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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