Bear Radar

Style Underperformer:

• Small-Cap Value -.1%

Sector Underperformers:

• 1) Utilities -.9% 2) Homebuilders -.9% 3) Insurance -.8%

Stocks Falling on Unusual Volume: 

• HIIQ

Stocks With Unusual Put Option Activity:

• 1) AFL 2) AMLP 3) NGL 4) GNW 5) DXCM

Stocks With Most Negative News Mentions:

• 1) LYFT 2) ZYNE 3) RVP 4) MITO 5) ACB

Charts:

• ETFs Falling on Unusual Volume
• Stocks Falling on Unusual Volume

Bull Radar

Style Outperformer:

• Small-Cap Growth +.5%

Sector Outperformers:

• 1) Gold & Silver +3.4% 2) Oil Service +3.2% 3) Computer Hardware +1.3%

Stocks Rising on Unusual Volume:

• ITCI, CBB, NLTX, APA, BBIO, IRTC, TXG, SRPT, FTSV, TGTX, HCAT, MTEM, DSSI, DTIL, VYGR, LGF/A, RAD, ARVN, PLAY, CLDR, NVST, ABMD, NTGR, PFGC, DOMO, MYOK, NGVT, XPER, TSLA, MNTA, SPAR, AMD, NEO and FDX

Stocks With Unusual Call Option Activity:

• 1) ALB 2) HPE 3) IBB 4) COG 5) XHB

Stocks With Most Positive News Mentions:

• 1) SRPT 2) PESI 3) APA 4) AMD 5) ITCI

Charts:

• ETFs Rising on Unusual Volume
• Stocks Rising on Unusual Volume

Morning Market Internals

NYSE Composite Index:

• Volume Running -20.3% Below 100-Day Average
• 6 Sectors Rising, 5 Sectors Declining
• 52.2% of Issues Advancing, 45.0% Declining
• 159 New 52-Week Highs, 10 New Lows
• 64.8% of Issues Above 200-day Moving Average
• Average 14-Day RSI 52.5%
• Vix 12.7 +1.3%
• Total Put/Call .70 -10.3%
• TRIN/Arms .81 -8.9%

Monday Watch

Night Trading

• Asian indices are -.25% to +.25% on average.
• Asia Ex-Japan Investment Grade CDS Index 53.25 -1.25 basis points.
• China Sovereign CDS 32.5 -2.25 basis points.
• Bloomberg Emerging Markets Currency Index 66.24 -.04%.
• FTSE 100 futures -.09%.
• S&P 500 futures +.09%.
• NASDAQ 100 futures +.12%.

Morning Preview Links

Earnings of Note

Company/Estimate
Before the Open:

• (NEOG)/.32

After the Close:

• None of note

Economic Releases
8:30 am EST

• Durable Goods Orders for Nov. is estimated to rise +1.5% versus a +.5% gain in Oct.
• Durables Ex Transports for Nov. is estimated to rise +.2% versus a +.5% gain in Oct.
• Cap Goods Orders Non-Def Ex-Air for Nov. is estimated to rise +.2% versus a +1.1% gain in Oct.
• The Chicago Fed National Activity Index for Nov. is estimated to rise to -.13 versus -.71 in Oct.

10:00 am EST

• New Home Sales for Nov. is estimated to fall to 730K versus 733K in Oct.

Upcoming Splits

• None of note
  

Other Potential Market Movers

• The Canada GDP report and the $40B 2Y T-Note auction could also impact trading today.

BOTTOM LINE: Asian indices are slightly lower, weighed down by consumer and commodity shares in the region. I expect US stocks to open mixed and to rally into the afternoon, finishing modestly higher.  The Portfolio is 100% net long heading into the week.

Weekly Outlook

• Wall St. Week Ahead by Reuters.
• The Week Ahead by Yahoo. (video) 
• Stocks to Watch Next Week by Seeking Alpha.
• Weekly Economic Calendar by Briefing.com.

BOTTOM LINE: I expect US stocks to finish the week modestly higher on global growth optimism, technical buying, diminished global trade tensions, less Brexit uncertainty, oil gains and seasonal strength. My intermediate-term trading indicators are giving neutral signals and the Portfolio is 100% net long heading into the week.

Today's Headlines

Bloomberg:  

• The World Is Days Away From Booking the Best Asset Returns in a Decade.

• GOP Raises More Than Twice as Much as Democrats: Campaign Update.

• Online Retailers Ready to Tap Rising Demand for Booze Delivery.

• Rural America Turning to Grocers, High-Fee ATMs as Banks Leave.  

• Chill, It Might Not Be That Bad: The Optimist's Guide to 2020.  

• House Votes to Impeach, Brexit Mandate in Action: Weekend Reads.  

• Charting the Economy: World Limps on After 2019’s Trade Bruising.  

• The Great Decoupling of Energy Stocks From Oil Creates Carnage.  

• Bitcoin Extends Tumble, Falls Below $7,000 to Lowest Since May.   

• Investors Back Oil’s Jump Above $60 With Surge in Bullish Bets.

Wall Street Journal:

• Russia, Ukraine Agree to Gas Flows to EU, as U.S. Sanctions Hit Pipeline Project.

• SEC Probes Listings of Slack, Other Unicorns on NYSE.

• Misstep in Space Caps Bad Week for Boeing.

• A $900 Bottle of Hypocrisy.

• The New War Against Africa’s Christians.

• Walmart’s Secret Weapon to Fight Off Amazon: The Supercenter.

• Inheriting IRAs Just Got Complicated, Thanks to New Retirement Overhaul.

CNBC:

• Trump signs bills to avoid shutdown, scrap Obamacare taxes and raise tobacco buying age.

• Trump signs $738 billion defense bill. Here’s what the Pentagon is poised to get.

• Trump and Xi sparked a year-end rally that should continue into new year.

• Here are six reasons to be optimistic about 2020.

• Wall Street analysts say these stocks are ‘undervalued’ heading into 2020.

• 2020 could be the year that sports gambling takes off, to the benefit of these stocks.

• Analysts say Alphabet, UPS have early edge in delivery’s next frontier: drones.

• These will be the hottest markets for jobs in 2020—here’s what workers earn there.

• Rising market set to get another lift from official ‘Santa Claus rally’ period beginning next week.

Barron's:

• Had bullish commentary on (XLE), (OIH), (BDX) and (CHL).

MarketWatch.com:

• These 10 S&P 500 stocks were lousy in 2019, but they could return 40% or more in 2020.

• Here’s when markets will be closed for Christmas and the New Year.

• Here’s how the Dow and S&P 500 perform in years after they ring up gains of 20%.  

• The stock market could surge another 20% if the head of Merrill Lynch’s wealth management is right.

Fox News:

• Pelosi's stalling means impeachment comes with 'asterisk', Starr warns: 'It's wrong constitutionally'.

Zero Hedge:

• Sorry Dems, US Employees Are The World's Happiest.

• China Faces "Systemic Risk" From Debt Cross-Default "Chain Reaction", Top Central Bank Advisor Warns.

• 'Global Mega Trends To 2030' Forecasts Matrix-Like Automated Future.

• Russia's "Sovereign Internet" Test Will Cut Off Entire Country From Web On Monday.

• German Green Party Urges Allowing 140 Million "Climate Refugees" To Migrate To West.

• Wall Street Analyst Jobs Vanish As Banks Take An Axe To Research With Market At Record Highs.

• Kunstler: Pelosi Has Engineered A Hanging-Chad Impeachment.

• JK Rowling 'Cancelled' By Woke Outrage-Mob For Saying Biological Sex Is Real.

• Protest Pandimonium: A Look At The Most-Ridiculous Campus Demonstrations Of 2019.

• Iowa Man Gets 16 Years For Burning LGBTQ Flag; Gay Rights Group Says Excessive.

• US Equity Markets Just Reached 'Record Euphoria'.

Business Insider: 

• Half of the 10 highest paid YouTubers are gamers, and its proof of the video game industry's influence on pop culture.

• Dollar General is selling CBD products at select stores — but experts say to be cautious about buying the unregulated products.

• Stock-market worrywarts think the record-setting rally is all smoke and mirrors. They're wrong.