Nasdaq (+1.31%) continued the uptrend and it seems the next “stations” are the short-term support at 14500 and then SMA200.
SP-500 (+0.71%) is also advancing back to the highs. The divergence is still concerning, but the price action seems it doesn't care. We all know the market is doing what is supposed to do and not what we think or worry about it should do. We can just be prepared for all the scenarios.
In the news
Russia’s invasion has made energy security a hot topic. The U.S. thinks hydrogen could be the answer.
Apple reportedly cuts production of its new iPhone SE by 20%.
Bitcoin surges above $48,000, which turns positive for 2022.
Tesla wants to split its stock so it can pay a stock dividend.
Sectors
- Best yesterday sector:Consumer Cyclical, then Technology. Worst sector: Energy.
- Best weekly sector:Consumer Cyclical, then Technology. Worst sector: Industrials.
- Best monthly sector:Energy, then Utilities. Worst sector: Consumer Defensive.
Sentiment
- NAAIM (weekly, neutral between 70 and 90): 52.69
- VIX (neutral under 20): 19.63
- Equity Put / Call Ratio (neutral between 0.7 and 1): 0.90
- CNN Fear & Greed: 49 (Neutral)
Breadth
- Stocks above SMA40 (neutral between 30 and 80): 56.03%
- Stocks above SMA200 (neutral above 30): 37.75%
- Number of stocks that increased yesterday by more than 4%: 107
- Number of stocks that decreased yesterday by more than 4%: 126
Earnings Reports
Lululemon Athletica($LULU) has not been immune to broad-market headwinds, with shares down around 18% for the year to date. Deutsche Bank is expecting a fourth-quarter beat and believes LULU will report above-consensus earnings of $3.31 per share, saying post-omicron sales trends improved in January.
Micron Technology($MU) will report its fiscal second-quarter results after Tuesday’s close. Wedbush believes Micron will meet or exceed fiscal second-quarter guidance.
Other noteworthy earnings reports for today:
What to trade today
$CELH, $COIN, $NET triggered yesterday while $AAPL and $DOCN are still on the watch list.
BILL ($BILL) has a declining ATR and low volumes when it seems it wants to go higher. You may consider buying over the black line. Stop Loss at EMA21.
Nvidia ($NVDA) offers a second entry point. Stop Loss at ~$270 area.
MongoDB ($MDB) is consolidating under the SMA200 while building higher lows. Good entry above the black line. Stop Loss at yesterday low.
Mercadolibre ($MELI) might break out above the black line. Stop Loss at 5%.
Digital Turbine ($APPS) stays very well above the EMA21 and tries to pass the SMA50. It can be bought above the black line. Stop Loss at EMA21.
Datadog ($DDOG) is consolidating just above all the main averages. Nice setup with low-risk entry. Stop Loss: SMA200.
SolarEdge ($SEDG) is trying to go above the resistance, constructive consolidation, higher lows. Stop Loss: EMA21.
Do your due diligence if or when placing a trade. All ideas stated here are my own and do not represent trading or investment advice.
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