andrew keene, president of keeneonthemarket.com, is with us now. he's watching the charts.rt with macy's. what do you see happening here, ahead of earnings and post- earnings? - if we look at macy's, the chart doesn't look that great. it seems stuck in this range between $46 and $50. but on friday, there was a big customer buyer of unusual option activity. a trader bought the macy's september $49 calls. they paid about $1.45 for these calls. so someone thinks that macy's can get maybe to 52-week highs, breaking that $50 level. i bought these calls as well. the stock did pop a little bit. i think macy's can push through this $49, maybe possibly through $50, on earnings. - what will you specifically, as a trader, be listening to when these earnings come down? - as i looked at macy's, their valuation's a little bit high compared to dillard's, dds, but it's also cheap compared to sax. the thing i like about macy's - no european exposure, no exposure in china. they are u.s.-based. u.s. companies have been very, very strong this year. we look at global growth. the u.s. is where i

joining us from the floor of cme group, alan knuckman and andrew keene. good morning! topic number one: tick tax talk - will the stock market tick up on all this talk about tax reform? - what's really interesting is that in america, we've got the lowest effective rates or middle-of-the-pack effective rates as far as corporate taxes go, but everybody complains about the headline tax, which really, i don't think, has hurt profitability. - that's why you see a lot of the tech companies - microsoft and apple being a couple of them - keeping their money overseas. apple has all this cash they're hoarding - they actually don't have it. it's in europe. they have to bring it over here. i don't know if this will actually make the stock market rally or not, but there is a big complaint in washington about this topic. - topic number two: doing the mcmath on those mcsalaries - word has it that if you double worker wages at mcdonald's, the price of a big mac will rise. what does this mean for the stock? - this is interesting. i read a couple different studies, and some people have s

joining us now from the floor is cme group alan knuckman and andrew keene. good morning. and topic numer 1: end eurozone. the recession is winding down in europe, so now how do you play it? andrew: who said the recession was over? alan finds these obscure articles... alan: the way you measure a recession---its over. andrew: ...with the u.s. stock market up 16%, i wanna get short the eem. i'm selling the 39 1/2--40 1/2 bear call spread 50 cents. if it rips higher....eem and the stock market is headed lower. alan: the official recession is over there. and looking at the euro currency the debt has been greatly exaggerated. it's at 134 now, it looks like it'll get to 136 possibly 140. my play to playing the eurozone is png--- very conservative---you might appreciate that. andrew: that's actually not a bad play. alan: procter and gamble--- they'll buy more diapers, more soap, more detergent and so forth. it looks like it's got about a 10% gain here from a technical standpoint. and they do 20% of their business in europe. angie: topic number 2, tough love. this week a report cam

we are pounding out at chart talk this morning with andrew keene, president of keeneonthemarket.com. good morning. home depot's earnings are coming up this week? will you put a play on? > >i want to put a play on but i want to put a play on after earnings.we've seen retail last week and we've seen retail pretty weak. we had weak numbers out of nordstrom but more importantly we had weak numbers out of walmart (wmt). stock sold off about $2 down to $74. home depot's chart looks very very similar. got up to 81 1/2. seeing some selling pressure. if we look back to june though it looks like buyers came in at 75. if it breaks 75, 72 1/2 is a very key level. so i want to get long on home depot, but i want to wait until after earnings, let it digest, maybe consolidate a little bit. i don't like to be buying stocks as the stock market looks like its rolling over. > >what about best buy? this is a another biggie this week. > >best buy---the chart looks great. it's one of the best charts out there. on friday, with the stock market down, best buy was actually up for the majority of the day. the