7/1 Cautiously Bullish. 250 Buying | 100 Selling.
% Stocks Over 50SMA is Bullish – Caution. Primary Indicator is Neutral. 20% Weekly is Bullish.
The market extended record highs into the last day of Q2, led by a strong Apple rally on AI-related news, pushing the S&P 500 above 6,200. Despite mixed economic data and political developments, Treasury yields softened and banks passed Fed stress tests, underpinning cautious optimism.
Technology and financial sectors outperformed, with notable strength in Apple, Oracle, and Goldman Sachs, while consumer discretionary and energy lagged. Volatility remains subdued with VXX steady, supporting a calm but watchful environment.
Key catalysts include the Senate vote on the large reconciliation bill, June manufacturing data, and early July earnings from MSM, STZ, and GBX.
Key Takeaway:
Swing traders should focus on tech and financials for momentum plays, especially on names showing strong volume and support above key moving averages. Avoid discretionary and energy sectors until clearer directional signals emerge. Use tight stops given mixed macro signals and potential volatility around political developments.
Watchlist
Continuation: HUBS (S1: 556, S2: 554.5, S3: 552, R1: 558.5, R2: 560, R3: 562)
Anticipation: NVDA (S1: 157, S2: 156, S3: 154.5, R1: 160, R2: 162, R3: 165)