STOCKS – AAPL, BA, PG, WDC, SBUX
MACRO – SPY
- EARNINGS PREVIEWS – MSFT, AMD, T, AAPL, TSLA, FB
- Trends To Watch For The Week Of January 25, 2021
- Update Board 1.22.21 – The GME Play-By-Play, SMH Overvalued To Qs?
- Midday – A Reminder Of How Dangerous Being Short Is
- Analysis – Intel Slumps On Manufacturing Commentary
- Morning Note – Options Market Not Pricing In Higher Equity Prices
- Update Board 1.21.21 – Ford Squeeze, Intel Call Buying
- Yields And Inflation Rate May Be Predicting Lower Equity Markets
- Morning Note- Epic Melt-Up Not Likely, VIX At Bottom Of Range
- Intel May Jump Following Quarterly Results
MICHAEL KRAMER AND THE CLIENTS OF MOTT CAPITAL OWN AAPL
The FOMC meeting and press conference will highlight the week of January 25. At this point, it is hard to imagine there is much for the Fed to do, especially with another round of stimulus on the way from the fiscal side of things. So it seems unlikely that the major indexes should see much in the way of volatility around that meeting. (Premium subscriber content on SA Marketplace – Trends To Watch For The Week Of January 25, 2021)
It will be a big week for earnings, and if anything is going to move things around, it is more likely to be the earnings results. (Premium subscriber content – EARNINGS PREVIEWS – MSFT, AMD, T, AAPL, TSLA, FB)
S&P 500 (SPY)
The S&P too did manage to rally by around 2% last week, following the better than expected results from Netflix, putting a bid into the entire technology and communication sectors, helping to drive the indexes higher. However, the S&P 500 did stall around 3,850, as that was one of the big options related to gamma levels that keep the index from pushing even higher.
It looks like Apple broke out this past week, coming out of a bull flag, with an extension of that flag indicating the stock moves higher towards $150.
Boeing also has a bull flag like Apple, which suggests that higher prices await this stock and the potential to climb to around $240.
Starbucks will also report results this week, and at the moment, it appears that the stock has formed a head and shoulders pattern. A drop below $101 would confirm this bearish technical pattern, and a drop to around $95 is on the horizon. The RSI is trending lower, suggesting bullish momentum is leaving and supporting the bearish outlook.
Procter and Gamble (PG)
Procter and Gamble had a terrible week despite reporting better than expected results. The stock has confirmed its bearish technical pattern, the double-top pattern when it fell below support at $134. The next price to watch for is $125.75.
Western Digital (WDC)
Western Digital also has a potentially bearish head and shoulders pattern in the chart. In this case, the stock would need to fall below support at $47.85 to confirm the bearish pattern and see it fall to around $40.80.
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