Michael Kramer and the clients of Mott Capital own Apple, Tesla, Netflix

March 12, 2019

US Trading Session

• S&P 500 Futures : +2
• US 10-Year: 2.66%
• Oil: 57.33 +$0.54
• VIX 14.47
• Dollar Index: 97.04

International Trading Session:

• Japan Nikkei: +1.79%
• China Shanghai: +1.10%
• Hong Kong HSI: +1.46%
• Singapore STI: +0.65%
• South Korea KOSPI: +0.89%
• Australia ASX: -0.o9%
• UK FTSE:: +0%
• German DAX: +0.05%

Global Growth Proxies:

• Copper: $2.94 +1.45%
• Silver: $15.43 +1.05%
• Platinum: $831.60 +1.81%

Key Events:

• Get ready for another Brexit vote
• US and China are working on the next steps of a trade deal
• Morning Boeing 737 Max grounding
• US CPI – Estimates +0.2% vs. Actual +0.2%

International Trading Session

Hong Kong

Hong Kong is pushing up against resistance today at 28,980. A rise above that resistance level triggers an increase to the next level of resistance to 29,700.  The relative strength index continues to point to the index continuing to rise.

Pound

The British pound is moving around a lot today ahead of the next big vote. Just watch the pound if you want to know which way the Brexit vote may go.

US Trading Session

S&P 500 (SPY)

S&P 500 (SPY) will continue in it’s now well define trading range between 2720 and 2820. :-P.

The  S&P 500 still needs to break through 2,800 before we can even think about a big move higher over the short-term. Additionally, support, for now, appears to live down around 2,720. Until we see something more concrete, we need to stick with the view that the S&P 500 is range bound.

However, I will tell you that sideways consolidation is better than a 5-7% pullback any day of the week. If the worst thing we get is a sideways consolidation after the big move higher, we should consider ourselves very lucky.

Boeing (BA)

Boeing is declining just a bit as planes get grounded. I continue to think there may be more downside to Boeing in the coming days, with strong support around $371.

Tesla (TSLA)

Morgan Stanley lowered its price target on Tesla to $260 from $283 at Morgan Stanley. Not sure that it even matter to be truthful. Upside seems limited at the moment to around $300.

Nvidia (NVDA)

Nvidia continues to climb this morning. At some point the reality that $178 is coming will need to set in, I’m just there.

Amazon (AMZN)

Amazon will need to be watched to see what happens should the stock reach the downtrend again today.

Apple (AAPL)

Apple will also be on watch today after its big move higher yesterday with $182 still being the significant level of resistance. 

Facebook (FB)

Finally, Facebook will attempt to break out and rise above $173 triggering an increase to $186.  My view has been that the stock would fill the gap at $148. To this point, I have been wrong.

good luck today!

Mike

Photo Via Flickr

Mott Capital Management, LLC is a registered investment adviser. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investments involve risk and unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial adviser and/or tax professional before implementing any strategy discussed herein. Upon request, the advisor will provide a list of all recommendations made during the past twelve months. Past performance is not indicative of future results.