US equities are battling to stay positive. We’ve a provisional s/t cyclical rollover, with price structure of a bear flag. The setup for Friday – when the PPI data is due, is getting interesting. WTIC has printed $71.12.
sp’60min
VIX’60min
Summary
Bears should be content with ANY close under the open of sp’3947. A red close would merely be a bonus… along with a net higher VIX.
—
notable stock: AVGO
Broadcom has earnings in AH. After recent concerns from AMD and MU, the sector has to be seen as problematic.
–
notable stock: COST
Costco has earnings in AH. Low margin retail… within an inflationary environment… not great. The problem is the stock is cyclically very low, and would make for a lousy short.
–
notable stock: LULU
Lululemon has earnings in AH… which should be fine, but the outlook has to be suspect, with a weakening consumer. Further, inflation biting into earnings should be a concern.
–
notable stock: TSLA
Tesla is set for a fourth net daily decline. It won’t take much to print a new cycle low <$166.
back at the close…