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AFTER MARKET UPDATE - MONDAY, FEBRUARY 8TH, 2016
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Indices NYSE Nasdaq
DOW  -177.92 16,027.05 -1.10% Volume 1,315,402,170 +18% Volume 2,504,359,990 +9%
NASDAQ -79.39 4,283.75 -1.82% Advancers 623 20% Advancers 808 26%
S&P 500 -26.61 1,853.44 -1.42% Decliners 2,476 80% Decliners 2,294 74%
Russell 2000 -16.28 969.34 -1.65% 52 Wk Highs 53   52 Wk Highs 9  
S&P 600 -5.42 599.74 -0.90% 52 Wk Lows 445   52 Wk Lows 536  

Breadth Negative as Indices Fall But Finish Well Above Session Lows

On Monday, the Dow traded down as many as 401 points, yet rebounded to close 178 lower at 16027. The S&P 500 declined 27 points to 1853. The Nasdaq Composite dropped 79 points to 4283.63. Volume was reported higher on the NYSE and on the Nasdaq exchange, indicating an increase in selling pressure from the institutional crowd. Breadth was solidly negative as decliners led advancers by nearly a 4-1 margin on the NYSE and almost a 3-1 margin on the Nasdaq exchange. Leadership remained thin as there were 6 high-ranked companies from the Leaders List that made new 52-week highs and were listed on the BreakOuts Page, up a notch from the prior session total. The total number of new 52-week lows expanded and easily outnumbered new highs on the NYSE and on the Nasdaq exchange. The Featured Stocks Page includes new noteworthy leaders only as the tone of the market dictates.

Charts used courtesy of www.stockcharts.com

PICTURED: The S&P 500 Index was down on higher volume, yet recovered from the session low after undercutting the 1/21/16 low. Damaging losses technically ended a brief rally.

Patience and strict discipline remain paramount. Any sustained rally requires a healthy crop of leaders (defined as stocks hitting new highs), however, few leaders have bullish chart patterns and the few isolated technical breakouts of late have been quickly negated. Recent action from the major averages (M criteria) is threatening a deeper correction with the characteristics of a more serious "Bear Market" environment.

The major averages finished firmly in negative territory amid concerns over global growth. Materials and financials were the worst-performing groups in the session. CF Industries (CF -6.54%) and Bank of America (BAC -5.25%) both fell hard. Tech and consumer discretionary also weighed on the market. Shares of Facebook (FB -4.15%) sank and Under Armour (UA -6.17%) retreated to extend its losing streak to a sixth-straight session.

Energy was the lone group up despite a drop in oil. Exxon (XOM +1.35%) and Chevron (CVX +3.75%). Diamond Offshore (DO +1.54%) was higher following its positive quarterly results and announcement it would discontinue its dividend. Energy Transfer Partners (ETP -22.92%) tumbled after saying it is replacing its CFO as its attempts to complete its merger with Williams Companies (WMB -34.81%).

Apollo Education (APOL +24.03%) was much higher after agreeing to a $1.1 billion deal to go private. Hasbro (HAS +1.36%) rose as the toymaker’s profits topped estimates.

Treasuries rose as investors sought perceived safety in U.S. government debt. Benchmark 10-year notes were up 25/32 to yield 1.75%. In commodities, NYMEX WTI crude retreated 2.6% to $30.10/barrel. COMEX gold rallied 2.8% to $1189.70/ounce.

The Featured Stocks Page includes most current notes with headline links for access to more detailed letter-by-letter analysis including price/volume graphs annotated by our experts. See the Premium Member Homepage for archives to all prior pay reports.


Kenneth J. Gruneisen started out as a licensed stockbroker in August 1987, a couple of months prior to the historic stock market crash that took the Dow Jones Industrial Average down -22.6% in a single day. He has published daily fact-based fundamental and technical analysis on high-ranked stocks online for two decades. Through FACTBASEDINVESTING.COM, Kenneth provides educational articles, news, market commentary, and other information regarding proven investment systems that work in good times and bad.

Comments contained in the body of this report are technical opinions only and are not necessarily those of Gruneisen Growth Corp. The material herein has been obtained from sources believed to be reliable and accurate, however, its accuracy and completeness cannot be guaranteed. Our firm, employees, and customers may effect transactions, including transactions contrary to any recommendation herein, or have positions in the securities mentioned herein or options with respect thereto. Any recommendation contained in this report may not be suitable for all investors and it is not to be deemed an offer or solicitation on our part with respect to the purchase or sale of any securities.


Gold & Silver Index Bucked Widespread Group Weakness

The Retail Index ($RLX-2.34%) had a negative influence on the major averages on Monday and financial shares were weak again as the Broker/Dealer Index ($XBD -2.29%) and the Bank Index ($BKX-3.14%) both posted losses. The tech sector endured heavier pressure as the Biotechnology Index ($BTK -3.53%), Networking Index ($NWX -2.64%), and the Semiconductor Index ($SOX -2.52%ended unanimously lower. The Gold & Silver Index ($XAU +2.66%) was a standout gainer, meanwhile energy-linked groups failed rebound as the Oil Services Index ($OSX -0.10%) and the Integrated Oil Index ($XOI -0.41%) both edged lower.

Charts courtesy www.stockcharts.com

PICTURED: The Semiconductor Index ($SOX -2.52%) gapped down and suffered a big loss testing its January lows.


Industry Index Symbol Close Change % Change YTD % Change
Oil Services $OSX  141.67 -0.13 -0.09% -10.18%
Integrated Oil $XOI  952.71 -3.91 -0.41% -11.19%
Semiconductor $SOX  571.45 -14.80 -2.52% -13.87%
Networking $NWX  312.39 -8.47 -2.64% -16.90%
Broker/Dealer $XBD  141.56 -3.31 -2.29% -20.51%
Retail $RLX  1,067.37 -25.59 -2.34% -16.84%
Gold & Silver $XAU  56.78 +1.48 +2.68% +25.34%
Bank $BKX  59.45 -1.93 -3.14% -18.65%
Biotech $BTK  2,646.62 -96.83 -3.53% -30.61%


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Color Codes Explained :
Y - Better candidates highlighted by our staff of experts.
G - Previously featured in past reports as yellow but may no longer be buyable under the guidelines.

***Last / Change / Volume data in this table is the closing quote data***
Symbol/Exchange
Company Name
Industry Group
PRICE CHANGE
(%Change)
Day High Volume
(% DAV)
(% 50 day avg vol)
52 Wk Hi
% From Hi
Featured
Date
Price
Featured
Pivot Featured
Max Buy
JBSS - NASDAQ
Sanfilippo John B & Son
FOOD and BEVERAGE - Processed and Packaged Goods  
$61.89 +1.85
3.08%

$62.18

103,645
132.88% of 50 DAV
50 DAV is 78,000
$66.29
-6.64%
1/29/2016 $62.25 PP = $66.39
MB = $69.71
Most Recent Note - 2/8/2016 6:55:29 PM
Y - Posted a gain with higher volume on a widely negative session. Highlighted in yellow with new pivot point cited based on its 11/02/15 high plus 10 cents in the 1/29/16 mid-day report (read here). The Special Dividend effective 11/30/15 impacted price history shown on some chart sources. Faces resistance due to overhead supply up through the $66 level.
>>> FEATURED STOCK ARTICLE : Gap Up Gain Nearly Challenging Prior Highs - 1/29/2016
 |  View all notes | Set NEW NOTE alert | Company Profile | SEC News | Chart | Request a new note C A  S  I 

THESE ARE NOT BUY RECOMMENDATIONS!  Comments contained in the body of this report are technical opinions only. The material herein has been obtained from sources believed to be reliable and accurate, however, its accuracy and completeness cannot be guaranteed. This site is not an investment advisor, hence it does not endorse or recommend any securities or other investments. Any recommendation contained in this report may not be suitable for all investors and it is not to be deemed an offer or solicitation on our part with respect to the purchase or sale of any securities. All trademarks, service marks and trade names appearing in this report are the property of their respective owners, and are likewise used for identification purposes only.

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