STTG Market Recap Feb 12, 2015 – Stock Trading To Go
VIDEO UPDATE: Market analysis + CANSLIM stock picks.
Thursday was a strong day for indexes as they gapped up at the open and buyers were firm all day. The S&P 500 gained 0.96% and the NASDAQ 1.18%. As expected it seems all those threats from Greece on their debt are falling away as most expected. This has been a pattern for years on end since Lehman Brothers – since then either a central bank or a government always blinks. There was also a cease fire between Russia and Ukraine but we’ll see if that lasts.
Greece and Germany are pursuing a deal on the conditions required to continue the Greek bailout as each side signals a willingness to compromise, according to government officials taking part in the talks. Germany won’t insist that all elements of Greece’s current aid program continue, said two officials in Berlin. As long as the program is prolonged, they said, Germany would be open to talking about the size of Greece’s budget surplus requirement and conditions to sell off government assets.
Things were not so great on the economic front which has been the pattern the past few months outside the labor market – a strange dichotomy.
Retail sales for January came in weaker than expected, down 0.8 percent and near December’s 0.9 percent decline. Retail sales ex-autos declined 0.9 percent, though when excluding vehicles and gasoline, sales posted a moderate increase to 0.2 percent last month after a revised 0.3 percent drop in December.
Today was a great day in a technical viewpoint as well for the indexes – the NASDAQ really broke out strong while the S&P 500 finally got over our upper trendline in purple; that had served as resistance the past few sessions.
One name we didn’t mention in yesterday’s earnings review was tech giant Cisco Systems (CSCO) which traders ran into today.
American Express (AXP) fell on news that Costco will not accept American Express in the United States starting next April, after the two companies failed to reach an agreement on renewal terms.
Online travel agency Expedia (EXPE) said it would buy rival Orbitz Worldwide (OWW) at $12 a share for total of about $1.33 billion, as it looks to increase its customers base in a highly competitive industry. The market really liked this news as often the company making a purchase such as this goes down short term – not in this case.
This also caused TripAdvisor (TRIP) to surge.
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STTG Market Recap Feb 12, 2015 – Stock Trading To Go
