The market lacked conviction on Tuesday. 50% of stock advanced while 45% declined.
The indexes ended within 0.5% of where they started.
- Dow Jones -0.5%
- Nasdaq -0.0%
- S&P 500 -0.2%
- Russell 2000 +0.2%
4 of 11 sectors ended the day green.
- Energy (XLE) continues to be the most volatile sector gaining +3.6%
- Materials (XLB) came in second, adding 1.0%
At the bottom…
- Healthcare (XLV) -1.4%
- Real Estate (XLRE) -1.5%
While the broader markets were light on action, there was plenty of volatility in individual stocks…
Shares of Zoom (ZM) fell more than 16% after its earnings call.
- The company missed revenue expectations
- Lowered its forecast
- Shares are down more than 75% over the past year
- Cathie Wood bought the dip.
AMC Entertainment’s (AMC^) special dividend shares APE^ surged 17% on their second day of trading.
- AMC stock fell 8.6% at the same time
- Unlike other companies with multiple tickers trading publicly, AMC & APE don’t appear to have any correlations.
Shares of Starbox Group (STBX) surged 285% on their first day of trading.
- The “provider of cash rebates, digital advertising” listed 5 million shares at $4 each
- The stock closed at $15.40
- Trading volume surpassed 20 million shares
The S&P 500 failed to hold critical support, as we pointed out yesterday.
But the riskier stocks in the Nasdaq…
And the Russell 2000…
…Are refusing to break down.
As you can see on the charts above and below.
The market is not pointing in a clear direction at the moment.
The other signals we’re tracking…
- RSI levels are neutral
- The VIX remains below the key level of 25
- The put-to-call ratio climbed to extremely oversold levels but closed neutral
The market is waiting for Friday…
This week the world is looking to Wyoming…
On Friday at 10 a.m. Fed Chair Powell will speak at the annual Jackson Hole Economic Symposium on Friday.
Today is also a notable anniversary…
It’s been exactly six months since Russia invaded Ukraine.
- The invasion is an escalation of the war that began in 2014.
- Neither side appears to have a clear advantage.
- A personal reflection from our Editor-and-Chief can be found here.
*FPAY resistance at $3
AXSM is on watch
COGT support at $16
VERV resistance at $38
RYTM support at $23
CSIQ support at $42, resistance at $45
INFI support at $1.20, resistance at $1.60
CPRX support at $14.50
PRVA support at $40
^GEO support at $7.50
^GERN resistance at $2.50