News:
Markets rallied all day yesterday and closed near the highs of the day. In short, the bulls had a good showing.
After the close, the picture changed as Netflix (NFLX) reported earnings and its subscriber count decreased for the first time in about 10 years.
Shares cratered in after-hours trading. At writing shares are down 27%, that’s about $40 billion in market cap that just disappeared.
Travel stock on the other hand rose after a judge ruled the CDC’s mask mandate was unlawful.
Technicals:
The Dow reclaimed a critical support level yesterday…
And the VIX official broke its uptrend…
RSI levels and the put-to-call ratio are neutral.
Everything looks bullish to me.
I would love to see a red open and a green close today to confirm the uptrend. At writing, futures are trading in the red.
Timing:
Today is 4/20, a date associated with smoking weed. On Twitter, it’s trending as #dogeday.
Elon Musk loves to joke around and send cryptic messages that include 420. In 2018 he said he was going to take Tesla (TSLA^) private at $420 per share. And his bid for Twitter (TWTR^) was at $54.20 per share.
In the age of memes 4/20 just might be a day that traders and investors pay a little more attention to.
My overall outlook remains bullish. A green close today will turn me back to risk on.
Watchlist:
*Low Float
^Open Position
*IPI has support at $110
*MDVL has resistance at $3
*AMR is on watch
TRVI has support at $3
HNRG has support at $4.50
CASA has resistance at $7
AMPY has support at $6.50
CEIX is on watch
^SGML has support at $15, resistance at $18
FPI has support at $15
ATER has resistance at $6.50
TDCA has support at $11
GOGO has resistance at $23.50
^LXU has support at $24
CRGE has support at $7
BTU has support at $28
CXW is on watch
^TWTR has support at $45