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Stock Futures Deep In The Red: Amazon Tumbles, Baidu Climbs

Stock futures slumped lower ahead of Friday’s open, with earnings reports generating some emphatic premarket action.
Dow futures dived 35.8 points below fair market value. Nasdaq 100 futures tumbled 16.5 points. S&P 500 futures were off 3.7 points…

Stocks Up And Down At Open; Under Armour, Facebook Surge

Stocks opened in a narrowly mixed stance Thursday.
The Dow Jones industrial average and the S&P 500 inched up a fraction each. The Nasdaq dipped 0.1% as Qualcomm (NASDAQ:QCOM), Celgene (NASDAQ:CELG) and Alexion Pharmaceuticals (NASDAQ:ALXN) dived …

Stock Futures Steer Higher; Facebook, Skechers Nail Q2 Wins

Stock futures were somewhat chipper ahead of Thursday’s open, with positive weekly unemployment news, earnings reports and better-than-expected global manufacturing data bolstering investor sentiment.
Dow futures traded up 26.4 points. Nasdaq 100 futu…

Leaders Still Act Fine As S&P 500 Edges To A New High

The stock market rallied for a second straight session in mildly higher volume Wednesday, good enough for the S&P 500 to notch a fresh all-time high. The Nasdaq composite paced the day’s quiet gains, up 0.4%. It’s now a small advance away from painting a new 52-week high. The S&P 500 edged 0.2% ahead to keep its thin lead over the Nasdaq with a 7.5% year-to-date gain. Credit the strength …

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Three Stocks That Just Made Classic New Highs

The classic new high is a thing of beauty. A stock rises to a fresh high. Volume is strong. The gain is sizable. The stock closes high in the day’s range. On the chart, this action leaves a long price bar and a high hash mark: simply beautiful. A clean move like that is hard to come by in the stock market these days. Individual investors have seen too many stocks thrust up early and then retreat. …

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58.com, Tarena Among New Crop Of Top Chinese IPOs

Older Chinese stocks like Baidu (NASDAQ:BIDU) and NetEase (NASDAQ:NTES) have proved their staying power. Now, a couple of younger ones hope to follow their lead.

58.com (NYSE:WUBA) more than tripled in price from its Oct. 31 IPO at 17 a share, surging 246% to a March 7 high. From there it pulled back to start shaping its first true basing pattern and is still working on the handle with a 57.60 buy point. Volume has been light along the handle, a bullish sign.

Shares leapt 14% on June 26 — helping build the right side of the base — amid news that Chinese Internet giant Tencent (OTCPK:TCEHY) took a 19.9% stake in 58.com for $735 million.

Beijing-based 58.com, known as the Craigslist of China, turned its first annual profit last year with EPS of 25 cents. Analysts expect that to nearly double to 46 cents this year, followed by a 124% gain to $1.03 in 2015.

The company’s 98 Composite Rating is tops in its 31-stock Retail-Internet industry group.

Tarena International‘s (NASDAQ:TEDU) stock didn’t take off right out of the starting gate like 58.com’s. Instead, it dipped into a consolidation after its April 3 debut, then cleared a 10.90 buy point on June 12 in above-average trade.

It rose as much as 31% from the entry, triggering the eight-week hold rule, before easing again. This week, it’s rebounded off its 10-week average after finding support at the line.

Stocks sometimes offer a secondary buy opportunity during their first two pullbacks to the 10-week line after a breakout. But volume is still light in Tarena. Heavier turnover would show more conviction behind the rebound.

Tarena, also based in Beijing, operates learning centers in 33 major Chinese cities. It broadcasts lectures live to the centers so all students in a given course have the same instructor. The company is expected to grow annual per-share earnings by 64% this year and 59% the next.

The company is the biggest provider of professional information technology education in the country. It’s the latest Chinese educator to come public. Others include TAL Education Group (NYSE:XRS) (in October 2010), China Distance Education Holdings (NYSE:DL) (July 2008) and New Oriental Education & Technology (NYSE:EDU) (September 2006).

The Consumer Services-Education group has been lagging, but TAL and Tarena hold its best Composite Ratings.

July Months Is Top Month During Summer

Stock market’s seasonality patterns, holding stocks in July months, Stock Trader’s Almanac top-performing months, July is best month in 3rd quarter,July is fourth best month for Dow

The stock market often corrects during the summer months, but July’s decline hasn’t been so bad.

From 1950 to April 2013, July averaged a gain of 0.9% on the S&P 500, outpacing May’s 0.1%, June’s -0.01% and August’s -0.01%, according to the 2014 Stock Trader’s Almanac.

The S&P 500 notched gains during July months in 35 years and losses in 29 years.

In fact, July is the fourth best-performing month for the Dow Jones industrials, with an average gain of 1.2% over the past 64 years.

April, December and November still hold the top three spots in both the Dow and the S&P 500.

The Independence month is also the best-performing month of the third quarter except for Nasdaq Composite, the Stock Trader’s Almanac said.

So far through July 23, the S&P 500 was up 1.34% for the month, the Dow gained 1.54% and the Nasdaq rose 1.37%.

Whether you believe in the stock market’s seasonality patterns, historical records show some predictability in gains or losses for different months throughout the year.

There’s always exceptions to the rule, especially during years of economic or financial crisis and wars.

In case you didn’t follow the old adage of “Sell In May and Go Away,” holding stocks in July won’t make you rich, but it won’t make you poor either.

New Highs Pick Up; Some Stocks Still In Buy Zones

New highs picked up the pace Tuesday, though they remained below levels associated with pure bullishness.

Still, combined new highs on the two major exchanges hit 250, the highest in almost three weeks.

Quality stocks showed up on the list Tuesday, but many new highs were good news only for those already holding shares. A new high for stocks extended beyond the 5% buy zone does no good for those looking for entries.

However, a handful of new-high stocks — of varying quality that requires weighing of the fundamentals — are either in buy zones or approaching buy points.

Rail operator Union Pacific (NYSE:UNP) made a new high near a 103.06 buy point in a flat base. The stock added 1.22 to 102.86 in quiet volume. Look for a breakout past the buy point in volume 40% or more above average. Drawback: The base is third stage, which is less likely to work than first- or second-stage patterns.

Trucker Knight Transportation (NYSE:KNX) cleared a 24.86 buy point in a cup-with-handle pattern. The stock leapt 1.18 to 25.28 in volume 59% above average. Drawback: Revenue growth was 4% in 2013, but Street sees almost 9% this year.

Simon Property Group (NYSE:SPG), a mall-focused real estate investment trust, hit a new high but remains in a buy zone. The stock rose 0.92 to 171.33 in volume 17% above average. Simon is less than 1% above a 170.44 buy point in a long cup-with-handle base. Drawback: The Street expects earnings to grow only 3% this year and 5% next year.

Macerish (NYSE:MAC), another shopping center REIT, rose 0.32 to 68.58 in volume 5% below average. However, the stock remains in the 5% buy zone from a 68.38 buy point. Drawback: Breakout volume was only 24% above average.

India-based Tata Motors (NYSE:TTM) is in the 5% buy zone from a 41.28 buy point. The stock rose 0.99 to 42.63 in light volume. Drawback: Big volume was missing on breakout.

Aerospace components maker TransDigm (NYSE:TDG) added 2.09 to 173.99, clearing a 173.01 buy point. Drawbacks: Subpar volume and stage-three base.

Machinery and industrial play Ingersoll-Rand (NYSE:IR) gapped up 2.65 to 64.50 in strong volume as it regained a 63.52 entry. Drawback: The Composite Rating is mediocre.

Click here to view the full list of 52-Week New Highs & Lows.

Lockheed Martin Reports Q2 Earnings; Stock Rises

Shares of defense contractor Lockheed Martin (NYSE:LMT) gained altitude Tuesday after the company reported better-than-expected quarterly earnings and revenue and gave a generally upbeat view of what’s going on inside the company.
The company report…

Stock Funds Attracted $562 Million In May

Investors took the foot off the pedal as inflow into stock funds eased in May.

Net new cash flow into stock funds totaled $562 million in May. That’s down from $4.50 billion in April.

May’s diminutive inflow was the smallest monthly inflow since February 2010′s $25 million, according to the Investment Company Institute.

International funds continued to take the lion’s share of new money, attracting $5.7 billion in May. Emerging market funds swung to $1.59 billion inflow in May from $153 million outflow a month earlier.

Domestic domestic funds saw an outflow of $7.26 billion in May vs. an outflow of $1.36 billion in April.

Investors continued to shy away from growth and aggressive growth funds. The two stock fund categories saw a combined $11.1 billion outflow in May vs. $5 billion outflow in April.

For the year to date, stock funds pulled in $59.12 billion vs. $79.2 billion for the same period a year earlier.

Stock fund assets climbed to $8.1 trillion from $7.9 trillion the prior month. Hybrid fund assets rose to $1.3 trillion in May.

Bond fund assets rose to $3.43 trillion from $3.38 trillion a month ago.