US Futures are relatively flat this morning and European stocks are trading slightly higher. NKE reported a weaker than expected forecast yesterday in the after hours and is trading sharply lower in the pre-market session. Asian markets closed mixed.
Technicals
The SPY (NYSE:SPY) attempted to hold above the most recent pivot level and closed higher in yesterday’s session on light volume. Support will lie at the low of yesterday’s range at $203.57, followed by the 9 EMA at $203.08 and $202.77. Resistance will lie at the high of yesterday’s range at $205.23, which also coincides with Thursday’s high, forming a double top.
Small Cap Watch List
Ionis Pharmaceuticals (NASDAQ:IONS)
Nike (NYSE:NKE)
Economic Calendar
9:00 St. Louis Fed President James Bullard speaks
10:00 Feb new home sales expected +3.2% to 510,000
10:30 EIA Weekly Petroleum Status Report
1:00 Treasury auctions $13 billion 2-year floating-rate T-notes
Notable Earnings Before Open
GIS: General Mills (NYSE:GIS) – EPS Est. $.62, Rev Est. $4.08B
Notable Earnings After Close
KBH: KB Home (NYSE:KBH) – EPS Est. $.11, Rev Est. $633.98M
March 23rd Watch List
CVR Partners (NYSE:UAN) – Trading in somewhat of a cup and handle pattern, I like the increasing volume and room back to the 8.00 area. After 8, there is room right to 8.50 or so. Long entry is over 7.55, stop 7.25.
SPX FLOW (NYSE:FLOW) – On reversal watch after a nice 80% run following last earnings. This thing hasn’t slowed at all yet. Would like to see a pull back with the markets. Short entry is either over 27 and back down, or under 26, with an add at 25.59. Room here is down to 24.50 area and then 22.40. Overbought RSI at 75.
SPDR S&P 500 (NYSE:SPY) – Looking at the 30 day lows of IV on this ETF, I think a sharp pull back to the 200 level gets us paid quickly. If we don’t get a sharp move this week, I will look to sell an OTM bear call spread to hedge this. The Apr16 205/200 Bear Put for around 1.50 should be decent.