Good morning. US equity futures are moderately higher, SPX +17pts, we’re set to open at 4176. USD is -0.1% in the DXY 89.74s. The precious metals are fractionally mixed, Gold +$1, with Silver -0.1%. WTIC is +1.7% in the $63s.
sp’60min
Summary
Yesterday saw a significant bounce to 4172. S/t momentum ticked upward into the late afternoon, with a subtle rollover into the close.
Overnight futures have been pretty subdued, if leaning on the upward side. The s/t cyclical setup leans to the bears. As its OPEX, expect considerable chop on higher vol’.
Best guess, s/t momentum will turn negative by mid afternoon, offering a break lower… if only moderate.
We have viable price structure of a big bear flag, and it threatens renewed sig’ downside next week… if only to around 4000. I remain especially focused on seeing the Nasdaq comp’ falling to the 200dma in the 12500s.
Yours truly has ZERO intention of hitting buttons today. Targets like FCX, X, OXY, SLB… all look vulnerable to lower levels next week. There appears no hurry to add/buy… not least ahead of the weekend.
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Early movers
AAPL +0.4%
AMD +0.7%
BAC +0.4%
CCL +1.6%
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COIN +1.5%
Wednesday’s hollow red reversal candle played out, with Thursday settling with a black candle… suggestive that early Friday gains won’t hold. More broadly, psy’$100 looks realistic with a main market correction/washout this summer/autumn.
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CSCO -0.5%
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DE +1.5%, EPS $5.68 vs 4.38est. Rev’ y/y +33.7% to $11.0bn vs 10.3est. Guidance raised.
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F +1.8%
FCX +0.4%, with copper -2cents to $4.55
GDX +0.1%
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GOLD +0.5%
A straight run to the 27/28s is viable. The only threat… if the main market takes another swing lower into next week. I hold, but want to add.
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NIO +1.6%
NVDA +1.0%, earnings Wed’ May 26th AH.
OXY +1.1%
PENN +0.7%
RIDE -5.5%, as Hindenburg noted some months ago, its probably worthless garbage
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SLB +0.8%
Momentum will be prone to turning negative late today or Monday. Psy’ $30 looks probable. I hold, but look to add.
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SPCE +3.7%, test flight due Saturday.
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TSLA +1.8%, BoA believes a capital raise is coming, downgrades 900>700
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TWTR +0.7%
UAL +0.6%
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VIX -1% in the 20s
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X +1.6%
S/t rising trend was tested yesterday. If the main market takes another swing lower… its difficult to see it holding. Psy’ $20 appears a valid target next week. I hold… but want to add.
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XOM +0.7%
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Overnight markets
Asian markets were moderately mixed, whilst European markets are fractionally mixed…
Japan: +0.8% at 28317
China: -0.6% at 3486
Germany: currently +0.2% at 15400
UK: currently -0.1% at 7015
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Have a good Friday