Here are the market observations for today.
- Our job is to interpret price action and not predict the future. When we predict, we go easy on the risk.
- The S&P has closed higher for six straight days. And lots of market participants cannot believe this.
- Estimates-topping earnings results continue and the market seems to be waking up to this new reality. The market was not positioned for this surprise.
- The market underestimated the momentum fueled by the combination of fiscal stimulus and monetary stimulus.
- The index that matters: Small Cap Index. The real momentum will come once it breaks out. Here’s how it looks as of now
- AMD is back to its near all-time high. The popularity of Ryzen™ Threadripper™ PRO processors in Cloud gaming is driving the stock higher.
- Oil stocks seem to be stalling for now. Also, Brent Crude and Gas prices cooling off for now. But the interest in alternative energy fuel stocks continues to be high.
- Strong day for Hydrogen economy stocks be it PLUG up 5%, or Bloom Energy up 2.5%, or FCEL up 5%. This is one segment we are strongly positioned in our momentum portfolio.
- The Solar and Uranium sector have been the other pocket of strength.
- Breakout to a new high drives stocks higher. One can make a bullish case for UEC at the current market price.. If you do not have URA Uranium ETF, then this stock can be a great addition.
- Bitcoin ecosystem stocks taking a rest today. Bitcoin adoption movement is for real and it’s going to materially impact the earnings of stocks like Coinbase, SI, and MQ.
- Will Blackberry breakout above 12?
- IBM is one stock that consistently disappoints. Every time I chase value, I get hammered. What a terrible stock this is.
- Brazil sinks below 2021 low. Here’s how it looks
- “People do not decide their futures, they decide their habits and their habits decide their futures.” What is your trading habit?
Trade Sheet:
Disclaimer – The state of the market notes is Deepak’s perspective on the market. The column is purely for educational purposes. Nothing contained herein is a solicitation to trade or a recommendation of a specific trade. By reading this publication you agree to make no trade relying in whole or in part on the comments of the writers
Leave a Reply
You must be logged in to post a comment.