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August 3, 2020
Stocks – MSFT, FB
Macro – SPY, QQQ,
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For anyone interested, I have turned the two-week free trial period for my premium service on the SA marketplace, Reading The Markets. I had turned it off in February because the growth was overwhelming. But I have made a lot of modifications, so the service can handle more members again. I plan to leave the free trial period on for some time. Anyone that wants to try out is welcome; there is no catch. If you don’t like it, just cancel, I’m not going to haunt you.
- Beware – Morning 7.31.20
- The Four Horsemen Ride Tonight
- Yields Are Cracking On Bad Jobs Data
- Fed Paints A Gloomy Outlook
- Bets Pile Up Micron Falls As Much As 10%
- It All About The Fed, And Bets Are For Less Liquidity
- Downward Trend Are Still In Place
Michael kramer and the clients of mott capital own MSFT
Stocks are mixed today, with the S&P 500 up about 30 bps, while the NASDAQ is trading up nearly 80 bps. Otherwise, Asia was mixed, and Europe is rebounding some from last week’s sell-off.
The market took a bit of a jump higher around 6:40 AM, on the typical vaccine dump. This time from Eli Lilly about starting a phase 3 trial. Now you know why everyone rushes into the market every Friday afternoon. No surprise I guess. It really is a joke.
S&P 500 (SPY)
The market find itself in an interesting spot today, trading at the upper end of their trading range in the US, with the S&P 500 Emini needing to push through and make a new cycle high.
It is beginning to look like there is a chance a the futures have room to rise a bit further perhaps to 3,312. However, there appears to be a rising wedge pattern that has formed in the e-minis. Normally, that is a bearish pattern, but lately, that has also served as a bullish pattern as well. I have to admit, I have rarely seen in the past, but recently it seems to be bullish a lot. It gives me very little confidence in making a call.
Still, 3,200 is the most critical level for the bears. 
A lot of what happens will depend on what happens with ISM Manufacturing data at 10 AM; Estimates are for 53.5.
Microsoft (MSFT)
Microsoft is now in talks to buy the US side of TikTok. I’m not sure how I feel about it overall. It takes Microsoft out of its principal business, but it could ad some meaningful revenue as well. We will need to see how the market responds to it. Right now, the stock is rising and seems to like the news.
I think the news on TikTok is a definite negative for Facebook.
Anyway, that is all I’m going to have today. There likely won’t be a PM edition today. I will be having a procedure done today and will be out of commission for the rest of today and probably tomorrow.
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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