11/19/2019

Stock mentions: AMD, MU, FCX, TSLA, SQ

Macro mentions: SPY, XBI, XLY

MICHAEL KRAMER AND THE CLIENTS OF MOTT CAPITAL OWN TSLA

Another dull day in stock market land, with the S&P 500 falling by 2 points to 3120. The market is flat, and from my standpoint, it is helpful for me, because I can focus on things such as website maintenance and preparing for how I want to continue to build my business in 2020. 

If you haven’t noticed, over the weekend, I made several key upgrades to help increase the speed and responsiveness of the website. Today, I changed over my push notification provider. So sorry, but anyone that wants to continue to get push notifications, you will need to accept that change. 

Anyway, yeah, that is how much I have to say about the market today. Nothing has changed from a broader market perspective from where we were this morning. That said, the market still finds itself in an overbought position.

Biotech (XBI)

Biotech stocks had a great day, with the XBI rising over 2.6% to over $87. The ETF appears to be breaking out of a significant downtrend. I noted this in the mid-day update today. This is important because the ETF has been in decline since September 2018. Premium content – 3 Stocks Up, 2 Stocks Down

Consumer Discretionaries (XLY)

On the other hand, the discretionary stocks did not have a good day, with the XLY down 1.1%. The group fell on the negative Home Depot results. The ETF finds itself on the cusp of a significant breakdown. I talked about this being the group to watch today in the morning commentary for premium subscribers. premium content- The Morning Rundown 11.19.19

AMD

AMD’s stock has gone vertical and is now approaching extremely overbought levels. It seems possible for the stock to continue to rise, but the odds seem to be growing that the stock will be heading lower. Potentially back to $37.20.

Tesla (TSLA)

Tesla is continuing to rally and is butting up against resistance at $360, ahead of the Thursday’s pick-up truck reveal. The stock is getting overbought some, so we could be setting up for a buy the rumor, sell the news event. That said, I don’t the downside is likely too far below $350.

Freeport (FCX)

Freeport had a good day, and I think the stock is getting ready for that push higher to $12.05. 

Square (SQ)

Square also had a very good day, and the break out appears to be strengthening for a push to $70. 

Micron (MU) 

Micron looks very weak, and based on what I see in the options and the chart; I no longer think this stock is heading higher. Instead, I think it is heading lower potentially to $42. Free article – Micron’s Declines May Only Be Starting

-Mike

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