Next Day Prep: Market Alert Consolidation Breakout Ahead
A quick analysis of today’s market outlook and key trading opportunities to start your day.
Intro & Market Mood
Market Briefing: What to Watch Tomorrow
Welcome to Next Day Prep – What We Are Watching Tomorrow. Today’s market saw early record highs in major indices but ended in a late sell-off, indicating indecisiveness and consolidation in the market.
Overnight Headlines
- The S&P 500 hit 6409, Nasdaq 21,303 with NVIDIA reaching all-time highs.
- Sectors like Tech declined while Real Estate and Utilities showed strength, signaling defensive rotation.
- A rally in treasuries sent yields crashing, impacting market sentiment before the upcoming Fed decision.
Economic Announcements
- Anticipation for the FOMC statement with no expected rate cut but potential dissenter, alongside Q2 GDP release.
Earnings Highlights
- Several major companies reported disappointing earnings, including UPS, UnitedHealth, and Whirlpool.
- Notable was the drastic guidance cut by Whirlpool leading to a loss of credibility.
Top Movers
- Continuation Plays: Look for strength in tech stocks like AMD and semiconductor companies SNPS and CDNS.
- Anticipation Setups: Monitor VRT, INTU, and TSM for potential moves after basing.
Quick Trade Ideas
- Consider entry points and targets for stocks like AMD, SNPS, CDNS, Vertiv, INTU, and TSM based on technical analysis.
Key Takeaway
Be prepared for market uncertainty amidst key announcements. Stay alert for sector rotations and focus on individual stock strength for trading opportunities.