Are You Trading the New Earnings Season?

How NLT Delta Force Strategy Turns Quarterly Earnings Events into Structured Opportunities

Four times a year, hundreds of stocks move 5%, 10%, or more in a matter of hours. Most traders watch it happen. NLT traders position for it — with the risk already defined before the announcement drops.

Earnings season is the only recurring event in the financial calendar where large, fast, directional price moves are structurally guaranteed — quarter after quarter, year after year. The uncertainty is not whether the moves will happen. The uncertainty is direction, magnitude, and timing. And that uncertainty is exactly what most traders use as a reason to stay out.

NLT traders use it differently. They use it as an invitation to structure a trade where the maximum loss is known in advance, the potential return is 80 to 100 percent of the risk taken, and the entire position — entry, management, and exit — runs on pre-placed orders with no screen time required after setup.

This is what the NLT Delta Force Options concept was built to do: convert the volatility of earnings events from a source of anxiety into a source of structured, repeatable opportunity.

What Earnings Season Actually Offers a Prepared Trader

A company’s earnings announcement is not a coin flip for institutional participants. Funds, market makers, and professional options desks begin adjusting their positioning weeks in advance, based on supply chain data, sector trends, guidance from related companies, and options flow that reflects informed expectations about the coming number.

That positioning leaves a footprint — on price, on volume, and on the options market — that is readable if you have the right indicators. NLT’s proprietary scan identifies that footprint: the quiet pressure that accumulates before the announcement and tends to confirm the direction of the post-earnings move. Knowing the crowd’s lean before the announcement is released is the edge that turns an earnings event from a gamble into a structured trade.

THE CORE EDGE Institutional money does not wait for the earnings number. It positions weeks in advance. NLT’s indicators are specifically designed to detect that positioning — identifying the directional bias before the crowd recognizes it, and before the options premium reflects it.

How NLT Selects the Right Stocks — Every Earnings Cycle

Not every stock in the earnings calendar is a qualifying NLT setup. Most are not. The NLT team runs a structured weekly scan across the full earnings calendar, applying three filters that together identify the small subset of candidates in which the risk-reward structure and the directional signal both meet the required thresholds

Ahead of earnings season, rising implied volatility—reflected in higher Vega across the options chain—drives up option premiums, often resulting in elevated entry costs. To address this inefficiency, we have developed a targeted solution.

NLT Filter	What It Detects	Why It Matters
Institutional Pressure Buildup	Unusual buying or selling pressure accumulating ahead of the announcement, measurable in price action and volume patterns, reflecting informed positioning	When institutional flow consistently favors one direction before the number, the post-earnings move tends to confirm that lean — producing a directional trade, not a guess
Earnings Range Definition	The expected move range, derived from historical volatility and current implied move data, defining the zone price must exit to validate a breakout trade	Knowing the expected range allows the spread structure to be sized precisely so that a move outside the range produces the target profit with maximum efficiency
Delta Force Spread Fit	Each qualifying candidate is matched to the optimal options structure — vertical call spread for bullish bias, vertical put spread for bearish — calibrated to the specific risk-reward target	The spread structure converts a potentially unbounded risk event (holding stock through earnings) into a defined-cost, defined-return position that cannot surprise on the downside

Why Stock Traders Are Playing the Wrong Game

Consider the problem a stock trader faces going into earnings. They identify a stock they believe will move higher after the announcement. They buy shares. Then the number comes out — better than expected — and the stock gaps up 8%. Their trade works. But now consider the alternative scenario: the number is slightly ahead of the whisper number, but guidance disappoints. The stock gaps down 12% overnight. The stop they had in place is bypassed entirely by the gap. They wake up to a loss that was never part of the plan.

This is not a failure of analysis. It is a structural problem with using stock positions for binary events. The risk is not defined. The outcome cannot be capped. And the overnight gap — the one variable that most dramatically separates expected from actual outcomes in earnings trades — is completely outside the trader’s control.

	Stock Position	NLT Delta Force Spread
Maximum risk	Theoretically unlimited on a gap move	Premium paid — fixed at entry, known in advance
Reward potential	Capped by realistic post-earnings move	80–100% return on risk in a single event
Margin requirement	Full capital at risk	Cost of spread premium only
Overnight gap exposure	Full exposure, no protection	Limited to spread width — no surprise
Monitoring required	Continuous during session	GTC orders handle entry and exit automatically

The NLT Delta Force approach does not ask the trader to predict the exact magnitude of the earnings move. It structures the trade so that a move in the right direction — of any size beyond the expected range — produces the target return, while the maximum loss is always and only the premium paid. Three out of four typical earnings setups that carry unacceptable risk as a stock position become a well-structured 1:1 risk-reward opportunity when the Delta Force spread is applied.

The Delta Force Execution: Five Steps, Then Nothing

One of the most underappreciated advantages of NLT’s earnings approach is its simplicity of execution. Once the setup is identified and the spread is entered, the trader has nothing further to do. The following five steps cover the entire process from setup to outcome.

Step 1 — Setup Identification: NLT indicators identify the direction of institutional pressure and the boundaries of earnings ranges. The team publishes qualifying candidates to NLT All-in-One Alert subscribers before the announcement week begins.

Step 2 — Delta Force Spread Selection:  The optimal spread structure is chosen: vertical call spread for bullish candidates, vertical put spread for bearish. The spread is sized to target an 80–100% return on the premium risked, with a cost structure aligned with a 1:1 risk-reward profile.

Step 3 — Limit Order Entry:  The spread is opened with a limit order at the system-defined price. No market orders. No chasing. The position opens on the trade’s terms, not the market’s.

Step 4 — Immediate GTC Closing Order:  The instant the opening order fills, a Good Till Canceled closing order is placed at the profit target. There is nothing left to monitor, nothing left to decide. The trade runs on its own.

Step 5 — Risk Is Already Fixed:  Maximum loss equals the premium paid for the spread. No margin call risk. No overnight gap exposure beyond the spread width. No scenario in which the outcome exceeds the parameters accepted at entry.

WHY THIS MATTERS FOR BUSY TRADERS? Most options strategies require active monitoring, rolling decisions, and real-time adjustments, all of which demand screen time and emotional bandwidth. The Delta Force earnings approach demands neither. The five steps above take minutes to execute. Everything after step four is automatic. This is what ‘low-maintenance, system-driven trading’ actually looks like in practice.

What NLT Subscribers Actually Receive

The NLT Delta Force earnings framework is not a one-time tutorial. It is a recurring, quarter-by-quarter process that subscribers access through the NLT All-in-One Alert service. Every earnings season, the following is published to active subscribers:

• Earnings Movers Weekly List: A curated list of qualifying candidates from the NLT scanner, filtered to the instruments where institutional pressure, expected range, and spread fit all meet the required threshold. Published before the announcement week begins.
• Preferred Delta Force Setup: For each qualifying candidate, the specific spread structure is published — strikes, expiry, risk, and target — so subscribers receive a ready-to-execute setup, not a general recommendation.
• Entry and Exit Prices: Limit order prices for opening and the GTC closing level for the profit target are included in every publication. The subscriber’s job is to place the orders, not to construct the trade from scratch.
• NLT One-on-One Mentorship: For students in NLT mentorship programs, every earnings setup is worked through personally — explaining the indicator reading, the spread construction, and the execution sequence so the student builds genuine understanding, not just follows instructions.

NLT Earnings Trades for the Week of July 13, 2026

We also provide fully developed charts to complement our insights, while experienced NLT subscribers leverage our proprietary indicators and have mastered their application. With the NLT Earnings Movers Report, traders can bypass the time-consuming process of scanning countless charts and setups and gain immediate access to high-probability opportunities.

Earnings Season Starts July 14, 2026. The Setup Window Is Now.

The new earnings season opens July 14, 2026. The highest-probability earnings setups are identified and positioned in the days and weeks before each announcement — not after. The institutional fingerprint on price and volume that NLT indicators track begins accumulating well before the number is released. By the time the announcement hits, the informed positioning has already been made.

The traders who will profit most from this earnings season are not the ones who react fastest after the number. They are the ones who are already in position before the announcement, with a defined risk they accepted at entry, a GTC order waiting at their target, and no decision to make when the price moves.

That is the NLT Delta Force approach. And it is available to you now — either through the NLT All-in-One Alert subscription, through a mentorship program where you learn to construct and select the setups yourself, or both.

80–100% Target Return per Trade

1:1 Risk-to-Reward Ratio

Fixed Maximum Loss at Entry

5 Steps Full Execution Process

0 Screen Time After Setup

Here are the first candidates—illustrating how they navigated the previous earnings season with NLT signals—and now positioning themselves for the trading week of July 13, 2026.

NLT Earnings Trade Setups for the Week of July 13, 2026

Of the four earnings trades our system suggested, AAPL and COP opened on Monday; AAPL closed on Thursday and COP on Friday, achieving the anticipated 100% return on investment. META and AMZN are still open as of this writing.

Here are the NLT Multi-System Charts

The goal is not to eliminate losses entirely. It is to eliminate uncontrolled losses — and replace them with defined-risk positions that participate fully in the move when it happens.

Earnings Season Rewards the Prepared. Let’s Get You Ready.

Whether you are completely new to options spreads or an experienced trader who has been trading earnings events without a structured framework, NLT’s approach provides both the indicators and the strategy to change that. The consulting session is free, one-on-one, and focused on where you are right now — not a generic presentation.

The earnings season calendar does not wait. The candidates NLT’s scanner identifies are most actionable in the days before the announcement — not the day after. Contact us now to schedule your session and receive this week’s earnings alert.

Ready for Rule-Based Trading, no Guesswork?

Bring NLT’s Analysis into your trading arsenal today.

 Contact us: contact@NeverLossTrading.com

Subject: Consulting

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Good trading,

Thomas F. Barmann

www.NeverLossTrading.com

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Stock Market: What Do Bank Earnings Tell Us?

Banks are the perfect place to show book money:


When the banks built accruals for potential bad loans – earnings went down;

and now Banks release over-accruals – and earnings go up.

This is basically what we saw in Citigroup today.

Banks show their real attainment in the development in the revenue numbers and this is where Citigroup came short (see our article: http://neverlosstrading.wordpress.com/2010/10/18/stocks-makret-solid-earnings-and-home-builder-confidence-increase/

JPM (JP Morgan-Chase-Manhattan) already announced on October 13, 2010 lower revenue numbers, but better earnings. Why is that? All banks are very restrictive in lending money, they enjoy a beautiful margin by the low fed rates and with that do not need to find new business to show profits: profits come from book money: margins, reserves.

With a restrictive – but for the banks comfortable – lending policy, we will not see bigger growth for the economy in the near term future and with that no release on employment numbers.

Based on the sound profits from all corporations in the 3rd quarter earnings release, we have the following investment policy:

- Short term we go with the market and trade towards the upside and we are looking to buy into a market retracement we are waiting for.

- Midterm we get ready for getting short in Banks and our candidate to pick is JPM (we collected a lot of material that indicates a 4th quarter write off from the trading side of JPM).

Good trading.

Economic Growth with High Unemployment

Bad employment numbers do no more shake the markets.

Wednesday October 6, 2010, before the start of trading, private payroll processor Automatic Data Processing Inc. (ADP) said that private sector employment fell by 39,000 jobs in September following a revised increase of 10,000 jobs in August.


The decrease came as a surprise to economists, who had expected employment to increase by about 18,000 jobs compared to the loss of 10,000 jobs originally reported for the previous month.

With the upward revision to the data for the previous month, the drop in jobs reported for September marks the first decrease in private sector employment reported by ADP since January.

However, ADP noted that the average monthly gain in employment over the seven previous months was a relatively modest 34,000, adding,

Juggling small numbers left and right: "There simply is no momentum in employment."
Corporate profits are still rising, while the job situation does not better. All government programs to sponsor employment failed and with the wave of mergers and acquisitions ahead of us, a significant change is not yet seen.

Key Consumer Goods Companies Announcements:

The discount wholesaler Costco (COST) said its fourth quarter net income rose to 97 cents per share on an 8 percent increase in net sales to $23.59 billion. Analysts estimated earnings of 95 cents per share on revenues of $24.22 billion.

Johnson & Johnson (JNJ) announced that it has reached an agreement to buy all outstanding shares of Crucell (CRXL) it does not already own for about 1.75 billion Euros in an all-cash offer. Johnson & Johnson currently owns 17.9 percent of Crucell's outstanding shares.

By the artificial amount of money coming to the market as a result of government interference (see our article: http://neverlosstrading.wordpress.com/2010/10/06/take-advantage-of-stocks-bonds-commodities-going-up-by-government-action/) bad unemployment numbers do no more shake the market on its way up.

Stock Market Growth Despite of Weak Consumer Confidence

The economy is more solid and progressing than the media is telling us.


Tuesday September 28, 2010.

This morning, the consumer confidence index was reported at 48.5 in September from a downwardly revised 53.2 in August. Economists had expected the index to edge down to 53.0 from the 53.5 originally reported for the previous month. But over the course of the day the markets quickly recovered and finished positive. Why is that?

Consumer confidence is no more an issue the economy take serious. Corporations make solid earnings while unemployment is in the mind of the consumer, even so they have a job. The cash that is generated by US corporations is used for M&A activities that happen either outside the United States or lead to consolidation, where more jobs get eliminated than produced. (Please see our market report form yesterday). If you check out prior reports we often stated that Europe is already used to a good economy that is not producing jobs since 30 years.

Before the start of trading, Standard & Poor's released a separate report showing that its S&P/Case-Shiller 20-City Composite Home Price Index increased at an annual rate of 3.2 percent in July compared to a 4.2 percent increase in June. The index had been expected to increase at an annual rate of about 3.3 percent. Meanwhile, S&P said that the 20-City Composite Home Price Index rose 0.6 percent on a monthly basis in July, reflecting month-over-month increases in twelve out of the twenty metropolitan areas. Surely we know that the real estate market is by far not anywhere where it was, but it is up to last year and we are progressing. The media sure tell you different, but if you like just check companies performance of key builders like HOV, PHM or building machine producers CAT and you might see the difference to what the media is telling you.

To fuel the idea of solid corporate earnings: Walgreen (WAG), posted a strong gain after reporting fourth quarter earnings of $0.49 per share on revenues of $16.9 billion. Analysts had expected the company to earn $0.44 per share on revenues of $16.84 billion.

Skeptical people always come up with bad news like: did you see Research in Motion (RIMM) who are currently down by 3.6 Percent. We answer yes, but did you see the AAPL share progressing by 50% with the launch of iPhones and the iPad. In respect to that, a 3.6% revenue drop of a key competitor is nothing and RIMM even has a copy of the iPad to be launched, which will help to develop the small tablet PC market to the next stage.

A weaker Dollar and a potential buy back of bonds by the Fed will lead to a higher amount of floating dollars which we assume that we continue to see rising stock markets, commodities and bonds/notes.

Why do bonds and notes increase in value, do they not usually go down when the stock markets go up? Usually they do, but not in a case where there is an artificial demand by the Fed which will keep prices higher for a while.

Stock Market: What Do We Know About The Economy

Stock Market: What Do We Know About The Economy


“Is there a hidden agenda to the economy. Why did the stock market go up drastically on bad economic news?”


What Happened Today: Friday August 27, 2010?

Earlier this morning, the Commerce Department reported that GDP growth in the second quarter was downwardly revised to 1.6 percent from the advance estimate of 2.4 percent.

The Fed Chairman Ben Bernanke indicated that the Fed would mull over the purchase of additional securities should economic conditions worsen amid the slowing recovery. Despite indicating consideration of these easing measures, the Fed chief stopped short of promising any action at the current time.

Bernanke also stated that the recovery has slowed to a slower than expected pace, calling the economic outlook "inherently uncertain" and further stressing that the fragile economy "remains vulnerable to unexpected developments."

Thomson Reuters and the University of Michigan said that their consumer sentiment index for August was downwardly revised to 68.9 from the previous estimate of 69.6, although it remains above the July reading of 67.8.The downward revision came as a surprise to economists, who had expected the index to be revised up to a reading of 70.0.

What happened to the stock market?

Key institutional Investors ran the markets up this morning to pull the carpet right after and when it was low enough, they bought it. A 10% higher volume than average cannot be initiated by private investors.

The question is why are those institutions buying into this mess?

Or is there something we do not know?

We know everything, but we might not be aware: America booked the highest profits in 5 years – corporations are healthy . Sure growth is slow, but moderate in a worldwide comparison. The key problem America faces is high unemployment and it does not change – and surely influences consumer confidence. See one of our articles: http://www.neverlosstrading.com/Press_Releases/A_New_Eearnigns_Season.html or

http://neverlosstrading.wordpress.com

Why do we face a continues high unemployment when corporate profits are hight?

America got more efficient the productivity per capita employed went up tremendously. But this also means that we might need to live with a 10% unemployment rate as it is a given for 30 years in Europe for example.

Corporate America shifted employment to the government and the government has the issue to finance the major shift of employment to unemployment.

So worldwide the US is still ahead and this makes institutions to put the money in the market.

The problem for the average market investor. This up move might be short term and next week institutions might take it out again. They do not act against private investors, they act in their interest. We highly recommend investors to learn how to deal with short term investments to the up and downside of the market. If you know how to invest, every day in the market is a beautiful day as long as it move. If it stops to move? There are beautiful strategies to make money on those days too.

NeverLossTrading is a primary institution to educate people in becoming a financial market investor. Check them out: http://NeverLossTrading.com.

Stock Market News for the Week of August 23, 2010

After last week all Stock Indexes are back into negative territory. Solid Corporate earnings and a continued high unemployment rate? What is our outlook. Corporate cash migrates towards acquisitions, that sure does not add jobs:

• Dell announced it is buying data-storage company 3PAR. Intel made public its plan to purchase Texas Instrument’s line of cable modem products. BHP’s bid for Potash Corp. Intel is looking to absorb McAfee

• Germany booked 27% higher durable goods orders which will end up in job replacing machines entering the country in the next 12 months.

Hence we will continue a zigzag curve with solid earnings and high unemployment rates.

This week all eyes are going to be focused on Friday with the new GDP numbers at 8:30 a.m. and Consumer Sentiment at 9:55 a.m.

Here are the key news events to consider this week:

Stock Market: Where to Next?

We are riding the wave down, ready for a reversal – and love to buy cheap.

We had another day of weak employment data and the experts where surprised. At some points we are asking ourselves who the experts are? When you follow our publications: http://NeverLossTrading.wordpress.com you can read that we expect since a while a stronger underlying economy with solid earning and a continued high unemployment number. The US is a mature economy and will not add proportionate jobs to the economic progress. All European countries deal with this issue since 30 years.

As a result: we will show growth by good earning and retracement by bad unemployment numbers for the near term future – and this is nobody’s fault it is an evolutionary process of a mature economy.

So now comes the question: what happens with all those earnings?

The CEO’s of America know they are requested to do something and what do they do?

1. The high profit carrying companies will go out and acquire companies and grow their base using cheap credits available to them. In the acquisition they will reduce redundancy and people will lose their jobs.

2. Others will invest in new machinery and equipment that will make even more people in manufacturing jobs redundant. German upped their economic outlook based on higher than expected orders for machines and machine tools. Who do you think placed those orders?

Usually the heard is wrong. Currently everybody knows the stock market will go down – so after the correction of today they look right and w might see another sell off on option Friday (tomorrow). But this will not mean we fall back to an S&P value of 700. As a result, our strategy is to day trade only for now, waiting for the right moment to place a swing trading options position on one of the major indexes.

Options are often considered a risky investment, but with the right trading plan they make us more money on the way up and produce less losses on the way down. When we say such, we are often ask: But how do you deal with the overnight risk?

Our Answer: Overnight Hedge with futures if needed and day time hedge or leverage with futures.

It sure needs the right pick of an investment instrument and this is what we teach our students. If you are interested: contact@NeverLossTrading.com

Stock Markets: Economic Growth Paired with High Unemployment

“Economic growth with continued high unemployment will lead to stock market growth and deep short term corrections. A dangerous trading ground for the small investor.”
We said it in multiple of our publications: The US economy is in a an uptrend with high and to be continued unemployment. As a point of reference: http://NeverLossTrading.wordpress.com.

Friday, the Labor Department said that non-farm payroll employment fell by 131,000 jobs in July following a revised decrease of 221,000 jobs in June. Economists had expected employment to drop by 87,000 jobs compared to the loss of 125,000 jobs originally reported for the previous month.

At the same time, the report showed that the unemployment rate came in unchanged compared to the previous month at 9.5 percent, reflecting a decrease in the size of the labor force. Besides those jobs that disappear many of the non-registered workers are out of jobs or even out of the country. So we definitively have a decrease in size of labor registering for unemployment.

This is a big issue for the government is to cope with the additional costs and requirements of a 10% unemployment rate. A long needed restructuring of taxes, health care and social benefits is on the horizon. As a result of ongoing good corporate earnings and growth we will see economic progress which lets the markets climb, followed by sharp pullbacks on all issues to cope with the high unemployment.

Supporting indicators for our assumptions:

Kraft Foods Inc. said that its second quarter profit rose 13 percent from last year. However, quarterly revenues came in positive but lower than forecast, and the company trimmed its full year revenue growth projections.

Healthcare provider stocks are posting some of today’s steepest losses, resulting in a 2.4 percent drop by the Morgan Stanley Healthcare Provider Index.

Look alone at Fridays trend of the major indexes and this just shows on the short term what to be expected long term.

The smart money is always ahead, and we put your right at par when you learn how to make money when markets go up, down or sideways.

NeversLossTrading is a premier education institute focusing to teach small group of investors how they can leverage and hedge their assets, in each of their accounts: 401(k), IRA, Custodian, Personal. Due to working with small groups only the best to get in touch with them is: contact@NeverLossTrading.com

Stock Markets: Are We Getting Into A Downtrend?

We are facing a time of an growing economy and continues high unemployment rates. There are many indicators speaking for a longer term growth with sharp market corrections. See our arguments.

Before the start of trading this morning, the Labor Department reported that initial jobless claims rose to 479,000 in the week ended July 31st from the previous week's revised figured of 460,000.


Is that really a surprise?

As often reported prior, the US for the first time is faced with a continues high unemployment level, as most European countries are used to since 30 years.

The market sure reacted negative and all kind of little explanations for a big structural problem were found: GM shutdowns (as if they were not there last year)

Our interpretation: We will have consumers who can spend, because they have a job and others who cannot, because they do not have a job.

Look at the retail reports from morning: A number of key chain stores reporting comparable July store sales. BJ's Wholesale (BJ) reported that its July comps rose by 6 percent, Nordstrom (JWN) said its sales increased by 7.6 percent, Kohl's (KOHL) sales advanced by 7.1 percent and sales by Macy's (M) jumped by 11 percent.

Now a key economic indicator: Freight & Transportation and Logistics Services company Con-way Inc. (CNW) posted second-quarter net income that was nearly 24 percent higher compared to the same period last year but still missed projections.

Let us puzzle it together:

“We are facing a period of economic growth where unemployment continues as an unresolved issue: American Companies got used to work with less people and will not rehire proportionate, even though they grow.”

Some more economic facts:



Yesterday, ISM revealed that its non-manufacturing index rose to 54.3 in July from 53.8 in June, with a reading above 50 indicating continued growth in the service sector. Economists had been expecting the index to edge down to a reading of 53.0.





In earnings news, PulteGroup Inc. (PHM) reported second-quarter net income of $0.20 per share, while analysts expected the company to report a loss of $0.01 per share. Total revenues for the quarter surged up to $1.31 billion from $678.58 million in the prior year quarter.



Media and entertainment giant Time Warner Inc. (TWX) said its second-quarter earnings rose to $0.49 per share, topping forecasts for $0.45 per share for the period. Revenues for the quarter grew 8 percent to $6.4 billion, while analysts expected revenues of $6.20 billion.



Additionally, Japanese automaker Toyota Motor Corp. (TM) said it swung to a profit in the first quarter compared to a loss in t he same period last year, helped by 27 percent revenue growth on the strength of Asian sales and demand-stimulus programs in Japan.



So what will all this mean for the Stock Market Investor:

We assume that we continue on a bullish sentiment with sharp negative pullbacks. Our outlook even goes for the next 5-10 years. Why? It will take that long for the government to deal with the restructuring of the taxation system to cope with long term unemployment, health care and social benefits for people who cannot find a job. Each time such news will hit the market it will take away quick from the levels that will be build by continues rising corporate earnings and growth.

For the investor it means to learn how to trade the market in all directions and how to hedge assets besides using a stop loss. NeverLossTrading.com teaches small groups up to 15 how to build and secure a long term portfolio of 401(k), IRA, Personal, Custodian accounts. One of their quotes: “People think that they cannot hedge (secure) their 401(k) investment because they have to stick to the investment vehicles of the plan provider. The plan is sure what the plan is and we will not change it, but add additional instruments that will make your investments long term grow and protect against sharp declines.”

Stock Market: Bullish Day after Economic News – What will happen tomorrow?

The Stock Markets went sharply higher today. Checking Index Futures, this move was already indicated by the opening on 6 p.m. EST yesterday and confirmed with the opening of the European session at 3 a.m. EST.
Then came the economic news with a better than expected reading on national manufacturing activity and all Indexes: DOW, S&P, Nasdaq, Russell, doubled up and got into positive annual territory. Here are the news as they came in:

The ISM said its manufacturing index fell to a reading of 55.5 in July from 56.2 in June, with a reading above 50 indicating continued growth in the sector. Economists had expected the index to show a more notable decrease to a reading of 54.2. When you check out publication and how we followed the earnings reports of major US companies, we saw that coming and by kept our bullish sentiment.

Separately, the Commerce Department said that construction spending edged up 0.1 percent to an annual rate of $836.0 billion in June from the revised May estimate of $834.8 billion. The increase came as a surprise to economists, who had expected spending to decrease by 0.8 percent.

This coupled with good earnings gives a positive, or bullish sentiment.

Let us be aware, the battle for the bulls is not won. This week the bulls will get tested by reports of the employment situation, outlay of personal income and consumer spending might challenge the overall bull position and we might see some downs spikes while we keep our overall bullish sentiment.

If you want to see a clear outlay of this week’s economic news, check our link: ‘

http://neverlosstrading.wordpress.com/2010/08/01/stock-market-news-for-the-week-of-august-2-2010/

Earnings News with Focus on International Banking and Healthcare:

HSBC reported a six-month profit of $0.38 per share, well above the $0.21 per share reported for the same period last year. The firm benefited from a decline in loan impairments, as charges fell to $7.52 billion compared to $13.93 billion recorded a year earlier.

French banking giant BNP Paribas reported a 31 percent increase in its second quarter profits on a near 12 percent increase in revenues, as its cost of risk declined about 54 percent from last year.

Humana Inc.'s second-quarter net income grew to $2.00 per share, firmly topping expectations for $1.67 per share. Total revenues for the second quarter increased 9.5 percent to $8.65 billion, while analysts estimated revenues of $8.61 billion for the quarter.

Stock Market News by NeverLossTrading: Where is the Economy and the Stock Market Heading Towards?

We still have a mixed bag of fantastic earnings and uncomfortable economic news. Today we first picked up a bearish sentiment and later in the day the news got digested and turned into a more positive outlook.
What is going on?

Our summary: American Corporations got more efficient and will never rehire the amount of people they worked with prior. Basically the Government now employs all those qualified and willing to work people on the unemployment role. Europe has that problem since 30 years, now America got hit. The economy is growing. This week we have seen consumer companies and all others reporting growth in revenue and fantastic earnings. What was shown in earnings is just fabulous. When stocks are measured on P/E (price/earnings) we have a season of growth in front of us. But on the other side America has to get used to 10% unemployment and needs to restructure taxation, healthcare and lending policies, which will affect three big and influential Dow and S&P sectors: Financials, Banking, Healthcare. With an overall need for restructuring value added tax and the entire taxation system, all sectors will take a beating. But you know what: there is no place like America in respect of dealing with changes –whatever comes along will be turned into being ahead of the world and more profitable.

For all financial market investors times of as season of uprising stock prices based on growth and profitability is ahead of us, followed by beaten down bear rallies on every change in lending, taxation and healthcare that will need to come our way. For those who like to make money through financial market investments (401(k), IRA, Personal, Custodian, Margin Accounts) in the next 5-10 years, you better learn to make money in up, down and sideways markets bye hedging and leveraging your investments: NeverLossTrading.com is here to teach you.

Today July 30, 2017, Thomson Reuters and the University of Michigan released their final report on consumer sentiment in the month of July, showing that the consumer sentiment index was upwardly revised by more than expected but continued to show a notable deterioration in sentiment compared to June. The report showed that the consumer sentiment index for July was upwardly revised to a reading of 67.8 from the preliminary estimate of 66.5. While the revised reading came in above economist estimates of 67.5, it remained well below the June reading of 76.0. Whatever face lifting we do, consumers are not confident in the economy yet. The high unemployment with no clear solution brings a Bearish Sentiment.



Richard Curtin, Surveys of Consumers chief economist, said, "Scarce jobs and stagnating incomes have been the top concerns of consumers for some time."



The Institute for Supply Management - Chicago said its business barometer rose to 62.3 in July from 59.1 in June, with a reading above 50 indicating growth in Chicago-area business activity. The increase surprised economists, who had expected the index to fall to a reading of 56.3. This is sure not a surprise: raising profits and cash on hand give a better outlook: Bullish Sentiment.



The Commerce Department said that gross domestic product: GDP increased at an annual rate of 2.4 percent in the second quarter compared to the revised 3.7 percent jump seen in the first quarter. Economists had expected GDP to increase by 2.5 percent compared to the 2.7 percent growth that had been reported for the first quarter. The economy is growing, price competition still keeps the growth in a smaller scale but overall a Bullish Sentiment.





Earnings News:

Chevron Corp. (CVX) reported second-quarter net income of $2.70 per share, up from $0.87 per share in the same quarter last year. Wall Street analysts expected the company to report earnings of $2.44 per share for the quarter. The firm posted revenues of $51.05 billion, which was short of the $52.52 billion projected by analysts.



Merck & Co. Inc. (MRK) reported adjusted second-quarter net income of $0.86 per share, topping expectations for $0.83 per share. Unadjusted net profit fell by roughly 50 percent to $0.24 per share. Sales for the quarter came in at $11.35 billion, short of the consensus estimate for $11.45 billion.

Stock Market: Economic News and Outlook by NeverLossTrading

We are facing a time with great corporate earnings and a to be continued high unemployment rate. Corporations learned to work more efficient and will not rehire the same amount of people to get the job done. The economy overall is strengthening and the stock market decides day by day what news drives the market up or down.


Today, July 29, 2010 great earnings reports were continued and no change on the unemployment situation lead to a negative market direction after a start on the high side. Overall we are still bullish and here are the reasons why:

This morning the Labor Department released a report showing that jobless claims in the week ended July 24th were basically on the rate of expectation and show give or take not improvement. The rate of change is less than one standard deviation from the mean value and with that does not give any tendency. Jobless came in at 457,000 from the previous week's revised figure of 468,000. Economists had been expecting jobless claims to be at 460,000 from the 464,000 originally reported for the previous week. Overall not bettering in the unemployment situation is a clear Bearish signal and made the market sell off after a good start.

In earnings news:

Exxon Mobil Corp. (XOM) reported second-quarter net income of $1.60 per share, topping estimates that called for $1.47 per share for the period. Total revenues rose to $92.49 billion but fell short of the $98.49 billion fore cast for the quarter. Solid earnings and money for investment: Bullish.

Colgate-Palmolive Co. (CL) also revealed its financial results for the second quarter, including earnings of $1.17 per share compared to estimates for $1.16 per share. Sales for the quarter totaled $3.81 billion, up from $3.74 billion in the prior year (+1.8%) quarter but short of estimates for $3.94 billion. This is a real consumer company and it made a modest growth in a very price promotion driven market: Bullish.

Motorola Inc. (MOT) reported adjusted second-quarter earnings of $0.09 per share, just above Wall Street estimates for $0.08 per share. Net sales for the quarter came in at$5.414 billion, which beat forecasts for $5.19 billion for the quarter. Innovation counts and those who have it increase in sales: Bullish.

Japanese electronics giant Sony Corp. (SNE) reported a profit for the first quarter of fiscal 2011 compared to a loss in the same period last year. The company also raised its full year earnings outlook and maintained its revenue guidance. The signs of Sony are difficult to read, the technology leader of consumer electronics of the past has shown little to no innovation leadership in the last 10 years and restructured themselves into the positive. No real market sentiment.

Credit card service provider Visa Inc. (V) said that its third-quarter profit declined 2 percent from last year, with the drop primarily due to lower investment income. Looking ahead, the company reaffirmed its earnings outlook for fiscal years 2010 and 2011. If you do not give credit, you have no earnings. Today, credit card companies try to get 15% annual plus finance charges from their clients. This is a huge margin, considering money at 3%, but if you keep credit tight, the earnings potential gets small. No real market sentiment.

Stock Market News: Are we Bullish or Bearish

What did the news say today?

• a more sizable than forecast pickup in home prices , solid corporate earnings, S&P Growth: Bullish

• a disappointing reading on consumer confidence: Bearish.

What do the news tell us today?

We are having an economic recovery with continues high unemployment. This was all seen in Europe and started there 30 years ago. To cope with this problem Europe restructured and build a sound welfare system: When companies don’t employ people, they need to live from something. This is sure unknown for America and seeing your neighbor unemployed for long even though he is skilled and willing to work makes consumers growing increasingly more pessimistic about the short-term outlook.

The consumer sentiment will change: Corporations will no more run layoffs and those who work will feel money to spend which will change their sentiment, but it will take.

The government has to restructure unemployment support, availability of health care and the taxation system to handle 10% unemployment in their balance sheet.

So short term we are getting ready for a bullish market sentiment and every time the government or Fed will touch one of the instruments they have to cope with the overall unemployment problem: interest, tax, healthcare, welfare. The market will go berserk and give us big junks of retracements.

What do we do to benefit from this: Swing Positions in options, Day Positions in Futures and Currencies no Equities (Shares, Mutual Funds, ETF’s). To handle those types of investments we highly recommend a Market Investor Education with http://NeverLossTrading.com

Here are a few more overall bullish market indicators. Today we take on the Chemical industry, it usually provides and early economic indicator and the sings are: Bullish.

DuPont (DD) reported adjusted second-quarter net income of $1.17 per share, firmly topping forecasts for $0.93 per share. Net sales for the quarter came in at $8.62 billion, also beating expectations that called for $8.23 billion for the period. The European based second chemical giant: BASF is doing as well or even better.

BP Plc (BP) unveiled a $17.2 billion second-quarter loss due to $32.2 billion in charges related to the oil spill in the Gulf of Mexico. The loss came after a profit of $4.39 billion in the same period last year. The firm also named managing director Robert Dudley as its new chief executive, replacing Tony Hayward, starting in October. Dudley will be the first American to head the company. From an investor perspective, BP assumes to get away within spending about a 1 year income to clean up the oil spill generated and wants to get out of the news by replacing the CEO (sure we do not need to worry about him, he has a package that gets him over the hump).

This Week the Stock Market will be Weighed – Mene, Mene, Tekel

After a week of great earnings announcements that were looking back, the overall economy and the stock marked with be weighed on the scale of the outward economy.

Volatility is expected and the smart money will work out if the marked it found wanting or if the new uptrend gets confirmed. MENE, MENE, TEKEL – the writing is on the wall for the big money to interpret and best for us to do, is just to follow on a day trading basis the overall bullish sentiment that started last week.

Monday and Tuesday will give us first sentiment readings to be decided on Wednesday and Friday.

Trading the markets never gets boring.

Good Trading,

NeverLossTrading.

Stock Market News and Truth by NeverLossTrading

Wow, what a Stock Market Rally. How did this one come. Take a short moment and check out our reports from yesterday:

http://neverlosstrading.blogspot.com/2010/07/tomorrows-stock-market-potentials-by.html


Now we get to the points:

The market reported a softer than expected decline in existing home sales. NAR said existing home sales fell 5.1 percent to a seasonally adjusted annual rate of 5.37 million units in June from 5.66 million units in May. Economists had been expecting existing home sales to show a steeper decline to a 5.09 million unit rate. So with the advanced sales by the government stimulus program this is a good sign.

Let us take a look in the world: Eurostat reported that orders for industrial goods in the euro zone rose 3.8 percent in May, a jump of nearly 22.7 percent compared to the same period last year. The figure surprised economists, who had forecast flat monthly orders. But why did this figure rise? US-companies make profits and invest further into machinery that is often bough from Europe.

Now we come to realization: The US companies restructured, highly profitable and have money to spend. They get it done with less people and this will be a given and the Government now owns the liability for all those people who cannot find a job. Look at today’s Labor Department report: showing that jobless claims jumped to 464,000 in the week ended July 17th from the previous week's revised figure of 427,000. Economists had expected weekly jobless claims to increase to 445,000 from the 429,000 originally reported for the previous week.

On the earnings front, construction machinery manufacturer Caterpillar Inc. (CAT) reported second quarter net income of $1.09 per share, topping forecasts for $0.85 per share for the period. Sales and revenues for the quarter totaled $10.409 billion, firmly beating forecast for $9.80 billion. The company's median forecast for earnings and revenues for fiscal 2010 was also above analyst expectations. Again somebody who sells machinery to those who have money.

Economic bellwether United Parcel Service Inc. (UPS) reported second-quarter net income of $0.84 per share, which was above analyst consensus of $0.77 per share. Total revenues for the quarter rose to $12.20 billion from the $10.83 billion posted in the prior year quarter. Analysts had consensus revenue estimate of $11.98 billion for the period. Where there is freight there are goods exchanged.

3M Co. (MMM) said its second quarter net income came in at $1.54 per share, beating estimates for $1.48 per share. Net sales for the quarter rose 17.7 percent to $6.73 billion, also topping estimates that called for $6.66 billion. The firm also boosted its 2010 sales growth expectations.

So the economy does better that previously reported. The key problem is that there is not enough jobs and new jobs will most likely not be created with the rate of revenue and profit growth. This leads into a future where at one point the government needs to restructure taxes and health care to cope with the additional spending. Considering this, we see whip slash market ups and downs which are good for the day trader and hard for the long term investor who one day will be in heaven and in hell the next.

Market Outlook by NeverLossTrading: Earnings and Economic Reports July 20, 2010

Overall we face a negative market sentiment, even though the majority of the big companies came in with better earnings - mostly they did not meet the analyst estimates, but who are they to know. Key is: “we see progress in earnings and a falling market”. This is a great setup for a long play so the market starts t make a turn. For equity holders we recommend an easy defense policy and a leverage strategy so the market makes a potential turn towards the upside:

Reports in detail:

Healthcare product company Johnson & ; Johnson reported second quarter earnings of $1.23 per share, up from $1.15 per share in the same quarter last year. Analysts were expecting the company to report earnings of $1.21 per share this quarter. However, the company lowered its 2010 earnings guidance to a range of $4.65 - $4.75 per share from the earlier range of $4.80 - $4.90 per share.



Meanwhile, Goldman Sachs Group said its second quarter earnings dipped to $0.78 per share from $4.93 per share in the year-ago period, belying analysts expectations for earnings of $2.08 per share this quarter. However, excluding one-time items, Goldman's earnings per share were $2.75 for the quarter.



Yesterday, IBM and Texas Instruments reported disappointing quarterly numbers where the overall notion was negative: For us those do not look so bad:

IBM’s second quarter revenues rose merely 2% to $23.7 billion, missing the consensus estimate of $24.17 billion. The company reported second quarter earnings of $2.61 per share, up 13% year-over-year. The consensus estimates called for earnings of $2.58 per share. The company also raised its 2010 earnings guidance to at least $11.25 per share, while analysts estimate earnings of $11.27 per share.



Texas Instruments also receded in Monday’s afterhours session after it reported second quarter revenues of $3.50 billion, up 42% year-over-year but slightly off the mean analysts’ estimate of $3.52 billion. The company’s earnings per share rose notably to 62 cents from the year-ago’s 20 cents and came in line with estimates. For the third quarter, the company expects earnings of 64-74 cents per share on revenues of $3.55 billion to $ 3.85 billion. Analysts, on average, estimate earnings of 64 cents per share on revenues of $3.59 billion.



Key Economic News today: Housing Market

For us, this does not look to bad and we might be buyers of real estate related shares. We sure know that the first home buyers credit swiped the market empty. Considering that those numbers show a clear progress.

The U.S., the Commerce Department said housing starts fell 5% to an annual rate of 549,000 in June from the revised May estimate of 578,000. Economists were expecting housing starts to fall to 575,000 from the 593,000 originally reported for the previous month. At the same time, the Commerce Department said that building permits rose 2.1% to an annual rate of 586,000 in June from 574,000 in May, surprising economists who had expected building permits to edge down to 572,000.

Good Trading,

http://NeverLossTrading.com