-Executive Summary-

• The markets were able to charge HIGHER, with Google’s favorable earnings providing a little fuel for a bit of a relief rally.
• President Obama’s press conference this morning may also have given some investors a little relief.
• Apple, Inc. shares moved to all-time highs – two reasons below.
• Shares of Bank of America (BAC $10) plunged below $10/share for the first time since the 2008 to 2009 financial crisis.  Buyers nibbled on some shares at $9.88 to help the stock close at $10.
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– Stock Market Companion – Current Holdings –

– Markets “At a Glance” –

(Please scroll down to the end of the report to see your favorite benchmarks – Dollar, Oil, Gold … closing prices and daily direction.)

– Market Trends –

*Summary of terms from Trader Vic II-Principles of Professional Speculation (pg. 140-141)
*_________* Represents a change in trend rating.

– Market Perspectives –

For your added perspective, we’ve included this chart of the broader market (Successful stock investors develop and start with a minds-eye view of the broader market and keep it clear) –

SMC SP-500 ETF Daily Chart

Please click on the chart to view it in a larger size.

– Today’s Highlights –

Yesterday evening we were able to review Google’s (GOOG $597.62) excellent earnings and made the suggestion that the markets would likely respond favorably to their results.  So it was today.

President Obama’s press conference may also have had a quieting effect on the markets this morning.

In any case the uncertainty that currently exists in the market is thick enough to cut with a knife.  We are obviously cautious.

Apple, Inc. (AAPL $364.92) pressed into all-time high territory today.  There were two primary catalysts behind the move –

1. Goldman Sachs gave the shares an upgrade and gave the stock a $485/share target.
2. Expectations are for a strong earnings report from Apple next week – Tuesday July 19th – after the close.

Combining Goldman Sachs upgrade AND the favorable impact on the tech sector of Google’s strong results was EASILY more than enough to boost the Apple shares into all-time high territory and overcome yesterday’s weakness.

In stark contrast, shares of Bank of America (BAC $10/share) plunged below $10/share for the first time since the financial crisis – moving down to $9.88/share – before catching a few buyers at those lows to push the stock back to close at $10/share.   Hmmm.   More on Monday.

• The markets were AGAIN divergent today, just as yesterday revealing further weakness in the technology sector while the broader market (S&P 500) and the DOW (DJ-30) held POSITIVE.
• Research in Motion (Ticker: RIMM $27.75) reported earnings last night that were a major disappointment.  We go through the details below.  The company received 2 broker upgrades going into earnings.  The stock then lost -21.45% from yesterday’s close into today.  We go through our steps in handling our brief investment in the stock this last week – AND WHY, below.
• Crude oil continued to descend today, reflecting a drop in value of the U.S. dollar – BUT also  concern of future demand as the global economy slows down.
• The S&P 500 is finding support at its 200 day exponential moving average.  If the broader market doesn’t find strength here and begins to sink further, the next near point of support is the low it plumbed during the recent nuclear crisis in Japan.  If it fails that point, then the intermediate term trend will be DOWN.
  
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