Market MidWeek Commentary

HI Financial Services Mid-Week 04-08-2014

HI Financial Services Mid-Week 04-08-2014

What has happened to my portfolio last week?  How am I down 10% in such a short period of
– Perspective
Student for Safe Option Strategies

What has been happening
so far this week?

          On Monday our market continued to sell off.  Tuesday was supposed to be our bounce
back.  Dow Jones Industrial Average was
up 10.27, S&P 500 was up 6.92, Nasdaq Composite up 33.23 points.  I’m not really impressed with this bounce
back when we lose 166 points on the DJIA in a day.  In fact for the first time I am worried that
the long awaited pullback is here.  Yes,
Alcoa gave a great earnings today after the market closed but one stock 
doesn’t move markets. In fact I see a lack of buyers in the market today.  Low volume on high percentage movements on
stocks both up and down. Earnings season started today and will last the next
six weeks so I would be protecting early for our earnings season. 

 Where will our market
end this week?

          I don’t have a clue but I see another down week.  I see no catalyst to move our market
higher.  Wednesday the Fed minutes come
out.  I would expect with tapering occurring,
tame inflation, better employment numbers and the expectation that we need to
lower our national debt, tapering WILL continue.  Is there a chance that tapering could pause
since our employment is sluggish and the weather hurt the recovery?  Maybe but I definitely 
wouldn’t count on
it.  I would expect another down week
because that seems like the current trend.
Without a reason to move higher it looks like we are in for the long
awaited “correction”.

 DJIA– We fell from
16,600 down to 16,256.   Not a
significant drop and it looks like the 50 SMA is holding.  Technically we have RSI and MACD crossovers
to the bearish trend. The 5 day EMA and 20 EMA have not crossed over
bearish.  The next couple days will
confirm the bullish trend or confirm that we are bearish


SPX – We touched and
intra-day all time high of 1900 and the sell orders came in pushing our market
down to the 50 SMA.  We pierced it today
yet bounced off as a support level.  Not
a significant bounce and that worries me.


COMP – Welcome to no man’s
land technically speaking.  We broke the
50 SMA and we are equal distance from the 200 and the 50 SMA which are
considered support levels.  A horizontal
level of support at 4000 seems to be a level the market 
doesn’t want to break
below, yet!


Where Will the SPX end April


We hit 1900 the first
week of April.  We hit my expectation but
we sure didn’t hold it worth beans.  I am
still going to follow the trend and call 1900 to be at by the end of the month
of higher.  Now if earnings don’t come in
like we expect or worse than expected economic news occurs we could be looking
at a much lower SPX number.  Right now it
hasn’t occurred so I won’t speculate and screw up my trading.


We are starting a new
quarter which normally means buying for funds and re-establishing
positions.    The market received very dovish comments
by Yellen and earnings season starts with low expectations.  Let’s shoot for 1900 again.                 


What is on tap for the
rest of the week?=





Fri:              WFC,


Econ Reports

Tues:  Jolts Job

Wed:  MBA, Wholesale

Thur: Initial Claims, Continuing
Claims, Import, Export, Treasury Budget

PPI, Core PPI, Mich Sentiment



Tues –   FR: Merchandise

Wed –    JP:
Machine Orders, DE:GB: Merchandise Trade

Thurs – CN: Merchandise Trade,
CPI, PPI  GB: BOE Announcement, JP: BOJ
minutes, CGPI (PPI),

Sunday –  


How I am looking to

I am protected for earning
season on the stocks I trade.  GO collar
trade GO!!!  Stocks have Long Puts and
Short Calls in place to cover me thru the earnings season.




AAPL         4/23   AMC          EPS-$10.14

BA              4/23   BMO          EPS-$1.56

BIDU          4/24   estimated

CAT           4/24                      EPS-$1.25

CLDX        5/01   estimated

D                4/14   estimated

DIS             5/6

F                 4/23   estimated

FB              4/23   AMC          EPS-$0.24

GOOG       4/17   estimated

LNCO        5/01   BMO          EPS-$0.52

MS             4/17   BMO          EPS-$0.61

MEI            6/19

SNDK        4/16   AMC          EPS-$1.25

SBUX         4/24  

TSLA         5/07   estimated

ZION         4/21   AMC          EPS-$0.42


Questions??? =
Blogsite =
Follow me online =


Article Links can be followed by being a twitter follower


30% fall-off looming for S&P 500: Economist


Goldman Sachs: It’s showtime for global growth


Yes, you can deduct that (regardless of your


Relax! This time of your life won’t last forever

The Real Reason the Stock Market Is Rigged


Fwd: It’s earnings season: Time for companies
to put up or shut up

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