Market Update: 3-Weeks Tight Pattern
The market remains very strong. The S&P 500 is forming a bullish 3-weeks tight pattern on a weekly basis which is a very strong pattern. Yesterday, the bulls showed up (again) and quelled any bearish pressure. Earnings remain front and center and so far the reaction is split but mostly positive. What I mean by reaction is how the stock (and the major indices) react to the news, not just the news itself. Tesla is the latest big stock that just reported earnings and the stock is up nicely in the pre-market even though the company burned through $1 billion…(Don’t you just love this business). Big picture, stocks remain very strong. As always, I want to see where the market closes tomorrow and will have a full report for you this weekend.
FLS Portfolio:
The FLS portfolio continues acting well. Since Tuesday’s pre-market update, the service bought SHOP and AAPL. Both stocks gapped up after reporting earnings and the service bought them both at the open. Here is what I wrote before Tuesday’s open, “Remember, our entry/exit orders are stop orders so that means if the stock gaps up (or down) the stop order automatically because a market order and we are filled at the first available price. So if SHOP opens above our buy order, we will buy it at the market.” We do that for two reasons: first, most of the time the stock goes much higher after a big gap up on earnings. Second, I want to be fully transparent with you and treat FLS like a model portfolio. Additionally, the service will raise our exits in SHOP and AAPL and I don’t like how COH is trading. Stops are in and the market will guide us. Here is a snapshot of the portfolio based on Wednesday’s close:
Portfolio Update:
The service owns:
ADBE +32.44%, BABA +55.17%, COH +0.33%, CAT +5.51%, SHOP -5.41%, AAPL -1.37%
The service will exit: ADBE @ 131.17, BABA @ 137.52, COH @46.07, CAT @107.18, SHOP @ 97.19, AAPL @ 151.77
Working Orders:
There are no new orders today
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 50 Park Investments is strictly prohibited.
