Next Day Prep: Streaming Giant’s Plunge Sends Shockwaves
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. Today felt like a clear risk-off day in the market, with major averages taking a step back, weighed down by key earnings misses and geopolitical headlines. The S&P 500 was off about half a percent, the Nasdaq down almost one percent, and the Russell 2000 dropping one and a half percent.
Overnight Headlines
- Netflix (NFLX) reported a rare earnings miss, down over ten percent, impacting Communication Services.
- Texas Instruments (TXN) missed on EPS, dragging down the semiconductor space.
Economic Announcements
No major economic announcements highlighted, but market sentiment remains neutral to slightly bearish.
Earnings Highlights
- Intuitive Surgical (ISRG) reported a superb earnings beat and raise, with a stock price jump of almost fourteen percent.
Top Movers
- Energy sector led the gains, up over one percent, supported by a rise in crude oil prices.
- Consumer Staples and Health Care sectors also saw positive movement.
Quick Trade Ideas
Stocks to Watch:
– RTX (Raytheon Technologies): Showing relative strength, potential breakout above 178.50.
– VICR (Vicor): Late-session breakout with high volume, resistance around 86.25.
– MCK (McKesson): Steady grind higher, nearing key $800 level.
Key Takeaway
Traders should monitor key support and resistance levels on SPY and QQQ for directional cues. Individual stock selection is crucial for alpha, focus on names with relative strength like RTX and Vicor. Stay nimble and watch for volume confirmation.