Hurricane Matthew:
For all those who are in the path of the storm, please be safe…
Our weekend report might be delayed, depending on the damage.
For all those who are in the path of the storm, please be safe…
Our weekend report might be delayed, depending on the damage.
Market Update:
The split and somewhat sloppy “up” then “down” market action we have seen since September 9th continues as the market waits for tomorrow’s always fun jobs report. Oil continued to race higher after the OPEC meeting and broke above $50/barrel for the first time since June. Financials are also firming up nicely over the past few days as the Fed continues its hawkish tone.
Stepping back it is very tough to play anything aggressively because the market is so dependent on external events and really isn’t going anywhere. The benchmark S&P 500 is only 25 points higher or 1.1% above where it was in May 2015! Granted, we had two severe sell-offs and then big rallies since then (Aug 2015 & Jan-Feb 2016), but net-net we are only 1% higher during that time. Until we get clarity, we want to take our time and be patient. Looking forward, September’s low remains important support for the major indices while Aug’s high is important resistance. We have to expect this sloppy sideways action to continue until either support or resistance is breached. Looking forward, the market is focusing on the jobs report and then the attention will shift to earnings. We want to see where the market closes tomorrow and, as always, we will have a full report for you this weekend.
FLS Portfolio:
The FLS portfolio continues acting well. As of Wed’s close,
A. The service owns: SMH +17.94%, MELI +3.58%
B. The service will exit: SMH @ 62.96, MELI @ 180.05
Working Orders:
| Order | Ticker | Buy Stop | Protective Sell Stop | Risk From Entry |
| Buy | BAX | 48.36 | 46.57 | -3.70% |
| Buy | AAPL | 116.28 | 111.44 | -4.16% |
Disclaimer:
This analysis contains information from resources believed to be reliable but are not guaranteed as to accuracy or wholeness as of the date of this publication. Past performance is not necessarily indicative of future results. There is always a risk of loss in trading and investing. Opinions articulated are subject to change without notice. This analysis and any opinions expressed are intended for educational purposes only and should NOT BE interpreted as a call for engagement in any transaction involving the purchase or sale of any security or investment product or service. The risk of loss in investing and or trading can be substantial, and traders/investors should carefully consider the inherent risks of such an investment in light of their financial condition. The author, firm, associates, or the firm’s clients may have a position in any of the investments mentioned and their positions are subject to change without notice. Any reproduction or retransmission of any portion of this report without the express written consent of Sarhan Capital is strictly prohibited.
