New ES Futures highs, Pokemon and Ronaldo’s left knee. Three events over the weekend which have less of an impact than the inflated jobs report issued on Friday in the wake of the Dallas event and as a means of diverting attention from the European bank crisis and the risk of China’s GDP report due out later this week. The direction taken makes much more sense now: Pump it up so it doesn’t drop too far when the poor Q2 earnings start coming out this week.
Delphax Technologies, Inc. (DLPX) – 0.02
Already getting some pumpards posting 10 year charts on Twitter and calling for a “multi-bagger” to come, DLPX is undoubtedly a ticker I would be focused on trying to get a piece of today. As verified with the Minnesota SOS that there are 50,000,000 shares authorized, DLPX just so happens to be a major reason why Air T (NASADQ: AIRT) was able to book $2.08/share net income last year off their $148,211,938 in annual revenues.
DLPX printed as low as 0.0099 on Friday before closing at 0.02; both of which were recorded as 52WK Lo’s. Volume has still yet to flow heavily into the low floater, but when you look at the sporadic history of trading this year and how just a couple grand worth of volume was enough to take a 0.325 open in December to $3, you’ve got a license to print profits given the lack of competitive tickers out there on the OTC.
Pegasus Pharmaceuticals Inc. (PGUZ) – 0.0034
A dead ticker prior to Friday, PGUZ shares dropped on the session with enough volume to warrant having a closer look at this Active Corp. in the ancient Chinese remedy portion of the drug sector. There’s 250,000,000 shares authorized, 150,000,000 more than what’s showing on OTCMarkets, but $64,667 in volume, new 52Wk Lo and sudden curiosity into PGUZ makes it well worth paying attention to for the first 15-30 minutes today.
LOTE 0.0222 – 0.02 target surpassed last week
SPRN 0.515 – Volume building, $1 still the target
Japan’s election results which now has 2/3 or 66% pro Abe support was all that was needed to take the U.S.’s pump & dump of the Friday’s Jobs report to another level. A “bull flag pole” came with a volume spike @ 10:40PM EST on Sunday which will try and be used as a basis for a new All Time High to get posted today before the potentially negative news parade begin this week.
|Tuesday, July 12, 2016|
|05:00||GBP||BoE Gov Carney Speaks|
|05:00||GBP||Inflation Report Hearings|
|Tentative||CNY||Trade Balance (USD) (Jun)||46.64B||49.98B|
|Wednesday, July 13, 2016|
|10:00||CAD||BoC Monetary Policy Report|
|10:00||CAD||Interest Rate Decision||0.50%||0.50%|
|10:30||USD||Crude Oil Inventories||-2.223M|
|11:15||CAD||BoC Gov Poloz Speaks|
|Thursday, July 14, 2016|
|07:00||GBP||Interest Rate Decision (Jul)||0.50%||0.50%|
|07:00||GBP||BoE MPC Meeting Minutes|
|08:30||USD||PPI (MoM) (Jun)||0.3%||0.4%|
|22:00||CNY||GDP (YoY) (Q2)||6.6%||6.7%|
|22:00||CNY||Industrial Production (YoY) (Jun)||5.9%||6.0%|
|Friday, July 15, 2016|
|05:00||EUR||CPI (YoY) (Jun)||0.1%||0.1%|
|08:00||GBP||BoE Gov Carney Speaks|
|08:30||USD||Core CPI (MoM) (Jun)||0.2%||0.2%|
|08:30||USD||Core Retail Sales (MoM) (Jun)||0.4%||0.4%|
|08:30||USD||Retail Sales (MoM) (Jun)||0.1%||0.5%|
There’s really nothing to impede on last night’s bull flag pole being used today to take SPY to new all-time highs before we begin to get the first bit of earnings reports for Q2:
ALCOA INC (AA) reports after market close today and then we get YUM! BRANDS INC (YUM) after market close on Wednesday. Thursday we start getting some of the banks and a few of the recognizable name reporting:
|Company Name||Time||Wall St
|BLACKROCK INC BLK||Before Open||4.86|
|DELTA AIR LINES DAL||Before Open||1.55|
|JPMORGAN CHASE JPM||Before Open||1.43|
|PROGRESSIVE COR PGR||Before Open||0.33|
|REGENERON PHARM REGN||After Market Close||1.73|
On Friday, prior to the open, we get 3 more big banks: CITIGROUP INC (C), US BANCORP (USB) and WELLS FARGO (WFC). Earnings for the financial sector are expected to drop 5.4% in the second quarter. Second quarter earnings overall are expected to decline 4.7%, the fourth straight quarter of negative earnings.
With these factors due to come this week, anyone thinking about buying calls up here at the top should think about some beachfront property in Kansas. I hear it’s real cheap if you buy an acre or more.
This doesn’t mean SPY CALLS are totally off the table for everyone, but for smaller accounts who are eating up this hyped up market, why would you pay a Monday Premium price for a $1-$2 move up when you can easily sit aback and wait or simply position yourself into JULY 29 or AUGUST 5 PUTS which will undoubtedly double if not more when this market pullbacks.
Today’s SPY Pivot Points
Pivot Point 212.1233
Can’t see much til the market opens, but I’d be willing to be my account and the monster’s that the SPY hourly and daily charts will be showing overextended/overbought signals. It’s only due to be the 9th consecutive GREEN session as of now.