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4/21/22 Netflix, Tesla, & Travel

News:

Markets were mixed yesterday. The Dow gained 0.7% while the Nasdaq lost 1.2%.

The Nasdaq was dragged down by Netflix (NFLX) which fell 35%, losing about $50 billion in market cap, after disappointing earnings.

Many big investors lost a lot of money as a result. Bill Ackman’s Pershing Square and the State of California were holding huge positions going into earnings. Ackman liquidated his firm’s position according to its latest letter to its shareholders.

Tesla (TSLA^) is rallying this morning, up about 7% at writing. The company reported record-high earnings despite inflation, Shanghai lockdowns, and supply chain issues.

The travel industry is heating up. Avis (CAR) and United Airlines (UAL) both saw their stock prices surge higher yesterday. As noted yesterday a judge struck down the federal mask mandate, a decision that is being appealed.

Technicals:

The Dow and Russell 2000 are breaking out while the S&P 500 and Nasdaq remain in consolidation.

With the biggest and the small stocks moving higher I expect those in the middle to catch up soon.

The VIX continues to head lower this morning as futures rise.

I can’t find a single indicator giving the bears an advantage.

If the market can’t rally into the end of the month then I don’t if it can rally…

Timing:

Just seven days of trading left in April, the best month for stock.

New jobless reports come out this morning at 8:30. Watch DOL.gov for the report.

Watchlist:

*Low Float
^Open Position

*^IPI has support at $110
*MDVL has resistance at $3
*AMR is on watch
CRXT is on watch
TRVI has support at $3
HNRG has support at $4.50
TH has support at $6
AMPY has support at $7
CEIX is on watch
^SGML has support at $15, resistance at $18
LRN is on watch
FPI has support at $15
CAR has support at $300
TDCA has support at $11
REI is on watch
HCSG has support at $19
^LXU has support at $24, resistance at $27
CRGE has support at $7
BTU has support at $28
CXW has support at $13
^TWTR has support at $45

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