Good morning
We close out the month and the quarter today and in pre market equities are slightly lower. We had a tremendous amount of data this week along with the Fed announcement to absorb. We have another data set today that could impact equities with personal spending, personal consumption, Chicago PMI and consumer sentiment. Official government data showed on Thursday that U.S. gross domestic product grew at a 4.2% in the second quarter, the fastest in nearly four years. Separately, another report showed durable goods rose 4.5% in August. All indications are that the economy is strong and not over heating but there are caution flags out there for equities after a 10 year bull run. Technically we have some sectors and indexes losing support of some key moving averages. I will go into a more in depth breakdown of my concerns it this weekends blog post and Pro member video. Another earnings season is just around the corner and that will likely provide more catalysts going forward.
There are a couple of names that stand out this morning that are likely going to be very volatile and there could be some scalp trades long and short. TSLA and AAOI are both gapping lower. Elon Musk has an official complaint from the SEC and the stock is getting a smack down in pre market. AAOI lowered guidance off of an issue with one of their laser products. Its price target was lowered from 45 to 20 yesterday by Loop capital. AAOI has a tiny float and TSLA has a fairly small float and both of these stocks are likely going on a wild ride today. If you are good at scalping there could be some plays in both of these names just make sure you have a plan and don't overstay your welcome if it goes against you.
The Cannabis sector remains hot with names like IGC NBEV and TLRY gapping this morning. This is another space that is likely to continue to be very volatile. For some of these names, these crazy runs are likely going to end very badly but when the party ends is anyones guess. If you play in the space play size appropriate to your risk appetite and account size.
Click here for the charts of the stocks below
$SENS flirting with a potential 5 test and roll which will be all time highs big short interest could get squeezy worth having on the radar do not chase it 4.50 or so could be a bounce area if it takes out 5 with volume could be a nice day trade opp
$SESN flirting with 2 roll potential red to green day trade opp small floater 50sma could be acting as potential support around 1.89
$IQ like this one for a swing or long term hold play 25 -25.50 could be ideal entry area for an entry or could be a day trade opp on a break over 28.50 with volume
$HAIR quiet period is over analysts starting to come out with ratings
William Blair Initiates Coverage On Restoration Robotics with Outperform Rating tiny floater flirting with a 3 test potential higher risk swing or day trade
$AGEN nice looking daily recent news shows them getting some cash XOMA Reports Purchase Of Royalty Interest Position From Agenus On 7 Assets Being Developed By Merck, Incyte For $15M
Agenus 8-K Shows License, Development, Commercialization Deal With Incyte; Co. Remains Eligible To Receive Up To $505M In Potential Milestones, Plus Royalties On Future Sales Ranging From 6-15% but they likely will need to raise more. could be a short term swing or day trade opp looking for a break over 2.25 with volume
$ARAY
Recently Published Data Demonstrate Benefits Of CyberKnife Treatment For Both Low And Intermediate-Risk Patients At Five Years Post-Treatment popped yesterday potential red to green day trade and maybe hold some lottos as a swing looking for it to take out the 200 day with conviction smaller float with positive cash flow
$ARC has been on my radar for weeks flaggin on the daily potential higher risk swing play
ARC Raises FY18 EPS From $0.10-$0.16 To $0.12-$0.17 from there last earnings report considering 2.70 to 2.90 range for entry
$REV tiny floater that has had a 10 percent owner continue to buy up shares
Mox Reports Out With A Long Report On Revlon, Says They See Recent Development Which Could Spark A Tilray Style Squeeze https://moxreports.com/wp-content/uploads/2018/09/Long-Rev-Sep-2018-Final.pdf potential high risk swing play 18.50 -20 range could be ideal entry range
$FATE
Fate Therapeutics 10%+ Owner Jeremy Green Buys 3,703,704 @ Avg Price: $13.50 which was from an offering in which they participated in
flaggin on the daily could be a fay trade or potential short term swing blue skies if it breaks over 16.50
$ADMP Adamis Pharma Receives FDA Approval For Symjepi - Low Dose could be a red to green play day trade opp
likely need to raise capital soon flirting with a 4 roll
$BB
BlackBerry Reaffirms FY19 Guidance: Total Software, Service Billings Growth In Double Digit Range, Total Software, Services Sales Up 8-10% Year Over Year BlackBerry Reaffirms FY19 Adj. EPS Will Be Positive more of a long term hold play because it is a very thick stock. 9.50 -10 area has been acting as potential support and could be an attractive entry
$TRIL nice looking daily potential 6 roll
Trillium Therapeutics Says Will Provide Update On TTI-621 Clinical Programs At 2 Scientific Conferences could be at an area of potential price support small floater 5.50 area could be entry for a bounce off 50sma
$CRNT
Ceragon Networks Wins Up To $36M In Orders From Orocom For Providing Broadband Connectivity In Peru full disclosure I have a small swing starter in the name flirting with a 3 roll may look to add on a red to green open or just take it for a day trade in a separate account.
