{"id":8662,"date":"2015-06-01T07:36:42","date_gmt":"2015-06-01T12:36:42","guid":{"rendered":"http:\/\/leavittbrothers.com\/blog\/?p=8662"},"modified":"2015-06-01T07:36:42","modified_gmt":"2015-06-01T12:36:42","slug":"before-the-open-jun-1-4","status":"publish","type":"post","link":"https:\/\/blog.leavittbrothers.com\/?p=8662","title":{"rendered":"Before the Open (Jun 1)"},"content":{"rendered":"

Good morning. Happy Monday. Hope you had a great weekend. <\/span>
\nThe Asian\/Pacific markets closed with a lean to the downside. China rallied 4.7%, and Hong Kong moved up 0.6%, but Australia, South Korea and Taiwan each dropped more than 0.6%. Europe currently leans to the upside. France, Spain, Switzerland, Prague and Russia are doing well; Norway is down. Futures here in the States point towards a moderate gap up open for the cash market.<\/span>
\nFREE ebook -> Powerful Stock Setups<\/a> <\/strong>(I wrote one of the chapters)<\/span>
\nThe dollar is up. Oil and copper are down. Gold and silver are down. Bonds are down.<\/span>
\nWe enter this new week with the long term trend being solidly up, the intermediate term being neutral and the path of least resistance in the near term being down.<\/span>
\nThe small caps have been lagging (the large cap put in a higher high while the small caps put in a lower high) – this has typically led to a correction in the near term.<\/span>
\nSeveral indicators, including the AD line, AD volume line, cumulative TICK and S&P bullish percent index have also diverged from the price action. This tells us the internals are weak, the participation rate is low – not a good environment for attempting a rally.<\/span>
\nUntil these items are negated the upside will be limited, and the path of least resistance will be down. This doesn’t mean we’ll get a huge correction, but more likely than not we’ll get something before the charts can re-set. More after the open.<\/span>
\nStock headlines<\/strong> from barchart.com…<\/span>
\nJuniper (JNPR +0.54%) was downgraded to ‘Sell’ from ‘Neutral’ at MKM Partners.<\/span>
\nWells Fargo said it sees a potential for 75% upside in DISH (DISH +0.70%) shares.<\/span>
\nDuke Energy (DUK -0.29%) was upgraded to ‘Outperform’ from ‘Market Perform’ at Bernstein.<\/span>
\nVerifone (PAY +0.37%) was upgraded to ‘Outperform’ from ‘Market Perform’ at Raymond James.<\/span>
\nEnbridge (ENB -1.40%) and Boyd Gaming (BYD -0.28%) were both upgraded to ‘Outperform’ from ‘Neutral’ at Credit Suisse.<\/span>
\nCoca-Cola (KO -0.44%) was upgraded to ‘Outperform’ from ‘Market Perform’ at BMO Capital.<\/span>
\nAccording to DigiTimes, data from Gartner showed Q1 global server shipments up 13% y\/y.<\/span>
\nCitigroup (C -0.86%) was upgraded to ‘Buy’ from ‘Neutral’ at Goldman Sachs.<\/span>
\nAltera (ALTR +4.00%) jumped over 6% in pre-market trading after people familiar with the matter said that Intel INTC is near a deal to acquire the chipmaker.<\/span>
\nStonepine Capital reported a 5.2% passive stake in Aegerion (AEGR -1.02%) .<\/span>
\nO’Reilly Automotive (ORLY -1.41%) increased its stock repurchase authorization by $500 million to $5.5 billion.<\/span>
\nRyanair (RYAAY -2.06%) was downgraded to ‘Neutral’ from ‘Buy’ at Goldman Sachs.<\/span>
\nPoint72 reported a 5.0% passive stake in Achillion (ACHN +5.89%) .<\/span>
\nEarnings and Economic Numbers<\/strong> from seekingalpha.com…<\/span>
\nToday’s economic calendar:
\n8:30 Chicago Fed National Activity Index
\n10:00 Existing Home Sales<\/span><\/span><\/span>
\nNotable earnings before today’s open: PVH, QUNR<\/span>
\nNotable earnings after today’s close: none<\/span>
\nOther<\/strong>…<\/span>
\ntoday’s upgrades\/downgrades<\/a> from briefing.com<\/span>
\nthis week’s Earnings<\/a><\/span>
\nthis week’s Economic Numbers<\/a><\/span>
\n