News:
Wednesday was a mixed bag on Wall Street…
Overall the markets appeared weak. But the selling was limited as a giant in the tech space held up the rest of the market.
Image by Lonely Planet
The indexes closed mostly lower, with a notable hold out…
- Dow Jones -0.7%
- Nasdaq +0.5% ←
- S&P 500 -0.4%
- Russell 2000 -0.9%
Notable Names
Microsoft (MSFT) was the bright spot in the market during Wednesday’s session…
Table from Finviz
- Shares popped more than 7% after reporting solid earnings Tuesday evening
- During its call, executives said AI products are driving sales
- Also, a UK Court blocked its acquisition of Activision (ATVI) -11%
Following in MSFT’s footsteps … Facebook parent Meta (META) is up more than 11% in premarket trading.
- The company smashed earnings and revenue expectations on its earnings call
- The growth was credited to … “AI work is driving good results”
- This morning, futures are up across the board following the upbeat report
Sector Round Up
Wednesday’s session failed to generate many gains outside the Technology (XLK) +1.5% sector…
The other 10 sectors ended the day in the red.
At the bottom…
- Healthcare (XLV) -1.4%
- Industrials (XLI) -1.9%
- Utilities (XLU) -2.4%
Technicals:
The VIX is undoubtedly pointing lower…
VIX Daily Candles – Chart by thinkorswim
After breaking through one critical level at 18, it appears stalled below 20.
The important thing to remember is markets never move in straight lines.
A reversal lower could be the beginning of a summer rally … Or at least the end of fear-based selling.
No reason to believe the bears are in charge…
- RSI levels are neutral
- The Put-to-Call Ratio is oversold
Timing:
Two big news items to keep an eye on today…
- This morning the advance GDP estimate is scheduled for release at 8:30 AM.
- At the end of today’s session, Amazon (AMZN) reports earnings
Watchlist:
ELEV support at $2.50
CMG on watch
SONM support at $1
APLT support at $1.40
PRG support ta $26
IDYA support at $18
SA resistance at $14
TDUP support at $2.60
CBAY support at $9.60/$10
Secondary watchlist—float 100+ million
TIO support at $2
XERS support at $2.20
TGTX support at $20/$22
RIOT support at $10
HIMS support at $10.50
LEGN resistance at $70