September 30, 2020
STOCKS – BKNG, INTC, SHOP
Macro – SPY,
- Stimulus Hopes Boost Markets
- Well, That Was Interesting.
- More Negative Signs For Micron Ahead Of Results
- Stocks Still Held Below Critical Resistance
- The Bears Need To Take Back Control
- Don’t Fight The ECB – Morning
- 7 Themes For The Week Of September 28
That was one of the most bizarre trading sessions I have witnessed in some time, with future sharply lower overnight and then zooming higher after the open, to come crashing down in the final hour or so. There was a nearly 3% range on the S&P 500 futures from bottom to top, hoping for a stimulus deal.
The futures finished the day below the downtrend and below the moving average. It gives me the sense of a failed breakout attempt. But with a lack of confirmation from the S&P 500 cash market, we are left to wonder what tomorrow holds. My feeling is that the futures drift lower overnight; we can put this into the camp of a failed breakout for the S&P 500 cash market too. If that is the case, we should find ourselves trading back below 3,300 relatively soon.
Booking.com filled the gap at $1,725 and appeared to be forming a bullish ascending triangle. Perhaps it leads to an advance to $1,795.
Intel is very close to making a big move, potentially higher. It is now flirting with a break out at $52.20. If that happens, it has a big gap to fill. The RSI continues to trend higher, and momentum is entering the stock. It looks 50/50 now, but a break of resistance will be a big plus for Intel.
Shopify keeps losing more and more momentum. The stock’s RSI continues to move down, and I think this one is heading below $850. This is a hunch on my part. Typically, when you see such a negative pattern on the RSI, the stock price isn’t too far behind.
We’ll leave it there. I have only been working half days this week :).
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