News:
On Friday, the June Jobs Report dropped pre-market, and the initial reaction was fairly positive.
- 209,000 new jobs added, well below the 1-year average of 316,000
- The slower pace may help The Fed maintain interest rates
Markets opened slightly red, but by early afternoon all the major indexes were trading firmly in the green.
And that’s when the bulls ran out of steam…
Markets peaked just after 1 PM and faded into the close—the big three closed at their session lows.
- Dow Jones -0.6%
- Nasdaq -0.1%
- S&P 500 -0.3%
- Russell 2000 +1.2%
The exception was the Russell 2000, which posted a solid gain.
Under the surface, it seemed that investors were ignoring the indexes and buying the small-caps.
66% of all listed stock advanced, while just 30% declined.
Sector Round Up
A pattern was hard to come by … 5 of 11 sectors closed Friday’s session higher.
The risk-on sectors held the middle ground and closed near flat.
At the top…
- Energy (XLE) +2.2%
- Materials (XLB) +0.9%
At the bottom…
- Utilities (XLU) -0.7%
- Healthcare (XLV) -1.2%
- Consumer Staples (XLP) -1.3%
Technicals:
The fear gauge tried moving higher over the past two trading sessions. But despite the selling in the major indexes, The VIX is holding steady below the critical level of 16.
Without fear, the bears have no play. The technicals continue to paint a bullish picture.
Here’s your latest readout…
- RSI levels are all neutral
- The put-to-call ratio is neutral
Timing:
Last week was a shortened week, and the lack of professional involvement was evident.
This week promises to be different.
We’ve got 2 major inflation reports to watch…
- CPI on Wednesday
- PPI on Thursday
The week ends with the earnings season kickoff…
Thursday premarket.
- Pepsi (PEP)
- Delta (DAL)
Friday premarket, we’ll hear from several big financial institutions…
- JP Morgan (JPM)
- Citigroup (C)
- Wells Fago (WFC)
- BlackRock (BLK)
Watchlist:
*Low Float
^Open Position
*GREE on watch
*PWM on watch
*RMTI support at $5, resistance at $6
AAOI support at $6
GASS support at $4.20
^CIFR support at $3.30
^OSTK support at $27
IREN support at $5, resistance at $6.25
REKR support at $2.20
KODK support at $5.50
ONCY support at $3, resistance at $3.25
ADVM support at $1.60
CVNA support at $27.5
MRNS support at $10, resistance at $11
WULF support at $2
Secondary watchlist—float 100+ million
MARA support at $14, resistance at $16
CLSK support at $5
GENI on watch
ENVX support at $18, resistance at $19
VRM support at $1.65
CBD support at $4.25
TMC on watch
OPK support at $2, resistance at $2.20