The Manipulated Artificial Stock Market Bubble, August 9 Premarket

The majority of people involved in trading are in Fantasyland. They are in it purely for the money, do not understand it is all about probabilities, are always trying to guess, predict, and believe in magic. And they will never understand it (trading) is 100% about working harder than “the other guy”. So they turn to the lazy as crap Gurus, who know zero, but who are actually smart people and know how to sound smart also. And people love that stuff. In the meantime, you can do well, improve, reach some goals, increase your competency, and understand AND ACCEPT that you will have losing trades, it is just part of a probability game. Many positive outcomes will come from pure hard work – and understanding, recognizing, AND RESPECTING THE TREND.

 

From August 9:

 

There was a lot discussed in yesterday’s videos, and further explanation with more details might be helpful. Several stocks were discussed in detail. I gave a specific buy price I was watching in EGLT. Also my stock focus of the day was discussed, ABIL, which ended up being the #1 stock of the day. All I can do is give the info and the opportunities. I discussed why I was cautious on WB and SINA, “good earnings but too much overhead supply”, and you can see the outcomes.

The stock indexes were discussed as to how it would strengthen the market overall to have a “bit of a pullback” as we are nearing all-time highs in the biggest trading vehicle by far in the world, SPY. Yesterday very quiet volume day. The QQQ and the IWM have already gone to new all-time highs since the 2/6 and 2/9 powerful EAs. You know those EAs where/when the idiots of the financial world, meaning virtually everyone who has a big following, were screaming that “the stock market bubble had popped” and “the manipulated artificial stock bull market was finished”.

Yesterday there was one of the lowest volumes of the year, some pausing, a short-term break and spring. The IWM had a bit more of a break, and a nice spring low, spike. But I was not patient enough, and bought calls into the first trading range, much too early, took a full stop loss into the continuation of the selling.

 

Everybody in the media is bearish on China – everybody. With the tariffs and their debt, why wouldn’t someone be bearish. Come to think of it, aren’t those the reasons why we should be bearish on the US market too? Also, we are one little positive tariff news item away from the Shanghai being up 10% in one day.

.Shanghai:

 

For anyone who watched my videos yesterday early on in the day I gave out a “freebie” for someone looking for a daytrade setup. In the video I discussed EGLT, and how I was using .43 as a place to enter. I missed that trend trade setup yesterday, but EGLT got hit with news on Wednesday. I was then looking for a pure bounce trade, and that specific .43 entry was what I used. The low was .4240, and I exited the bounce at the LHBL parameter, .4790. The exit was early, but that is not a trade I wanted to be sitting in.

 

For the people who watched my videos yesterday, I gave out the trade which I was very focused on. In the video yesterday I discussed ABIL several times. It ended up being the #1 stock of the day. So that trade was there for you, and I discussed my focus on that stock and the SOSes which had come into it. So many opportunities in it. I had a very good entry (up arrow) into the first trading range. That range was above the premarket trading, and thus a breakout of that range. The exits, at the down arrows, were way too early, left a lot on the table. Kind of weird how things can work out, but I got the exact same exits, 6.78, on both parts, even tho I sat thru that two hour trading range in the morning.

 

 

Pretty upset with myself, totally missed both BAND and VSI, both shown below, especially BAND. That is textbook. A 4+ is my highest rated setup, BAND is a 4. Imprint that setup in your mind, study it over and over. Look at how the earnings played into it ahead of time last week, strong stock, strong market, earnings grower, and the green volume, the reaccum, the lower phase breakout.

VSI is a 3 rating. Why is that one lower rated?

 

 

 

CVSI has been discussed a couple of times. First literally when it was still a penny stock, with the original breakout and retest back into the old range at .95. Study the chart, that is what a runner stock should be doing, and so many opportunities. I discussed it again recently (first chart) in premarket comments. Are you paying attention?

 

 

VICR discussed several times, I love strong stocks, another example of reaccum with a strong stock, breakout, trade back to the highs, high probability trade, a 10%+ opportunity for profits and moving stops up.

GOOS and ROKU both with earnings above expectations, both strong recent IPO stocks and in the secondary base after the original IPO base. GOOS is deep in the base. GOOS is a very fast grower, had a much smaller loss than expected in the traditional weakest quarter for them, but revenue growth outstanding.  ROKU also above expectations.

GOOS –

 Luxury parka maker Canada Goose reported a smaller-than-expected first-quarter loss on Thursday, amid growing revenue from its direct-to-consumer business.

The Toronto-based company reported a net loss of C$18.7 million, or 17 Canadian cents, in the quarter ended June 30, narrower than analyst expectations for a loss of C$22.3 million, or 21 cents. It posted a loss of C$12.1 million, or 11 cents, a year earlier.

The maker of $900-parkas has been focused on expanding margins by taking more control of its manufacturing and retail sales. Largely cushioned from the retail industry’s struggles by its luxury pedigree, it is opening more of its own stores, pushing into China and Hong Kong, and has expanded into new product lines including knitwear.

The company’s gross margin jumped to 64 percent in the quarter from 47 percent a year earlier.

Canada Goose maintained forecasts for its 2019 fiscal year of annual revenue growth of at least 20 percent and adjusted net income per share expansion of at least 25 percent.

Investors have rewarded the company, with its shares up 83 percent this year, versus a minuscule gain of 0.6 percent in the Toronto Stock Exchange’s S&P/TSX composite index.

The company operates seven stores around the world, with another three set to open in North America by year-end.

It said in May it will open a store each in Beijing and Hong Kong with partner ImagineX Group this fall, and will start e-commerce sales in China through Alibaba Group’s Tmall. It has said it plans to open up to 20 stores by the end of 2020.

“Productivity across our retail store network in this off-peak period was exceptional, reducing the loss impact of our strategic growth investments and giving us a favorable tailwind for the rest of the year,” Chief Executive Officer Dani Reiss said in a regulatory filing.

Revenue grew 58.5 percent to C$44.7 million in the first quarter, driven by the direct-to-consumer division — its own stores and online sales — which rose to C$23.2 million from C$8.3 million a year earlier. Wholesale revenue increased to C$21.5 million from C$19.9 million.

ROKU –

Roku on Wednesday topped Wall Street estimates for quarterly revenue as its strategy to focus on its ad-supported platform paid off, with more viewers spending longer hours streaming content.

The company’s subscriber addition rose 46 percent in the quarter and streaming hours increased 57 percent to 5.5 billion hours.

Roku’s average revenue per user grew 48 percent to $16.60, helping overall platform revenue nearly double to $90.3 million in the quarter.

“Live news launch in mid-May and World Cup in June likely contributed to the performance in the quarter,” D.A. Davidson & Co. analyst Thomas Forte said.

Separately, the company also launched the Roku Channel for the web in the United States and the channel app on select Samsung smart TVs.

“We don’t think the new platforms like web will have any big impact in the short term, but in the long term it’s going to expand the reach and help with the overall performance of the business,” Chief Executive Officer Anthony Wood told Reuters.

Roku reported a profit of $526 million in the quarter ended June 30 compared with a loss of $15.5 million a year ago.

Excluding items, the company broke even on a per share basis, better than the average analyst estimate of a 15-cent loss. Total net revenue rose 57.4 percent to $156.8 million, beating estimates of $141.5 million.

The company also raised its full-year revenue forecast to $710 million, beating estimates of $698 million, according to Thomson.

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About traderscott 1071 Articles
Trader Scott has been involved with markets for over twenty years. Initially he was an individual floor trader and member of the Midwest Stock Exchange, which then led to a much better opportunity at the Chicago Board Options Exchange. By his early 30’s, he had become very successful in markets, but a health situation caused him to back away from the grind of being a full time floor trader. During this time away from markets, Scott was completely focused on educating himself about true overall health and natural healing which remains a passion to this day. Scott returned to markets over fifteen years ago where he continues as an independent trader.

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