News:
Wall Street was focused exclusively on Nvidia (NVDA) stock on Thursday. After reporting quarterly earnings, the stock added 24% and more than $183 billion in market cap.
- The chip maker that is powering the AI war is seeing record sales and record growth
- Nvidia is now the 6th most valuable company by market cap
- Yesterday’s price surge was the 3rd largest single-day market cap gain in stock market history
- Amazon (AMZN) and Apple (AAPL) hold the number 1 and 2 spots, respectively
The indexes with exposure to the stock rose. Those without fell…
- Dow Jones -0.1%
- Nasdaq +1.7%
- S&P 500 +0.9%
- Russell 2000 -0.7%
Sector Round Up
3 of 11 sectors end Thursday higher.
The winners…
- Technology (XLK) +3.8% – NVDA stock lives here
- Industrials (XLI) +0.3%
- Real Estate (XLRE) +0.2%
At the bottom…
- Healthcare (XLV) -1.0%
- Utilities (XLU) -1.3%
- Energy (XLE) -1.8%
Recalling The Recession
Recession fears are losing ground…
On Thursday morning, the Bureau of Economic Statistics boosted its GDP growth estimate from +1.1% to +1.3% for Q1 of this year.
Consumer spending drove the growth…
As long as consumers are spending and the economy is growing, there won’t be a recession.
Technicals:
The Technology sector is the hottest sector on Wall Street right now…
The sector was moving higher ahead of Nvidia’s blow-out earnings.
And is now poised to smash through a critical long-term resistance level and make new all-time highs.
The Technology sector is our favorite sector as we head into summer.
The daily read…
- The VIX held below 20
- RSI levels the Dow is nearing oversold, the Nasdaq is slightly overbought, the others are neutral
- The Put-to-Call Ratio is neutral
Timing:
This morning at 8:30, the latest inflation report drops. This time it’s the Fed-preferred measure, Personal Consumption Expenditures, PCE for short.
After the closing bell, markets will take part in the three-day holiday weekend.
Markets will reopen on Tuesday for the final two trading days of May.
Enjoy your holiday.
Watchlist:
*Low Float
^Open Position
*SDA on watch
*AMAM support at $14
*WTER support at $2
TAST support at $5.50
ALPN support at $10
NNOX support at $16, resistance at $20
ONCY support at $2
APLD support at $7
URBN support at $30
^PLAB support at $20
Secondary watchlist—float 100+ million
EVLV support at $5.50
ZUO support at $10
ACVA support at $17
XERS support at $2.80, resistance at $3
RIOT resistance at $12
MVIS support at $3
^IONQ support at $9
VRT support at $18
PLTR support at $11/$12