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September 10, 2020
STOCKS – NFLX, AMZN, T
Macro – SPY, QQQ, DXY
Mike’s Reading The Markets (RTM) Premium Content – NOW WITH A 2 WEEK FREE TRIAL
- Trump Is Leading By A Wider Margin Than The Polls Suggest
- Buyers Out Of Juice? – Midday
- Live Webcast September 24 9PM ET
- My Portfolio Breakdown -Entry Spots
- Afternoon Sell-Off? Midday
- Watching For The Gap Higher And Move Lower
- Stocks Teetering At Key Levels
- When Adjusting For Growth The S&P 500 Is It Most Expensive In 40 Years
MICHAEL KRAMER HAS QQQ PUTS
Well, we opened higher, with the S&P 500 recouping its end of day losses from yesterday. The problem, we failed at 3,425, the same spot we fell yesterday, and also the top of the gap fill. It led to a sharp decline in the markets through days end, finishing back at the bottom of the other gap around 3,330.
It leaves us an important point. If we manage to gap lower tomorrow, I think that things get ugly, moving to the downside, with the next stop around 3,260. It probably doesn’t end there, either.
I tend to think there is still more to go on the downside here. The breaking of the uptrend is a major problem, and we haven’t even come close to retaking it. There is a clear trend lower in this market, and the buyers are being completely overwhelmed by the sellers at this point. (Premium Content – Buyers Out Of Juice? – Midday – Get The First 2 Weeks To Try)
Nasdaq 100 (QQQ)
Meanwhile, the Qs tried to retake the uptrend and failed as well. The uptrends breaking in both indexes is not a good sign and suggests a longer-term break in trend and shift in direction. I think the next level on the Qs is somewhere around $265.
Dollar (UUP)
The dollar fell hard initially following the ECB announcement, but recovered dramatically, rising back to 93.50. The dollar is getting ready to rip higher, you can see it in the chart. Once it breaks 93.50, it is off the races, I think, and that couldn’t be more bearish for gold.
Gold (GLD)
This trader standing there buying gold around $1925 is going get run over very soon. Gold is heading lower, I think. I wouldn’t be surprised to see back at $1790.
Netflix (NFLX)
Netflix is starting to break down, with the RSI now trending lower, and the stock sitting just over support at $475. Probably heading to $450, and lower. A break of $475 probably confirms a double top.
Amazon (AMZN)
Amazon is in trouble too, breaking its uptrend the other day, and failing at the trend line again today. Momentum is leaving this stock in a hurry with a drop back to $2800 coming.
AT&T (T)
AT&T is very close to a breakdown and drop to $27.35.
Have a great night!
-Mike
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This report contains independent commentary to be used for informational and educational purposes only. Michael Kramer is a member and investment adviser representative with Mott Capital Management. Mr. Kramer is not affiliated with this company and does not serve on the board of any related company that issued this stock. All opinions and analyses presented by Michael Kramer in this analysis or market report are solely Michael Kramer’s views. Readers should not treat any opinion, viewpoint, or prediction expressed by Michael Kramer as a specific solicitation or recommendation to buy or sell a particular security or follow a particular strategy. Michael Kramer’s analyses are based upon information and independent research that he considers reliable, but neither Michael Kramer nor Mott Capital Management guarantees its completeness or accuracy, and it should not be relied upon as such. Michael Kramer is not under any obligation to update or correct any information presented in his analyses. Mr. Kramer’s statements, guidance, and opinions are subject to change without notice. Past performance is not indicative of future results. Neither Michael Kramer nor Mott Capital Management guarantees any specific outcome or profit. You should be aware of the real risk of loss in following any strategy or investment commentary presented in this analysis. Strategies or investments discussed may fluctuate in price or value. Investments or strategies mentioned in this analysis may not be suitable for you. This material does not consider your particular investment objectives, financial situation, or needs and is not intended as a recommendation appropriate for you. You must make an independent decision regarding investments or strategies in this analysis. Upon request, the advisor will provide a list of all recommendations made during the past twelve months. Before acting on information in this analysis, you should consider whether it is suitable for your circumstances and strongly consider seeking advice from your own financial or investment adviser to determine the suitability of any investment.
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