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FEBRUARY 20, 2020
STOCKS: AMD, ACAD, BABA, AMZN
MACRO: SPY
Michael Kramer still owns SPY Calls
Michael Kramer and the clients of Mott Capital own ACAD
Join me on February 27 at 12 PM ET for a FREE webinar hosted by Interactive Brokers. I will cover why I think the S&P 500 is rising to 3,600. Sign up
Markets in turmoil, the next correction is coming, the end of days are upon us. The markets plunged by a whole 1% briefly around lunchtime, and the media was in full hysteria mode. My goodness. What a joke. It’s the “coronavirus reality setting in,” “no, its the stretch valuations that are finally cracking,” “oh-wait, pick-me, I know, I know, its the end of the momentum train.” Holy Shit! You know what I did it – yeah, I turned it off.Â
The charts don’t lie, and when you look at the intraday charts of nearly every signal sector ETF, they seem to tell the same story. A story of a giant sell program that hit the market, with a massive basket of stocks to sell. Today’s sell-off was so severe 😛 that the S&P 500 managed to finish the day down a whole 38 basis points. Do stocks go down, yes. Is every brief 1% dip the start of the next correction, or the air hissing out of the bubble, no.Â
Members were given an epic rant by me this afternoon, of what a joke some of this has become. Premium content – RED ALERT- STOCKS CAN ACTUALLY GO DOWN
You can see that the S&P 500 and Nasdaq 100, and a whole bunch of sectors went down in nearly perfect unison. It wasn’t a slow, steady push lower, with one industry leading the way, they all went down simultaneous as if a giant basket of stocks hit the market.Â
Not to mention there was no solid piece of news to even tie the move lower to.
It didn’t have the marking of reversal of trend or anything because, by the end of the day, most stocks rebounded, closing mildly lower.Â
S&P 500 (SPY)
We can see the S&P 500 held the uptrend nicely; nothing has changed in my opinion, nothing. Today I laid my new target for the S&P 500 for members:Â The Road To S&P 500 3,700, Yes I’ve Increased My Target
AMD (AMD)
AMD fell today, and I think it still has further to drop. Although, I did identify a mild level of support at $54.61.
Acadia (ACAD)
Acadia was down sharply but found support at $43.40, and it held. The trend remains higher.
Amazon (AMZN)
Amazon held support, and that is all that matter, nothing changes here I think the stock still goes up.
Alibaba (BABA)
I have several concerns about Alibaba now. The stock broke support at $220 and fell below the uptrend. The stock needs to snap back and fast; otherwise, down it goes.
Anyway, have a great night, and don’t let the bed bugs bite!
-Mike
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. Â
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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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