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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January 6, 2020
STOCKS: TSLA, NFLX, AMZN, BB, CRM
MICHAEL KRAMER AND THE CLIENTS OF MOTT CAPITAL OWN TSLA AND NFLX
Reading The Markets Premium Content:
- Subscriber Mailbag – Looking At Fundamentals
- First Live Webinar – Jan 16 9:30 PM EST
- Stocks May Merely Be Filling The Gap
- MORNING COMMENTARY 1.6.20
- Sector Rotation On Watch For The Week Of January 6
S&P 500 (SPY)
The sell-off lasted for about the first hour of trading. Then it got back to the flatline and surged into the close, rising by about 35 basis points. That’s what I call a pretty good day.
The fear indicators quickly faded as the day wore on, with the VIX closing below 14. That’s a nice intraday retracement. Meanwhile, the S&P 500 filled the gap from the open and just continued to push higher.
It seems like the next stop for the S&P 500 may be back at the highs around 3,250.
Meanwhile, Netflix had a good day, rising back to resistance $336. This is the stock’s second attempt to break out at this level, and it is a significant level. If it crosses $336, then it likely goes on to rise and fill the gap up at $362. The RSI is trending higher, and that indicates to me that this time it breaks out.
Tesla continues to run higher ahead of a Model 3 event in China tomorrow. It appears there is talk of the Model Y launch coming too. The stock is testing its previous highs around $454, and an increase above that price sends the stock higher, and I think $475 could be its next stop it’s way to $510.
Amazon had a good day and is on the cusp of breaking out at $1,900. If it can cross that price, it can probably rise to around $1,967.
Salesforce broke out today by rising above resistance at $167. It may result in the stock rising to around $182.
Its been a while since we last spoke about Blackberry. Now the stock is breaking a downtrend and rising above resistance at $6.67. Perhaps it even fills that gap up to $7.50. My only problem is that the RSI is already showing the stock is overbought.
Have a good night!