Earnings reports for the most part have been good for the large mega cap stocks such as Apple Inc.(NASDAQ:AAPL), International Business Machines(NYSE:IBM), and Google Inc.(NASDAQ:). It is important to note that there have been some earnings reports which were not well received by investors. Traders must remember, if these weak stocks fail to rally in a strong market the problems could last for these stocks.

Here is a small list of leading tech stocks that have sold off sharply due to poor earning, or in sympathy to other companies reporting poor earnings:

Novellus Systems Inc.(NASDAQ:NVLS) was trading at $36.00 before earnings, today the stock is trading at $32.50.

Research In Motion LTD.(NASDAQ:RIMM) is another leading stock that was trading at $34.50 a share before announcing earnings June 16, 2011. The stock is trading at $27.88 a share today.

Riverbed Technologies Inc.(NASDAQ:RVBD) blew up after reporting earnings on July 19, 2011. The stock was trading as $41.40 before earnings, today the stock is trading at $31.42 a share. There will be support for this stock around the $29.00 area.

F5 Networks Inc.(NASDAQ:FFIV) is getting double hit, the stock declined yesterday in sympathy to RVBD. Again today, the CEO said that growth in Europe has slowed and the stock is getting crushed. On July 19, 2011 the stock was trading as high as $118.69, today the stock is trading at $99.05 a share. Not a pretty haircut for the cloud computing networking stocks.

Other leading stocks that have sold off sharply over the past few days have been VMWare Inc.(NYSE:VMW), Salesforce.com Inc.(NYSE:CRM), and Citrix Systems Inc.(NYSE:CTXS), and Netflix Inc.(NYSE:NFLX). While the major stock indexes are surging higher today many of the leading stocks are rolling over. Traders simply need to take note of this current scenario as the mega can't simply lead the markets higher. There also needs to be a supporting cast of stocks to accompany the tech giants and that will help the markets rally further.

Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

2

Alert: A Stock Top Of The Century

July 21, 2011 – Comments (0)

When looking at stocks, one might wonder where to buy or sell. As stocks enter this up cycle, it is wise to begin looking at stocks that may be setting up for a drop in the second half of the year. To do this, we must look at the charts and understand exactly where a stock might hit a pivot long term high. To do this, look at the weekly and monthly charts.

A stock that is nearing a monster level of resistance is Simon Property Group, Inc (NYSE:SPG). This is a commercial real estate play that is trading at $121.45, +0.95 (+0.79%). When real estate was at its height in 2007, SPG traded to $123.96. We all know real estate has not improved in the last few years. In fact, it has gotten much worse. With no end to the real estate problems on the near term horizon, when this stock hits that double top from 2007, it becomes the short of the century. The valuation makes little to no sense and with the double top nearing, look for a significant fall in the second half of the year.

Gareth Soloway
InTheMoneyStocks.com

  [more]

Recs

0

The Wild Commodity Ride, Understand It

July 21, 2011 – Comments (0) | RELATED TICKERS: SPY , UUP , CVX

The stock market is in rally mode again today. Positive comments were made towards Greece and handling a selective default by the European regulators. This drove the Euro higher and the Dollar lower. The up cycle is in full effect and should remain choppy to higher for the next week or so. The SPDR S&P 500 ETF (NYSE:SPY) is trading at $134.26, +1.61 (+1.21%). The Dollar is collapsing sharply lower as the PowerShares DB US Dollar Index Bullish (NYSE:UUP) is trading at $21.13, -0.20 (-0.94%).

With the Dollar falling sharply, industrial demand commodity prices are jumping. Industrial demand pertains to oil and other commodities used in the running and building of the world. This is helping key index plays like Chevron Corporation (NYSE:CVX) and Exxon Mobil Corporation (NYSE:XOM). Both stocks are leading the Dow Jones Industrial higher.

On the other hand, gold and silver are falling nicely. Some may wonder why these two commodities are falling with the weaker Dollar? It is simple. Gold and silver are stores of safety. Investors run to them when fear is rising. Today, fear is falling, thus investors are selling gold and silver and move into stocks. Those commodities are falling but as optimism is picking up on the global economy, oil is moving higher.

Gareth Soloway
InTheMoneyStocks.com
  [more]

Recs

1

Just Follow The Money

July 21, 2011 – Comments (0) | RELATED TICKERS: FCX , SCCO , CLF

This morning before the opening bell, the U.S. Dollar Index futures (DX U1) plummeted lower after trading as high as $75.37 per contract. The U.S Dollar Index futures are trading at $74.61 per contract as the opening bell rings at 9:30 am EST. The catalyst for the decline in the U.S. Dollar Index is the due to the news out of Europe that Greece will have a selective default. As most traders and investors know by now, when the U.S. Dollar Index declines the major stock indexes around the world will inflate and trade higher. At the open all of the major stock indexes are trading higher. Traders must follow the U.S. Dollar Index very closely, Should the U.S. Dollar Index catch a bid higher these stock indexes could deflate and sell off quickly.

Traders should watch the leading commodity stock to be most effected by a stronger U.S. Dollar Index. Stocks such as Freeport McMoRan Inc.(NYSE:FCX), and Southern Copper Corp.(NYSE:SCCO), and Cliffs Natural Resources Inc.(NYSE:CLF) will usually decline quickly on a stronger U.S. Dollar Index. The opposite is true when the U.S. Dollar Index declines, these same stocks will usually jump and inflate higher very quickly. At this time, the major stock indexes and commodities continue to trade inverse to the U.S. Dollar Index.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

1

Fades Of The Day

July 20, 2011 – Comments (0) | RELATED TICKERS: LNKD , SKUL , Z

This morning, the highly popular real estate website Zillow Inc.(NASDAQ:) debuted for trading. The stock was originally priced at $20.00 a share, however, the stock opened at $60.00 a share. The shares of Zillow stock plummeted as investors took profits right away when the stock began trading at 10:30 am EST. Zillow stock is now trading around $38.00 a share. This type of trading activity happens all the time with these high flying IPO's. Normally, it is the small retail trader that jumps on these stocks as soon as they open for trading. Unfortunately, these traders will usually find out that the stock will usually decline faster than a bowling ball being dropped from a skyscraper.

Many amateur traders and investors bought another IPO at the open today called Skullcandy Inc.(NASDAQ:SKUL). This company makes fancy headphones, and iPod cases with a skull logo printed on their product. The stock opened up at $23.00 a share, it traded as high as $23.40 a share a few minutes after it began trading. Right now the stock is trading at $20.00 a share. Again, it is the small retail trader that jumped into this stock right at the open. If you happened to buy this stock at $23.00 you are now underwater by $3.00 or 13.00 percent.

Traders and investors should usually wait for the stock to settle in for a few days to weeks after an IPO. If you are one of the fortunate investors that received shares from the underwriter it is great to simply sell the shares at the open for a huge gain, however, are not that fortunate. Traders and investors can simply look at the popular Linkedin Corp.(NASDAQ:LNKD) IPO on May 19, 2011 as another example that went bad if you were not quick on the trigger. That stock opened at $83.00 a share and traded as high as $123.00 by 11:30 am EST. Soon after that extended rally the stock began to violently sell off. That day the stock closed at $93.00 a share. Within a couple of weeks the stock was trading as low as $60.00 a share. Traders must be very savvy when trading these IPO's. It is always prudent to wait until IPO sets a trend in a few weeks or months. Then traders can trade off the patterns on the charts.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

0

Bank Stocks Jump Higher On Valuation

July 20, 2011 – Comments (1) | RELATED TICKERS: BAC , GS , WFC

The bank stocks are surging today on the back of cheap valuations. Since the beginning of 2011, most financial stocks are down dramatically, continually hitting new 52 week lows. This past week, earnings have come from all the major players. Solid earnings were reported by JPMorgan Chase & Co. (NYSE:JPM) and Wells Fargo & Company (NYSE:WFC), while weak earnings emerged from Goldman Sachs Group, Inc. (NYSE:GS) and Bank of America Corporation (NYSE:BAC).  Most amateur traders would be surprised to see Goldman Sachs and Bank of America rallying sharply today. The reason behind this is clearly valuation. The negative earnings news was already priced into both stocks. In fact, it appears it was overpriced based on their strong move higher today. Always remember, the news is already known by the big boys, thus the stocks generally reflect it already. When Bank of America reported close to a $9 billion loss, the mutual funds and small investors started selling. This is exactly the right time to do the opposite and buy. Sure enough, the stock reversed yesterday, and is soaring today. Bank of American is trading at $9.92, +0.35 (+3.66%). 

Gareth Soloway
InTheMoneyStocks.com

  [more]

Recs

1

Stock Markets Relax As Eyes Back To Debt Ceiling

July 20, 2011 – Comments (0) | RELATED TICKERS: GOOGL , IBM , AAPL

The stock market looks to be pausing today after a monster upside move yesterday. This upside move came on the back of great recent corporate earnings from big players like International Business Machines Corp. (NYSE:IBM) and Google Inc. (NASDAQ:GOOG). In addition, fears out of Europe subsided somewhat, allowing the Dollar to fall against the Euro.  The SPDR S&P 500 ETF (NYSE:SPY) is currently trading at $132.85, +0.12 (+0.09%).

The markets are looking towards the government over the rest of the week. This is a good reason for a pause day today and maybe even a little downside. The politicians have days to complete some sort of debt ceiling resolution or face a possible U.S. default. While unlikely, the market hates uncertainty.

Earnings will continue to be reported in the next few days, however, with such good earnings driving the markets higher, future earnings reports must be even better to get the same market reaction. Note today how Apple Inc. (NASDAQ:AAPL) is having little impact on the markets. They reported a stellar quarter but with such gains in the markets already, it appears it was already priced in.

Gareth Soloway
InTheMoneyStocks.com  [more]

Recs

2

QCOM Gap And Crap, Watch This Support Area

July 20, 2011 – Comments (0) | RELATED TICKERS: QCOM , BRCM , QQQ

Qualcomm Inc.(NASDAQ:QCOM) is a leading developer of wireless telecommunications products and services. This stock started the morning sharply higher trading around the $59.40 area. Since that gap higher open, QCOM stock has faded and is now trading higher by just 0.63 cents to $57.61 a share. Short term traders should watch for intra-day support around the $57.00 area, and more support around the $56.45 level.

Other leading stocks that have faded from the open include Texas Instruments Inc.(NYSE:TXN), Salesforce.com Inc.(NYSE:CRM), and Broadcom Corp.(NASDAQ:BRCM). Often after a sharp rally that most of these stocks had yesterday the next session they will pullback or consolidate before rallying again.

Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

0

Tech That Still Looks A Wreck

July 20, 2011 – Comments (0) | RELATED TICKERS: BBRY , YHOO , CSCO

The NASDAQ Composite has been the strongest major stock index recently. Yesterday, the tech heavy index soared higher by nearly 2.5 percent. Leading technology stocks such as Apple Inc.(NYSE:AAPL), and Google Inc.(NYSE:GOOG) have lead the NASDAQ higher since late June 2011. While many leading technology stocks have soared recently there are a few leading tech stocks that just seem to be dead money at this time.

Research In Motion LTD.(NASDAQ:RIMM) is a leading designer and manufacturer of wireless mobile devices. This stock has been in a steady decline since February 2011 when the stock traded as high as $70.50 a share. The stock remains in a downtrend at this time by trading below its daily chart 20 and 50 moving averages. This morning RIMM stock is declining lower by 0.67 cents to $26.09 a share. The stock will have very good daily chart support around the $21.00 level. Short term traders can watch for intra-day support around the $25.50, and $25.00 levels.

Hewlett Packard Co.(NYSE:HPQ) is another leading technology stock that remains very weak despite the recent technology rally. HPQ stock remains below the important 50 and 200 daily chart moving averages. This pattern puts the stock in a weak technical position at this time. Short term traders can watch for intra-day support around the $35.00 area.

Other leading technology stocks that look to be very weak on the daily charts include Cisco Systems Inc.(NYSE:CSCO), and Yahoo Inc.(NASDAQ:YHOO). These stocks do not seem to be as innovative as they were in the past. Until these stocks can regain and trade above there important 50 moving average these stocks can be good for short term trades and really nothing more.

Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

2

Stocks Rally, Gold Drops, Bonds Soar, Something Has To Give

July 19, 2011 – Comments (0) | RELATED TICKERS: ZSL , WYNN , TLT

The major stock indexes are surging higher this afternoon. The NASDAQ composite is leading the charge as the tech heavy index is trading higher by 2.17 percent. The strange thing about today is that everything is rallying higher. Bonds are soaring higher with the major stock indexes. Even the U.S. Dollar Index has rallied higher off of the morning lows.

The popular iShares Barclays 20 + Year Treasury ETF is trading higher by $1.54 to $96.80 a share. Rarely, will the bond market and the stock market trade sharply higher together.

Gold and silver are also declining sharply lower this afternoon. The SPDR Gold Shares(NYSE:GLD) is trading lower by $2.15 to $154.42 a share. The iShares Silver Trust(NYSE:SLV) is declining lower by $1.40 to $38.05. Gold and silver were both slightly extended and overbought on the daily chart.

The U.S. Dollar Index futures(DX U1) has also rocketed off of the morning lows. Around 10:10 am EST the U.S. Dollar Index futures were trading as low as $75.18 per contract. Since that morning low, the U.S. Dollar Index futures have rallied higher by 0.40 cents to $75.60 per contract. Normally, when the U.S. Dollar Index rallies higher the major stock indexes will deflate and decline lower. That is not the case this afternoon as everything is rallying higher.

There are a few leading stocks that are failing to participate in today's large stock rally. Wynn Resorts Ltd.(NASDAQ:WYNN) is a leading stock that reversed lower after a sharp gap higher open. This stock is making a sharp outside day pattern on the daily chart. Traders must use caution when trying to buy this stock now, the current pattern usually indicates further downside.

Sina Corp.(NASDAQ:SINA) is a leading Chinese internet stock that is also making a reversal on the daily chart. SINA stock is trading lower by $1.34 to $119.66 a share. Traders should watch for more of a pullback in this stock before committing to buying this stock. Stocks that fail to rally higher on strong trading days are often warning traders that they may need to pullback and consolidate before trading higher again.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

0

Alert: Market To Hit 52 Week Highs

July 19, 2011 – Comments (1) | RELATED TICKERS: SPY , UUP , AAPL

The average investor is almost as bearish as when the markets were at their 2009 financial crisis lows. With a possible default looming in the U.S. if the government does not raise the debt ceiling and a cliff dive of disaster nearing in Europe, the sentiment is highly bearish. This makes the smart investor realize a possible upswing is nearing. In fact, it may have started today with this move. While somewhat shallow, this upmove should take us back to the 52 week highs on the S&P 500. The SPDR S&P 500 ETF (NYSE:SPY) is currently trading at $131.62, +1.01 (+0.77%).  The 52 week high on the SPY would be $137.18.

Inevitably, the debt ceiling in the United States will be raised. The markets will spike higher on it. In addition, earnings should continue to be better than expected. As things quiet down in Europe in the short term, the Euro will gain traction and the Dollar will fall. A falling Dollar pushes the U.S. markets higher.  The PowerShares DB US Dollar Index Bullish (NYSE:UUP) is trading at $21.41, -0.07 (-0.33%).

Today, after the market closes, Apple Inc. (NASDAQ:AAPL) will report earnings. The stock has rallied sharply into earnings. The earnings will most likely be stellar, but the big question will be, how does the stock price react. After such a gain, it is hard to imagine more than $10.00 in upside. Downside is also possible.  Apple stock has rallied around 20% in the last month. This is an epic rally for the largest market cap stock out there.

Gareth Soloway
InTheMoneyStocks.com

  [more]

Recs

0

Some Financial Stocks See Sunlight

July 19, 2011 – Comments (0) | RELATED TICKERS: BAC , GS , MS

This morning, some of the leading financial stocks have caught bids higher and some are still looking like fish out of water. Goldman Sachs Group Inc.(NYSE:GS), and Bank of America Corp.(NYSE:BAC) both reported earnings today before the opening bell. These two financial giants have been very weak on the daily charts as of late and now we definitely know why. Both stocks are trading lower on the trading session and remain in a poor technical position on the daily charts.

Often, when a stock that is trending lower reports earnings the bad news is already factored into the stock price. This time it is unsure if all of the bad news is factored into GS and BAC. These stocks are struggling to trade higher this morning. Traders can watch for intra-day support on GS stock around the $126.60 area. BAC stock will have some intra-day support around the $9.50, and $9.30 levels.

Some other leading financial stocks that are trading higher today include Wells Fargo & Co.(NYSE:WFC), J.P. Morgan Chase & Co.(NYSE:JPM), and Morgan Stanley(NYSE:MS). Traders must follow the financial stocks very closely as this sector has lead the stock market decline since early May 2011.


Nicholas Santiago
InTheMoneyStocks.com
  [more]

Recs

0

The Sky Looks Clear For The Cloud

July 19, 2011 – Comments (0) | RELATED TICKERS: RAX , RVBD , NTAP

This morning, the major stock indexes are all trading sharply higher to begin the day. The technology heavy NASDAQ Composite has been the leading index trading higher by 1.57 percent. Last night, International Business Machines (NYSE:IBM) reported earnings that are being well received by investors this morning. The move higher in IBM is setting the tone for the technology stocks today.

Some of the leading technology stocks that are rallying sharply higher include the cloud computing stocks. This group of stocks remains very strong on the charts despite a recent pullback.

Rackspace Hosting Inc.(NYSE:RAX) is a leading hosting provider for businesses and enterprises worldwide. This stock is trading higher by $1.30 to $43.74 a share. Recently, RAX stock pulled back from a short term oversold condition on the daily chart. The stock is now rallying back up towards the recent highs. Short term traders should watch for intra-day resistance around the $44.00 area.

NetApp Inc.(NASDAQ:NTAP) is a leading data and storage provider. This stock is trading higher by $1.45 to $51.63 a share. The stock remains in a large choppy trading range on the daily chart. Short term traders can watch for intra-day resistance around the $52.00 area.

F5 Networks Inc.(NASDAQ:FFIV) is a leading networking company. FFIV stock is trading higher by $4.21 to $116.01 a share. Short term traders can watch for intra-day resistance around the $116.70 area. The daily chart of FFIV remains very strong as the stock is trading above its daily chart 50 and 200 moving averages.

Riverbed Technology Inc.(NASDAQ:RVBD) is another leading networking and communication company. This stock is trading higher by $1.53 to $40.33 a share. Short term trader can look for intra-day resistance around the $40.50, and $41.00 levels. It is important to note that RVBD stock is scheduled to report earnings after the close this afternoon.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

0

Intra-day Dollar Dip Helps To Inflate Indexes

July 18, 2011 – Comments (0) | RELATED TICKERS: SPY , IWM , DIA

This afternoon, the major stock indexes have rallied sharply higher off the morning lows. The major stock indexes are still trading in negative territory on the session, however, if the U.S. Dollar Index continues to decline many leading stocks could continue to inflate and trade higher throughout the session. Despite all the problems in the European Union, it is the U.S. Dollar Index that dominates the market movement. Stock indexes simply trade inverse to the U.S. Dollar Index. Short term traders should watch for intra-day support on the U.S. Dollar Index futures around the $75.70 level. If the U.S. Dollar Index futures bounce before that support area it would be prudent to expect another stock market sell off.

The SPDR S&P 500 Trust(NYSE:SPY) has rallied off the lows of the day by nearly $1.00 to $130.57 a share. Similar moves higher were made in the Powershares QQQ Trust(NASDAQ:QQQ), and the SPDR Dow Jones Industrial Average Trust(NYSE:DIA). Traders should remember, as easily as these indexes rallied on a U.S. Dollar Index decline they can sell off just as fast on a U.S. Dollar Index bounce.

Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

2

Financial Slaughter House

July 18, 2011 – Comments (0) | RELATED TICKERS: BAC , JPM , C

The banks are taking a big hit again on more comments and bearish sentiment on Wall Street. Bank of America Corporation (NYSE:BAC) has come crashing through the $10.00 level and is now trading at $9.62, -0.38 (-3.75%). More and more talk about the banks has been heard in regards to their exposure to Europe. Even solid earnings from JPMorgan Chase & Co. (NYSE:JPM) and Citigroup Inc. (NYSE:C) could not do anything for the slaughtered bank stocks.

As the U.S. stock markets continue to trade at their lows, there is little down in the minds of traders that the financial sector is going to see more hardships. The key will be figuring out when it is baked in and at what price to give them a shot. The stress test in Europe did little to reassure the global markets as Europe did not even include a default in Greece as a factor.  This makes the stress test in Europe look more a pathetic game of pull the cloth over the eyes.

Ultimately, the markets need a big flush and the U.S government to get the debt ceiling raised. Should that happen, a small back stop will be in the markets for the near term, before the next shoe drops.

Gareth Soloway
InTheMoneyStocks.com
  [more]

Recs

1

BS Stress Test: Jitters In Europe Spike Dollar, Drop Market

July 18, 2011 – Comments (0) | RELATED TICKERS: SPY , UUP , FXE

The U.S. markets collapsed lower today on the back of more worries out of Europe. The much hyped stress test results for European banks were nothing more than nonsense, spewed by those that are trying to cover up the severity of the situation. The results, released last Friday did not included a possible default of Greece.  Thus, eight banks failing the test means absolutely nothing if Greece were to default. A stress test is supposed to factor in the worse case scenario. This obviously did not. The fact that eight banks still failed is a testament to how bad things are.  After fooling the markets are Friday, the world is recognizing the nonsense nature of the test. The SPDR S&P 500 ETF (NYSE:SPY) is trading at $130.07, -1.62 (-1.23%).

The panic out of Europe is causing the Euro to collapse lower. The CurrencyShares Euro Trust (NYSE:FXE) is trading at $139.90, -1.05 (-0.74%)
while the Dollar is spiking higher. The PowerShares DB US Dollar Index Bullish (NYSE:UUP) is trading at $21.57, +0.14 (+0.65%).

While the markets are being hit, Apple Inc. (NASDAQ:AAPL) is bucking the trend, putting together a positive day. This move higher on Apple is on optimism for earnings on the horizon. After Google Inc. (NASDAQ:GOOG) reported a stellar quarter, all eyes are lighting on up on the prospects for Apple.

Gareth Soloway
InTheMoneyStocks.com

  [more]

Recs

1

U.S. Dollar Index Surges

July 18, 2011 – Comments (0)

By now, most traders should know that when the U.S. Dollar Index surges higher the major stock market indexes will deflate and decline lower. That is exactly what is happening this morning, the major stock indexes are declining sharply lower as the U.S. Dollar Index rallies. Short term traders must watch for some short term intra-day resistance on the U.S. Dollar Index futures(DX U1) around the $76.08, and $76.34 levels.

Should the U.S. Dollar Index pullback at some point throughout the trading session this is when the major stock indexes are likely to catch a bid higher. As long as the U.S. Dollar Index continues to climb higher throughout the trading session it would be prudent to expect much lower stock prices. The inverse relationship between the U.S. Dollar Index and the major stock indexes remains firmly intact at this time.

Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

0

Gold Miners Soar, Are They Extended?

July 18, 2011 – Comments (1) | RELATED TICKERS: GDX , NEM , AUY

All of the leading gold mining stocks have soared higher over the past month. This morning, the popular Market Vectors Gold Miners ETF(NYSE:GDX) is trading higher by $1.01 to $60.75 a share. The move in the the GDX has been nothing short of sensational, however, price is now very extended, and overbought at this time. The GDX may trade a little bit higher, but whenever a stock or ETF goes straight up the way the GDX has it must pullback or consolidate soon. Traders should look for a pullback in the GDX soon.

Other leading gold mining stocks that are trading higher this morning include Newmont Mining Corp.(NYSE:NEM), Yamana Gold Inc.(NYSE:AUY), and Goldcorp Inc.(NYSE:GG). All of these leading stocks are very extended on the daily chart and may need to pullback soon.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

1

Financial Stocks Hold The Cards

July 18, 2011 – Comments (1) | RELATED TICKERS: XLF , MS , BAC

This morning, all of the major financial stocks are declining lower. This sector has lead the markets lower throughout the trading year. Stocks such as Bank of America Corp.(NYSE:BAC), and Morgan Stanley(NYSE:MS) are making new 52 week lows this morning. Other leading financial stocks such as Goldman Sachs Group Inc.(NYSE:GS), J.P. Morgan Chase & Co.(NYSE:JPM), and Citigroup Inc(NYSE:C), are trading near their lows for the year.

Should the financial stocks catch a bid or trade higher throughout the day the major stock indexes could reverse the early declines and rally higher. At this time, the financial sector is holding the cards in this stock market. The Financial Select SPDR Fund(NYSE:XLF) will have intra-day support around $14.72, and the $14.60 levels.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

1

Markets Rollover Again

July 15, 2011 – Comments (0) | RELATED TICKERS: JRCC , XOM , BP

The major stock indexes have once again rolled over from a gap higher open. During every trading day this week, the major stock indexes have given back the early morning gains. This is an options expiration Friday, which usually makes for a volatile and turbulent morning. Yesterday, the major stock indexes really traded all over the map in a very violent manner. There were 10 minute swings where the S&P 500 e-mini contract moved 6-7 points, now that is violent action. Traders should always expect volatile action throughout the week of options expiration and this week has certainly proved that.

Traders must always follow the action in the U.S. Dollar Index. As the U.S. Dollar Index goes the major stock indexes will generally do the opposite. Even this morning, when the U.S. Dollar Index rallies higher the major stock indexes deflate and decline lower. The SPDR Dow Jones Industrial Average ETF(NYSE:DIA) started the day around $124.75 and is now trading down to the $123.83 area, the decline in the DIA came once the U.S. Dollar Index started to trade higher on the day.

Many leading stocks will also fade or decline when the U.S. Dollar Index rallies higher on the day. Traders can just look at the stocks such as Exxon Mobil Corp.(NYSE:XOM), BP PLC(NYSE:BP), and James River Coal Co.(NASDAQ:JRCC), these stocks have sold off from their morning highs on the back of a stronger U.S. Dollar Index. Should the U.S. Dollar Index decline intra-day these stocks should inflate and trade higher.

Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

0

Large Financial Stocks Send Mixed Signals

July 15, 2011 – Comments (1) | RELATED TICKERS: JPM , XLF , BAC

The large financial stocks have been some of the weaker stocks over the past three months. This morning, Citigroup Inc.(NYSE:C) reported earnings that were better than expected. Citigroup stock is trading higher by 0.81 cents to $39.82 a share. Yesterday, J.P. Morgan Chase & Co.(NYSE:JPM) reported earning that were well received by investors in the early part of the trading day. The daily charts of all the financial stocks still remain very poor. All of the 'too big to fail' stocks still remain below their daily chart 50 and 200 moving averages which puts this sector in a weak technical position. Even this morning, JPM and Citigroup have faded sharply from the opening bell. This is not a good sign of strength for the markets.

Some other leading financial stocks that are fading from the opening bell include Goldman Sachs Group Inc.(NYSE:GS), Wells Fargo & Co.(NYSE:WFC), and Bank of America Corp.(NYSE:BAC). Short term traders can watch for intra-day support on JPM around the $39.60 level. It is prudent to keep a close eye on the financial stocks as these stocks have been leading the markets for months now.

Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

1

Debt Ceiling, What Debt Ceiling?

July 14, 2011 – Comments (0)

The major stocks indexes have traded in a wild range over the past two weeks. The stock market has rallied sharply higher in early July, just after the second Greek bailout in two years was passed. Now the major stock indexes decline sharply as more European Union problems emerge. The United States also has its own soap opera going on. The U.S. Congress is fighting against President Obama on raising the debt ceiling. President Obama is looking to raise the debt by more than $2 trillion dollars. Please note that the debt ceiling has been increased seventy times in the past already. Debt ceiling, what debt ceiling?

The politicians made a crucial mistake when they even set a debt ceiling. The current debt in the United States stands at $14.5 trillion, meanwhile, President Obama wants to increase the debt ceiling by over $2 trillion to $16.5 trillion. This number is just to get the U.S. into 2012. The numbers that are being discussed are simply astronomical. The United States has added $4 trillion in debt under President Bush in 2008. President Obama added $2.52 trillion in his first 19 months in office. The question that everyone must ask themselves is why does the debt ceiling have to be so high? Why is the U.S. government spending more than it takes in each month? Why does the United States have so many military installations around the world? Why is the United States in five different wars right now? These are the questions that the United States citizens needs to ask politicians. In other words, why are you politicians wasting my money?

Most U.S. citizens do not really have a clue on what is going on in world. Most people are too busy playing with there i-phone or some other new fancy electronic gadget. People are too busy running around trying to get through week to week in this country. Capitalism has fallen by the wayside, that is obvious with the bank bailouts, auto bailouts, European Union bailout, unemployment bailouts, homeowner mortgage bailouts, welfare bailouts, and any other bailout that I may have forgot to write down. We live in a world of bailouts and we have had this system in place for the past 50 years.

Ladies and gentleman, the debt ceiling will be raised. It is really all politicians know how to do. It does not matter what party is in power, politicians love to spend other peoples money. Congressman Ron Paul(R-Texas) is the only politician that has opposed every debt increase and will not vote for it now. The rest of these politicians including the new freshman Tea Party members are already rolling over like a dog that is getting a biscuit treat. In any case, we can all enjoy the soap opera until the final deal is struck by the political elite.

Nicholas Santiago
InTheMoneyStocks.com
  [more]

Recs

0

Stock Market Alert: Head And Shoulder Pattern

July 14, 2011 – Comments (0)

The SPDR S&P 500 ETF (NYSE:SPY) which mirrors the S&P 500 has a classic head and shoulder pattern developing. A head and shoulder pattern is a bearish pattern.  The neck line of the head and shoulder pattern must be broken to see this pattern play out. Note the neck line below in pink.  If the market trades below, the SPY could easily fall to a $130.25 target in the coming days. Remember, it is only valid IF it breaks the neck line. That has not happened yet.

The markets continue to be under pressure after Ben Bernanke said it was unlikely to see a QE3. This goes in the opposite direction of what he said yesterday. As the markets whip up and down, a classic options expiration is playing out.  Commodities have been going nuts today, with gold hitting a new all time high only to fall back down.  The SPDR Gold Trust (NYSE:GLD) hit $155.24 before falling over a $1.00 off its highs. Silver continues to higher on the day but well off its high of the day. The iShares Silver Trust (NYSE:SLV) is trading at $37.73, +0.50 (+1.34%). Oil is falling  sharply today on demand worries. A lack of QE3 could mean a slower recovery. In addition, Europe continues to be a horrible mess. The United States Oil Fund LP (NYSE:USO) is trading at $37.69, -0.66 (-1.72%).

Gareth Soloway
InTheMoneyStocks.com

  [more]

Recs

0

Key Cloud Computing Stocks Fail To Participate In Rally

July 14, 2011 – Comments (2) | RELATED TICKERS: CTXS , RVBD , AKAM

This morning, all of the major stock indexes are rallying higher. The rally looks to be broad based as most stock sectors seem to be participating. The Powershares QQQ Trust(NASDAQ:QQQ) is trading higher by 33.cents to $58.09 a share. There are a few key technology stocks that are trading lower this morning, this could be signaling weakness to come in the Nasdaq Composite

Akamai Technologies Inc.(NASDAQ:AKAM) is a leading provider of services and applications for accelerating and improving the delivery of content and applications over the internet. AKAM stock is trading lower by 0.90 cents to $30.05 a share. The stock will have some minor intra-day support around the $30.00 level. Should the stock decline further throughout the session, the next intra-day support area will be around the $29.50, and $29.00 levels.

Riverbed Technology Inc.(NASDAQ:RVBD) is a leading cloud computing stock that focuses on networking and communication. This stock remains strong on the daily chart by trading above it's 20, 50, and 200 daily chart moving averages. This morning, RVBD stock is trading lower by 0.21 cents to $39.67 a share. Short term traders can watch for intra-day support around the $39.50 area, and more support around the $38.80 level.

Citrix Systems Inc.(NASDAQ:CTXS) is another leading cloud computing stock that develops and provides solutions that deliver information technology services on-demand worldwide. The stock has been pulling back on the daily chart recently. This morning, CTXS stock is trading lower by 0.17 cents to $75.72 a share. Short term traders can watch for intra-day support around the $75.00 level. Should the stock decline lower throughout the session, the $74.50 level would be the next intra-day support area.

Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

0

Financial Stocks Take Leadership Early

July 14, 2011 – Comments (0) | RELATED TICKERS: JPM , C , BAC

This morning, the major financial stocks are trading higher leading the major stock indexes higher. Before the opening bell, J.P. Morgan Chase & Co.(NYSE:JPM) reported earnings that were better than expected. The earnings news seems to be well received by traders and investors as the stock is trading higher by $1.34 to $40.95 a share. When the financial stocks rally it is prudent to expect the major stock indexes to hold up. After all, it was the financial stocks that have been leading the major stock indexes lower over the past three months. JPM stock is considered the best stock in the financial sector and a market leader. Therefore, where JPM goes so goes the sector.

Other leading financial stocks that are trading higher in sympathy to JPM stock include Bank of America(NYSE:BAC), Wells Fargo & Co.(NYSE:WFC), Citigroup Inc.(NYSE:C), and Goldman Sachs Group Inc.(NYSE:GS). Should JPM stock happen to decline or fade later in the session, traders should watch for a decline in the entire financial sector which is still very weak on the daily charts.   [more]

Recs

0

This Is Why It Is Called Whipsaw Wednesday

July 13, 2011 – Comments (1) | RELATED TICKERS: DIA , WFC , JPM

Just when you thought it was safe to trade the markets, it reverses lower. This morning, many traders and investors in the financial media were right back into the risk on mode. The popular peoples index, called the Dow Jones Industrial Average, traded higher by 150.00 points at 11:20 am EST. The so called market mavens were celebrating the return of the Federal Reserve Chairman Ben Bernanke in front of the Financial Services Committee. Everything looked so rosy for the markets to have a huge reversal day to the upside.   [more]

Recs

0

Stock Market Movers And Key Small Cap Alert

July 13, 2011 – Comments (0) | RELATED TICKERS: OXGN , JPM , GS

As the markets shoot higher on QE3 prospects, many stocks are outperforming or look ready to blast higher. Let's take a look at a few. First, notice how the U.S. Dollar is collapsing today. This is helping commodity stocks rocket higher. Chevron Corporation (NYSE:CVX)  is trading at $106.29, +1.90 (+1.82%). This is on the back of a powerful up move in oil.

On the technology side, Apple Inc. (NASDAQ:AAPL) continues to near its 52 week, all time high at $364.90. It currently is trading at $359.25, +5.50 (+1.55%). Technology overall is having a big day. The Nasdaq is trading +39 points.

The financial stocks are also having a solid day. Of late, these have been lagging but appear to be helping the markets today. Goldman Sachs Group, Inc. (NYSE:GS), JPMorgan Chase & Co. (NYSE:JPM) are leading the charge. This is broad based rally today.

The key stock I wish to feature is OXiGENE, Inc. (NASDAQ:OXGN). This is a small cap, low float play with tons of shorts. It is a biotechnology stock with just a $23 million market cap. While it is currently trading at $2.43, it did trade higher than $6.00 just a few months ago. The consolidation pattern on the chart tells of a possible massive move up on the horizon. This would coincide with a squeeze to the shorts. The key to this play is the pattern on the chart as well as the massive short position. Any sort of upswing would cause a larger move due to short covering. Watch this one in this range.

Gareth Soloway
InTheMoneyStocks.com

  [more]

Recs

1

Commodities Explode Higher On Bernanke Stimulus Talk

July 13, 2011 – Comments (1)

This morning, the chairman of the Federal Reserve, Ben Bernanke, is testifying in front of the House Financial Services Committee. Chairman Bernanke has hinted that further stimulus could be needed if the market starts to slump. Most of the leading commodity stocks have jumped higher on this news. Copper, steel, iron ore, gold, and silver are soaring higher on this news.

The SPDR Gold Shares(NYSE:GLD) have soared higher by $1.40 to $154.17 a share. This is a new all time high for the GLD. Traders should watch the $155.00 level as the next important intra-day resistance level for the GLD.

The iShares Silver Trust(NYSE:SLV) is also surging higher this morning. The SLV is trading higher by $1.74 to $36.96 a share. Short term traders can watch for intra-day resistance around the $37.50 level.

The iPath DJ-UBS Copper TR Sub-Index ETN(NYSE:JJC) is trading higher by 0.45 cents to $58.14 a share. Short term traders should watch for intra-day resistance around the $58.25 and $58.50 levels.

As long as the U.S. Dollar Index continues to decline lower the leading commodity stocks should trade higher. The opposite would be true if the U.S. Dollar Index catches a bid off the lows, the leading commodity stocks could deflate and decline from the intra-day highs.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

0

Markets Bounce Early, Will Rally Hold?

July 13, 2011 – Comments (0)

The major stock indexes have caught an early bid higher this morning. Many Investors and traders are likely thinking that Ben Bernanke will say something positive when he begins his Humphrey Hawkins testimony this morning. Yesterday afternoon, the major stock market indexes jumped higher when rumors spread that some members of the Federal Reserve Bank were thinking about another quantitative easing program(QE-3). Obviously, there really isn't anyone that believes the Bernank will say anything to to hurt the markets. Most of the questions that will be asked by the politicians are usually pretty easy for Chairman Bernanke.

The key to direction in this market will be the action in the U.S. Dollar Index. Should the U.S. Dollar Index decline or pullback then the major stock indexes will inflate and trade higher. On the flip side, if the U.S. Dollar Index rallies higher throughout the trading session then the major stocks indexes will deflate and trade lower. In short, the market will generally trade inverse to the U.S. Dollar Index.

If the U.S. Dollar Index declines throughout the session traders can watch for leading commodity stocks to trade higher. Leading commodity stocks such as ConocoPhillips(NYSE:COP), U.S. Steel Corp.(NYSE:X), and Cliffs Natural Resources Inc.(NYSE:CLF) will usually trade higher on the back of a weaker U.S. Dollar Index.

Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

1

QE-3 Rumor Is Typical Before Options Expiration

July 12, 2011 – Comments (0) | RELATED TICKERS: UCO , CVX , JJC

This afternoon, the Federal Reserve released their minutes from the June meeting. Apparently, some voting members from the Federal Reserve suggested that the stock markets needed more stimulus. Well, this Fed rumor lead to a drop in the U.S. Dollar and spike in the major stock market indexes. Obviously, the leading commodity stocks surged higher as soon as the U.S. Dollar Index declined. Stocks such as Chevron Corp.(NYSE:CVX), Freeport McMoRan Copper & Gold Inc.(NYSE:FCX), and Exxon Mobil Corp.(NYSE:XOM), all surged higher. Gold, silver, and oil also reacted positive to the inflationary news rumor.

Traders should now realize that these Federal Reserve minutes are from the June meeting and not from today. Many traders and investors do not believe these reports that are released a month later. After all, in a time where people can tweet each other across the world in seconds, why in the world do we have to wait a month to hear what the Federal Reserve had to say? Does anyone else feel this way?

On Friday, the options for the month of July will expire, therefore, this trading week will usually have a lot of rumors spread into the end of the week. Notoriously, during the week of options expiration the markets are filled with rumors as the options on popular stocks get set to expire. We should all certainly expect a lot more volatility before this week is over.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

4

Small Alternate Energy Stocks Smoking Hot

July 12, 2011 – Comments (1) | RELATED TICKERS: CDTI , QTWW , FCEL

Small alternate energy stocks have been lighting up the night sky over the past few days. In the last few days, Quantum Fuel Systems Technologies (NASDAQ:QTWW) jumped from $4.30 to a high today of $5.88. In addition, Clean Diesel Technologies, Inc. (NASDAQ:CDTI) started to run today, jumping from $4.21 to a high of $6.12. These monster moves make traders aware of other small cap alternate energy plays.  This technique is called finding the sympathy play. Find the right one and a 25% gain could be yours in just one day.

A few alternate energy small cap stocks to watch are FuelCell Energy, Inc. (NASDAQ:FCEL), Hoku Corporation (NASDAQ:HOKU) and Ballard Power Systems Inc. (NASDAQ:BLDP).

Gareth Soloway
InTheMoneyStocks.com
  [more]

Recs

0

Stock Alert: Novellus Tries To Hold Support

July 12, 2011 – Comments (1)

Novellus Systems, Inc. (NASDAQ:NVLS) is getting smacked today on the back of a poor outlook. The stock is trading at $31.90, -3.88 (-10.83%). This area is interesting for one main reason. On the daily chart, it is a key support level. The big question is, will it hold?  Watch for this level to possibly see a solid bounce higher. While the stock market is moving slightly higher, NVLS is near the lows. Wall Street is definitely not cheering their future outlook. 

Gareth Soloway
Chief Market Strategist
www.InTheMoneyStocks.com  [more]

Recs

1

Markets Flatline As Eyes Focus On Europe

July 12, 2011 – Comments (1) | RELATED TICKERS: SPY , GOOGL , AA

The markets are holding their breath today as all eyes continue to be on Europe. Will Italy continue in free fall? Will they need a mega bailout? Italy is one of the largest economies in Europe and a much bigger mess to clean up. The only positive with Italy is that the Italian banks hold most of the countries debt. This means it is slightly more contained than Greece, however, many times the size. 

With the markets pausing, the SPDR S&P 500 ETF (NYSE:SPY) is trading at $132.05, +0.08 (+0.06%). The Euro versus the Dollar is near the flat line as well. Alcoa Inc. (NYSE:AA) reported earnings yesterday after the market closed. These earnings were essentially in line with expectations. The stock is flat on the day. Later this week, major earnings reports from some of the banks and Google Inc. (NASDAQ:GOOG) will be a major focus of Wall Street.

Wall Street is also focusing on the debt ceiling talks, though this is secondary to earnings and Europe. As of now the market has little fear an agreement will not be reached to raise the debt ceiling.

Gareth Soloway
InTheMoneyStocks.com

  [more]

Recs

0

USO Creeps Higher, Watch These Levels

July 12, 2011 – Comments (0) | RELATED TICKERS: USO , UGA , OIL

The United States Oil Fund(NYSE:USO) has rallied higher by 0.14 cents to $37.43 share. The USO started the morning around the $37.00 level and has rallied slightly higher throughout the day. Traders can watch for intra-day resistance around the $37.50 and $37.65 levels. The USO will usually trade inverse to the U.S. Dollar Index.

This morning, the United States Gasoline Fund(NYSE:UGA) is trading lower by 0.31 cents to $51.40 a share. Traders can watch for short term intra-day support around the $51.00, and $50.75 levels. Should the UGA trade higher throughout the session there will be short term intra-day resistance around the $51.65 and $52.00 levels. The UGA still remains very strong on the daily chart at this time. The average price for a gallon of regular gasoline in the United States is currently $3.64.

Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

0

Just Follow The Reserve Currency Of The World

July 12, 2011 – Comments (0) | RELATED TICKERS: UDN , SCCO , CLF

This morning, the major stock indexes are struggling to trade into positive territory. The major stock indexes sold off sharply lower yesterday and remain very weak at the open. Traders must keep a close eye on the U.S. Dollar Index. As the U.S. Dollar Index(DXY) declined from its overnight high the major stock indexes have inflated and recovered a lot of the overnight declines. Last night, around 3:50 am EST the U.S. Dollar Index traded as high as $77.17 per contract. Currently, the U.S. Dollar Index is trading around the $76.40 level, this is a sharp pullback in the U.S. Dollar Index. Remember the markets trade inverse to the dollar at this time.

By now, we should all know when the U.S. Dollar Index declines the major stock and commodity markets will generally inflate and trade higher. Stocks such as Freeport McMoRan Copper & Gold Inc.(NYSE:FCX), Southern Copper Corp.(NYSE:SCCO), and Cliffs Natural Resources Inc.(NYSE:CLF) have all traded into positive territory as the U.S. Dollar Index declined. Should the U.S. Dollar Index rally or trade higher throughout the day these leading commodity stocks should pullback.

Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

0

Semiconductor Equipment Meltdown

July 12, 2011 – Comments (0) | RELATED TICKERS: SMH , KLAC , INTC

All of the semiconductor equipment makers are under sharp selling pressure this morning. Novellus Systems Inc.(NASDAQ:NVLS) reported earnings last night and the stock is not being well received by the markets. The company reported better than expected earnings but the outlook was very weak. The stock is trading lower by $2.71 to $33.06 a share. NVLS stock has a lot of daily chart support around the $32.50 area. This weak outlook is putting pressure on the rest of the leading stocks in the semiconductor equipment sector. KLA-Tencor Corp.(NASDAQ:KLAC), Applied Material Inc.(NASDAQ:AMAT), and Lam Research Corp.(NASDAQ:LRCX) are all declining sharply lower at the open.

Many of the leading semiconductor developers and manufacturers are also declining on the news. The Semiconductor Holders Trust(NYSE:SMH) is trading lower by $1.24 to $32.92 a share. The largest position or holding in the SMH is Intel Corp.(NASDAQ:INTC). Traders must watch these stocks closely as this sector should be in play throughout the trading session.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

1

Markets Slammed On Euro Debt Issues

July 11, 2011 – Comments (0)

The stock market is falling hard today. The SPDR S&P 500 ETF (NYSE:SPY) is trading at $132.36, -2.04 (-1.52%). This massive drop in stocks is mostly due to fears over Italy. After Greece received its aid package bailout just two weeks ago, the next domino has started to fall. Spain and Portugal are most likely nearing a fall as well.

The Euro is tanking on the European debt issues. This is causing the Dollar to surge to the upside. The stronger Dollar is putting more pressure on the U.S. markets. The PowerShares DB US Dollar Index Bullish (NYSE:UUP) is sharply higher, trading at $21.67, +0.25 (1.17%).

This drop in the markets is coming on the back of a monstrous rally in the markets over the last two weeks. The Dow Jones Industrial Average was up more than 6% in less than two weeks. Friday, the rally finally started to fail as the Non Farm Payrolls numbers came in sharply below expectations. With just 18,000 jobs created last month, the markets dropped.

All sectors are taking a hit today but banks are under extreme pressure. This is due to their exposure to credit default swaps, stemming from the issues in Europe. Should European countries default, a new financial crisis would erupt. Goldman Sachs Group, Inc. (NYSE:GS) is trading at $131.85, -2.23 (-1.66%), JPMorgan Chase & Co. (NYSE:JPM) is trading at $39.52, -1.22 (-2.99%) and Wells Fargo & Company (NYSE:WFC) is trading at $27.65, -0.65 (-2.30%).

Gareth Soloway
InTheMoneyStocks.com

  [more]

Recs

3

Italy Drops Like a Rock

July 11, 2011 – Comments (0)

The iShares MSCI Italy Index Fund (NYSE:EWI) is trading lower this morning by $1.02 to $15.41 a share. The 6.25 percent decline in the EWI could be just the start of things to come as the country could be the next nation to need of a European bailout. In June 2010, the EWI traded as low as $13.21 a share. This tells us that EWI could still decline a lot further before reaching some major daily chart support. The EWI will have some intra-day support around the $14.90 area.
  [more]

Recs

0

Gold Stands Alone At The Moment

July 11, 2011 – Comments (0) | RELATED TICKERS: GOLD , AUY , AEM

The SPDR Gold Shares have been in rally mode since July 1, 2011 when it traded as low as $143.97 a share. Since that low pivot in the beginning of July, the GLD has rallied sharply higher by 5.0 percent. This morning, the GLD is trading higher by $1.34 to $151.59 a share. Short term traders can watch for intra-day resistance around the $152.00 area. Should the GLD rally further throughout the session the $152. 50 area would be the next intra-day resistance area. Gold is being viewed by many investors and traders as the only true form of currency in the world.

Gold mining stocks are rallying higher, however, they are not as strong as the precious metal. Some leading gold mining stocks that that are trading higher include Agnico Eagle Mines LTD(NYSE:AEM), Randgold Resources LTD(NYSE:GOLD), and Yamana Gold Inc.(NYSE:AUY). It is important to note that many of the gold mining stocks are extended on the daily charts, therefore, the upside could be limited until these stocks pullback or consolidate a bit.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

1

Momma Mia! The Only Chart You Need To Follow

July 11, 2011 – Comments (0) | RELATED TICKERS: UUP , DVN , POT

This morning, the major stock indexes are trading lower as the problems in Italy and the European Union seem to be growing by the minute. The U.S. Dollar Index (DX U1) was soaring higher ahead of the opening bell, trading as high as $76.37 per contract. Since that high print at 9:10 am EST, the U.S. Dollar Index has pulled back to $76.18 per contract. When the U.S. Dollar Index declines the major stock indexes will inflate and trade higher. The S&P 500 Index has bounced off the lows by 4.00 points as soon as the U.S. Dollar Index pulled back. Traders must keep an eye on the U.S. Dollar Index at all times throughout the trading session as the major stock indexes will usually trade inverse to the dollar.

Some stocks that will usually react inversely to the U.S. Dollar Index include Chevron Corp.(NYSE:CVX), Devon Energy Corp.(NYSE:DVN), and Potash Corp.(NYSE:POT). Should the U.S. Dollar Index start to bounce higher or make new highs on the trading session it would be prudent to expect most of the leading stock indexes to deflate and trade lower.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

0

Apple Continues To Yield Fruit Despite Market Decline

July 08, 2011 – Comments (0)

Apple Inc.(NASDAQ:AAPL) is one of the rare leading stocks that has managed to trade into positive territory this morning. The leading tech stock is trading higher by $1.20 to $358.40 a share. Apple stock continues to lead the markets. The stock has rallied higher by $48.00 since its pivot low on June 20, 2011 when the stock traded as low as $310.50 a share. 

Traders and investors must take note that the stock is very extended and overbought on the daily chart. After a strong surge on the daily chart, APPL stock will likely need to pullback or consolidate before moving higher. Traders must be cautious when trying to buy stocks at extended daily chart levels.

Most leading technology stocks are trading sharply lower this morning. Google Inc.(NASDAQ:GOOG), Amazon Com Inc.(NASDAQ:AMZN), and Netflix Inc.(NASDAQ:NFLX) are all under selling pressure today. Traders must be careful when stocks become very stretched and extended. That is exactly what happened to all of the these leading technology names that are declining this morning.

Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

0

Can The U.S. Dollar Index Decline Save Markets?

July 08, 2011 – Comments (0)

This morning, the major stocks indexes are declining sharply after the weak non-farm payroll report was released by the U.S. Labor Department. The government reported just 18,000 jobs created, meanwhile, the unemployment rate increased to 9.2 percent. Normally, when the U.S. Dollar Index declines the stock market indexes will inflate and trade higher. So far this morning, the U.S. Dollar Index and the major stock indexes are both declining lower.

At this point, we have to assume that if the U.S. Dollar Index declines further throughout the trading session the major stock indexes will inflate and trade off the lows. Sometimes this inverse relationship between the U.S. Dollar Index and the major stock markets will disconnect for short periods, however, over the long haul this relationship has been intact for over 10 years nows.

The leading commodity stocks are usually the first equities that will inflate higher on the back of the falling U.S. Dollar Index. At the moment, the U.S. Dollar Index futures (DX U1) are trading lower by 0.02 cents to $75.23 per contract. Traders should realize that the U.S. Dollar Index was trading around the $75.73 level at 8:30 am EST when the job report was released. Therefore, the U.S. Dollar Index has plummeted along with the stock market. Should the U.S. Dollar Index start to trade off of the lows the major stock indexes could decline further.

Some leading stocks that will usually trade higher from a weak U.S. Dollar Index include ConocoPhillips(NYSE:COP), Exxon Mobil Corp.(NYSE:XOM) and Freeport McMoRan Copper & Gold Inc.(NYSE:FCX). These leading stocks will also sell off or decline further should the U.S. Dollar trade higher on the session.

Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

2

Imagine If IBM Participated In The Rally Today

July 07, 2011 – Comments (2) | RELATED TICKERS: IBM , DIA , PFE

The major stock indexes are soaring higher this afternoon. The Dow Jones Industrial Average(DJIA) is trading higher by 126.00 points to 12,751.00. The DJIA is just 127.00 points away from its May 2011 top. The DJIA has now rallied higher by 888.00 points since its June 15, 2011 pivot low. What a rally these markets have had since the second Greece bailout or bank bailout package was approved.

We can only wonder how high the Dow Jones Industrial Average would be if International Business Machines Inc.(NYSE:IBM) was trading in positive territory. IBM stock is trading lower this afternoon by $1.17 to $176. 54 a share. This stock carries the most weight in the DJIA which consists of just thirty blue chip companies. You see, the DJIA is a price capitalization index, unlike the S&P 500, and the NASDAQ Composite, which are market capitalization weighted indexes. Therefore, the higher the price of the stock in the index the more it will effect the DJIA. If IBM were trading flat today that would probably add another 40.0 – 50.0 points to the price of the DJIA.

The only other stocks that are trading lower today that make up the Dow Jones Industrial Average are Pfizer Inc.(NYSE:PFE), and Verizon Communications Inc.(NYSE:VZ). Obviously, these stocks have very little effect on the DJIA since they are lower priced stocks.


Nicholas Santiago
InTheMoneyStocks.com
  [more]

Recs

0

Buy Alert: China Small Caps Explode

July 07, 2011 – Comments (0) | RELATED TICKERS: BIDU , SINA , YOKU

Money flow continues to follow the standard path. Large caps, mid caps, then finally small caps. Chinese large caps have bounced sharply over the last few weeks. Stocks like Baidu.com, Inc. (NASDAQ:BIDU) have bounced 30% while SINA Corporation (NASDAQ:SINA) has bounced over 50%. These bounces look to be mostly completed as the large caps have stalled out.

In the last two weeks, mid caps Chinese stocks have also taken off. Major moves have jumped in from the likes of Youku.com Inc (NYSE:YOKU), which is up 45% and Renren Inc (NYSE:RENN) which has bounced almost 100%. The key with these bounces is to notice how the money flow started at the most secure, safe China stocks and has rotated down the list. Large caps, mid caps and now, finally, small caps.

Chinese small caps are seeing a surge today, probably the beginning of a bigger run. Many are sitting at their 52 week lows still, with drops of 75% this year. A few key ones to watch are CDC Corporation (NASDAQ:CHINA), Kandi Technolgies Corp. (NASDAQ:KNDI) and Sino Clean Energy Inc. (NASDAQ:SCEI).
I wrote about Chinese small caps being the next big play in the swing trade market and today many are surging more than 10%. The money rotation here is the key. Just to name a few that are jumping, AOB is up 15%, CPSL is up 15% and CSKI is up 11%.  While these carry risk, most likely more upside is around the corner as they catch up to the gains from the large and mid cap China stocks. Lock and load. Enjoy the ride.

Gareth Soloway
InTheMoneyStocks.com
  [more]

Recs

1

Make Money Trading: Jobs Report, Expectations, Profits

July 07, 2011 – Comments (0) | RELATED TICKERS: SPY , AAPL , JPM

The markets continued their recent advance today as the ADP Private Sector Employment Report blew away expectations. According to this report, private sector jobs increased 157,000 last month. On this news, the markets jumped higher. The SPDR S&P 500 ETF (NYSE:SPY) is trading at $135.05, +1.08 (+0.81%). This up day is following two pause days as the market was digesting last weeks 600+ rally in the Dow Jones Industrial Average.

Since the market opened today, things have been sideways. All eyes now have turned towards tomorrows Non Farm Payroll Report and Unemployment Report.  Market expectations for Non Farm Payrolls have increased today, after the huge ADP Private Sector Employment number. The market will be looking for 150,000 increase in jobs and an unemployment rate of 9.1%.  Should the report yield over 150,000 in new jobs, the markets may see more upside. Below 150,000, the markets may pull back.

Large cap technology stocks continue to lead today, finally accompanied by the banks. Apple Inc. (NASDAQ:AAPL) is up again, trading at $356.78, +5.02 (+1.43%). Amazon.com, Inc. (NASDAQ:AMZN) is making new all time highs again, trading at $217.00, +2.81 (+1.31%) while even JPMorgan Chase & Co. (NYSE:JPM) is having a big day, trading at $41.40, +0.84 (+2.07%).

Gareth Soloway
InTheMoneyStocks.com

  [more]

Recs

1

SPY Trading Volume Is Very Light Considering ALL Of The News

July 07, 2011 – Comments (0) | RELATED TICKERS: SPY , DIA , SSO

This morning, the S&P 500 Trust (NYSE:SPY) is trading just 47 million shares as of 11:00 am EST. This is very light volume considering all of the news that the market has had today. This tells us that many institutions are waiting on tomorrow's June non-farm payroll report by the U.S. Labor Department before committing more capital to this market. 

Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

0

VMWare And NetApp Look Weak At The Start

July 07, 2011 – Comments (0) | RELATED TICKERS: VMW , NTAP , QID

This morning, the major stock indexes are surging higher. There are two leading tech stocks that are not participating in today's early morning rally, they are VMWare Inc.(NYSE:VMW) and NetApp Inc.(NASDAQ:NTAP).

NetApp Inc. is trading lower this morning by 0.27 cents to 453.25 a share. Traders can watch for short term intra-day support at $52.80 level. This is where the stock could see a small bounce intra-day.

VMWare Inc. is another leading tech stock that is trading lower by $1.12 to $102.81 a share. Trader can look for short term intra-day support around the $102.00 area. The stock could see a small bounce from this level.

Traders must remember that these stocks are weak in a strong market. This tells us that the relative strength is poor on these names and the intra-day bounces may not last very long.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

0

Wild Ride For U.S. Dollar Index

July 07, 2011 – Comments (0) | RELATED TICKERS: UGA , CLF , USO

This morning, the major stock market indexes are surging higher after a strong ADP payroll report. The European Union is rallying higher this morning as well, however, for a different reason. The European Central Bank(ECB) President Jean Claude Trichet raised interest rates in the European Union by 25 basis points to 1.5 percent. He then went on to say that he will suspend the application of the minimum credit rating to debt instruments by the Portuguese government. Here is another central banker that is changing the rules in the middle of the game. This basically means that the ECB will continue to print money in order to keep Portugal from needing another bailout.

This news has caused the U.S. Dollar Index to trade in an erratic manner. Often, the major stock market indexes will trade inverse to the U.S. Dollar Index. This morning the U.S. Dollar Index futures(DX U1) is trading higher by 0.08 cents to $75.52 per contract. It is important to note that the U.S. Dollar Index traded as high as $75.75 a contract after the ADP job report this morning. A weaker U.S. Dollar Index will generally inflate the stock markets higher.

Oil and most other commodities will be the first vehicles to trade higher from a weak U.S. Dollar Index. Traders should watch stocks such as Cliffs Natural Resources Inc and Chevron Corp.(NYSE:CVX) to trade higher if the U.S. Dollar Index declines further. The United States Oil Fund(NYSE:USO) and the United States Gasoline Funds(NYSE:UGA) should rally higher as well on the back of a weaker U.S. Dollar Index. These same stocks and commodities will come under some selling pressure should the U.S. Dollar Index trade higher at some point throughout the trading session.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

1

Markets On Pause Until Job Report

July 06, 2011 – Comments (1) | RELATED TICKERS: IBM , MON , AAPL

This afternoon, the major stock indexes have traded sideways, to slightly higher, on extremely light volume. This is a holiday shortened trading week as markets in the United States were closed for the Independence Day holiday. Tomorrow, all eyes will be on the ADP payroll report. On Friday, the government will release its monthly non-farm payroll report and this should be even more important for the markets. Last month, the ADP job report and the Department of Labor job report both disappointed investors, both reports were well below analysts expectations.

Some notable stocks that are trading higher ahead of the report include Apple Inc.(NASDAQ:AAPL), International Business Machines(NYSE:IBM), and Monsanto Co.(NYSE:MON). All of these leading stocks just mentioned are very extended and overbought at this time. Therefore, it is possible that the job report could be a profit taking event.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

0

Stock Markets Wait For Jobs Report

July 06, 2011 – Comments (1) | RELATED TICKERS: SPY , GS , JPM

The stock market is trading flat again today as all eyes are now on the ADP Private Sector Employment Report tomorrow, and the Non Farm Payrolls Report on Friday. The SPDR S&P 500 ETF (NYSE:SPY) is trading at $133.93, +0.12 (+0.09%). The markets are shrugging off problems in Portugal and a small rise in the Dollar as the Jobs Report has taken center stage.

While many think the last two days of sideways action are creating a bullish flag pattern for more upside, traders must also pay close attention to one sector that continues to lag. The bank stocks fell sharply yesterday and are again falling today. Goldman Sachs Group, Inc. (NYSE:GS) is trading at $133.32, -1.18 (-0.88%) while JPMorgan Chase & Co. (NYSE:JPM) is trading at $40.53, -0.50 (-1.22%).

While these financial stocks do spell trouble ahead, the tricky thing is to figure out whether or not it is in the short term, meaning in the next week or in the longer term, a month or two away. Ultimately, it is hard to believe the jobs numbers will be that horrible since the government has had a week to smooth them out. If the markets do not break up by Friday, a downside move may be on the horizon next week.

Gareth Soloway
InTheMoneyStocks.com

  [more]

Recs

0

What To Buy: China Stocks Rip

July 06, 2011 – Comments (0) | RELATED TICKERS: DANG , BORN , SINA

Chinese stocks have been ripping higher over the last week as investors clamor for oversold mega bounces. Stocks like E Commerce China Dangdang Inc (NYSE:DANG) are surging again today, trading at $13.28, +1.05 (+8.59%).  Just one week ago, this stock was trading under $10.00 per share. The same thing has happened to mid cap China New Borun Corp (NYSE:BORN). The stock hit a low of $3.50 in mid June and is now trading at $7.20, +1.31 (+22.24%).  This is a classic 100% move higher in just weeks.

Two weeks ago the large caps China stocks started to bounce. Stocks like SINA Corporation (NASDAQ:SINA) had fallen from $147.00 to a low of $77.00. The bounce was gigantic, taking the stock from $77.00 all the way back to $114.00 today.  Baidu.com, Inc. (NASDAQ:BIDU) had the same thing occur. Many of these Chinese stocks are back within reach of its 52 week highs.

The bounces in the large caps have now stalled. The money rotation has now gone to the mid caps, lead by DANG, BORN and even RENN and YOKU. The common sense money rotation states that after the mid caps, the small cap China plays will be the next mega movers. Some of these China stocks may see upwards of 100% moves. Small cap Chinese stocks trading at their lows are Biostar Pharmaceuticals, Inc. (NASDAQ:BSPM) and ZST Digital Networks, Inc. (NASDAQ:ZSTN). There are many others out there. The key is watching them closely. When they start to go, jump on board.

Gareth Soloway
InTheMoneyStocks.com
  [more]

Recs

1

The Downgrade Of Portugal Is Already Baked Into The Cake

July 05, 2011 – Comments (0) | RELATED TICKERS: FXE , UUP , IRE

This afternoon, the U.S. Dollar Index has soared higher after Moody's downgraded Portugal's debt rating to Ba2 from Baa1. Are you kidding me? Traders have been saying this would happen for weeks. Obviously, Ireland is going to be the next country to get downgraded as they, along with Greece and Portugal were just bailed out. This downgrade was already baked into the cake by most institutional stock market investors and traders. The stock market is barely trading lower on the news. When you combine this news with the light trading volume the S&P 500 Index may finish the day flat to positive by the close.

The real shock will hit the stock market when the rating agencies downgrade countries such as Spain, and Italy. These are much bigger economies that will cause a real shock to the system. Most traders and investors know that these countries will eventually have to be bailed out by the European Union. This is going to be the event that rocks the boat. The German citizens are also going to grow tired of these bailouts for other nations. The European Union seems like a failed science project that is effecting millions of lives. The recent rally in gold, silver, and oil are telling us that the European Union is eventually going to be doomed.

Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

0

Key Levels On Google

July 05, 2011 – Comments (0) | RELATED TICKERS: GOOGL

Google Inc. (NASDAQ:GOOG) has soared for the last six days, jumping from $473.00 to a high today of $534.73. This move of over $60.00 has been epic but many traders are wondering if it will continue. Clear chart analysis shows that in the short term Google is hitting resistance. This resistance level is at the $533.00 level and can be seen in the chart below. Should the stock blast through that level, the next spot would be at $545.00. It is likely that Google will pull back in the short term off the $533.00 level.

Gareth Soloway
InTheMoneyStocks.com

  [more]

Recs

1

Chinese Net Stocks Continue Surge

July 05, 2011 – Comments (1) | RELATED TICKERS: YOKU , RENN , DANG

While the markets hover around the flat line, Chinese internet stocks continue their surge. After dropping as much as 75% on worries over a Chinese slow down and accounting issues, stocks like Youku.com Inc (NYSE:YOKU) and Renren Inc (NYSE:RENN) and E Commerce China Dangdang Inc (NYSE:DANG) are all up again. The bounces are a combination of being oversold weeks ago but also a continued short squeeze. The move up for these Chinese plays should be coming to an end soon. They are due for a pause and some consolidation before any future upswings. RENN is up 50% off its lows and YOKU has surged almost 50% as well. Truly amazing moves. Eyes should be now focused on small cap Chinese plays. Some of these plays are still at their 52 week lows and could see significant upside in the coming weeks.

Gareth Soloway
InTheMoneyStocks.com

  [more]

Recs

0

Markets Digest As Tech Stock Leaders Roar

July 05, 2011 – Comments (1) | RELATED TICKERS: AAPL , AMZN , UUP

The market is pausing today after one of the biggest week long rallies in history. The Dow Jones Industrial Average gained over 6% last week, its biggest one week gain since July 2009. Today, the SPDR S&P 500 ETF (NYSE:SPY) is trading at $133.52, -0.40 (-0.30%). Volume is extremely light as many traders are extending their July 4th holiday, one extra day.  One of the main reasons for the slight market weakness is due to the Dollar. The PowerShares DB US Dollar Index Bullish (NYSE:UUP) is trading at $21.25, +0.05 (+0.24%).

While the markets seem to be pausing, some key technology stocks are continuing their surge. The leaders in the tech sector were up big last week and are continuing their run. Apple Inc. (NASDAQ:AAPL) is trading at $348.70, +5.44 (+1.58%), Google Inc. (NASDAQ:GOOG) is trading at $531.83, +10.81 (+2.07%) and Amazon.com, Inc. (NASDAQ:AMZN) is trading at $212.71, +3.22 (+1.54%). The only stock at new 52 week highs in the group is Amazon.

This strength in technology is based off of a renewed positive outlook for the economy after last week Greece was essentially bailed out. In addition, new money is flowing into the markets at the start of the third quarter. This usually has a short term positive impact as well. 

Gareth Soloway
InTheMoneyStocks.com  [more]

Recs

0

Coal Stocks Lose Some Of Their BTU

July 05, 2011 – Comments (0) | RELATED TICKERS: BTU , ANR , PCXCQ

This morning, the leading coal stocks started the morning very strong. Since the gap higher open, many of these leading coal stocks have pulled back off their early highs. This industry group looks to have started the morning higher after a pipe broke in the Yellowstone River that was owned by Exxon Mobil Corp.(NYSE:XOM). Exxon Mobil stock has recovered most of its early losses that were made at the open.

Peabody Energy Corp. (NYSE:BTU) is the leading coal stock in the stock market. This stock gapped sharply higher before the opening bell. The stock is trading higher by $1.11 to $60.54 a share. The stock will have intra-day resistance around the $61.00 level which was the morning high. Should the stock pullback and decline traders should watch for short term intra-day support around the $60.00, and $59.50 levels. Both support areas could see small intra-day bounces.

Alpha Natural Resources Inc. (NYSE:ANR) is another leading coal stock and energy leader. This stock has declined into negative territory after starting the morning higher. Traders can look for short term intra-day support around the $45.85 level. Should that support level fail to hold traders can look at the $45.00 area as the next important intra-day support level.

Patriot Coal Corp. (NYSE:PCX) and James River Coal Co. (NASDAQ:JRCC) are two other leading coal stocks that have faded from the gap higher open. PCX stock will have some minor intra-day support around the $22.55 level. JRCC stock will have short term intra-day support around the $20.70 level.

Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

0

Financial Stocks, Too Big To Sail

July 05, 2011 – Comments (0) | RELATED TICKERS: JPM , GS , BAC

Last week, the large financial stocks caught a sharp bid higher after the Greek bailout vote passed. Many of the leading financial stocks in the United States surged higher helping to lift the major stock indexes. Most investors and traders believe that second Greek bailout is really just another bailout for large financial institutions that are holding Greek and Euro-zone debt. This morning, it seems that large financial stocks are coming under some slight selling pressure. This type of activity is common after a multi-day rally, often markets need to retrace or pullback after making a strong move higher.

J.P. Morgan Chase & Co. (NYSE:JPM) is trading lower by 0.41 cents to $41.15 a share. The stock looks to have short term intra-day support around the $41.00 level. Should the stock decline further throughout the trading session traders must watch the $40.40 area as the next important intra-day support level.

Goldman Sachs group Inc. (NYSE:GS) is trading lower by $2.07 to 134.58 a share. This leading financial stock will have intra-day support around the $134.30 level. Should this support area fail to hold, short term traders can watch the $133.00 area as the next important support level.

Other leading financial stocks that are declining this morning include Bank of America Corp. (NYSE:BAC), Wells Fargo & Co. (NYSE:WFC), and Morgan Stanley (NYSE:MS). The leading financial stocks are very important in order for the stock market rally to continue. These stock have lead the markets throughout 2011.


Nicholas Santiago
InTheMoneyStocks.com  [more]

Recs

0

Global Market Play Book: Master Levels

July 04, 2011 – Comments (0) | RELATED TICKERS: FXE , EWP , EWQ

The major stock indexes in the United States and Europe have staged a massive rally over the past week. The catalyst for the large point move is credited to another Greek bailout package. This is the second bailout and austerity package for Greece in just two years. This current bailout has very little to actually do with Greece itself. This bailout for Greece was just another way to protect many of the major banks that are holding bad European debt. In any case, the major European stock indexes rallied sharply higher into the end of the trading week. In this week's report, we will isolate important resistance levels for a few of the leading European stock indexes.

The German DAX Composite has been the strongest stock index in the European Union. This index did not come close to its March 2011 lows which were just under the 6500 level. This leading Euro-zone index continues to lead the markets higher and must be followed closely by all traders. Please examine the chart below to find all near term resistance levels of which the Pros will keep on their radar.

The Spanish Bolsa de Madrid IBEX 35 Index soared higher this past week after the Greek austerity vote passed. This is one of the weaker stock indexes in the European Union. You can easily see that the low made last week in this important index exceeded the March low. Traders should know that new lows are always a sign of weakness. Spain, and Italy, are the two nations in the Euro-zone that are expected to eventually need a bailout. The unemployment rate in Spain remains extremely high, especially among young people. Traders can look at the chart below for important resistance levels.

The French CAC 40 Index rallied higher along with every other major stock index last week. Unlike the Spanish Bolsa chart this index made a higher low pattern by not trading down to the March 2011 level. Many investors consider France to be the strongest country in the Euro-zone next to Germany. Traders should follow the chart below to see the next important resistance levels for this leading European stock index.

Nicholas Santiago
InTheMoneyStocks.com

  [more]

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