This column is my opinion and expresses my views. Those views can change at a moments notice when the market changes. I am not right all the time and I do not expect to be. I disclose all my positions clearly listed on the page, and I do not trade my account on the stocks spoken of in this column unless fully disclosed. If that does not work for you stop reading and close the page. Do not bother me or harass me.
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Good Morning Today is December 14
- S&P 500 futures are pointing to a lower opening of 27 points as of 8:00 AM
- The US 10-year rate is at 2.89%
- Dollar Index is at 97.57
- WTI Crude Oil is $52.15
- Critical events for today: – Retail Sales +4.2%
Recap of International Trading:
- Japan was – 2.00%
- Hong Kong Hang Seng Index -1.62%
- China Shanghai Comp. -1.53%
- UK FTSE up -0.62%
- Dax -0.61
FED Rate Hike Watch:
According to the CME, there is now a 76% chance of a rate hike in December, that is down from 79% yesterday.
Currently, the market is pricing in a 39% chance there is no rate hike in 2019 and a 35% chance of just one rate hike.
Mind The Gap
The roller coaster ride continues. It doesn’t even matter what the reason is for the decline today to be truthful. There is a new excuse every day, today’s reason – slowing global growth. Whatever.
The S&P 500 is set to gap lower, and that means that there is a very good chance we see the gap filling Algo’s go into effect probably sometime around 11:30 am. That would be my guess as to when the market turns higher. Of course, this is no sure bet, but nothing is in life. Given how previous trading sessions have gone, it would not surprise me.
Technical support for the S&P 500 will somewhere between 2615 and 2630.
Costco will be down today after reporting mixed results after the close yesterday. Technical support for Costco is around $210.
Starbucks is falling after forecast slower same-store comps. Technical support is around $60.
Micron is also pointing to a lower opening. The stock is nearing a technical break down should it fall below $34. It could result in the stock hitting a new low around $32.
Nvidia is also looking to open lowering today, and its support level comes around $139.
The banks aren’t finished falling yet, and the BKX looks like it could drop to roughly to 85.30. Ouch.
Have a good one.
Mott Capital Management, LLC is a registered investment adviser. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investments involve risk and unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial adviser and/or tax professional before implementing any strategy discussed herein. Upon request, the advisor will provide a list of all recommendations made during the past twelve months. Past performance is not indicative of future results