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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December 13, 2019
Stocks: ACAD, NFLX, AMZN, FCX, TSM
Macro: Dollar, SPY
- S&P 500 +10.00 points
- US 10-Year 1.89%
- Dollar Index 96.83
- Oil $59.94
- VIX 12.69
- Japan +2.55%
- KOSPI 1.54%
- China +1.78%
- HK +2.57%
- UK +1.73%
- Germany +1%
MICHAEL KRAMER AND THE CLIENTS OF MOTT CAPITAL OWN NFLX AND ACAD
Lots of news overnight with Boris Johnson winning in a big way in the UK, clearing for a path for Brexit to finally be complete. The Pound is surging to roughly 1.34 to the dollar, which is helping to push the dollar index lower.
I have often talked about the trends for a weak dollar taking place, and that trend is now in full force. The dollar index has now broken its uptrend and sitting close to support at 96.50. A decline below this region could result in a sharper drop in the dollar index towards 94.
It would be a huge positive for multi-national company earnings power and also should help to lift commodity prices.
S&P 500 (SPY)
S&P 500 futures are pointing higher, and are suggesting an open around 3180 on the S&P 500, as we continue to march towards 3,200. I don’t know what you do if you are perma bear that has been routing for a recession? We have only been talking about this level since March. Morning Commentary- Tailwinds Picking Up Heading Into 2020
Amazon is starting to lift, and I noted earlier this week that the stock was getting ready for a push higher, based on bullish option betting and improving technical chart. Amazon Is Seeing Bullish Betting, Suggesting 7% Increase
I also noted that Netflix was seeing bullish options betting too, and I also think the stock will continue head higher. Netflix Traders Betting On A Rebound
Freeport may also have further to climb as copper prices jump, and the dollar slumps. Bets Suggest Freeport Continues To Surge As The Dollar Weakens. These options guys have been nailing Freeport since the beginning of September.
Well, whatever was pushing Acadia down in a nearly perfect trend line may be finished. Either a trader set things on a set it and forget it, or the trader was super lazy and flat out bad. You don’t see things this perfect very often. Whatever it is, let’s hope they are cleaned up. Talked about yesterday in the midday update – Stocks Are Breaking Out
Taiwan Semi (TSM)
Taiwan Semi is rising again, and based on options trades and the chart; the stock may be headed to $61. You can read more in this free article – Taiwan Semiconductor: Hot Stock May Have Further to Rise
Mott Capital Management, LLC is a registered investment adviser. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investments involve risk and unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial adviser and/or tax professional before implementing any strategy discussed herein. Upon request, the advisor will provide a list of all recommendations made during the past twelve months. Past performance is not indicative of future results.