Market Blog » The Arora Report Stock Market News

WEEKLY MARKET DIGEST: LET THE BATTLE ROYAL BEGIN

August 4, 2012

(The Weekly Digest reproduces the morning capsules made available every morning before the market open in the Real Time Feeds to the paying subscribers.) LET THE BATTLE ROYAL BEGIN August 3, 2012 For the second time in a row, a major piece of U.S. economic data came better than expected. Last week it was GDP, today it is the employment data. Weekly non-farm payrolls came at 163k vs. 100k consensus; the whisper number was 86k. Let the battle royal begin between those who will buy stocks and sell bonds and gold because the economy is stronger than expected, and those who will

PLAN ON ZAGG

August 3, 2012

This post was just published on ZYX Short Sell Change Alert After profit taking this morning 80% of the full core position is being held. Average entry price is $13.85 and previously profits have been taken as low $7.62. This is a very long-term position. Our target remains $3 – $5. This stock is prone to short squeezes. The plan is the same as before, add on short squeezes and take partial profits on dips and leave sufficient quantity untouched until the target is reached.

TAKE PARTIAL PROFITS ON ZAGG

August 3, 2012

This post was just published on ZYX Short Sell Change Alert In keeping with our practice of always booking some profits, consider taking profits on a 20% tranche of ZAGG right here around $8.36. Aggressive investors, as an alternate may choose to set a stop at $8.76 on a 20% tranche and keep on lowering the stop if the stock keeps on going lower.

ZAGG EARNINGS

August 2, 2012

This post was just published on ZYX Short Sell Change Alert ZAGG reports $0.18 vs consensus of $0.19; revenues of $61.6 million vs consensus of $59.38 million. Sees FY12 revenues of $265 million vs $262 million consensus. Please note that revenue projection is below consensus. A particular item of interest is that today the U.S. Patent and Trademark Office published an application from AAPL for a new smart cover that can feature solar panels, a smart pen, a keyboard, and a multi-touch panel. The point is that ZAGG has a difficult road ahead. What To Do Now? Those in the position may continue

SMART MONEY IN GOLD AND SILVER MINERS

August 2, 2012

This post was just published on ZYX Buy Change Alert From the emails we have received, there appears to be a strong interest among our subscribers in gold and silver miners. Yesterday we commented that for the first time Smart Money was buying precious miners in a long time. Here is the data about Smart Money actions today. SYMBOL SMART MONEY BUYING IN MILLIONS OF $ SMART MONEY SELLING IN MILLIONS OF $ ABX 3.56 NEM 6.13 GDX 4.38 GDXJ 0.34 GG 3.73 SLW 0.33 PAAS 0.013 CDE 1.82 As the table

CHANGE IN BIAS ON GOLD AND SILVER

August 2, 2012

This post was just published on ZYX Buy Change Alert Gold and silver are being downgraded from neutral with no bias to neutral with negative bias. The reason is Draghi’s failure to act immediately.

WHAT AT&T STAFF REALLY SAYS ABOUT IPHONE

August 1, 2012

BGR reports that AT&T has ordered retail staff to sell “anything but” Apple‘s iPhone. BGR backs up the report by claiming that it has confirmed the directive by three independent sources. According to BGR, regional managers have been telling store managers to steer consumers away from iPhones. I have attempted but not been able to confirm the report. Multiple checks after BGR’s report show that there may be some truth to the report. However, it appears that AT&T retail staff is doing a commendable job correctly pointing out the pros and cons of various devices. AT&T is pushing Google‘s Android based Motorola Atrix HD phone. There is

CHANGE IN BIAS ON GOLD AND SILVER

August 1, 2012

This post was just published on ZYX Buy Change Alert Our rating on gold and silver has been neutral with positive bias. Now gold and silver are being downgraded to neutral with no bias. Our models are driven by a large number of factors. There are two triggers for the downgrade. First, FOMC will announce its statement at 2:15 pm EDT. Expectations of bulls appear to be more optimistic than what the statement is likely to say. Second, the ADP employment change came at 163k vs consensus of 125k. This is the first important positive data on the U.S. economy in