Nickonomics

Nickonomics

Symantec (SYMC) is scheduled to report earnings on Aug 11, after market close. The EPS consensus is 43 cents per share vs. 45 year ago. A number of bullish candlestick patterns have emerged lately: Morning Star, Piercing Line and break-away gap. They suggest there is a Double Bottom formation in place, which may lead to higher prices (24,72 and 24,68). Upside...

Nickonomics

Many traders were confused by Friday's post-NFP rebound in EUR/USD. Actually, this pair has been a source of confusion for quite a while, which, for example, led JPMorgan analysts to call it 'random price action' in a client's note. Generally, when market participants have a hard time explaining price swings, we are in a 4th wave or wave B position in terms of...

Nickonomics

The US employment report was mixed. Payrolls posted a 215,000 jobs gain, around June's level, while analysts had expected 225,000. The previous number was upwardly revised to 231,000. The unemployment rate remained at 5.3%, while wage growth came out at 2.1% year-on-year, up from 2.0% in the previous month. According to a latest Reuters poll, the median...

Nickonomics

Employment in the US private sector disappointed last month, shattering hopes that the Fed will raise interest rates in September. The number of employees increased by 185,000 in July compared to the 229,000 booked in June, according to ADP. On Friday, the non-farm payroll report will provide further hints of labor market development, with analysts expecting a...

Nickonomics

A concluding part in our series on Gold's triangular price action. This time the volatility squeeze has reached extreme readings. Despite a 3-day dollar advance in most FX majors, Gold is still consolidating. It is difficult to count waves correctly because of faulty quotes. Compare H4 and H1 charts here, and also check 07/24 bottom price on other trading...

Nickonomics

These are some weak US stocks with short-time downside potential for your consideration. Purely technical setups.

Nickonomics

The Australian dollar rallied during today's Asian session after the Reserve Bank of Australia statement supported the currency. The most notable change in the wording of the RBA statement is the change from the view seen in May-July that further AUD "depreciation seems both likely and necessary". Instead it was removed and replaced with a statement that AUD "is...

Nickonomics

An update to our previous idea (see link below). An unexpectedly disappointing gauge of employment costs in the US brought strong bearish pressure on USD, shooting the EUR/USD well above the $1.10 level, as well as lifting Gold price up to $1100 handle. No trendline break in XAUUSD yet. The Employment Cost Index showed the lowest increase in workers' pay since...

Nickonomics

Although Procter & Gamble delivered quarterly profit that topped expectations on Thursday, it marked the sixth-straight drop in sales. Revenue of $17.79 billion was below forecasts and lower than last year's $20.16 billion, as P&G continued to be weighed down by a stronger dollar that stripped the value of overseas sales. More pressure is yet to come as the Fed...

Nickonomics

The price of gold has been coiling all week inside a clear Triangle pattern. The Fed's announcement this evening may lead to a breakout and thus offer new trading opportunities. Our view is that a break above 1105 would also activate a reverse Head&Shoulders pattern and target 1122 area as first objective. On the other hand, a move below 1077 would mean downtrend...

Nickonomics

Facebook has been one of the strongest stocks this year, making its way to top-8 largest US companies by market cap. With ever-growing number of users all over the world, the company is set to report another profitable quarter today, after market close. The EPS consensus stands at $0,47 per share, as opposed to $0,42 last year (Capital IQ estimate). Facebook has a...

Nickonomics

China's stockmarket crash coupled with mixed earnings results put pressure on Baidu (BIDU). The company reported profit for the second quarter of 3.66 billion yuan ($591 million), up slightly from 3.55 billion yuan in the same quarter a year earlier. EPS stands at $1,81, which is below analysts' estimate of $1,84. Baidu's revenues rose 38 percent from a year...

Nickonomics

The stock is heading lower in wave 5. Friday sell-off as well as "Zero-line reversal" pattern has put it on our "short list".

Nickonomics

Bullish wave count suggests s/t uptrend continuation. UPDATE: Weak retail sales data has led to a correction below 1.56. The bullish count is valid unless price penetrates 1.5528 (wave C bottom).

Nickonomics

A daily close below 34.40 would indicate that the Flat correction (A-B-C), which has unfolded since Dec 2014, is over. There is a short-term reversal pattern that supports the case. Another possibility in the short term is that we could have 5 waves down already completed, than there should follow a move up to 35.30 area, and, finally, the sell-off. AT&T is...

Nickonomics

The stock has been a laggard this year, dropping as much as 19,81% YTD. A massive Head&Shoulders pattern combined with sound wave analysis picture suggests more selling pressure is coming. On the fundamental side, the Fed's intention to hike rates this year makes the dollar more appealing, which has already been hammering profits at U.S. multinationals. Stop-loss...

Nickonomics

Yesterday the company published a mixed earnings report. It reported: * earnings per share of $3.84 versus expected $3.78; that's a beat. * revenue of $20.8 billion versus $20.95 billion, that's a miss, and the 13th consecutive quarterly decline. The stock lost nearly 5% in the after hours. We are expecting more downside, as the wave count suggests the...