Situation Awareness: Bullish. The market has shifted dramatically from cautious to aggressive breakout as a two-week ceasefire agreement between the U.S. and Iran sends oil tumbling and equities soaring. Trade mode: aggressive breakout. This morning’s sharp rally is driven by reduced geopolitical tensions and the subsequent collapse in oil prices, offsetting previous inflation concerns. 37.93% of stocks trade above their 40-day SMA, and the 4% Bull/Bear gauge shows data unavailable bulls vs. data unavailable bears. The 5-day trend (data unavailable).
SIP: AAPL DAL LEVI SMCI
- What’s working: Gaps higher are working this morning
- Leading sectors: Asia Equities, Japan’s Nikkei; leading themes: Two-week ceasefire between US and Iran
- Key event:U.S. and Iran’s two-week ceasefire agreement, allowing safe passage through the Strait of Hormuz.
- Market read: Yesterday showed tight range-bound trading ahead of the Iran deadline. That caution has now reversed into aggressive buying.
- DEP watchlist: ENVX, SPCE, LUNR.
- SIPS: AA, ARGX, KEYS, CRWD.