Relief Rally Underway

Good morning. The market is set up for a positive day following yesterday's long overdue relief rally.

Better-than-expected earnings results (see JPM, KO, UTX, & NOK) and a some positive economic data in the form of stronger than expected housing starts and weekly jobless claims have provided a positive bias. In addition, traders are looking for some positive flow after yesterday's key reversal from the bottom of the trend channel.

Premarket gainers: FRE, HURN, BRL, YHOO, JPM, FNM, CATS, ECOL, AMED, RDN, BRL, ABK, WM, BAC, NOK, CIT, HOG, HBAN, CY, RECN, WM, LEH, CCK, AMTD, ETFC, KMP, UTX, CELL, GPOR, CROX, & ERIC.

Premarket losers: EBAY, VIVO, VCLK, PLCM, KOG, UPL, UFPI, MSO, URI, JCI, XLNX, CSIQ, YUM, CCE, & CMC.

The last economic datapoint for this week arrives at 10:AM with the Philly Fed Survey. However, traders will be trying to position ahead of some big earnings reports after the closing bell from Google (GOOG), International Business Machines Corporation (IBM), & Microsoft (MSFT) among others. According to Bloomberg, earnings have surpassed analysts' estimates by an average of +6.9% for the 44 companies in the S&P 500 that have released second-quarter results so far.

Have a terrific Thursday!