Earnings Season, UOA Webinar — Your Trading Week Ahead

Welcome to Your Trading Week Ahead for July 18th. Here’s what you need to know before you go…

Quick recap

Equity markets finished the week lower following unfavorable CPI data and Fed Chairman Powell’s latest testimony to Congress. In his comments, Powell admitted that inflation may be larger than the Fed initially expected:

The challenge we’re confronting is how to react to this inflation, which is larger than we had expected — or that anybody had expected. And to the extent it is temporary, it wouldn’t be appropriate to react to it. But to the extent it gets longer and longer, we’ll have to re-evaluate the risks.

Powell also noted that the Fed would use its tools to keep inflation in check if the situation worsens. He indicated they are in no hurry to adjust policies right now, but they’d have a better understanding of how the reopening was progressing by the end of the year.

Judging by the market’s reaction, some investors are growing concerned that inflation may not be “transitory” after all.

The S&P 500 ultimately finished the week lower by 0.96% at 4,327. The Dow closed lower by 0.52% at 34,687. The Nasdaq fared the worst, closing at 14,427 — down 1.86% from the previous week.

What to watch this week

Earnings roundup

Earnings season is really starting to heat up! Make sure you attend our free webinar this week to find out how to use UOA to trade this cycle like a pro (details below).

Here’s some of the most noteworthy reports to keep an eye on this week:

• Monday – AutoNation ($AN), International Business Machines ($IBM), Tractor Supply ($TSCO)
• Tuesday – Netflix ($NFLX), Ally Financial ($ALLY), Chipotle Mexican Grill ($CMG), Citizens Financial ($CFG), Halliburton ($HAL), Philip Morris ($PM), Travelers ($TRV), UBS Group ($UBS), United Airlines ($UAL)
• Wednesday – Coca-Cola ($KO), Discover Financial ($DFS), Equifax ($EFX), Harley-Davidson ($HOG), Johnson & Johnson ($JNJ), Las Vegas Sands ($LVS), Novartis ($NVS), Texas Instruments ($TXN), Verizon Communications ($VZ)
• Thursday – American Airlines Group ($AAL), AT&T ($T), Biogen ($BIIB), Blackstone Group ($BX), Capital One ($COF), Cleveland-Cliffs ($CLF), D.R. Horton ($DHI), Domino’s Pizza ($DPZ), Freeport-McMoRan ($FCX), Intel ($INTC), Snap ($SNAP), Southwest Airlines ($LUV), Twitter ($TWTR)
• Friday – American Express ($AXP), Honeywell International ($HON), NextEra Energy ($NEE), Schlumberger ($SLB)

Economic calendar

There are several events on the calendar this week with the potential to move markets. Here’s some of the most important things to watch:

• NAHB housing market index (July) – Monday at 10am ET
• Building permits and housing starts (June) – Tuesday at 8:30am ET
• Initial and continuing jobless claims – Thursday at 8:30am ET
• Existing home sales (June) – Thursday at 10am ET
• Leading index (June) – Thursday at 10am ET
• Markit manufacturing and services PMI (July) – Friday at 9:45am ET

Ready to BEAT earnings season?

Join us Wednesday after the close when Market Rebellion Co-Founder Jon Najarian teams up with our Chief Options Strategist Ryan Mastro to show you how we use unusual options activity during earnings season.

You won’t get this FREE insight anywhere else. So don’t miss it! Click here to reserve your seat.

Interested in learning how you can use the power of unusual options activity to conquer the market? Click here to download our Insider’s Guide to Trading UOA.