Friday was a lousy day for the stock market as a whole after another tepid jobs report - meaning the market moved down much more than what most people would have predicted. Otherwise and before the market opened, NextCandle.com gave the following stock predictions:
- Research In Motion (RIMM) had a 61% probability of making a lower low.
- Yum! Brands (NYSE:YUM) had a 65% probability of making a lower low.
- SPDR Gold Trust ETF (NYSEARCA:GLD) had a 70% probability of making a higher high.
And the results when the market closed:
- Research In Motion (RIMM) opened at $10.17 after previously closing at $10.33, had a trading range of $10.05 to $10.42 for the day and closed down 0.68% to $10.26. As we noted yesterday, Research In Motion (RIMM) took a big beating earlier in the week when it issued another dour business outlook. In fact, it was previously trading above $11 on Tuesday before dropping to below the $10.5 level.
- Yum! Brands (YUM) had closed above the $70 level on Thursday and it had largely stayed about that level for the past several days. However and on Friday, Yum! Brands (YUM) opened at $67.74, had a daily trading range of $64.36 to $68.43 and closed down 8.04% at $64.70 for its biggest fall in three years. The reason for YUM's sudden plunge? Specifically, Yum! Brands (YUM) got around 44% of its revenue from stores in China last year and a report came out showing that manufacturing in that country had declined for the first time in six months - meaning there could be an economic slowdown coming.
- SPDR Gold Trust ETF (GLD) had closed at $151.62 on Thursday but on Friday, it immediately opened at $155.38, had a daily trading range of $154.88 to $158.28 and closed 3.88% higher at $157.50. The SPDR Gold Trust ETF (GLD) naturally soared due to the disappointing jobs report.
With mounting signs that the economy is slowing, traders should expect plenty of volatility in the coming weeks and months ahead. In other words, keep an eye on the news headlines as well as our NextCandle.com stock predictions for all of the stocks you trade.
NOTE: THIS PIECE WAS JUST POSTED ON THE NEXTCANDLE.COM BLOG.