Senior Trader

Barry

CEO and Board Member, Hot Stocks NYC was founded by Barry, a seasoned trader with over 50 years of market experience and Over 3 MILLION Trades, his unmatched ability to memorize and analyze the price action of thousands of stocks each day, there is nobody more qualified to help traders beat WallStreet than Barry. He specializes in discovering Emerging Growth Companies and is genuinely a momentum trader.

$PRED $WEYL $ORGS $BPHM $SLTK stocks news

 $PRED expect big week  2.75  support  2.90
bo tgr 4 to 6 end of Jan  July tgt 20 plus
$WEYL  expect strength mid week foreign buyers
$ORGS NAADEQ BY WED?  10 TO 12 by Jan end could be by this week.
$BPHM  accumulate for big move starting
i think within 2 weeks.
$SLTK NEW INVESTOR RELATIONS SHOULD HELP LIFT OVER
 2 BY JAN END THIS CANNABIS RELATED
COMPANY TGT 5 BY SEPT
see disclaimer on $PRED and $WEYL under special stocks situations.

A Peek Into The Markets: U.S. Stock Futures Up Ahead Of Beige Book

Pre-open movers

U.S. stock futures traded higher in early pre-market trade. The Chicago PMI for May is schedule for release at 9:45 a.m. ET, while the pending home sales index for April will be released at 10:00 a.m. ET. The Federal Open Market Committee will release its latest Beige Book report at 2:00 p.m. ET. Dallas Federal Reserve Bank President Robert Kaplan is set to speak in New York City at 8:00 a.m. ET, while San Francisco Federal Reserve Bank President John Williams is set to speak in Seoul at 7:30 p.m. ET.

Futures for the Dow Jones Industrial Average climbed 19 points to 21,034.00, while the Standard & Poor’s 500 index futures rose 2.75 points to 2,413.50. Futures for the Nasdaq 100 index climbed 15.25 points to 5,807.00.

Oil prices traded lower as Brent crude futures fell 2.33 percent to trade at $50.63 per barrel, while US WTI crude futures dropped 1.97 percent to trade at $48.68 a barrel.

A Peek Into Global Markets

European markets were higher today, with the Spanish Ibex Index gaining 0.43 percent, STOXX Europe 600 Index rising 0.16 percent and German DAX 30 index gaining 0.42 percent. The UK’s FTSE index was trading higher by 0.41 percent, while French CAC 40 Index rose 0.23 percent.

In Asian markets, Japan’s Nikkei Stock Average fell 0.14 percent, Hong Kong’s Hang Seng Index fell 0.16 percent, China’s Shanghai Composite Index gained 0.23 percent and India’s BSE Sensex fell 0.04 percent.

Broker Recommendation

Analysts at Baird upgraded VMware, Inc. VMW from Neutral to Outperform.

VMware shares rose 0.84 percent to $97.55 in pre-market trading.

7 Stocks To Watch For May 31, 2017

Some of the stocks that may grab investor focus today are:

  • Wall Street expects Michael Kors Holdings LtdKORS to report quarterly earnings at $0.7 per share on revenue of $1.05 billion before the opening bell. Michael Kors       shares slipped 0.47 percent to $36.10 in after-hours trading.
  • Analysts expect Hewlett Packard Enterprise CoHPE to post quarterly earnings at $0.36 per share on revenue of $9.63 billion after the closing bell. Hewlett Packard Enterprise shares rose 0.16 percent to $18.88 in after-hours trading.
  • Danaos CorporationDAC reported stronger-than-expected results for its first quarter on Tuesday. Danaos shares surged 18.52 percent to $1.60 in the after-hours trading session.
  • After the markets close, Palo Alto Networks IncPANW is estimated to post quarterly earnings at $0.55 per share on revenue of $412.02 million. Palo Alto shares declined 0.91 percent to close at $117.00 on Tuesday.
  • Analysts are expecting Analog Devices, Inc. ADIto have earned $0.84 per share on revenue of $1.10 billion in the latest quarter. Analog Devices will release earnings before the markets open. Analog Devices shares rose 0.35 percent to $85.10 in after-hours trading.
  • Quanex Building Products CorporationNX reported upbeat earnings for its second quarter on Tuesday. Quanex shares climbed 4.90 percent to $20.35 in the after-hours trading session.
  • Before the opening bell, RBC Bearings IncorporatedROLL is projected to report quarterly earnings at $0.89 per share on revenue of $161.08 million. RBC Bearings shares slipped 0.15 percent to close at $99.45 on Tuesday.

NASDAQ (bars) up 15.3% year to date, while Russell 2000 (line) up just 1.9% year to date and that could be a problem

because 40% of NASDAQ 100 QQQ gains come from its top holding  of AAPL, MSFT, AMZN, FB,
GOOGL (see table below) and since they are having a good year (so far), Money Managers are
sending ALL NEW MONEY into the top QQQ movers, which sends AAPL, FB, MSFT, AMZN and
GOOGL even higher, while the rest of the market lags behind.
Year to date gains for Indexes
Nasdaq Composite +15.3% YTD
S&P 500 +7.9% YTD
Dow Jones Industrial Average +6.7% YTD
Russell 2000 +1.9% YTD
notice the growing divergence between Russell 2000 and the NASDAQ
Top weighted holdings of NASDAQ 100 (QQQ)
Stock Weight Amount
Apple 12.35% $6,164,720,714
Microsoft 8.22% $4,104,883,872
AMAZON.COM 7.21% $3,600,388,693
Facebook 5.37% $2,683,816,500
Alphabet 5.08% $2,537,641,302
Alphabet 4.45% $2,222,880,655
Comcast 2.92% $1,460,235,874
Intel 2.62% $1,308,461,396
Cisco Systems 2.44% $1,220,569,113
Amgen 1.76% $877,084,610
Kraft Heinz CO/THE 1.72% $860,399,339
Broadcom Ltd 1.47% $731,974,710
Celgene 1.41% $701,807,592
Priceline Group INC/THE 1.40% $698,732,986
Starbucks 1.39% $692,924,538
Charter Communications 1.36% $677,069,419
Walgreens Boots Alliance 1.34% $668,813,048
Qualcomm 1.34% $666,703,845
Gilead Sciences 1.30% $649,775,938
Texas Instruments 1.23% $613,185,049

Oil ETFs And OPEC Meet Again

The United States Oil Fund USO plunged 5.3 percent Thursday, bringing its year-to-date decline to 14.3 percent. USO, the most heavily traded oil exchange-traded product in the U.S., is now almost 20 percent below its 52-week high, putting it dangerously close to officially being in a bear market.

OPEC Extension

The Organization of Petroleum Exporting Countries is again confounding energy investors. On Thursday, the cartel and other major oil-producing countries extended a production cut that has done little to bolster crude prices.

“OPEC announced it would extend cuts in oil output by nine months to March 2018 on Thursday, after November’s landmark deal failed to clear a global supply overhang,” reported CNBC. “The move, which was then ratified by non-OPEC producers, was the base-case scenario for the market and means the 1.8 million barrel per day supply cut will roll over until the first-quarter of 2018.”

Year to date, USO has added more than $125 million in new assets, but there are some signs traders are growing tired of the fund from the long side as USO lost nearly $15 million in assets since the start of the current quarter.

Making the long oil trade all the more difficult is that high U.S. oil inventories mute the impact of output reductions by OPEC and other countries, indicating that oil bulls need to focus on other factors.

“Chinese demand in addition to U.S. production (including Trump’s export policy,) is probably more critical to oil price formation so is likely keeping oil range-bound, even if the possible range is wide,” said S&P Dow Jones Indices in a recent note. “According to index history, oil could reach between $25–$85 dollars before setting record moves. As OPEC cuts and if U.S. inventories decline to low levels, oil prices may increase, so China may use their own reserves or shop around rather than purchase oil at a higher price, capping the high end of the price range.”

Capitulation And Rebalancing

Some oil market observers may argue that capitulation is near and that the market has digested most of the readily available bad news, but there are other factors that need to come into play to help oil rebound.

“In this period of market rebalancing, it seems opportunities are hard to find but the good news possibly is there seems to be more stability from the lower volatility, higher correlation and tight term structures. If it is underpinned by the fundamentals of a recovering oil market, there could be more upside than downside,” said S&P Dow Jones.

A Peek Into The Markets: U.S. Stock Futures Drop Ahead Of GDP, Durable-Goods Orders Data

Pre-open movers

U.S. stock futures traded lower in early pre-market trade. Data on durable goods orders for April and Gross Domestic Product for the first quarter will be released at 8:30 a.m. ET. The University of Michigan’s consumer sentiment index for May is schedule for release at 10:00 a.m. ET. U.S. markets will be closed Monday for the Memorial Day holiday.

Futures for the Dow Jones Industrial Average dropped 38 points to 21,025.00, while the Standard & Poor’s 500 index futures fell 4.75 points to 2,408.75. Futures for the Nasdaq 100 index declined 8.25 points to 5,773.75.

Oil prices traded lower as Brent crude futures fell 0.37 percent to trade at $51.27 per barrel, while US WTI crude futures dropped 0.27 percent to trade at $48.77 a barrel. The Baker Hughes North American rig count report for the latest week is schedule for release at 1:00 p.m. ET.

A Peek Into Global Markets

European markets were lower today, with the Spanish Ibex Index dropping 1.01 percent, STOXX Europe 600 Index falling 0.52 percent and German DAX 30 index dropping 0.52 percent. The UK’s FTSE index was trading lower by 0.02 percent, while French CAC 40 Index declined 0.77 percent.

In Asian markets, Japan’s Nikkei Stock Average fell 0.64 percent, Hong Kong’s Hang Seng Index rose 0.03 percent, China’s Shanghai Composite Index gained 0.07 percent and India’s BSE Sensex rose 0.90 percent.

Broker Recommendation

Analysts at JP Morgan upgraded Ecolab Inc. ECL from Neutral to Overweight.

Ecolab shares rose 0.77 percent to close at $130.31 on Thursday.

Breaking news

  • Big Lots, Inc. BIG reported better-than-expected earnings for its first quarter and raised its FY17 outlook.
  • GameStop Corp. GME reported stronger-than-expected results for its first quarter. However, the company reaffirmed its FY17 earnings outlook.
  • Costco Wholesale Corporation COST reported better-than-expected earnings for its third quarter.
  • Ulta Beauty Inc ULTA reported upbeat results for its first quarter and raised its FY17 outlook.

Watch These 7 Huge Put Purchases In Friday Trade

These trades were placed during Thursday’s regular session.

  • First Solar, Inc. FSLR Aug 32.5 Puts Sweep: 3483 @ ASK $1.17: 3483 traded vs 3 OI: Earnings 8/3 After Close (est) $37.85 Ref
  • Steel Dynamics, Inc. STLD Jun 34.0 Puts Sweep: 2999 @ ASK $1.05: 2999 traded vs 169 OI: Earnings 7/18 After Close (est) $34.08 Ref
  • Juno Therapeutics Inc JUNO Jun 25.0 Puts Sweep: 530 @ ASK $1.42: 2062 traded vs 80 OI: Earnings 8/3 After Close (est) $25.51 Ref
  • Harley-Davidson Inc HOG Jul 52.5 Puts: 757 @ ASK $2.30: 1502 traded vs 21 OI: Earnings 7/27 Before Open (est) $52.27 Ref
  • Sears Holdings Corp SHLD Jan18 4.0 Puts: 719 @ ASK $1.00: 1079 traded vs 17k OI: Earnings today Before Open $8.19 Ref
  • Bristow Group Inc BRS Jun 7.5 Puts Sweep: 535 @ ASK $0.30: 545 traded vs 41 OI: Earnings 8/3 After Close (est) $8.37 Ref
  • Zoetis Inc ZTS Jan18 60.0 Puts Sweep: 623 @ ASK $2.55: 736 traded vs 128 OI: Earnings 8/3 Before Open (est) $62.38 Ref

The Market In 5 Minutes 5/24/2017

  • It may be disappointing, but the “Red Dead Redemption 2” delay is nothing unusual in the video game industry, especially for Take-Two (TTWO)’s Rockstar Games:
  • The new partnership between Alphabet Inc (GOOG) (GOOGL)’s Waymo autonomous vehicle technology unit and ride-hailing company Lyft may have given birth to a legitimate Tesla Inc (TSLA) competitor:
  • Following Rep. Ro Khanna (D–CA)’s letter to the Department of Defense dated March 17, urging additional scrutiny on TransDigm Group Incorporated (TDG)’s contracting process, Height Securities said Congressional support for review may be growing:
  • The poor, the elderly, the disabled, college students and environmental protections all stand to take a big hit if Congress approves President Donald Trump’s $4.1 trillion budget for fiscal year 2018. Defense contractors, corporations in general and the wealthiest Americans all stand to gain: Link
  • Steel stocks were up big on Tuesday ahead of the Department of Commerce hearing on the Section 232 probe. The DoC is set to come out with more details regarding the impact steel imports has on U.S. national security: Link

THE WALL STREET JOURNAL

  • President Donald Trump faced swift resistance from Democrats and a range of Republicans on Capitol Hill on Tuesday after offering a 10-year plan to balance the federal budget that depends heavily on cuts to government safety-net programs and expectations of a big gain in economic growth: Link
  • Anthony Levandowski, the former Google (GOOG) (GOOGL) engineer at the center of a battle between the tech giant and Uber Technologies Inc., was never a typical employee. And for years, Google was fine with that: Link
  • Moody’s Investors Service cut China’s sovereign credit rating for the first time in nearly three decades, citing expectations that the country’s financial strength will deteriorate in the coming years as debt keeps rising and the economy slows: Link
  • Saudi Arabia is pushing the OPEC oil cartel and other big producers gathered here this week to extend crude production cuts for another nine months. The reason: the timing of the blockbuster IPO of Saudi Arabian Oil Co., people familiar with the matter said: Link

REUTERS

  • The Financial Stability Oversight Council (FSOC), which brings together all U.S. financial watchdogs, used to be the scourge of Wall Street but under Treasury Secretary Steven Mnuchin it can serve to ease its regulatory burdensLink
  • General Electric (GE) signed a one billion riyal ($267 million) joint venture agreement on Wednesday with Saudi Arabia’s state-backed Dussur industrial development company to manufacture gas turbines in the eastern city of Dammam:Link
  • Uber Technologies Inc said on Tuesday it underpaid its New York City drivers for the past two-and-a-half years, an error that could cost the ride-hailing company tens of millions of dollars: Link

    BLOOMBERG

  • With a flagship treatment that helps fewer than 11,000 people, how isAlexion (ALXN) making so much money?Link
  • Morgan Stanley (MS) said it will cut back on using recruitment bonuses to poach established financial advisers as a new rule throws the industry’s traditional hiring practices into doubt: Link
  • SoftBank Group Corp. has quietly amassed a $4 billion stake in Nvidia Corp. (NVDA) making it the fourth-largest shareholder in the graphics chipmaker, according to people familiar with the situation: Link
  • AutoZone Inc. (AZO) reported profit and sales that missed analyst estimates as the seller of car replacement parts joined a chorus of retailers saying U.S. tax refund delays squelched demand early this year: Link

NY POST

  • Target (TGT) has agreed to pay $18.5 million to settle a multi-state investigation into its colossal data breach in 2013 that affected 70 million shoppers, authorities announced Tuesday: Link

CONSUMER

Lowe’s (LOW) Reports Q1 Adj. EPS $1.03 vs $1.06 Est., Sales $16.9B vs $16.96B Est.
The Container Store (TCS) Reports Q4 EPS $0.17 vs $0.09 Est., Sales $221M vs $214.7M Est.
Universal Corp. (UVV) Reports Q4 Adj. EPS $1.28 vs $0.84 in Same Qtr. Last Year, Sales $650M
Tiffany’s (TIF) Reports Q1 EPS $0.74 vs $0.70 Est., Sales $900M vs $913M Est.
Tilly’s (TLYS) Reports Q1 EPS $(0.01) vs $(0.10) in Same Qtr. Last Year, Sales $120.9M vs $114.4M Est.
Advance Auto Parts (AAP) Reports Q1 Adj. EPS $1.60 vs $2.18 Est., Sales $2.89B vs $2.95B Est.
HEICO (HEI) Reports Q2 EPS $0.53 vs $0.50 Est., Sales $368.7M vs $369.46M Est.

ENERGY

Bristow Group (BRS) Reports Q4 Adj. EPS $(1.15) vs $(0.48) Est., Sales $323.651M vs $326.16M Est.

REX American Resources (REX) Reports Q1 EPS $0.69 vs $0.43 in Same Qtr. Last Year, Sales $113.143M vs $121M Est.

JA Solar (JASO) Reports Q1 EPADS $0.03 vs $(0.02) Est., Sales $536.4M vs $490.8M Est.

INDUSTRIALS

Triumph Group (TGI) Reports Q4 EPS $1.32 vs $1.40 Est., Sales $919M vs $924M Est.
Dycom (DY) Reports Q3 Adj. EPS $1.30 vs $1.19 Est., Sales $786M vs $736M Est.

FINANCIALS

BMO Financial (BMO) Reports Q2 Adj. EPS $1.92 vs $1.43 Est., Sales C$5.74B vs C$5.10B In Prior Year Period

HEALTHCARE

Ascendis Pharma A/S (ASND) Reports Q1 EPS $(0.87) vs $(0.82), Sales $415.99K vs $1.53M Est.

TECHNOLOGY

Intuit (INTU) Reports Q3 Adj. EPS $3.90 vs $3.87 Est., Sales $2.541B vs $2.5B Est.
ViaSat (VSAT) Reports Q4 Adj. EPS $0.32 vs $0.28 Est., Sales $416.4M vs $400.86M Est.
Ooma (OOMA) Reports Q1 Adj. EPS $(0.02) vs $(0.03) Est., Sales $27.6M vs $28.1M Est.

ECONOMIC FIGURES

07:00 a.m. MBA Mortgage Applications (WoW)

07:00 a.m. MBA Purchase Index

07:00 a.m. MBA 30-Year Mortgage Rate

07:00 a.m. MBA Mortgage Market Index

07:00 a.m. MBA Mortgage Refinance Index

09:00 a.m. House Price Index

09:00 a.m. FHFA House Price Index (MoM)

09:00 a.m. FHFA House Price Index (YoY)

10:00 a.m. Existing Home Sales (MoM)

10:00 a.m. Existing Home Sales

10:30 a.m. EIA Distillate Output

10:30 a.m. EIA Distillate Inventories

10:30 a.m. EIA Heating Oil Inventories

10:30 a.m. EIA Gasoline Output/Production

10:30 a.m. EIA Cushing Inventories

10:30 a.m. EIA Crude Oil Inventories

10:30 a.m. EIA Gasoline Inventories

10:30 a.m. EIA Crude Imports

1:00 p.m. 5-Year Note Auction

2:00 p.m. FOMC Meeting Minutes

6:00 p.m. FOMC Member Kaplan Speaks

6:30 p.m. FOMC Member Kashkari Speaks

Analyst & Shareholder Meetings

  • 8:30 a.m. DSW (DSW)
  • 9:30 a.m. McDonald’s (MCD)
  • 10:00 a.m. Lumber Liquidators (LL)
  • 10:00 a.m. Fossil Group (FOSL)
  • 10:00 a.m. HSN, Inc. (HSNI)
  • 10:30 a.m. Sabre Corp. (SABR)
  • 11:00 a.m. Century Link (CTL)
  • 11:00 a.m. Hilton (HLT)
  • 11:00 a.m. PayPal (PYPL
  • 12:00 p.m. E.L.F. Beauty (ELF)
  • 12:00 p.m. Papa Murhpy’s (FRSH)
  • 12:00 p.m. Shutterfly (SFLY)
  • 1:00 p.m. Tupperware Brands (TUP)

UPGRADES

  • Credit Suisse Upgraded U.S. Steel (X) from Neutral to Outperform
  • Wells Fargo Upgraded NovoCure (NVCR) from Market Perform to Outperform
  • Evercore ISI Upgrades Diana Shipping (DSX) From Underperform to In-Line

DOWNGRADES

  • Goldman Sachs Downgraded Zions Bancorp (ZION) from Buy to Neutral
  • Credit Suisse Downgraded Ooma (OOMA) from Outperform to Neutral
  • Citi Downgrades Brown Forman (BF/B) From Buy to Neutral

Deal Talk

  • Bunge Limited (NYSE:BG) stated that it is not engaged in business combination discussions with Glencore Agriculture Limited or Glencore plc. This comes following a report by the Wall Street Journal saying the deal would give the Swiss miner a U.S. agriculture presence.
  • CF Corporation (CFCO) to Acquire Fidelity & Guaranty (FGL) for $31.10/Share or total of ~$1.835B with assumption of $405M of debt.