Thursday, August 21, 2014

Westlake Chemical - Bachart's Chart of the Day

Westlake Chemical (WLK) is the Barchart Chart of the Day.  The petrochemical stock has a Trend Spotter buy signal, a Weighted Alpha of 89.50+ and gained 87.79 in the last year.

The Chart of the Day is Westlake Chemical (WLK).  I found the stock by sorting the New High list for the best technical buy signals, then used the Flipchart feature to review the charts.  Since the Trend Spotter signaled a buy on 8/14 the stock gained 5.57%.

Westlake Chemical Corporation (WLK) is a vertically integrated international manufacturer and supplier of petrochemicals, polymers and fabricated products. The company's range of products includes ethylene, polyethylene, styrene, vinyl intermediates, PVC, PVC Pipe, PVC windows, fence and decking components.


Barchart's Opinion trading systems are listed below. Please note that the Barchart Opinion indicators are updated live during the session every 10 minutes and can therefore change during the day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com web site when you read this report.

Barchart technical indicators:

  • 100% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 8 new highs and up 8.11% in the last month
  • Relative Strength Index 71.28%
  • Barchart computes a technical support level at 92.78
  • Recently traded at 94.00 with a 50 day moving average of 86.67
Fundamental factors:
  • Market Cap $12.54 billion
  • P/E 18.66
  • Dividend yield .54%
  • Revenue expected to grow 15.40% this year and another 6.60% next year
  • Earnings estimated to increase 20.70% this year, an additional 10.90% next year and continue to increase at an annual rate of 5.00% for the next 5 years
  • Wall Street analysts issued 4 buy, 2 hold and an under perform recommendation on the stock
Not sure how much longer the ride will last buy monitoring the 50 and 100 day moving averages should protect your profits.

My 5 Favorite Large Caps

I used Barchart to find the S&P 500 Large Cap stocks with the best technical buy signals and charts.  First I sorted the Index for the best technical buy signals, then I used to Flipchart feature to find the 5 charts I liked.

Today's list includes Zoetis (ZTS), Weyerhaeuser (WY), Sherwin-Williams (SHW), Principal Financial Group (PFG), Lyondellbasell Industries (LYB):

Zoetis (ZTS)


Barchart technical indicators:
  • 100% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 8 new highs and up 5.81% in the last month
  • Relative Strength Index 71.18%
  • Barchart computes a technical support level at 34.30
  • Recently traded at 34.76 with a 50 day moving average of 32.76


Barchart technical indicators:
  • 100% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 7 new highs and up 6.42% in the last month
  • Relative Strength Index 75.75%
  • Barchart computes a technical support level at 33.64
  • Recently traded at 34.39 with a 50 day moving average of 32.23


Barchart technical indicators:
  • 100% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 3 new highs and up 2.33% in the last month
  • Relative Strength Index 68.71%
  • Barchart computes a technical support level at 212.70
  • Recently traded at 217.50 with a 50 day moving average of 207.82


Barchart technical indicators:
  • 100% Bachart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 5 new highs and up 3.27% in the last month
  • Relative Strength Index 69.02%
  • Barchart computes a technical support level at 51.66
  • Recently traded at 53.37 with a 50 day moving average of 50.82


Barchart technical indicators:
  • 100% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 12 new highs and up 11.26% in the last month
  • Relative Strength Index 74.56%
  • Barchart computes a technical support level at 111.48
  • Recently traded at 112.49 with a 50 day moving average of 103.29










BARCHART MORNING CALL

OVERNIGHT MARKETS AND NEWS
September E-mini S&Ps (ESU14 +0.15%) this morning are up +0.18% at a record high and European stocks are up +0.72% at a 2-1/2 week high on economic optimism along with signs of increased M&A activity. AstraZeneca Plc, the UK's second-largest drug maker, rose over 2% after people familiar with the matter said Pfizer executives would prefer to buy AstraZeneca rather than a different pharmaceutical company. Manufacturing activity in the Eurozone and China grew at a slower pace than expected as rising political tensions threaten global economic growth. The Eurozone Aug Markit manufacturing PMI fell -1.0 to a 13-month low of 50.8 and bolstered the outlook for the ECB to expand stimulus. Asian stocks closed mixed: Japan +0.85%, Hong Kong -0.66%, China -0.50%, Taiwan -0.37%, Australia +0.08%, Singapore +0.01%, South Korea -1.60%, India +0.17%. Japan's Nikkei Stock Index rose to a 2-1/2 week high as exporters rallied on improved earnings prospects after the yen fell to a 4-1/2 month low against the dollar. Commodity prices are mixed. Oct crude oil (CLV14 -0.75%) is down -0.68% at a fresh 7-1/4 month low on demand concerns after Chinese and Eurozone manufacturing activity slowed more than expected. Oct gasoline (RBV14 -0.45%) is down -0.33%. Dec gold (GCZ14 -1.07%) is down -0.99% at a 2-month low as the dollar index surged to an 11-1/2 month high after the minutes of the Jul 29-30 FOMC meeting raised the possibility the Fed may hike interest rates sooner than anticipated. Sep copper (HGU14 -0.68%) is down -0.79%. Agriculture and livestock prices are mixed with Oct hogs down -1.19% at a fresh 6-1/4 month low. The dollar index (DXY00 +0.02%) is up +0.02% at an 11-1/2 month high on the heels of the hawkish minutes of the Jul 29-30 FOMC meeting. EUR/USD (^EURUSD) is up +0.05% as it recovers from an 11-1/4 month low. USD/JPY (^USDJPY) is up +0.05% at a 4-1/2 month high as the rally in stocks undercuts the safe-haven demand for the yen. Sep T-note prices (ZNU14 -0.07%) are down -2 ticks at a 1-week low.
The Eurozone Aug Markit manufacturing PMI fell -1.0 to 50.8, a bigger drop than expectations of -0.5 to 51.3 and the slowest pace of expansion in 13 months. The Aug Markit composite PMI slipped -1.0 to 52.8, a bigger drop than expectations of -0.4 to 53.4 and matched June's level as the slowest pace of expansion in 8 months.
The German Aug Markit/BME manufacturing PMI fell -0.4 to 52.0, a smaller decline than expectations of -0.9 to 51.5. The Aug Markit services PMI fell -0.3 to 56.4, a smaller decline than expectations of -0.8 to 55.5.
The China Aug HSBC flash manufacturing PMI fell -1.4 to 50.3, a larger decline than expectations of -0.2 to 51.5.
UK retail sales data were mixed with Jul retail sales ex autos up +0.5% m/m and +3.4% y/y, close to expectations of +0.4% m/m and +3.5% y/y, while Jul retail sales including autos rose +0.1% m/m and +2.6% y/y, weaker than expectations of +0.4% m/m and +3.1% y/y.
UK Jul public sector net borrowing fell -1.1 billion pounds, a smaller decline than expectations of -1.7 billion pounds.
The Japan Aug Markit/JMMA manufacturing PMI rose +1.9 to 52.4, stronger than expectations of +1.0 to 51.5 and the fastest pace of expansion in 5 months.
U.S. STOCK PREVIEW
The market is expecting today’s weekly initial unemployment claims report to show a decline of -8,000 to 303,000, reversing about one-half of last week’s rather large +21,000 increase to 311,000. The market is looking for today’s July existing home sales report to show a decline of -0.5% to 5.02 million, giving back some of the +2.6% increase to 5.04 million seen in June. The market is expecting today’s Aug Philadelphia Fed manufacturing index to show a -4.4 point decline to 19.5, reversing most of the +6.1 point increase to a 3-1/2 year high of 23.9 seen in July. The market consensus is that today’s July U.S. leading indicators index will show a strong increase of +0.6%, adding to the +0.3% increase seen in June.
There are thirteen S&P 500 companies that reports earnings today: Hormel Foods (consensus $0.48), Patterson Cos. (0.50), Sears Holdings (-2.58), Toro (0.83), The Gap (0.69), Ross Stores (1.08), Nordson (1.13), Intuit (0.07), Brocade (0.19), salesforce.com (0.12), GameStop (0.18), Dollar Tree (0.64) and Marvell Technology (0.28). Equity conferences this week include: Enercom, Inc Oil & Gas Conference on Mon-Thu.
OVERNIGHT U.S. STOCK MOVERS
Hormel Foods ({=HRL reported Q3 EPS of 51 cents, higher than consensus of 48 cents.
Patterson Cos. (PDCO +0.10%) reported Q1 EPS of 50 cents, right on expectations.
Dollar Tree (DLTR +0.53%) reported Q2 EPS of 61 cents, weaker than consensus of 64 cents.
Sears Holdings (SHLD +1.27%) reported a Q2 EPS loss of -$5.39, a much wider loss than consensus of -$2.63.
Bon-Ton Stores (BONT -1.20%) reported a Q2 EPS loss of -$1.86, a larger loss than consensus of -$1.54.
Madison Square Garden (MSG +3.44%) was downgraded to 'Hold' from 'Buy' at Stifel.
Baird raised its price target on Lowe's (LOW +1.57%) to $60 from $57 and kept its 'Outperform' rating on the stock.
Sally Beauty (SBH +0.98%) rose nearly 2% in after-hours trading after the company authorized a new $1.0 billion share repurchase program.
American Eagle (AEO +11.99%) was upgraded to 'Buy' from 'Neutral' at SunTrust.
L Brands (LB -0.38%) reported Q2 EPS of 63 cents, better than consensus of 62 cents.
CACI (CACI +0.23%) reported Q4 EPS of $1.49, stronger than consensus of $1.43.
Synopsys (SNPS +0.51%) reported Q3 EPS of 65 cents, higher than consensus of 60 cents.
Hewlett-Packard (HPQ -1.01%) reported Q3 adjusted EPS of 89 cents, right on consensus, although Q3 revenue of $27.6 billion was better than consensus of $27.01 billion.
MARKET COMMENTS
Sep E-mini S&Ps (ESU14 +0.15%) this morning are up +3.50 points (+0.18%) at a new record high. The S&P 500 index on Wednesday rose to a 3-week high and settled higher: S&P 500 +0.25%, Dow Jones +0.35%, Nasdaq +0.01%. Bullish factors for stocks included (1) signs of strength in the global economy after Japan Jul exports rose +3.9% y/y, slightly better than expectations of +3.8% y/y, and (2) speculation that Fed Chair Yellen will reiterate at Friday's annual Fed conference in Jackson Hole, Wyoming that the Fed intends to keep interest rates at record lows even as economic growth show signs of accelerating. Stocks came off of their best levels after the minutes of the Jul 29-30 FOMC meeting raised the possibility that monetary stimulus may end sooner than anticipated.
Sep 10-year T-notes (ZNU14 -0.07%) this morning are down -2 ticks at a 1-week low. Sep 10-year T-note futures prices on Wednesday closed lower on reduced safe-haven demand after the S&P 500 rallied to a 3-week high and after the minutes of the Jul 29-30 FOMC meeting raised the possibility the Fed may hike interest rates sooner than expected. Closes: TYU4 -9.5, FVU4 -8.2.
The dollar index (DXY00 +0.02%) this morning is up +0.014 (+0.02%) at a fresh 11-1/2 month high. EUR/USD (^EURUSD) is up +0.0006 (+0.05%) and USD/JPY (^USDJPY) is up +0.05 (+0.05%) at a 4-1/2 month high. The dollar index on Wednesday posted an 11-1/4 month high and closed higher. Bullish factors included (1) the hawkish minutes of the Jul 29-30 FOMC meeting that showed policy makers may raise interest rates sooner than anticipated, and (2) weakness in EUR/USD which fell to an 11-1/4 month low on deflation concerns after German Jul PPI fell -0.1% m/m and -0.8% y/y, a faster pace of decline than expectations of unch m/m and -0.7% y/y. Closes: Dollar index +0.343 (+0.42%), EUR/USD -0.00609 (-0.46%), USD/JPY +0.84 (+0.82%).
Oct WTI crude oil (CLV14 -0.75%) this morning is down -64 cents (-0.66%) at a 7-1/4 month low and Oct gasoline (RBV14 -0.45%) is down -0.0086 (-0.33%). Oct crude and gasoline prices on Wednesday closed higher: CLV4 +0.59 (+0.64%), RBV4 +0.0154 (+0.60%). Bullish factors for crude prices included (1) the -4.474 million bbl decline in weekly EIA crude inventories, more than expectations of -1.15 million bbl, and (2) the unexpected +1.8 point increase in the weekly refinery utilization rate, more than expectations of a -0.4 decline. Gains were limited after the dollar index posted an 11-1/4 month high and after crude supplies at Cushing, OK, the delivery point of WTI futures, rose +1.75 million bbl.
GLOBAL EVENT CALENDAR08/21/2014
US0830 ETWeekly initial unemployment claims expected -8,000 to 303,000, previous +21,000 to 311,000. Weekly continuing claims expected -24,000 to 2.520 million, previous +25,000 to 2.544 million.
0830 ETUSDA weekly Export Sales.
0945 ETPreliminary Aug Markit manufacturing PMI expected -0.1 to 55.7, Jul -1.5 to 55.8.
1000 ETJul existing home sales expected -0.5% to 5.02 million, Jun +2.6% to 5.04 million.
1000 ETJul leading indicators expected +0.6%, Jun +0.3%.
1000 ETAug Philadelphia Fed manufacturing index expected -4.4 to 19.5, Jul +6.1 to 23.9.
1100 ETTreasury announces amount of 2-year T-notes (previous $29 billion), 2-year floating-rate notes (previous $15 billion), 5-year T-notes (previous $35 billion) and 7-year T-notes (previous $29 billion) to be auctioned Aug 26-28.
n/aThe Kansas City Feds annual 2-day symposium begins in Jackson Hole, Wyoming. This years topic: Re-Evaluating Labor Market Dynamics.
GER0330 ETGerman Aug Markit /BME manufacturing PMI expected -0.9 to 51.5, Jul 52.4. Aug Markit services PMI expected -1.2 to 55.5, Jul 56.7.
EUR0400 ETEurozone Aug Markit composite PMI expected -0.4 to 53.4, Jul 53.8.
1000 ETEurozone Aug consumer confidence expected -0.7 to -9.1, Jul -0.9 to -8.4.
UK0430 ETUK Jul retail sales ex autos expected +0.4% m/m and +3.5% y/y, Jun -0.1% m/m and +4.0% y/y. Jul retail sales including autos expected +0.4% m/m and +3.1% y/y, Jun +0.1% m/m and +3.6% y/y.
0430 ETUK Jul public sector net borrowing expected -1.7 billion pounds, Jun +9.5 billion pounds.
U.S. STOCK CALENDAR08/21/2014
Company NameTickerTimeEvent DescriptionPeriodEstimate
Hormel Foods CorpHRL USBef-mktQ3 2014 Earnings ReleaseQ3 20140.483
Patterson Cos IncPDCO USBef-mktQ1 2015 Earnings ReleaseQ1 20150.496
Sears Holdings CorpSHLD USBef-mktQ2 2015 Earnings ReleaseQ2 2015-2.58
Toro Co/TheTTC US8:30Q3 2014 Earnings ReleaseQ3 20140.828
Monsanto CoMON US8:30Whistle Stop Tour - Day 2Y 2014
Hormel Foods CorpHRL US9:00Q3 2014 Earnings CallQ3 2014
L Brands IncLB US9:00Q2 2015 Earnings CallC2 2015
L Brands IncLB US9:00Q2 2015 Earnings CallQ2 2015
Dollar Tree IncDLTR US9:00Q2 2015 Earnings CallC2 2015
Dollar Tree IncDLTR US9:00Q2 2015 Earnings CallQ2 2015
Principal Financial Group IncPFG US9:00Roadshow - Mid-AtlanticY 2014
Patterson Cos IncPDCO US10:00Q1 2015 Earnings CallQ1 2015
Alere IncALR US10:00Annual General MeetingY 2014
Toro Co/TheTTC US11:00Q3 2014 Earnings CallQ3 2014
Medtronic IncMDT US11:30Annual General MeetingY 2014
Gap Inc/TheGPS US16:00Q2 2015 Earnings ReleaseQ2 20150.687
Ross Stores IncROST US16:00Q2 2015 Earnings ReleaseQ2 20151.082
Ross Stores IncROST US16:15Q2 2015 Earnings CallQ2 2015
Intuit IncINTU US16:30Q4 2014 Earnings CallQ4 2014
Marvell Technology Group LtdMRVL US16:45Q2 2015 Earnings CallQ2 2015
Gap Inc/TheGPS US17:00Q2 2015 Earnings CallQ2 2015
salesforce.com incCRM US17:00Q2 2015 Earnings CallQ2 2015
GameStop CorpGME US17:00Q2 2015 Earnings CallQ2 2015
Nordson CorpNDSN USAft-mktQ3 2014 Earnings ReleaseQ3 20141.132
Intuit IncINTU USAft-mktQ4 2014 Earnings ReleaseQ4 20140.072
Brocade Communications Systems IncBRCD USAft-mktQ3 2014 Earnings ReleaseQ3 20140.191
salesforce.com incCRM USAft-mktQ2 2015 Earnings ReleaseQ2 20150.119
GameStop CorpGME USAft-mktQ2 2015 Earnings ReleaseQ2 20150.183
Brocade Communications Systems IncBRCD US17:30Q3 2014 Earnings CallQ3 2014
Humana IncHUM USInvestor MeetingY 2014
Dollar Tree IncDLTR USQ2 2015 Earnings ReleaseQ2 20150.636
Marvell Technology Group LtdMRVL USQ2 2015 Earnings ReleaseQ2 20150.281
Sears Holdings CorpSHLD USQ2 2015 Earnings CallQ2 2015

Wednesday, August 20, 2014

Weyerharuser - Barchart's Chart of the Day

Weyerhaeuser (WY) is the Barchart Chart of the Day.  The wood products company has a Trend Spotter buy signal, a Weighted Alpha of 24.50+ and gained 24.68% in the last year , while paying a 2.63% dividend.

The Chart of the Day belongs to Weyerhaeuser (WY).  I found the stock by sorting the New High List of the best technical buy signals, then used the Flipchart feature to review the charts.  Since the Trend Spotter signaled a buy on 8/14 the stock gained 2.87%.

WY is principally engaged in the growing and harvesting of timber and the manufacture, distribution and sale of forest products, real estate development and construction, and other real estate related activities. Its business segments are timber lands, wood products,pulp, paper and packaging; plus real estate and related assets.



Barchart's Opinion trading systems are listed below. Please note that the Barchart Opinion indicators are updated live during the session every 10 minutes and can therefore change during the day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com web site when you read this report.

Barchart technical indicators:

  • 100% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 7 new highs and up 4.67% in the last month
  • Relative Strength Index 74.12%
  • Barchart computes a technical support level at 33.64
  • Recently traded at 34.10 with a 50 day moving average of 32.16
Fundamental factors:
  • Market Cap $19.96 billion
  • P/E 27.85
  • Dividend yield 2.63%
  • Revenue expected to decline 6.10% this year but grow again by 5.40% next year
  • Earning estimated to increase bu 17.50% this year, an additional 24.60% next year and continue to increase at an annual rate of 5.00% for the next 5 years
  • Wall Street analysts issued 6 strong buy, 2 buy, 3 hold and 2 under perform recommendations on the stock
WY is one of those great core positions that should be held during every bull market.  The 100 day moving average has been a very good trading strategy on this stock.

Sandridge Mississippian sell signals

Today I dropped Sandridge Mississippian Trust (SDR) for the Barchart Van Meerten Speculative portfolio for negative price momentum:


Barchart technical indicators:
  • 88% Barchart technical sell signals
  • Trend Spotter sell signal
  • Below its 20, 50 and 100 day moving averages
  • 27.35% off its recent high
  • Relative Strength Index 10.51%


BARCHART MORNING CALL 8/20

OVERNIGHT MARKETS AND NEWS
September E-mini S&Ps (ESU14 unch) this morning are down -0.08% and European stocks are down -0.26% ahead of the release of the minutes of the Jul 29-30 FOMC meeting later today. The markets are also looking ahead to comments from Fed Chair Yellen and ECB President Draghi from the annual 2-day Fed conference that begins tomorrow in Jackson Hole, Wyoming. Asian stocks closed mixed: Japan +0.03%, Hong Kong +0.15%, China -0.36%, Taiwan +0.48%, Australia +0.19%, Singapore +0.22%, South Korea +0.06%, India -0.40%. Commodity prices are mixed. Sep crude oil (CLU14 +1.29%) is up +1.53%. Sep gasoline (RBU14 +0.62%) is up +0.81%. Dec gold (GCZ14 +0.01%) is down -0.13%. Sep copper (HGU14 +0.62%) is up +0.57%. Agriculture and livestock prices are mostly lower. The dollar index (DXY00 +0.22%) is up +0.26% at an 11-1/4 month high on speculation today's minutes from the Jul 29-30 FOMC meeting will show policy makers are moving toward raising interest rates. EUR/USD (^EURUSD) is down -0.31% at an 11-1/4 month low on deflation concerns after German Jul producer prices unexpectedly declined. USD/JPY (^USDJPY) is up +0.39% at a 4-1/4 month high on speculation that the BOJ may cut its growth forecast for this fiscal year for a fourth time as exports fail to bolster the Japanese economy weakened by April's sales-tax increase. GBP/USD rebounded from a 4-1/4 month low after minutes of the Aug 6-7 BOE meeting showed two policy makers voted for an interest rate increase. Sep T-note prices (ZNU14 -0.09%) are down -1 tick.
The Japan Jul trade balance unexpectedly widened to a -964.0 billion yen deficit from a revised -823.2 billion deficit in Jun, more than expectations for the deficit to narrow to -713.9 billion yen. Jul exports rose +3.9% y/y, slightly better than expectations of +3.8% y/y, while Jul imports unexpectedly rose +2.3% y/y, better than expectations of -1.5% y/y.
The Japan Jun all-industry activity index fell -0.4% m/m, right on expectations.
German Jul PPI fell -0.1% m/m and -0.8% y/y, a faster pace of decline than expectations of unch m/m and -0.7% y/y.
Eurozone Jun construction output fell -0.7% m/m and -2.3% y/y.
UK Aug CBI trends of manufacturing orders rose +9 to 11, stronger than expectations of +2 to 4. The Aug trends of selling prices fell to -1, a slower pace of decline than from -4 in Jul.
U.S. STOCK PREVIEW
The FOMC today will release the minutes from its July 29-30 meeting.  The markets will also be watching today’s weekly MBA report for an update on mortgage and housing market activity.  There are seven S&P 500 companies that reports earnings today:  JM Sucker (consensus $1.37), Target (0.78), PetSmart (0.94), Hewlett-Packard (0.885), L Brands (0.62), Staples (0.115) and Lowe's ($1.025).  Equity conferences this week include:  Enercom, Inc Oil & Gas Conference on Mon-Thu, and 8th Annual Forum on Transparency & Aggregate Spending on Tue-Wed.
OVERNIGHT U.S. STOCK MOVERS
JM Smucker (SJM +0.31%) reported Q1 EPS of $1.34, less than consensus of $1.37
Staples (SPLS +0.78%) reported Q2 EPS of 12 cents, right on expectations.
Lowe's (LOW +2.12%) reported Q2 EPS of $1.04, higher than consensus of $1.03.
UBS maintains its 'Buy' rating on Home Depot (HD +5.55%) and raised its price target on the stock to $98 from $91.
Hain Celestial (HAIN -2.00%) reported Q4 adjusted EPS of 90 cents, higher than consensus of 89 cents.
Panera Bread (PNRA +1.89%) was upgraded to 'Overweight' from 'Equal Weight' at Barclays.
BHP Billiton (BHP -3.75%) was downgraded to 'Underperform' from 'Neutral' at Credit Suisse.
PetSmart (PETM +1.84%) gained over 1% in after-hours trading after it reported Q2 EPS of 98 cents, better than consensus of 94 cents.
Hertz (HTZ +1.28%) slumped over 12% in after hours trading after it withdraw guidance for fiscal 2014. The stock was then downgraded to 'Neutral' from 'Overweight' at JPMorgan and downgraded to 'Hold' from 'Buy' at Deutsche Bank.
Oz Management reduced its stake in Rockwood (ROC -0.20%) to 3.5% from 5.95%.
RA Capital reported a 6.2% passive stake in Vical (VICL unch) .
La-Z-Boy (LZB +2.79%) slipped over 3% in after-hours trading after it reported Q1 EPS of 20 cents, below consensus of 21 cents.
MARKET COMMENTS
Sep E-mini S&Ps (ESU14 unch) this morning are down -1.50 points (-0.08%). The S&P 500 index on Tuesday posted a 3-week high and settled higher: S&P 500 +0.50%, Dow Jones +0.48%, Nasdaq +0.49%. Supportive factors for stocks included (1) the +15.7% jump in U.S. Jul housing starts to 1.093 million, well above expectations of +8.1% to 965,000 and the most in 8 months, (2) the +8.1% gain in Jul building permits, a proxy for future construction, to 1.052 million, stronger than expectations of +2.8% to 1.000 million, and (3) tame inflation data after Jul CPI ex-food & energy rose +0.1% m/m and +1.9% y/y, slightly less than expectations of +0.2% m/m and +1.9% y/y.
Sep 10-year T-notes (ZNU14 -0.09%) this morning are down -1 tick. Sep 10-year T-note futures prices on Tuesday closed lower. Stronger-than-expected U.S. Jul housing starts boosted the S&P 500 to a 3-week high and undercut T-notes, while benign U.S. inflation data for July kept T-note losses to a minimum. Closes: TYU4 -4.5, FVU4 -2.0.
The dollar index (DXY00 +0.22%) this morning is up +0.212 (+0.26%) at a new 11-1/4 month high. EUR/USD (^EURUSD) is down -0.0041 (-0.31%) at an 11-1/4 month low and USD/JPY (^USDJPY) is up +0.40 (+0.39%) at a 4-1/4 month high. The dollar index on Tuesday soared to an 11-month high and closed higher. Bullish factors included (1) signs the U.S. economy is gaining traction after Jul housing starts rose to an 8-month high, and (2) weakness in EUR/USD which fell to a 9-1/4 month low on weakened interest rate differentials for the euro versus the dollar on expectations for the Fed to tighten monetary policy before the ECB. Closes: Dollar index +0.307 (+0.38%), EUR/USD -0.00433 (-0.32%), USD/JPY +0.345 (+0.34%).
Sep WTI crude oil (CLU14 +1.29%) this morning is up +$1.45 (+1.53%) and Sep gasoline (RBU14 +0.62%) is up +0.0217 (+0.81%). Sep crude and gasoline prices on Tuesday settled mixed with Sep crude falling to a 7-month low: CLU4 -1.93 (-2.00%), RBU4 +0.0503 (+1.89%). Bearish factors for crude prices included (1) the surge in the dollar index to an 11-month high, and (2) speculation that Wednesday's EIA data will show crude supplies at Cushing, OK, the delivery point for WTI futures, rose as the shutdown of the Coffeyville, Kansas refinery reduced demand for crude from Cushing. Gasoline prices gained on signs of economic strength after U.S. Jul housing starts rose to an 8-month high.
GLOBAL EVENT CALENDAR08/20/2014
US0700 ETWeekly MBA mortgage applications, previous -2.7% with purchase sub-index -1.0% and refi sub-index -4.0%.
1030 ETEIA Weekly Petroleum Status Report.
1400 ETMinutes of the Jul 29-30 FOMC meeting.
JPN0000 ETJapan Jun all-industry activity index expected -0.4% m/m, May +0.6% m/m.
2135 ETJapan Aug Markit/JMMA manufacturing PMI expected +1.0 to 51.5, Jul 50.5.
GER0200 ETGerman Jul PPI expected unch m/m and -0.7% y/y, Jun unch m/m and -0.7% y/y.
UK0430 ETMinutes of the Aug 6-7 BOE monetary policy meeting.
0600 ETUK Aug CBI trends total orders expected +2 to 4, Jul 2. Aug CBI trends selling prices, Jul -4.
EUR0500 ETEurozone Jun construction output, May -1.5% m/m and +3.5% y/y.
CHI2145 ETChina Aug HSBC manufacturing PMI expected -0.2 to 51.5, Jul +0.7 to 51.7.
U.S. STOCK CALENDAR08/20/2014
Company NameTickerTimeEvent DescriptionPeriodEstimate
JM Smucker Co/TheSJM USBef-mktQ1 2015 Earnings ReleaseQ1 20151.365
Target CorpTGT USBef-mktQ2 2015 Earnings ReleaseQ2 20150.782
PetSmart IncPETM USBef-mktQ2 2015 Earnings ReleaseQ2 20150.935
Staples IncSPLS US8:00Q2 2015 Earnings CallC2 2015
Staples IncSPLS US8:00Q2 2015 Earnings CallQ2 2015
JM Smucker Co/TheSJM US8:30Q1 2015 Earnings CallQ1 2015
Lowe's Cos IncLOW US9:00Q2 2015 Earnings CallQ2 2015
PetSmart IncPETM US10:00Q2 2015 Earnings CallQ2 2015
Target CorpTGT US10:30Q2 2015 Earnings CallQ2 2015
Monsanto CoMON US13:00Whistle Stop TourY 2014
Hewlett-Packard CoHPQ US17:00Q3 2014 Earnings CallQ3 2014
Hewlett-Packard CoHPQ USAft-mktQ3 2014 Earnings ReleaseQ3 20140.885
L Brands IncLB USAft-mktQ2 2015 Earnings ReleaseQ2 20150.62
Monsanto CoMON USWhistle Stop Tour
Staples IncSPLS USQ2 2015 Earnings ReleaseQ2 20150.115
Lowe's Cos IncLOW USQ2 2015 Earnings ReleaseQ2 20151.025

Tuesday, August 19, 2014

Zumiez - Barchart's Chart of the Day

Zumiez (ZUMZ) is the Barchart Chart of the Day.  The sports apparel retailer has a Trend Spotter buy signal, a Weighted Alpha of 21.80+ and gained 38.04% in the last  6 months.

The Chart of the Day belongs to Zumiez (ZUMZ).  I found the stock by sorting the New High list for the best technical buy signals then used the Flipchart feature to review the charts.  Since the Trend Spotter signaled a buy on 8/4 the stock gained 6.06%.


Barchart's Opinion trading systems are listed below. Please note that the Barchart Opinion indicators are updated live during the session every 10 minutes and can therefore change during the day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com web site when you read this report.

Barchart technical indicators:

  • 96% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 10 new highs and up 10.21% in the last month
  • Relative Strength Index 63.61%
  • Barchart computes a technical support level at 28.92%
  • Recently traded at 30.79 with a 50 day moving average of 28.32
Fundamental factors:
  • Market Cap $899.99 million
  • P/E 20.65
  • Revenue expected to grow 10.70% this year and another 9.30% next year
  • Earnings estimated to increase 12.30% this year an additional 12.80% next year and continue to increase at an annual rate of 11.80% for the next 5 years
  • Wall Street analysts issued 4 strong buy, 5 buy and 11 hold recommendations on the stock
This stock is volatile so watch the 100 day moving average for your exit point


5 Great NASDAQ 100 stocks

I wanted to see which NASDAQ 100 stocks might be worth watching so I sorted the Index to find the stock with the best technical buy signals.  The list includes Intuit (INTU), Marriot International ((MAR), Equinix (EQIX), Gilead Sciences (GILD) and Celegene (CELG):

Intuit (INTU)


Barchart technical indicators:
  • 100% Barchart technical buy signals
  • Trend Spotter buy signals
  • Above its 20, 50 and 100 day moving averages
  • 9 new highs and up 3.88% in the last month
  • Relative Strength Index 70.67%
  • Barchart computes a technical support level at 83.56
  • Recently traded at 85.03 with a 50 day moving average of 81.26


Barchart technical indicators:
  • 100% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20 50 and 100 day moving averages
  • 9 new highs and up 4.95% in the last month
  • Relative Strength Index 67.95%
  • Barchart computes a technical support level at 67.04
  • Recently traded at 68.14 wight a 50 day moving average of 64.81
Equinix (EQIX)


Barchart technical indicators:
  • 100% Barchart technical by signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 8 new highs and up 5.23% in the last month
  • Relative Strength Index 70.78%
  • Barchart computes a technical support level at 215.09
  • Recently traded at 220.86 with a 50 day moving average of 211.36


Barchart technical indicators:
  • 100% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 8 new highs and up 11.95% in the last month
  • Relative Strength Index 75.88%
  • Barchart computes a technical support level at 99.35
  • Recently traded at 100.47 with a 50 day moving average of 88.08
Celegene (CELG)


Barchart technical indicators:
  • 100% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 7 new highs and up 7.45% in the last month
  • Relative Strength Index 65.88%
  • Barchart computes a technical support level at 89.12
  • Recently traded at 91.48 with a 50 day moving average of 86.27












BARCHART MORNING CALL 8/19


OVERNIGHT MARKETS AND NEWS
September E-mini S&Ps (ESU14 +0.15%) this morning are up +0.09% at a 2-1/2 week high and European stocks are up +0.44% at a 2-week high on reduced tensions in Ukraine along with stronger-than-expected stock earnings results. Home Depot rose 3.5% in pre-market trading after reporting Q2 earnings of $1.52 a share, better than consensus of $1.44, while A.P. Moeller-Maersk A/S jumped nearly 5% after the owner of the world's largest container-shipping line raised its full-year profit forecast. Asian stocks closed higher: Japan +0.83%, Hong Kong +0.67%, China +0.01%, Taiwan +1.12%, Australia +0.66%, Singapore +0.11%, South Korea +0.99%, India +0.11%. China's Shanghai Stock Index posted an 8-1/4 month high amid speculation the government will boost stimulus to meet its growth forecasts, while the Chinese yuan strengthened to a 5-month high of 6.1366 per dollar after the PBOC cut the daily reference rate by -0.04% to 6.1548 per dollar. Commodity prices are mixed. Sep crude oil (CLU14 +0.44%) is up +0.34%. Sep gasoline (RBU14 +0.89%) is up +0.76%. Dec gold (GCZ14 +0.27%) is up +0.17%. Sep copper (HGU14 +0.14%) is up +0.16%. Agriculture and livestock prices are mixed. The dollar index (DXY00 +0.14%) is up +0.14% at a 1-1/2 week high as GBP/USD tumbled to a 4-1/4 month low after UK inflation slowed more than expected. EUR/USD (^EURUSD) is down -0.13%. USD/JPY (^USDJPY) is up +0.09%. Sep T-note prices (ZNU14 +0.09%) are up +3 ticks.
UK Jul CPI fell -0.3% m/m and rise +1.6% y/y, a slower pace of increase than expectations of -0.2% m/m and +1.8% y/y. Jul core CPI rose +1.8% y/y, less than expectations of +1.9% y/y.
UK Jul RPI fell -0.1% m/m and rose +2.5% y/y, slightly less than expectations of -0.1% m/m and +2.6% y/y. Jul RPI ex-mortgage interest payments rose +2.6% y/y, right on expectations.
The Japan Jun leading index CI was revised higher to 105.9 from the originally reported 105.5. The Jun coincident index was revised higher to 109.7 from the previously reported 109.4, still the lowest in 9 months.
Japan Jul nationwide department store sales fell -2.5% y/y, the fourth consecutive monthly decline.

U.S. STOCK PREVIEW
The market is expecting today’s CPI report to show that the CPI inflation indexes remain under wraps near the Fed’s 2.0% inflation target.  The market is also expecting today’s July housing starts report to show an increase of +8.4% to 968,000, reversing most of the -9.3% decline to 893,000 seen in June.  There are three S&P 500 companies that reports earnings today:  Home Depot (consensus $1.44).  Medtronic (0.923) and TJX Companies (0.73). Equity conferences this week include:  Enercom, Inc Oil & Gas Conference on Mon-Thu, and 8th Annual Forum on Transparency & Aggregate Spending on Tue-Wed.

OVERNIGHT U.S. STOCK MOVERS
Home Depot (HD -0.12%) climbed 3.5% in pre-market trading after it reported Q2 earnings of $1.52 a share, better than consensus of $1.44.
Medtronic (MDT +0.35%) reported Q1 EPS of 93 cents, better than consensus of 92 cents.
Dick's Sporting Goods (DKS +1.26%) reported Q2 non-GAAP EPS of 67 cents, higher than consensus of 65 cents.
Ingersoll-Rand (IR +2.69%) was downgraded to 'Neutral' from 'Outperform' at RW Baird.
Morgan Stanley recommends adding to Apple (AAPL +1.20%) positions as it keeps its 'Overweight' rating on the stock with a $110 price target.
Guess (GES +2.62%) was downgraded to 'Neutral' from 'Overweight' at Piper Jaffray.
Teekay (TK +2.43%) was upgraded to 'Strong Buy' from 'Outperform' at Raymond James.
Rackspace (RAX +1.95%) climbed nearly 4% in pre-market trading after Blue Harbour reported a 6.4% stake in the company.
Aeropostale (ARO +2.21%) jumped over 4% in after-hours trading after it raised guidance on Q2 adjusted EPS to a loss of -45 cents- 42 cents, a smaller loss than consensus of 58 cents.
Lone Pine Capital reported a 5.3% passive stake in Cognizant (CTSH +1.14%) .
CNOOC (CEO +5.28%) was downgraded to 'Hold' from 'Buy' at Jefferies.
Urban Outfitters (URBN +2.41%) reported Q2 EPS of 49 cents, right on consensus, although Q2 revenue of $811 million was better than consensus of $806.99 million. RW Baird then upgraded the stock to 'Outperform' from 'Neutral.'

MARKET COMMENTS
Sep E-mini S&Ps (ESU14 +0.15%) this morning are up +1.75 points (+0.09%) at a fresh 2-1/2 week high. The S&P 500 index on Monday rallied to a 2-week high and closed higher: S&P 500 +0.85%, Dow Jones +1.06%, Nasdaq +0.83%. Bullish factors included (1) carry-over support from a rally in European stocks on reduced geopolitical tensions as Ukraine and Russia met for peace talks, (2) the unexpected +2 point increase in the Aug NAHB housing market index to 55, stronger than expectations of unchanged at 53 and the highest in 7 months, and (3) increased M&A activity after Dollar General offered to buy Family Dollar Stores for $9.7 billion.
Sep 10-year T-notes (ZNU14 +0.09%) this morning are up +3 ticks. Sep 10-year T-note futures prices on Monday closed lower. Negative factors included (1) reduced safe-haven demand for T-notes as stocks rallied after tensions eased in Ukraine when Russian and Ukraine leaders met to discuss a truce, and (2) the unexpected increase in the Aug NAHB housing market index to a 7-month high. Closes: TYU4 -9.00, FVU4 -3.50.
The dollar index (DXY00 +0.14%) this morning is up +0.117 (+0.14%) at a 1-1/2 week high. EUR/USD (^EURUSD) is down -0.0017 (-0.13%) and USD/JPY (^USDJPY) is up +0.09 (+0.09%). The dollar index on Monday closed higher. Bullish factors included (1) the unexpected increase in the Aug NAHB housing market index to a 7-month high, which signals economic strength, and (2) weakness in the yen against the dollar as the rally in the S&P 500 to a 2-week high undercut safe-haven demand for yen. Closes: Dollar index +0.146 (+0.18%), EUR/USD +0.00349 (+0.26%), USD/JPY +0.221 (+0.22%).
Sep WTI crude oil (CLU14 +0.44%) this morning is up +33 cents (+0.34%) and Sep gasoline (RBU14 +0.89%) is up +0.0202 (+0.76%). Sep crude and gasoline prices on Monday closed lower with Sep gasoline at a 6-1/2 month low: CLU4 -0.94 (-0.97%), RBU4 -0.0190 (-0.70%). Bearish factors included (1) a stronger dollar, (2) an increase in Libyan oil output to 540,000 bpd from 415,000 bpd last week, according to Libya’s state-run National Oil Corp, and (3) reduced concern that Islamic Sate fighters will take over Iraq's oil facilities after U.S. airstrikes helped Kurdish forces retake land that was taken over by the fighters in northern Iraq.

GLOBAL EVENT CALENDAR08/19/2014
US0830 ETJul CPI expected +0.1% m/m and +2.0% y/y, Jun +0.3% m/m and +2.1% y/y. Jul CPI ex food & energy expected +0.2% m/m and +1.9% y/y, Jun +0.1% m/m and +1.9% y/y.
0830 ETJul housing starts expected +8.4% to 968,000, Jun -9.3% to 893,000. Jul building permits expected +2.8% to 1.0 million, Jun -3.2% to 973,000.
JPN0100 ETRevised Japan Jun leading index CI, previous 105.5. Revised Jun coincident index, previous 109.4.
0130 ETJapan Jul nationwide department store sales, Jun -4.6% y/y.
0200 ETRevised Japan Jul machine tool orders, previous +37.7% y/y.
1950 ETJapan Jul trade balance expected -713.9 billion yen, Jun -823.2 billion yen. Jul exports expected +3.8% y/y, Jun -1.9% y/y. Jul imports expected -1.5% y/y, Jun +8.4% y/y.
UK0430 ETUK Jul CPI expected -0.2% m/m and +1.8% y/y, Jun +0.2% m/m and +1.9% y/y. Jul core CPI expected +1.9% y/y, Jun +2.0% y/y.
0430 ETUK Jul RPI expected -0.1% m/m and +2.6% y/y, Jun +0.2% m/m and +2.6% y/y. Jul RPI ex-mortgage interest payments expected +2.6% y/y, Jun +2.7% y/y.
0430 ETUK Jul PPI input prices expected -0.8% m/m and -0.2% y/y, Jun -0.8% m/m and -4.4% y/y.
0430 ETUK Jul PPI output prices expected +0.1% m/m and unch y/y, Jun -0.2% m/m and +0.2% y/y. Jul PPI output core prices expected +0.9% y/y, Jun unch m/m and +1.0% y/y.
0430 ETUK Jun ONS house prices expected +10.7% y/y, May +10.5% y/y.

U.S. STOCK CALENDAR08/19/2014
Company NameTickerTimeEvent DescriptionPeriodEstimate
Home Depot Inc/TheHD USBef-mktQ2 2015 Earnings ReleaseQ2 20151.444
Medtronic IncMDT US7:15Q1 2015 Earnings ReleaseQ1 20150.923
Medtronic IncMDT US8:00Q1 2015 Earnings CallQ1 2015
Home Depot Inc/TheHD US9:00Q2 2015 Earnings CallQ2 2015
TJX Cos Inc/TheTJX US9:30Q2 2015 Earnings ReleaseQ2 20150.73
TJX Cos Inc/TheTJX US11:00Q2 2015 Earnings CallQ2 2015