News:
Markets soared yesterday. It was all buying all day.
The Dow underperformed with a gain of 1.1%. The Nasdaq and Russell 2000 led, adding more than 2% each.
The S&P 500 posted a 4th day of gains, tying its longest win streak of the year.
From Getty Images
Energy was the leading sector followed by Consumer Discretionary and Technology. Utilities was the only sector to close in the red.
Our nuclear stock picks, UEC, NXE, & UUUU rose nearly 10% each on news that the EU has added nuclear energy to its “list of sustainable activities.”
Meme Stocks
Several meme stocks saw double-digit gains after Gamestop finalized plans for a stock split.
- AMC Entertainment (AMC^) +15.1%
- Gamestop (GME^) +15.2%
- Bed Bath & Beyond Inc. (BBBY) +21.7%
But those gains might be short-lived … After hours Gamstop announced it was laying off staff and changing its CFO.
Shares of GME are down about 7% premarket.
Spirit Merger
Today was supposed to be the long-anticipated vote on the Spirit Airlines (SAVE) / Frontier (ULCC) merger. But according to a press release Spirit has delayed the vote another week.
Jetblue (JBLU) is still trying to outbid Frontier.
Elon Musk & Twitter
Elon Musk’s plans to buy Twitter (TWTR^) are in “serious jeopardy” according to a report from the Washington Post.
Twitter executives and Musk have been publicly debating the number of spam accounts on the platform since Musk’s offer was accepted in early April.
Bitcoin
The global cryptocurrency market cap rose above $1 trillion yesterday as Bitcoin^ climbed off of support at $20,000.
Technicals:
After pushing through critical resistance at $380 the SPY still faces a lot of overhead resistance.
We’ve marked 4 of the most prominent levels on today’s chart…
SPY Daily Candles – Chart via thinkorswim
The other indicators offer few additional clues…
- The put-to-call ratio is neutral
- RSI levels are unremarkable
- The VIX remains elevated but is inching lower.
Timing:
This morning the full Employment Situation Report will drop at 8:30.
Next week is the first full week of trading in Q3. And there’s a decent amount of action expected…
- CPI inflation reading is due out on Wednesday
- Thursday earnings season kicks off with the latest from several big banks
- Friday is the July options expiration & Consumer sentiment report
Watchlist:
*Low Float
^Open Position
*USEA is on watch
*TRVI has support at $3.50
*TOUR has resistance at $1.40
*FNKO has support at $25
DNAC has resistance at $10
XAIR has support at $10
^CBIO has support at $1.60
CHEF has support at $38, resistance at $42
WVE has support at $4
^ALT has support at $12
JKS has support at $70
CELH has support at $70
DQ has support at $74
CTIC has support at $6.50
OPTN has resistance at $4
LI has support at $37.50, resistance at $40
CD has support at $8
SGEN has resistance at $180