News:
On Monday, markets opened the week on an upbeat note.
Investors brushed off headlines about the potential debt ceiling crisis and closed at the day’s highs.
The indexes all finished green. The riskier the stocks, the bigger the gains…
- Dow Jones +0.1%
- Nasdaq +0.7%
- S&P 500 +0.3%
- Russell 2000 +1.2%
Sector Round Up
The sectors were split. 7 of 11 ended Monday higher.
At the top…
- Materials (XLB) +0.9%
- Technology (XLK) +0.8%
- Financials (XLF) +0.8%
The big loser of the day…
- Utilities (XLU) -1.3%
The remaining sectors were within 0.5% of their previous close.
Notable Names
Shares C3.ai (AI^) surged 23% after providing positive guidance…
- Preliminary sales figures topped its own estimates
- In the press release, it said business “seems to be accelerating”
- Monday’s gains added about $500 million in market cap
Bank of America (BAC) and Capital One (COF) got a nod from legendary investor Warren Buffet on Monday afternoon.
- According to a recent filing, Buffet cut his stake in small banks
- Added to his existing positions on both BAC & COF
- At writing, both stocks are higher
Technicals:
The S&P 500 has held above critical support for 6 consecutive trading sessions…
Still, overhead, the market is facing resistance. But the technical picture suggests it can be broken.
We remain bullish.
- The VIX is holding steady below 18
- RSI levels are neutral
- The Put-to-Call Ratio is neutral
Timing:
May is delivering what it traditionally does.
Mega caps in the Dow are underperforming the market. Small caps and tech stocks are outperforming.
With the month just halfway gone, we see no reason this trend can’t continue.
Watchlist:
*Low Float
^Open Position
*NERV support at $6
*GSIT on watch
BLBD support at $22.50
APYX support at $5, resistance at $6
CRVS on watch
ASRT support at $7
COCO support at $24
NNOX support at $18
HOOK support at $1.80, resistance at $2
^CBAY support at $10
JELD support at $14
ARLO support at $8
Secondary watchlist—float 100+ million
RDFN support at $10
EVLV on watch
TIO support at $3
ACVA support at $14
XERS support at $2.50
RIOT resistance at $12, support at $10
SANA support at $7
^IONQ support at $7