This column is my opinion and expresses my views. Those views can change at a moments notice when the market changes. I am not right all the time and I do not expect to be. I disclose all my positions clearly listed on the page, and I do not trade my account on the stocks spoken of in this column unless fully disclosed. If that does not work for you stop reading and close the page. Do not bother me or harass me.
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September 9, 2020
STOCKS – TSLA, ROKU, SBUX
Macro – QQQ, SPY
Mike’s Reading The Markets (RTM) Premium Content – NOW WITH A 2 WEEK FREE TRIAL
- 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
- Market Getting Slammed
- For The Week Of September 8, Plus New Theme Tracker
- This Pullback May Be Different
- We Will Find Out Fast What Happens Next
- A Drop To 2860 On The S&P 500 Is A Real Possibility
- AMD May Fall 11% More
MICHAEL KRAMER AND THE CLIENTS OF MOTT CAPITAL OWN TSLA
MICHAEL KRAMER HAS QQQ PUTS
If you are bear, you probably couldn’t have drawn up a better outcome today. The S&P 500 gapped higher and traded up all day, pushing to the 3,425, and filling the gap. The bulls tried two times to break the S&P 500 higher but failed. It resulted in a bone-crushing 80 bps point drop in the final 35 minutes of trading.
More importantly, I think this sets up a drop to 3,340, and at the very least, a retest of yesterday’s lows. It was not the type of close you want to see as a bull.
Also, tomorrow we will get the ECB monetary policy announcement, which may or may not help stocks overall.
The outcome for the Qs was not much better; on two occasions, they tried to break the ETF higher but failed. It sets up a potential drop back to $270 tomorrow.
We are just not seeing the call volume return to the market like we saw in previous weeks; it has been steadily declining in recent days.
Meanwhile, put volume fell some today but remains elevated compared to prior weeks.
Tesla had an intense day rising by 10%, and managed to climb right back to resistance around $370. That’s the significant level if it can’t get above that level tomorrow, then today is for not, with a drop back to $330 on the way.
Starbucks has a descending triangle pattern to it, and a big gap to fill around $78.50.
Roku had a lovely day, but I don’t think it sticks, probably falls back to $150.
That’s all for today.
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