Trading Places with Tom Bowley

Transportation Services Is A Live Case Study In Rotation After A Negative Divergence

Market Recap for Wednesday, November 1, 2017

U.S. stocks jumped higher out of the gates at Wednesday's open, but was unable to hang onto those gains - especially on the NASDAQ.  We did see a bit of strength in the final couple hours, though, after the FOMC policy announcement stated that interest rates would remain unchanged for now with a potential rate hike in December.  Traders expect that rate hike so there was a bit of relief perhaps that no action was taken currently.

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Crude Oil Threatening Break Above $55 Per Barrel; A Look At Transports

Market Recap for Tuesday, October 31, 2017

Don't look now, but crude oil prices ($WTIC) are on the verge of moving to a 2 1/2 year high.  Energy (XLE, +0.33%) has shown life since ending its downtrend that began back in December 2016.  Rising prices in crude would help to "fuel" the space in the months ahead so keep an eye out for that breakout:

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Small Caps And Healthcare Take Brunt Of Monday's Selling

Market Recap for Monday, October 30, 2017

Weakness permeated the U.S. stock market on Monday with the small cap Russell 2000 losing more than 17 points, or 1.15%.  Other U.S. indices mostly followed suit, although the NASDAQ gave back very little from Friday's massive gains as large cap technology giants continued to perform well.  Traders in Apple (AAPL) now are gearing up for what they believe will be blowout numbers on Thursday after the close.  AAPL gained 2.25% yesterday to close at an all-time high.  Facebook (FB) reports its quarterly results on Wednesday after the close and also finished at an all-time high close Monday.

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Seven Fresh Monday Setups As We Approach The Seasonally Bullish Month Of November

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Every Monday, I provide possible short-term trade setups (today's featured setup is reflected below in the Monday Setups section).  All of these setups, along with setups from the past few weeks, can be accessed by CLICKING HERE.  If you'd like to review these setups each Monday and read my daily market recap and forecast, please subscribe at the bottom of this article.  Simply type in your email address and click on the green "Notify Me!" button and my article will be sent to your inbox every morning before the stock market opens.

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U.S. Markets Rebound; Tokyo's Nikkei Surges Above 22000

Market Recap for Thursday, October 26, 2017

U.S. indices spent Thursday attempting to bounce back from losses earlier in the week.  Based on that goal, it was mostly a successful day as most major indices finished with fractional gains.  The NASDAQ lagged, ending the session with a loss of 0.11%.  Most sectors were positive, although healthcare (XLV, -1.00%) was a very clear laggard.  The Dow Jones U.S. Biotechnology Index ($DJUSBT) fell slightly more than 3% and that clearly weighed on healthcare.  Health care providers ($DJUSHP, +1.19%) and medical supplies ($DJUSMS, +0.96%) bucked the biotech selling and actually finished quite strongly.

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Selling Engulfs Wall Street, S&P 500 Posts Largest Decline In Nearly Two Months

Market Recap for Wednesday, October 25, 2017

It's difficult to know what to expect after U.S. equities posted their largest decline since September 5th.  I don't recall the last time we saw all nine sectors lower, but that's exactly what we saw on Wednesday.  Healthcare (XLV, -0.14%) was the best performing sector while industrials (XLI, -0.99%) were hit the hardest.  Transportation stocks ($TRAN) had a very rough day as airlines ($DJUSAR, -2.83%) and railroads ($DJUSRR, -2.67%) were the two worst performing industrial groups.

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Narrow Advance Led By Dow Jones Components 3M And Caterpillar

Market Recap for Tuesday, October 24, 2017

The Dow Jones powered to another record high close on Tuesday, finishing the session higher by 167.80 points.  Gains on the other major indices were much more modest as the Dow Jones pushed to record levels behind the strength of two components, 3M (MMM, +5.91%) and Caterpillar (CAT, +4.98%), as both companies reported better than expected earnings.  Despite this strength in key Dow component stocks, the benchmark S&P 500 struggled to hold onto its opening gains.  The S&P 500 ETF (SPY) opened slightly higher at 256.60, but closed slightly below its opening level, at 256.56.

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The S&P 500's Reversal On Monday Suggests It's Topped Near-Term

Market Recap for Monday, October 23, 2017

After early strength, Monday was a seller's market.  As you might expect on one of the more bearish days of late, defensive sectors showed renewed relative strength with utilities (XLU, +0.05%) and consumer staples (XLP, -0.07%) the two top performing sectors.  Consumer discretionary (XLY, -0.68%) and industrials (XLI, -0.63%) were hit the hardest, but the latter group's negative divergence could be problematic if selling continues.  Check out the XLI chart:

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What Happens When A Raging Bull Market Meets Hurricane-Force Historical Headwinds?

Market Recap for Friday, October 20, 2017

Friday was a day of more all-time high closes.  It's been quite redundant, but the bulls certainly don't mind.  This time we saw leadership from aggressive areas of the market - a very bullish sign indeed.  Financials (XLF, +1.18%) and industrials (XLI, +1.08%) were on top of the sector leaderboard from Friday and they'll be looking to sustain gains this week as quarterly earnings reports accelerate.

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Want To Know Which Stocks In The S&P 500/NASDAQ Perform Best In November/December? Here They Are....

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