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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March 26, 2020
Stocks – AAPL, DIS, BA, GS
Macro – SPY, VIX
Michael Kramer and the clients of Mott Capital own AAPL
Well, stocks continued to rally today, in the panic trade the other way. It seems to me that nothing makes sense anymore. The economy is going into recession, if not potentially something worse, that seems clear to me. The KC Fed number today was horrible, the worse since 2009. Initial jobless claims rose to over 3 million, but yet the S&P 500 managed to rally by 6%.
S&P 500 (SPY)
Can we continue rally tomorrow, yes, perhaps even to 2,700? But I’m still not convinced it will last. That is the most likely region the market fails at this point because there are a downtrend and resistance region meet. We could be merely filling gaps in the short-term before another turn lower.
But the VIX, that didn’t move, and that is perplexing to me. Who knows, maybe it doesn’t matter, maybe it doesn’t mean anything.
So again, not much is making sense to me at this point.
Boeing is still going higher, and the level to watch for comes around $197.
Disney looks like it double bottomed for now, and could rise back to $116.
Apple is testing resistance around $260, with the next level higher coming around $270.
Goldman Sachs (GS)
Goldman has been climbing as well and is nearing resistance around $175.
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