Michael Kramer and the Clients of Mott Capital own Netflix
If you own Nvidia and you aren’t nervous; you should be. The stock was up about 10% following results. But after a day of trading, the stock finishes the day up only 1.8% on a day when the S&P 500 was over 1%. The stock was up to as high as $169 in the after-hours last night and gave back nearly $12. The market has spoken, and it does not seem very impressed with Nvidia’s results.
Anyway, wanted to get that one in at the top. As I said yesterday, the results were horrible, and the 2020 guidance was nothing more than an attempt to calm the market. In my opinion, until proven otherwise, you must question the company’s guidance.
S&P 500 (SPY)
The S&P 500 continues to march closer to 2,800, closing today at 2,775. It is now less than 1% from 2,800. Next week will be a tremendous week for stocks. A showdown at resistance is coming.
I’m waiting on a couple of data point before I make next call for where stocks go. However, I am becoming increasingly more confident that 2,800 will not be the last stop for this rally and we are likely heading to record highs. Yep, new highs and an S&P 500 over 3,000. The Race To 2,800 And Beyond
The Russell had a huge day rising over 1,562 also setting up a showdown at 1,593 next week.
Amazon fell nearly 1% to $1607, and I think this stock will continue to struggle and it is about to get even worse. $1,518 is still the target, and it seems that it may be coming sooner than we thought!
Netflix continues to struggle, and I am getting worried about the stock. There seems to be a big seller sitting around the $360 level. There has been a lot of volume trading at this current level. So we will have to see, but the longer it fails to break out the more likely a break out doesn’t happen.
That is it for today; it is Friday ahead of a three-day weekend!
Take it easy.
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