Bear Radar

Style Underperformer:

• Small-Cap Value -.6%

Sector Underperformers:

• 1) Gaming -2.4% 2) Airlines -2.3% 3) Oil Service -2.1%

Stocks Falling on Unusual Volume: 

• CUK, CW, FE, GWW, PLAN, HZO, CCL, CAL, LYFT, BKE, HVT, FL, FSR, GKOS, BJ, HA, FL, SONO, POST, RCKT, WDAY and FOSL
  

Stocks With Unusual Put Option Activity:

• 1) MAC 2) FUV 3) WDAY 4) BLNK 5) TBT
  

Stocks With Most Negative News Mentions:

• 1) BTU 2) PRLD 3) NBHC 4) FE 5) SHAK
  

Charts:

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

Bull Radar

Style Outperformer:

• Mid-Cap Growth +.7%

Sector Outperformers:

• 1) Digital Health +1.6% 2) Alt Energy +1.4% 3) Social Media +1.2%

Stocks Rising on Unusual Volume:

• BLNK, DTIL, GMHI, FUV, NVCR, SBE, WSM, FUBO, CRNC, TCS, BRBR, FEYE, APPN, TRNE, PSNL, MCHP and VERI
  

Stocks With Unusual Call Option Activity:

• 1) BGCP 2) INTU 3) AYRO 4) WDAY 5) PPL

Stocks With Most Positive News Mentions:

• 1) WSM 2) HIBB 3) AMTX 4) VRTX 5) URI
  

Charts:

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

Morning Market Internals

NYSE Composite Index:

• Volume Running -1.6% Below 100-Day Average
• 3 Sectors Rising, 8 Sectors Declining
• 41.6% of Issues Advancing, 54.6% Declining
• 69 New 52-Week Highs, 1 New Low
• 79.7% of Issues Above 200-day Moving Average
• Average 14-Day RSI 55.5% 
• Bloomberg Global Risk-On/Risk-Off Index 1,049.0 +33.0 points
• Vix 22.3 -3.4%
• Total Put/Call .69 -6.8%
• TRIN/Arms .98 +11.4%

Friday Watch

 Night Trading 

• Asian equity indices are -.5% to +.25 on average.

• Asia Ex-Japan Investment Grade CDS Index 62.5 +2.0 basis points.

• China Sovereign CDS 32.75 +.75 basis point.

• Bloomberg Emerging Markets Currency Index 61.41 +.02%.
• Bloomberg Global Risk-On/Risk Off Index 1,031.0 +15.0 points.
• Volatility Index(VIX) futures 24.95 +1.94%
• FTSE 100 futures +.18%.

• S&P 500 futures -.64%.

• NASDAQ 100 futures -.12%.

Morning Preview Links

Earnings of Note 
Company/Estimate 

 

Before the Open: 

• (BKE)/.55
• (FL)/.62
• (HIBB)/.45
• (JKS)/.85
  

After the Close:

• None of note
  

Economic Releases

• None of note
  

Upcoming Splits

• None of note
  

Other Potential Market Movers

• The Eurozone Consumer Confidence Index could also impact trading today.

Market Hours
Normal:

• 9:30 am - 4:00 pm EST
  

BOTTOM LINE: Asian indices are mostly lower, weighed down by financial and industrial shares in the region. I expect US stocks to open mixed and to weaken into the afternoon, finishing modestly lower. The Portfolio is 25% net long heading into the day.

Stocks Reversing Higher into Afternoon on Stimulus Hopes, US Housing Data, Short-Covering, Energy/Retail Sector Strength

Broad Equity Market Tone:

• Advance/Decline Line: Around Even
  

• Sector Performance: Mixed
  

• Volume: Around Average

• Market Leading Stocks: Performing In Line
  

Equity Investor Angst:

• Volatility(VIX) 23.2 -2.6%
• Bloomberg Global Risk On/Risk Off Index 1,021.0 -18.0 points

• Euro/Yen Carry Return Index 127.44 +.02%

• Emerging Markets Currency Volatility(VXY) 10.4 -.5%

• S&P 500 Implied Correlation 41.4 -3.3%

• ISE Sentiment Index 98.0 -36.0 points
  

• Total Put/Call .70 -6.7%

• NYSE Arms .75 -41.9%

Credit Investor Angst:

• North American Investment Grade CDS Index 53.20 -1.33%
  

• US Energy High-Yield OAS 709.02 -.04%

• European Financial Sector CDS Index 64.10 +1.9%

• Italian/German 10Y Yld Spread 121.0 unch.
  

• Asia Ex-Japan Investment Grade CDS Index 60.72 +.69%
  

• Emerging Market CDS Index 169.93 -.66%
  

• iBoxx Offshore RMB China Corporate High Yield Index 180.74 -.29%

• 2-Year Swap Spread 8.25 unch.

• TED Spread 16.5 +2.5 basis points
  

• 3-Month EUR/USD Cross-Currency Basis Swap -16.75 -2.75 basis points
  
• MBS  5/10 Treasury Spread  74.0 +.25 basis point
  
• IHS Markit CMBX BBB- 6 70.25 -.75 basis point

Economic Gauges:

• Bloomberg Emerging Markets Currency Index 61.40 +.31%
• 3-Month T-Bill Yield .06% -2.0 basis points

• Yield Curve 68.0 unch.
  

• China Iron Ore Spot 123.58 USD/Metric Tonne +.06%

• Citi US Economic Surprise Index 69.2 +2.8 points

• Citi Eurozone Economic Surprise Index 108.3 -.9 point
  

• Citi Emerging Markets Economic Surprise Index 58.2 -.3 point

• 10-Year TIPS Spread 1.70 -1.0 basis point
• 100.0% chance of no change at Jan. 27th meeting, 100.0% chance of no change at March 17th meeting

Overseas Futures:

• Nikkei 225 Futures: Indicating -71 open in Japan 
• China A50 Futures: Indicating -3 open in China

• DAX Futures: Indicating +8 open in Germany

Portfolio:

• Slightly Higher: On gains in my biotech/medical/tech sector longs
  

• Disclosed Trades: Covered some of my (IWM)/(QQQ) hedges
  

• Market Exposure: Moved to 50% Net Long

Bear Radar

Style Underperformer:

• Small-Cap Value -.7%

Sector Underperformers:

• 1) Healthcare Providers -1.5% 2) Utilities -1.5% 3) Agriculture -1.1%

Stocks Falling on Unusual Volume: 

• FLIR, CDW, MCK, LEGN, WRB, EL, GLDD, CCS, TSN, CUB, MOD, JAMF, DLTH, CODX, XPEL, AVYA, RHI, NTLA, TPC, GPRE and TTCF
  

Stocks With Unusual Put Option Activity:

• 1) FCEL 2) BLNK 3) LB 4) AEO 5) JNK
  

Stocks With Most Negative News Mentions:

• 1) BTU 2) VCTR 3) RHI 4) TSN 5) ZION
  

Charts:

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