12/13/22 Massive Moves Ahead, Jailed & Woke Behind


Markets rose on Monday ahead of this morning’s CPI inflation data report. The indexes finished at their highs with solid gains…

  • Dow Jones +1.6%
  • Nasdaq +1.3%
  • S&P 500 +1.4%
  • Russell 2000 +1.2%

Sector Round Up

Monday’s rally was broad. All 11 sectors ended the day higher.

At the top…

  • Energy (XLE) +2.6%
  • Utilities (XLU) +2.3%
  • Technology (XLK) +2.2%

At the bottom…

  • Consumer Discretionary (XLY) +0.3%
  • Communication (XLC) +0.8%
  • Real Estate (XLRE) +0.8%

Notable Names

Sam Bankman-Fried, the former CEO of crypto exchange FTX, was arrested in the Bahamas overnight. He was scheduled to give testimony to Congress today.

SBF – Image from NYT
  • New York Prosecutors plan to unseal the indictment this morning
  • Authorities intend to have him extradited to face criminal charges in the U.S.
  • Today’s congressional hearing is set to start at 10 am
  • The updated witness list includes only John Ray, the current CEO of FTX

Tesla (TSLA^) fell over 6% on Monday … it was one of the few stocks in the S&P 500 to decline.

Image from Finviz
  • The stock finished the day at a two-year low
  • In recent days CEO Elon Musk has taken a hard right stance…
  • He called for the prosecution of Anthony Fauci
  • And declared war on the “woke mind virus


The months-old rising support remains unbroken…

SPY Daily Candles – Chart via thinkorswim

The market is well positioned to rise with a good CPI print.

But investors are primed for big moves in either direction…


The year’s final headline inflation report is set to be released this morning at 8:30.

Bloomberg published some of JPMorgan (JPM)’s expectations for the CPI year-over-year print.

  • Below 6.9% could end the bear market
  • Between the expected levels of 7.2% – 7.4%, they expect the market to rally 
  • Above 7.7% will likely send the market plummeting

This week there is $3.7 billion worth of options set to expire. Expect volatility for the rest of the week.

And remember, the market’s reaction is more important than the news itself.


*Low Float
^Open Position

*CJJD support at $3
*USEA support at $4
*BIVI support at $8
*CLRO on watch
*BBW support at $23
*ACER on watch
BAND support at $24
ACLX support at $24
REPL on watch
PHR support at $29
RCUS support at $30
RYTM support at $29
^CROX support at $95
^RYAM support at $8
^PRQR support at $1.40
TOUR support at $1.5

Secondary watchlist, float over 100 million

YEXT support at $6
MOMO on watch
PBI support at $4.25
EDU support at $30
MLCO resistance at $12
WDH support at $2.10
RLX support at $2.50
TME on watch

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