November 14

Stock mentions: NFLX, MSFT, NVDA, SHOP, BA, PYPL

Macro mentions: SPY, 10-Year

MICHAEL KRAMER AND THE CLIENTS OF MOTT CAPITAL OWN NFLX AND MSFT

Reading the Markets Premium Content from November 14

• Morning Rundown
• We May Have Entered A New Phase In The Market’s Lifecycle
• Investing For The Long-Term Requires A Plan And Patience

MACRO

S&P 500 (SPY)

It was another dull day, and if things don’t pick up soon, I’m going to have nothing to write about. The S&P 500 finished the day higher by roughly ten basis points at 3,096. It seems fairly clear to me at this point that the market is consolidating sideways, as opposed to falling. It is just a matter of time before the index lifts higher.

The next leg likely doesn’t happen until next week, based on the chart.

By the way, now I have a new feature to roll for members of Reading The Markets, a morning rundown. It a 5-minute top-down view of the market and macroeconomics. Premium content: Morning Rundown

Yields

10-year yields have been falling in recent days, but the general trend has been higher since the middle of October, and I think that trend will likely continue. That will probably be a negative for the defensive sectors over time, such as utilities and staples. I have talked about the rotation that appears to be taking place currently in the mid-day up for a member of the Reading The Market premium content – We May Have Entered A New Phase In The Market’s Lifecycle

STOCKS

Netflix (NFLX)

Netflix rebound today after yesterday’s decline following the Disney news. The stock continues to act well around the $285 price level, and I still think that stock can work its way higher to around $315 over the rest of 2019. Premium content- Netflix May Be Heading For A Break Out

Shopify (SHOP)

Shopify continues to attempt its break out at $315, and to this point, the stock has been unable to break out. If it can’t break out here, there is a good chance it goes back to $285.

PayPal (PYPL)

PayPal seems to be acting well and appears to be on a path to around $106.25. Premium content from November 8 – PayPal Stock May See A Rebound

Microsoft (MSFT)

Microsoft continues to trend higher as well, and the next significant level to watch for is around $153.

Boeing (BA)

Boeing is at a challenging level of resistance at $368. If the stock can rise above that price, then perhaps it runs up to $390. I think it has a reasonable shot.

Nvidia (NVDA)

Nvidia reported better than expected results, but weaker revenue guidance. The stock is up about 1% after-hours, nothing major. $217 is resistance for the stock, but the problem I see here is that the stock appears to still be in this rising wedge unless I drew it out wrong. I guess we can see what happens tomorrow.

-Mike