On Friday the market received some good news … A blowout jobs report.
After the report came out the market struggled to find direction.
The S&P 500 went from red to green and back to red again and again. In the end, the market closed mixed and basically flat. All indexes were +/- 0.1%.
According to an exclusive from the Wall Street Journal, “Google has proposed splitting parts … into a separate company.”
Photo by Caio from Pexels
The move is a concession to the Dept of Justice, which is reportedly considering an anti-trust suit against the company.
Shares rose less than 1% on Friday.
On a related note, Google’s parent company Alphabet (GOOG, GOOGL) is set to start trading on a split-adjusted basis on Friday, July 15.
The 20-to-1 split was announced in February.
Twitter and Musk
In an SEC filing, Elon Musk officially terminated his merger agreement with Twitter (TWTR^).
Photo by Brett Jordan from Pexels
This had been expected by the market for some time now.
Shares fell 5% intraday and another 6% after the news broke.
Twitter executives are planning to sue and could force Musk to pay the $1 billion break-up penalty.
The VIX broke a critical level on Friday … Falling below 25 for the first time in a month.
June’s breakdown ultimately failed as you can see in the chart…
VIX Daily Candles – Chart via thinkorswim
I’m watching this level closely … A lower VIX favors the bulls.
Not much else to report…
- The put-to-call ratio is neutral
- RSI levels are unremarkable
It’s the first full trading week of July and options expiration week…
- Historically July’s expiration week starts strong and ends on a weak note.
- The headline-making CPI inflation reading is due out on Wednesday.
- Earnings season kicks off this week too … Banks start reporting on Thursday.
*USEA is on watch
*TRVI has support at $3.50, resistance at $4
*FNKO has support at $25
DNAC has support at $10
XAIR has resistance at $11
^CBIO has resistance at $1.80
TH is on watch
WVE has support at $4
^ALT has support at $12
CELH has support at $75
JKS has support at $70
OPTN has resistance at $4
DQ has support at $74
CTIC has support at $6.50
CLVS has resistance at $4
LI has support at $37.50, resistance at $40
CD has rising support
SGEN has resistance at $180