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7/24/23 Fed Decision, Earnings—Your Week Ahead

News:

On Friday, markets struggled to find a direction.

2 of the 4 major indexes closed green…

  • Dow Jones +0.0%
  • Nasdaq -0.2% 
  • S&P 500 +0.0%
  • Russell 2000 -0.4%
Image from Kiplinger

The Dow Jones logged its 10th consecutive win … Extending its longest winning streak since 2017.

Sector Round Up

7 of the 11 sectors ended Friday’s session in positive territory.

At the top…

  • Utilities (XLU) +1.85
  • Healthcare (XLV) +1.0%
  • Energy (XLE) +0.9%

At the bottom…

  • Financials (XLF) -0.3%
  • Industrials (XLI) -0.5%
  • Communications (XLC) -1.0%

Denied!

As the summer’s big movie weekend heated up, shares of AMC (AMC) popped 70% higher on Friday after the closing bell. 

But you can’t credit Barbie for the move…

Image from the NYT
  • A judge blocked a share restructuring proposal that included a reverse split
  • Overnight, AMC filed a revised plan to address the court’s concerns
  • At writing, 1 share costs about $7, a level not seen since February

Technicals: 

As sellers relieve some of the market’s overbought conditions, the bears have been unable to mount any serious offensive.

The missing ingredient? Fear…

VIX Daily Candles – Chart by thinkorswim

The VIX is holding near 3-year lows. And it isn’t showing signs of moving higher.

While we can’t make a strong bull case in the heat of the summer, there’s no case for the bears, either.

Expect sideways action until the narrative changes.

Your latest readout…

Timing:

The week ahead holds plenty of news for the market to react to. Most notably…

  • The FOMC’s interest rate decision on Wednesday afternoon
  • Advance estimate Q2 GDP on Thursday
  • PCE inflation data on Friday

Earning season is in full swing too. Here are a few names we’ll be watching…

  • Verizon (VZ) Tuesday premarket
  • Microsoft (MSFT) Tuesday after-hours
  • Alphabet (GOOG, GOOGL) Tuesday after-hours
  • AT&T (T) Wednesday premarket
  • Meta (META) Wednesday after-hours
  • Crocs (CROX) Thursday premarket
  • Abbvei (^ABBV) Thursday premarket

Watchlist:

*Low Float
^Open Position

*SDPI on watch
*BBIG support at $2.50
ICAD support at $3.50
EYPT support at $11, resistance at $12
MNMD support at $4.20
^OSTK support at $30, resistance at $32.75
ADVM support at $2
QSI support at $3

Secondary watchlist—float 100+ million

SEEL support at $1.40
CAVA support at $46
AMRX support at $3.25
RXRX support at $14
MVST support at $2.50
RKLB support at $7
SIRI on watch

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