Todd Capital Monday Market Update 5/14/2018

A very happy Manic Monday to you all. This is a marvelous start to another trading week. If you haven’t noticed the DOW has quietly amassed a 7 day positive straight which is positive news and a small victory considering the volatility that has been present in the market since the beginning of 2018. Perhaps it’s the overall good reporting of the earnings season-which continues beginning today- that has been driving this run. Hopefully this signals the beginning of more stable turns and flows but with markets nothing is ever normal.

Late last week Stock-trading app Robin Hood saw its valuation soar to $5.6B. The stock-trading app popular with first-time investors, has raised $363 million in Series D funding; bringing its total financing to date to $539 million and the $5.6 Billion. The news comes after a lot of new developments of product releases and announcements. Robinhood released a web platform in November, along with new stock research tools, and announced cryptocurrency trading in February. Platforms such as this has given rise to small time investors who a generation ago thought they lack financial wealth to invest, now they are trying to build their financial prosperity with the help of technology.

The meat and fat of the earnings report this week starts on tomorrow and rolls right into Friday with James like Walmart, Macy’s, Hope Depot, and John Deere headlining. This is a diverse offering of reports as they scan different sectors of the market and overall economy like home building(real estate), Macy’s will be a good pulse for the retail sector, and Deere will give us global construction radar.

Remainder that earnings season always bring pullbacks in securities before or after they report. I am not a supporter of trying to time the market however picking your spot correctly during this time could give way to a modest profit if you buy at the right time. Just be reliant and observant of these stocks when buying them during this junction, you always as much as possible want to be on the right side of the trade.


Jamaal W Vetose

Todd Capital

Director of Research & Analysis


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