The Shakedown 7/14/19

Earnings Season!

Strong action out of the market with SPX closing above 3000 for the first time, creating new all time highs. What was great to see was the relative strength out of the small caps, which haven't joined in on the massive market rally of 2019. If the small caps can continue that strength into next week, I would expect a pretty risk-on trading environment. 

Earnings season snuck up on us with many of the banks reporting early in the week. We have heavy hitters like NFLX & MSFT in the latter half of the week. This begins a time when it's most beneficial to consistently type up the names who have recently reported earnings and making a watchlist out of all the Power Earnings Gaps (Gap Ups that hold the gaps). Those stocks are generally the market leaders for the next quarter. As always, keep an eye on when the stocks you're holding are reporting earnings.


We've been staring at this QLYS setup for what seems like forever. It looks to finally give us a tight entry on the daily chart though 90 with a massive level overhead at 96. After turning 87.50 into micro support from micro resistance last week (been staring at this thing), I'm thinking this one is ready to go this week. Earnings a few weeks away on July 31st gives this one a decent amount of time to run before we have to worry about the report.

Trigger: $90

Stop: $87.49

Target: $102+

Hope to see you in the chat Monday!
Weekly Watchlist coming in the following email.

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