January 7, 2020

Stocks: WDC, MU, SQ, TWTR, BYND

Macro – SPY

S&P 500 (SPY) 

Stocks were unimpressed by the better than expected ISM non-manufacturing reading of 55. It was only mildly better than estimates for 54.5. Meanwhile, the report revealed some weakness in the employment component, which has me feeling a touch nervous, heading into the job report on Friday. Still, growth seems to be fine, with the ISM reading corresponding to growth of 2.2% for the fourth quarter. A weak unemployment print could be the most significant risk to the equity market at this point. Premium content – The Biggest Risk To The Equity Market Comes This Week 

It seems like at this moment, the S&P 500 is just marking time waiting to make its next move.

Western Digital (WDC) 

Well, the options traders did it again, with Western Digital having a huge day, rising by over 7% following that upgrade this morning. The next level of resistance comes around $75.65. – Western Digital Is Nearing A Significant Break-Out

Square (SQ) 

The options traders had a good day with Square, too, making them 2 for two on the day. The stock popped above the downtrend, and so did the RSI. I think that sets up a move to $67.35. Premium content – Square May Rise On Bullish Betting

Micron (MU) 

The options guys were even betting on Micron late last week too. Man, how do they do it? Make them 3 for 3. An increase above $58.65 sends the stock to $61.40. – Micron’s Stock May Soar On Optimistic Outlook

Twitter (TWTR)

I mentioned Twitter today in the mid-day updates, and based on the setup, the stock looks like it may be about to go higher. Premium content – Stocks Stuck In The Mud

Beyond Meat (BYND)

Beyond Meat finally popped, and now it may on its way to $100 and eventually fill that gap.

Have a good night

-Mike

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