Next Day Prep: Market Insights Mega-cap Surge, TSLA Alert!
A quick analysis of today’s market outlook and key trading opportunities to start your day.
Intro & Market Mood:
Welcome to “Next Day Prep – What We Are Watching Tomorrow!” I’m your host, and today we are breaking down a Monday session that was a little deceptive. While the S&P 500 showed a modest increase, signaling possible all-time highs, the market beneath the surface revealed a split scenario.
Overnight Headlines:
- Market Summary: SPY +0.5%, Nasdaq +0.4%. Mega-caps like META and GOOG led, while chips such as INTC and NVDA struggled. Notably, TSLA broke the 50-day moving average, and Gold/Silver hit record highs.
- News: IONQ’s acquisition of SkyWater (SKYT) and the incoming earnings wave from “Mag 7” companies such as META, MSFT, AAPL, and AMZN.
- Technical Analysis: SPY resistance at 695-696, support at 691. QQQ support at 625. Late-day fade and VXX spike indicating elevated caution.
- Trade Ideas: Highlighted stocks include JLL in Commercial Real Estate, AMGN in Biotech, MOD in Industrials, and RCL in Cruise. Small caps to watch: TARA, DTI.
Economic Announcements:
No specific economic announcements were mentioned in the briefing.
Earnings Highlights:
Earnings expectations are focused on significant companies like META, MSFT, AAPL, and AMZN from the “Mag 7” this week.
Top Movers:
- Top Gainers: META (+2%)
- Top Losers: TSLA (-3%)
- Gold/Silver: Record highs
Quick Trade Ideas:
- Longs: Consider JLL for a Real Estate breakout, AMGN in Biotech, and MOD showing strength in Industrials.
- Consumer: RCL stands out in Cruise lines performance.
- Speculative/Small Cap: Brief mentions of TARA and DTI as high-risk movers.
Key Takeaway:
Focus on the split nature of the market with Mega-cap strength contrasting with Small Caps and chips struggling. Stay vigilant with technical levels, especially SPY resistance at 695-696 and QQQ support at 625. Watch for breakouts in JLL, AMGN, and MOD while being cautious of crypto stocks and late distribution in the tech sector.