The Red Roadmaster’s US Market Re-cap + Stock Talk ™
17 November 2009
Date Line: Hong Kong (SAR) China
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Red’s Bull Alert: US stocks rose across the board Monday, sending the major indexes to new 13 month closing highs. The S&P 500 is up 64% since the 12 yr closing low on March 9.
Re-cap of the US Stock Market Action for the session ending 16 November 2009 COMEX December Gold hit a record above US$1,140 oz. October retail sales rose 1.4 % last month The DJIA gained 136.49 pts, or 1.33%, to close at 10,406.96, the S&P 500 closed up 15.82 pts, 1.45%, at 1,109.30 the first close above 1,100 since October 2008, and the NAS tallied up a + 29.97 pts, or 1.38%, to end the session 2,197.85. In a speech before the Economic Club of New York, Chairman Bernanke said the recovery would not be as robust as previously hoped, and rising unemployment and tight bank lending practices were "significant headwinds." Mr. Bernanke said that the US Fed would likely keep interest rates exceptionally low for "an extended period," that pledge weighed on the US$ and investors bought shares of natural resource companies as prices of global commodities, from Gold to Wheat, shot North. Investors are borrowing against low rates in the US$ and investing the money in areas that they believe will fare well against the coming inflation: Crude Oil, Gold, Commodities, and Equities. The United States and China failed to reach an agreement over currencies at a summit of the Asia Pacific Economic Cooperation forum in Singapore. Volume and Breadth: Trade was moderate, with about 1.15B/shrs changing hands on the NYSE, below last year's estimated daily average of 1.49B/shrs, and on the NAS, about 2.13B/shrs traded, below last year's daily average of 2.28B/shrs. Advancers outnumbered decliners on the NYSE by a about 9 to 2, while on the NAS, nearly 7 rose for each 2 that fell. Stocks to Watch Today Exxon Mobil Corp (XOM), Sears Holdings Corporation (SHLD), and US Steel Corp (X).
Exxon Mobil Corp. (XOM) Up-date 7
Last Look: June 1, 2009
November 17, 2009 Paul A. Ebeling, Jnr. Analyst Today letâ€™s look at Exxon Mobil Corp (XOM), the World's largest integrated oil company , from a Technical POV. The overall indications, after Mondayâ€™s (November 16, 2009) market action are Bullish: in the near term Neutral, mid-term Bullish, and long term Very Bullish. The recent Candle Stick analysis is: Neutral
**Chart by: http://www.stockta.com
Latest News and Opinion: Warren Buffett's Berkshire acquires ExxonMobil stake, cuts
holdings in ConocoPhillips http://finance.yahoo.com/news/Buffetts-Berkshire-acquires-apf-3787924108.html?x=0&.v=5
Mondayâ€™s Market Action Close 74.43
There is a Inverted hammer on November 10, and three Gaps open up between October 12 and November 16, 2009 at 69.27/73.33, the near term resistance is 74.91, support at 74.05, and the 50 day (EMA) exponential moving average is 71.50. This is Exxon Mobil Corp (XOM): the Company engages in the exploration, production, transportation, and sale of crude oil and natural gas. It also engages in the manufacture of petroleum products, and transportation and sale of crude oil, natural gas, and petroleum products. The company manufactures and markets commodity petrochemicals, including olefins, aromatics, polyethylene and polypropylene plastics, and other specialty products. Exxon Mobil also has interests in electric power generation facilities. As of December 31, 2007, it had 7744 millions of barrels of liquid proved reserves, and 32,610 billions of cubic feet of proved reserves of natural gas. Exxon Mobil also operated 16,797 gross wells. The company operates in the United States, Canada, Europe, Africa, Asia-Pacific, the Middle East, Russia/Caspian region, and South America. Exxon Mobil was founded in 1870. The company was formerly known as Exxon Corporation and changed its name to Exxon Mobil Corporation .
Competitive Landscape Demand depends on the overall strength of the US economy, because most industrial chemicals are used in the manufacture of more-complicated products like fibers, plastics, paints, and paper. The profitability of individual companies is closely linked to efficient operations, because most products are commodities. Big producers have large economies of scale in production, which is why some chemicals are made by just a handful of companies. Small companies can compete effectively by making specialized or highlypurified products. The industry is highly automated: average annual revenue per employee is over US$600,000.
Exxon Mobil Corp (HQ) Chairman, Chief Exec. Officer & President: Rex W. Tillerson 5959 Las Colinas Boulevard Irving, TX 75039-2298 United States Phone: 972-444-1000 Fax: 972-444-1348 http://www.exxonmobil.com
Exxon Subsidiaries Aera Energy LLC Esso Petroleum Company, Limited ExxonMobil Chemical Company
Sears Holdings Corporation (SHLD) Up-date 1
Last Look: June 3, 2009
November 17, 2009 Paul A. Ebeling, Jnr. Analyst Today, let’s look at Sears Holdings Corporation (SHLD), one of the USA’s largest retailers, from a Technical POV. The overall indications, after Monday’s (November 16, 2009) market action, are Bullish: in the near term Bullish, mid-term Bullish and long term Bullish. The recent Candle Stick analysis is: Neutral
**Chart by: http://www.stockta.com
Latest News and Opinion: Stocks Close on 13 Month Highs http://www.thestreet.com/_yahoo/story/10626999/1/stocks-close-at-13-month-highs.html? cm_ven=YAHOO&cm_cat=FREE&cm_ite=NA Monday’s Market Action Close 77.60 + 3.06 Volume 2,295,700/shrs
There is a Bearish Engulfing Candle on November 11, and one Gap open up on July 15, 2009 at 59.77/60.07, the near term resistance is 78.37, support at 73.93, and the 50 day (EMA) exponential moving average is 68.94. This is Sears Holdings Corporation (SHLD): This is the Company created by the acquisition of troubled department store operator Sears, Roebuck and Co. by Kmart Holding Corp. The megamerger created one of the nation's largest retailers (behind Wal-Mart and Home Depot), with about 3,900 stores in North America. (Sears Holdings owns a majority stake in Sears Canada.) It is the holding company for the varied retail operations of Sears (about 930 Sears department stores) and Kmart (about 1,365 discount outlets), which continue to operate separately under their familiar brand names. ESL Investments controlled by the company's chairman Edward Lampert, owns a majority stake in Sears Holdings.
Competitive Landscape Demand depends on car usage and the number of cars on the road. The profitability of individual companies depends on convenient location and good marketing. Large companies can maximize use of expensive diagnostic equipment and have advantages in purchasing, distribution, and marketing. Small companies can compete effectively by providing superior customer service or offering specialized services. The industry is labor-intensive: average annual revenue per worker is about US$100,000. Automotive Repair Shops Industry Forecast The output of US automotive repair, maintenance, and services is forecast to grow at an annual compounded rate of 3% between 2008 and 2013. Data Sourced: December 2008
Sears Holdings Corporation (HQ) W. Bruce Johnson, Interim Chief Exec. Officer and Interim Pres 3333 Beverly Road Hoffman Estates, IL 60179 United States Phone: 847-286-2500 http://www.searsholdings.com
United States Steel Corporation (X) Up-date 5
Last Look: April 28, 2009
November 17, 2009 Paul A. Ebeling, Jnr. Analyst Today let’s look at United States Steel Corporation (X), one of the world’s steelmaking leaders, from a Technical POV. The overall indications, after Monday’s (November 16, 2009) market action, are Neutral: in the near term Neutral, mid-term Neutral, and long term Neutral. The recent Candle Stick analysis is: Bearish
**Chart by: http://www.stockta.com
Latest News and Opinion: US Steel, and Materials Rise http://blogs.barrons.com/stockstowatchtoday/2009/11/16/us-steel-materials-rise/?mod=yahoobarrons
Monday’s Market Action Close 41.37
There is a Bearish Harami on November 12 and four Gaps open up between July 14 and November 16, 2009 at 31.69/40.69, the near term resistance is at 44.09, support at 40.58, and the 50 day exponential moving average is 40.80. This is United States Steel Corporation: Pittsburgh, PA based United States Steel is the US’s #2 integrated steelmaker behind Mittal Steel USA. US Steel operates mills throughout the US Mid-west, Ontario, Canada, and in Serbia and Slovakia. U.S. Steel produces sheet and semi-finished steel, tubular and plate steel, and tin products. Its customers are primarily in the automotive, construction, chemical and steel service center industries. Further, U.S. Steel offers services in mineral resource management, engineering and consulting. In 2007 the company acquired tubular goods maker Lone Star Technologies for US$2.1B and Stelco for US$1.1B. US Steel is ranked #146 in FORTUNE 500.
The Competitive Landscape United States Steel's competition in the primary Metals Manufacturing sector is Mittal Steel USA. The industry is highly concentrated and the major companies control 90% of the market. The output of US primary ferrous and non-ferrous metals manufacturing is forecast to increase at an annual compounded rate of 4.4 % between 2008 and 2013.
United States Steel Corporation (HQ) Chairman & CEO John P. Surma Jr. EVP & COO John H. Goodish 600 Grant St. Pittsburgh, PA 15219-2800 United States Phone: 412-433-1121 Fax: 412-433-5733
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