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WEEKLY MARKET DIGEST: STRONG EMPLOYMENT REPORT, GOLD SQUEEZES SHORTS $GLD $SLV $USO $DIA $SPY $QQQ $TBF $TBT

December 6, 2013

(The Weekly Digest reproduces the morning capsules made available every morning before the market open in the Real Time Feeds to the paying subscribers. ) STRONG EMPLOYMENT REPORT, GOLD SQUEEZES SHORTS December 6, 2013 The U. S. Department of Labor reported a very strong employment report for November. Nonfarm Private Payrolls came at 96K in line with consensus. However, unemployment rate fell to 7.0% vs. 7.25 consensus and 7.3% in October. October Core PCE Prices, a good indicator of future inflation, came at 0.1% vs. 0.1% consensus. The only negative in this morning’s data is that October Personal Income came at

IPADS ARE HOT BUT WILL LOSE SHARE TO MICROSOFT SURFACE $MSFT $AAPL $TGT $GOOG $CHL $WMT

December 5, 2013

Today, Apple is continuing its move higher. The trigger is a report in the Wall Street Journal that Apple has signed a deal with China Mobile. The WSJ report shows that the traders were correct in looking forward yesterday and not reacting negatively to a subsidiary of China Mobile pulling iPhones from its website. To be successful, investors need to not drive looking in the rear view mirror and also need to avoid cognitive bias. Cognitive bias as it relates to stocks is a pattern of focusing on good news and ignoring the bad news or vice versa. Since the iPad has

INITIATE OR ADD TO PANDORA $P #PANDORA #SPOTIFY

December 5, 2013

This post was just published on ZYX Short Change Alert. Consider initiating or adding a 10% tranche to Pandora (P) in the zone of $29 to $30.20. The trigger is that Spotify will start offering a free service. The plan is to add more if the stock goes higher. The stop on this tranche is $35.63 to $35.78. Target is in low teens. Consider adding 45% on a move up in the zone of $39-40.50; stops on 25% in the zone of $43.31-45.77.

WHY YOU CAN IGNORE RECENT NEGATIVES FOR THE MARKET $SPY $DIA $QQQ $IWM

December 5, 2013

The stock market has fallen on the first three consecutive days in December. Traditionally, this is a very negative pattern. Moreover, several of the market internals that we monitor are showing patterns similar to the beginning of September 2011, when the market saw a roughly 7% correction. Take a look at the annotated chart of the SPDR Dow Jones Industrial Average DIA linked below. The chart shows three consecutive down days. You may also notice from the chart that this phenomenon is not typical in 2013. Please click here to see the annotated chart of DIA. Among broad index-based ETFs, a similar pattern

NEW APPLE SHORT-TERM TRADE $AAPL

December 4, 2013

Click here for an enlarged chart. These posts were published on ZYX Buy Change Alert. On November 26, 2013, the following alert was posted: A SHORT-TERM TRADE ON APPLE This trade is separate and distinct from the long-term position in Apple. AAPL is breaking out of heavy technical resistance in the zone of $530 to $535. Many such breakouts are false breakouts, therefore there is a reason to be cautious. However, bulls are floating all kinds of rumors about AAPL sales for the holidays, such rumors, at least today, are propelling the stock higher. The buy zone is $511 to $536.

HOW APPLE STOCK GOT RED HOT AGAIN $AAPL $GOOG $WMT $TGT $CHL

December 4, 2013

Click here for a bigger chart. After Apple AAPL stock had lost its momentum in recent months, it has spiked higher in the past two weeks and outperformed the S&P 500 by 8.8%. Here are seven reasons that Apple is moving higher again. The Incredible iPad Buzz It all started on November 21 in trading circles. Traders make a living by tuning in to new information early and often establish positions before there is even a hint of the new information in the mainstream media. The buzz was that the likes of Wal-Mart and Target TGT were going to heavily promote and discount iPads for

TAKE PROFITS ON MYGN AND EXIT THE POSITION

December 2, 2013

This post was just published on ZYX Short Change Alert. MYGN was short sold at $29.75 in the pre-market. As of this writing it is trading at $24.45. One of our rules is to never look a gift horse in the mouth. Consider taking profits and exiting the position right here. The plan is to short it again on any significant bounce.

NEW IDEA ON MYRIAD GENETICS, THE INVENTOR OF BREAST CANCER GENETIC TEST $MYGN $LH $DGX

December 2, 2013

This post was just published on ZYX Short Change Alert. MYGN’s claim to fame is a test to identify BRCA mutations that increase the risk of breast and ovarian cancers. Previously, DGX announced plans to compete with MYGN. Today LH announced the nationwide availability of a suite of tests to identify patients with BRCA mutations who are at increased risk for breast, ovarian and other cancers. The BRCAssure tests will be available through LH as well as Integrated Genetics and Integrated Oncology, members of LH’s Specialty Testing Group. LH’s BRCAssure BRCA1/2 Analysis will include full gene sequencing of BRCA1/2 genes and