Market Alert - Pre-Market

Futures vs FV: SP +2.63; DJ +26.66; NASDAQ +2.22

Futures hold a modest gain though off the highs as the market's upside bias continues after NASDAQ, SOX hit new highs again. NYSE indices waiting in the wings again, looking for a catalyst to send them to those highs.

Not a lot in the catalyst vein this morning as JPM noted last night, stating 'nothing is changing the equity narrative," meaning none of the news is changing the flat status of the NYSE indices.

Earnings are still coming, still showing the same reversion to the lack of revenues.

Beats: VIAB; KO (top line); DNKN.

Misses: TWTR (TL); CVS (TL); WFMI (TL); YUM (TL)

So, TV, sugar water, donuts are selling more while health food and drugs are selling less.


EU: Germany and Greece in a fight again with Trump joining in that Greece should leave the EU and Germany suggesting that is a damn good idea.


Jobless claims: 44 year low. Again, a meaningless statistic when you have 94M to 95M working aged people out of the workforce.


Airlines: Meeting with Trump. Likely discussing infrastructure improvements.


China: Trump sends a make nice letter, China responds appropriately. The irony is many are looking at the Ukraine as the source of WWIII, but with The Philippines now complaining China is trying to build on the Philippines islands, China is the real issue ahead.


OTHER MARKETS
Bonds: 2.365% vs 2.340%. Bonds off a bit after a decent surge

EUR/USD: 1.0684 vs 1.09825

USD/JPY: 112.398 VS 112.207

Oil: 52.98, +0.64

Gold: 1242.00, +2.50

Futures are off the morning highs but it is a narrow range and they are positive. Once again not much has changed other than more negative indicators piling up (Bullish Advisors jumped to 62+ for 4 of 6 weeks over 60%). That, however, is spurring more 'something is wrong' sentiment, and in the world of sentiment that could work as an offset to the bullishness.

So, we will look for good opportunities with the trend, but of course watching oil stocks and their issues as well as stocks such as FFIV, a leader that has broken its near trend and is testing that break right now.


Jon Johnson, Chief Market Strategist
InvestmentHouse.com
______________________________________
Alert Key
http://www.investmenthouse.com/alertkey.htm

PLEASE DO NOT REPLY TO THIS EMAIL. USE THE CONTACT US PAGE ON OUR WEBSITE.

Customer Support: http://investmenthouse.com/contact_us.php