Goodyear Deflated

Goodyear Blimp Deflated

Goodyear Blimp Deflated

Goodyear Tire issued an earnings warning and shares drove south.  Today the overall market extended its rally, albeit on light volume.  As I recently wrote, we may be approaching a turn.

When the market is up and the shares you’re watching are not, that is a sign of weakness.  The opposite is true, as well.  When individual shares are up in a down market, it’s a sign of their strength.

As you can see below, Goodyear literally left a skid mark on my daily candlestick chart.

Chart by Steven Sarnoff

Chart by Steven Sarnoff, h/t stockcharts.com

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Your Daily Bit of Wall Street Wit & Wisdom

Intelligence

Intelligence

“Wall Street people learn nothing and forget everything.”
— Benjamin Graham

Benjamin Graham is known as the “father of value investing.”  Two of his books merit inclusion in your library, Security Analysis (1934, written with David Dodd) and The Intelligent Investor (1949).

When asked about the accuracy, or lack thereof, of Wall Street forecasts, Graham reflected on his studies.  His results indicated you had the choice of tossing a coin and taking the consensus of expert opinion.

As to why that was, he answered that everybody in Wall Street was so smart that their brilliance offset each other, that all the information they know was already reflected in the level of stock prices, and consequently whatever happens in the future represents what they don’t know.

Gain some knowledge each day and use it.  It helps you stay a step ahead of the crowd.

Enjoy the rest of your weekend!

Best regards,

Steve

All ATwitter

Latest Options Hotline Reco, +42% In A Single Session

by Steven Sarnoff

This past Sunday, I emailed our great subscribers my Options Hotline bulletin.  As to the market I wrote, “We could see exaggerated swings in both directions…,” and recommended buying the Twitter January $32 call option for $1.90 or less good this week.  As usual, I included my Candlestick chart, info on support, resistance, price objective, and rationale for the reco.

When trading resumed, Trump’s tweets bout his lovely dinner in Argentina with Xi had Financial talking heads and buyers all atwitter.  Bulls ran the market up early on Monday, but reality ensued and stocks started to slip.  Twitter fared well and our entry price was not met.  The low trade in the option was $2.25.   Tuesday saw the option trade up to $3.30, before shares of the global self-expression platform declined with the overall market.  Sellers stepped up and buyers stood aside.  I only consider a recommendation triggered if it trades at or below our recommended price during the week.

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Printing Multiplier Profits In 3D

Printing Profits, Not Guns, in 3D

by Steven Sarnoff

OPTIONS HOTLINE Update, FYI: +241% in a month and a half on our recommended 3D ($DDD) calls. This morning, I sent a Profit Alert to our subscribers. 3D Systems Corp. is topping the market’s biggest gainers list, trading sharply higher following a Q2 earnings beat. While shorts are squeezed, as investors and analysts rush in, our great subscribers calmly book their gains. They are seeing their patience pay and their trade triple.

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Our Disney Trade On Ice

How Options Hotline subscribers are feeling this afternoon

by Steven Sarnoff

“It’s kind of fun to do the impossible.” — Walt Disney

OPTIONS HOTLINE Update, FYI: +125% in 2 weeks on less than a 5% move in Disney, with an always known and strictly limited risk!  This morning, ahead of an upcoming quarterly earnings report, I emailed a Profit Alert to my nimble #OptionsHotline subscribers.

They bought our recommended $DIS call at point A. and sold at point B. From 07-23-18 to 08-06-18, $DIS went from $111 to $116 and our option went from $200 to $450.

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Disney Has Spring In Its Step

by Steven Sarnoff

Shares of $DIS, the Walt Disney Co., closed today’s trading session around the high for the day and the week.  I view each day’s trading as a struggle, between buyers and sellers, for control of price direction.  This positive character of the behavior of price movement registered a strong red candle on my daily chart (see below).

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Have Your $CAKE

chcake

by Steven Sarnoff

Though you won’t find your favorite vegan technical analyst partaking of Cheesecake Factory ($CAKE) fare, the shares are moving sweetly for our Options Hotline subscribers.

In mid-September I noticed the unhealthy eatery’s shares were not as sickly as they appeared. The signs of a potentially vigorous and natural rebound were flashing and, from the menu of available options, I recommended a January $40-strike call for our readers.

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Is TRIP Headed South?

tripadvislogo

by Steven Sarnoff

Markets don’t move down a one-way street. The news of record-setting stock prices Mr. Trump is so fond of touting hasn’t been booked by this Internet darling. As you can see by my daily candlestick chart of TripAdvisor shares, the online travel brand company settled today’s session pointing south.

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