Next Day Prep: Deckers Outdoor Leads Charge with Massive Earnings Beat
A quick analysis of today’s market outlook and key trading opportunities to start your day.
Intro & Market Mood
Welcome to Next Day Prep! The S&P 500 and Nasdaq closed at new record highs, but the market showed signs of consolidation and selectivity. Optimism driven by positive headlines and earnings reports fueled the market’s climb.
Overnight Headlines
- Trade Talks: The U.S. will be holding trade talks with China next week, with potential trade deal framework whispers with the E.U.
- Deckers Outdoor (DECK): DECK surged over 11% on a massive earnings beat, driven by strong international revenue growth.
Economic Announcements
- Upcoming Releases: Watch for Q2 GDP, FOMC rate decision, PCE Price Index, and Nonfarm Payrolls.
Earnings Highlights
- Amazon, Microsoft, Apple, Meta: Expect volatility with earnings reports from these major companies.
Top Movers
- Shopify (SHOP): Bullish signals indicate potential for a move towards $128 with a break above $126.
- MongoDB (MDB) & ULTA: MDB consolidating around $240, ULTA accumulating around $514.
Quick Trade Ideas
- Continuation Plays: Consider stocks like META, FLNC, and Synopsys (SNPS) for potential moves based on technical setups.
- Anticipation Setups: META, FLNC, Krispy Kreme (D.N.U.T.), and Synopsys (S.N.P.S.) show promising setups for future moves.
Key Takeaway
Record highs in the market alongside consolidation and rotation signal a critical point. Focus on strong names, be cautious of key index levels, and stay prepared for potential market direction shifts.