To The Moon

Two strong names. Two very different setups. 🟢 $Costco(COST)$ — Rebuilding Momentum The bullish engulfing candle reclaimed the 5, 10 and 20-day moving averages, with the move coming after earnings and from oversold conditions. No gap. No obvious chase. That gives the setup a cleaner recovery + risk-reward profile. 🔵 $Meta Platforms, Inc.(META)$ — Managing Momentum Meta has already made the breakout. Now the signals are telling a different story: price has breached the upper Bollinger Band, while RSI and MFI are showing overbought conditions. That doesn’t automatically invalidate the trend. It simply raises the odds of consolidation after the breakout. 🔄 The common thread: Both are showing strong underlyi

Last week, I laid out the bullish factors that could support a market bounce. $S&P 500(.SPX)$ On September 16, we highlighted oversold conditions in $S&P 500(.SPX)$ and the $Dow Jones(.DJI)$ , with a potential rebound developing for the following session. The weekly setup then started to confirm it: • The 7,610 gap was filled • Bollinger Bands pointed to stretched downside conditions • Oscillators supported the idea of a local bottom Monday’s rally validated that setup, although it also left another gap underneath. That brings 7,657 back into focus. Most gaps eventually get tested, so for me the question is timing rather than direction.

It’s worth analyzing today the macro updates we saw this week, then I’ll go into the charts and targets for this week. Four numbers dropped back to back and they were loud this week: Manufacturing PMI came in at 57.0 against an expectation of 53.6. Services PMI hit 58.7 against 55.8. Anything above 50 means expansion, so both sectors aren’t just growing, they blew past what economists modeled. That’s the first clue: the US economy is not slowing down. Implications for the stock market: Strong PMI data usually means strong corporate revenue ahead, so on the surface that’s bullish for equities. Then came Crude Oil $WTI Crude Oil - main 2611(CLmain)$ Inventories, up 2.969 million barrels when the market expected a drawdown of 0.700 million. That

A gap represents a distinct break in the price action of an asset’s chart. It occurs when the price of an asset opens at a significantly different level (either higher or lower) than its previous day’s closing price, with no trading occurring in the price range between the close and the open. Visually, this creates an empty space or “hole” on the chart, which is often highlighted by traders (as seen in the yellow boxes on your chart). Gaps typically occur when significant news, earnings reports, or economic data are released while the market is closed, leading to a sudden shift in supply and demand before the next trading session begins. Price action is generally considered a continuous flow. A gap interrupts that flow, meaning that not every price level between the previous close and the

Two mega caps. Two different technical setups. One thing in common: the charts are starting to look stretched. 👀 $NVIDIA(NVDA)$ The preliminary weekly candle is shaping up as a shooting star, while Stochastic has triggered a bearish crossover. That combination matters because similar formations have previously appeared ahead of multi-week declines. The setup isn't confirmed yet. To invalidate it, $NVDA would need a strong bounce tomorrow. But there’s a problem: $216.70 is acting like a bearish magnet. If price continues struggling around that level, the weekly reversal setup remains in play. $Microsoft(MSFT)$ This chart is telling a different story. Price has been compressing into a narrow range while the

The stock market continues through a choppy season, where overnight moves and gaps have become the new normal. However, the current price action regime can be navigated those gaps in our favor, as we have done for $Tesla Motors(TSLA)$ $Netflix(NFLX)$ $Alphabet(GOOG)$ $Meta Platforms, Inc.(META)$ $Broadcom(AVGO)$, and the $S&P 500(.SPX)$ itself; as gaps typically trigger counter-moves. Since Monday, the gap at 7,651 has been on our radar for the SPX. Tuesday’s indecision added warning signs, and Wednesday’s retrace, confirmed by the

Three mega caps, three slightly different setups. 👀 🔵 $Alphabet(GOOG)$ Price breached the upper Bollinger Band, which often brings a pullback or mean reversion into play. There’s still unfinished business around $330, while the stock is sitting in an oversold/discounted setup according to this framework. 🎯 That puts $330 on watch as a potential level for the next move. ⚡ $Tesla Motors(TSLA)$ Tesla is showing a setup similar to the $AAPL shooting star we discussed yesterday. Price pushed through the upper Bollinger Band, but the candle structure shows indecision rather than clean continuation. If the reversal pattern plays out, $363 becomes the first downside level to watch. 🟣

The $S&P 500(.SPX)$ rallied on Monday in a very rapid way to a high weekly target, that day I posted two charts highlighting the reason why a consolidation/reversal could follow. Yesterday indeed formed a doji candle on the daily timeframe. I anticipated the Central Daily Level (CDL) of 7,767 to paid subscribers, noting it as the key level to watch today (bearish below, bullish above). Price action lost this level at the open and broke through the support levels one by one (7,753, 7,741, and 7,727) before finding support at the weekly zone of 7,702. Yesterday, we reviewed bearish factors, including the shooting star on $Apple(AAPL)$ (which correctly anticipated today’s retrace), low market breadth, an

🐯 Hey Tigers! Two of the market’s biggest names are flashing remarkably similar warning signs today: $META and $AAPL. ⚠️ $Meta Platforms, Inc.(META)$ Three exhaustion signals showed up at the same time: 1️⃣ Price breached the upper Bollinger Band, putting the stock in overbought territory. 2️⃣ A shooting star formed as buyers gave back part of the day’s gains. 3️⃣ The Stochastic oscillator crossed over in the overbought zone, adding another exhaustion signal. When all three appear together after a strong rally, a healthy pullback becomes worth watching. 🍎 $Apple(AAPL)$ The setup is also turning more defensive. A shooting star formed while price breached the upper Bollinger Band, with the oscillator alread

📉 $S&P 500(.SPX)$ is starting to lose momentum after moving too far, too fast. As noted yesterday, the recent move in $SPX stretched the level structure, so today’s muted session was largely in line with that caution. Meanwhile, $Cboe Volatility Index(VIX)$ completed its unfinished move to 14.5, while the percentage of $SPX stocks above their 200-day moving average slipped to 51%. ⚠️ The bigger signal may be coming from $Apple(AAPL)$ . I’ve been tracking $AAPL closely in the daily note this week after flagging possible exhaustion last Saturday. Today’s shooting star adds another warning sign. It matters beyond AAPL itself. If the setup develops into a broader