I’m pretty cautious moving into the market this morning. This appears to be the third straight day of declines, and we are out of capital for short sales. Getting into a buy might be suicide, so I think we need to wait this one out. Let the market settle down and look for opportunities. Currently, we are holding EnerSys (ENS) as an Overnight Trade. We got involved at 23.75, and we are looking to exit this morning at the open. The company missed EPS by 0.01, but they had over 27% 
revenue increase and had a good outlook. The stock is not trading in pre-market, so it is hard to know how we are doing. In after hours, it was neutral.
Additionally, we are holding a short sale in CareFusion Corp. (CFN) at an average position of 23.00. The stock was all over the place yesterday, and ended up 1% higher than our short sale. We are looking for this one to decline, which most likely will happen as futures are pointing down significantly.
Good luck out there today, and I will be looking for an opportunity ASAP.
Buy Pick of the Day: Nordstrom Inc. (JWN)
Analysis: In the less rigorous but all important second half of every earnings season comes the retail earnings. Retail, especially on the clothing side, had a very strong start to the year that sort of has trailed off a bit in the last couple months. Yet, the companies reporting thus far in the retail sector have been on fire. Everywhere from shoes to designers to department stores to apparel stores. Everything appears to have been underestimated. Additionally, an even more appealing trend to our position is that higher end retail appears to be doing much better than mid-range to low-end. With its current undervaluation and earnings report looming this even, Nordstrom (JWN) may be the perfect place for us to pick up some shares this morning.
Thus far in the retail sector since the beginning of August, fourteen out of seventeen retail companies that have reported earnings have recorded earnings beat. The three misses were from specialty retailers, such as arts and crafts and home decor. The clothing side of things has been on fire. Some great signs have come from Macy’s, who had a 21% surprise earnings beat. High-end retail like Liz Claiborne and Ralph Lauren had beats of 59% and 36%, respectively. The industry had a great second…
