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APRIL 29, 2020
STOCKS – GOOGL, TSLA, FB, AMD
MACRO – SPY, YIELDS
MICHAEL KRAMER AND THE CLIENTS OF MOTT CAPITAL OWN TSLA AND GOOGL
MIKE’S READING THE MARKET PREMIUM CONTENT:
- Stocks Fall Ahead Of Big Earnings Weeks
- Has The Discounting Mechanism Changed? Morning Commentary
- Stocks Rise Again
Stocks are rising on April 29 and regaining yesterday’s late afternoon sell-off. But today is likely to be a volatile one, with a load of economic data and the FOMC and press conference today at 2:30. How things will play out, I’m not sure.Â
S&P 500 (SPY)
The index was as low at 2,850 overnight on the futures and is now trading around 2,900. I can’t imagine that the trading range changes all that much until 2 PM. But we are approaching the month-end, and there is likely to be some rebalance taking place.Â
10-Year
Keep an eye on the 10-year yield with a descending triangle pattern that has formed. A break below 55 basis points gets that rate moving towards 0%. Yeah, you read it right, 0%. You can watch this video on why I think rates are going lower. Premium content – The Velocity Of MZM May Drive Rates Even Lower
Alphabet (GOOGL)
Alphabet is rising sharply higher after results were better than feared. The stock’s next significant level of resistance is around $1,365. I went through some of this in a free story on Forbes. – Alphabet’s Post Earnings Rally May Only Be The Start
AMD (AMD)
AMD is trading down a bit after giving weaker than expected guidance. The miss on guidance seems minor at $1.85 billion, versus estimates of $1.92 billion. Usually, I’d see this is as a rounding error, but given the stock’s valuation and the current environment, I can see why it is trading lower, and why it could still go even lower. For now, it just needs to stay over $53.Â
Facebook (FB)
Facebook will report results later today, and the chart doesn’t look great overall. The RSI is falling dealing too with momentum fading. A drop below $180 sets up a decline to $172.Â
Tesla (TSLA)
Tesla will also report tonight after the close. All the focus will be on cash flow, cash, and delivery guidance for the year. The RSI is still rising, and I think the stock can still get back to $850.Â
Have a good one.Â
Mike
Mott Capital Management, LLCÂ 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.Â
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This report contains independent commentary to be used for informational and educational purposes only. Michael Kramer is a member and investment adviser representative with Mott Capital Management. Mr. Kramer is not affiliated with this company and does not serve on the board of any related company that issued this stock. All opinions and analyses presented by Michael Kramer in this analysis or market report are solely Michael Kramer’s views. Readers should not treat any opinion, viewpoint, or prediction expressed by Michael Kramer as a specific solicitation or recommendation to buy or sell a particular security or follow a particular strategy. Michael Kramer’s analyses are based upon information and independent research that he considers reliable, but neither Michael Kramer nor Mott Capital Management guarantees its completeness or accuracy, and it should not be relied upon as such. Michael Kramer is not under any obligation to update or correct any information presented in his analyses. Mr. Kramer’s statements, guidance, and opinions are subject to change without notice. Past performance is not indicative of future results. Neither Michael Kramer nor Mott Capital Management guarantees any specific outcome or profit. You should be aware of the real risk of loss in following any strategy or investment commentary presented in this analysis. Strategies or investments discussed may fluctuate in price or value. Investments or strategies mentioned in this analysis may not be suitable for you. This material does not consider your particular investment objectives, financial situation, or needs and is not intended as a recommendation appropriate for you. You must make an independent decision regarding investments or strategies in this analysis. Upon request, the advisor will provide a list of all recommendations made during the past twelve months. Before acting on information in this analysis, you should consider whether it is suitable for your circumstances and strongly consider seeking advice from your own financial or investment adviser to determine the suitability of any investment.
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