The Gilmo Report

April 14, 2019

April 13, 2019

The major market indexes kept their rallying ways going this week as the NASDAQ Composite and S&P 500 Indexes both posted higher highs on higher volume Friday. The NASDAQ eked out its highest high since the Christmas Eve lows on just barely higher volume while the S&P pushed higher on a relatively more robust volume increase. Either way, the market uptrend remains intact.



While it didn’t post a higher high, the Dow Jones Industrials stole the show on Friday with a 1.03% gain as compared to the S&P’s 0.66% gain and the NASDAQ’s 0.44%. The Dow was led higher by Walt Disney Co. (DIS) after it announced its new Disney+ streaming-video service. By pricing the new service at $6.99, DIS took direct aim at Netflix (NFLX), which took a hit on Friday.

Volume poured into DIS shares as the stock posted a buyable gap-up (BGU) with an intraday low of 126.36. The stock closed at 130.06, just within buying range, but any pullback closer to 126.36 from here would obviously create a lower-risk entry opportunity. It’s difficult to say that DIS is the next NFLX, but the volume speaks for itself. Certainly, if the stock sold at the same valuation as NFLX, it would have much more upside room from here.

The rest of this report is available for Gilmo Report Members only.
The full report will be available 45 days after it is posted. For immediate access: login or subscribe

Gil Morales & Company, LLC (“GMC”), 8033 Sunset Boulevard, Suite 830, Los Angeles, California, 90046. GMC is a Registered Investment Adviser. This information is issued solely for informational purposes and does not constitute an offer to sell or a solicitation of an offer to buy securities. Information contained herein is based on sources which we believe to be reliable but is not guaranteed by us as being accurate and does not purport to be a complete statement or summary of available data. Past performance is not a guarantee, nor is it necessarily indicative, of future results. Opinions expressed herein are statements of our judgment as of the publication date and are subject to change without notice. Entities including but not limited to GMC, its members, officers, directors, employees, customers, agents, and affiliates may have a position, long or short, in the securities referred to herein, and/or other related securities, and may increase or decrease such position or take a contra position. Additional information is available upon written request. This publication is for clients of Gil Morales & Company, LLC. Reproduction without written permission is strictly prohibited and will be prosecuted to the full extent of the law. ©2008-2019 Gil Morales & Company, LLC. All rights reserved.