Scalper1 News
Major averages rose again yesterday on lower volume after a double-reversal that saw the indexes first open up, then trade sharply lower before reversing to close back in the black. Oil moved to lower lows as it looks to continue its downtrend after a brief pause, while precious metals rallied again with gold clearing the $1300 price level overnight in anticipation of more QE across the globe. The markets continue to express indigestion as leadership remains scant and the indexes continue to flop around in a choppy range that extends back to early December. The volatility and whipsaw nature of the market’s intraday action makes it difficult for investors and traders on both sides of the market, which necessitates the idea that we expressed yesterday, namely that gains should be taken when one has them and stop-loss points should be kept tight. Wearable video systems maker Taser International (TASR) had a pocket pivot yesterday as it rallied off of its 20-day moving average and up through its 10-day moving average after receiving an order from the Cleveland Police Department for 1500 AXON law-enforcement video systems. TASR’s officer-worn camera products are increasingly in demand, which bodes well for the company which is expected to announce earnings in late February. Netflix (NFLX) is set to gap up sharply this morning, clearing the $400 price level and its 200-day moving average after announcing what was perceived as a strong earnings report yesterday in after-hours trade. We would not consider this a buyable gap-up since the stock remains well below its prior highs, but there is always the possibility that it can trade up to its October gap-down or “falling window” high at 430.18. Scalper1 News
Scalper1 News