The Stock Market Is Ready To Power Higher on July 16
Stocks are getting ready to power on higher on July 16 as the S&P 500 continues to work its way towards 3,055.

The Stock Market Is Ready To Power Higher on July 16

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July 16 – Stock Mentions SPY, JPM, TSLA, AAPL, AMD, NFLX

Michael Kramer and the clients of Mott Capital own TSLA, AAPL, NFLX

US Markets

  • S&P 500 Futures +1.25 points
  • 10-Year US Treasury 2.09%
  • Dollar Index 97.19
  • Oil $59.78
  • VIX 12.58

International Trading

  • Japan Nikkei -0.69%
  • Shanghai Composite -0.16%
  • Hong Kong HSI +0.23%
  • South Korea KOSPI +0.45%
  • UK FTSE +0.26%
  • Germany DAX – Flat

Rate Watch

Suddenly the CME Group FedWatch tool is now suggesting a 70% chance of 25 basis point rate cut on July 31 down from 97% last week. Meanwhile, the odds of 50 basis point rate cut increased to 30% from 3% last week. Interesting, to say the least. I must have missed something somewhere along the way that these odds have changed so rapidly.

Big Day for Data

July 16 will be a big day for economic data as the second quarter data stream winds down. Retail Sales, Import/Export Prices, Business Inventory, and Industrial Production.

Meanwhile, the Germany ZEW Business survey came worse than expected. Current conditions came in at -1.1 versus estimates of 5, while Business expectations came in at -24.5 versus estimates for -22.

Trading Session for July 16

The S&P 500 is pointing to a roughly flat opening on July 16. However, the index will be running up against an uptrend today, so that will either push the index higher or lower. That trend line should act as strong support and help to drive the index higher, towards my target of 3,055.

S&P 500, spx, july 16, stock

JPMorgan (JPM)

JPMorgan reported robust results on July 16, easily beating estimates on both the top and bottom lines. However, the stock is falling following those results. However, according to Breifing.com, the company lowered its net interest income outlook, and that could be what is weighing on the shares.  For now, resistance appears to be around $117. However, there is an uptrend in the stock that has been in place since the December lows. It should help to limit the downside in the equity..

jpm, jpmorgan, stocks, july 16

Tesla (TSLA)

Tesla’s stock is falling some this morning, testing the break out late yesterday afternoon at $250. The company has updated pricing and variants of its Model S/X/3.  Anyway, I would think that $250 should offer strong support for TSLA on its way to around $260.

tesla, tsla, july 16, stock

Apple (AAPL)

Apple continues to be on a path higher towards $209. The stock is in a very well defined trading channel.

aapl, apple

AMD (AMD)

AMD is on the cusp of that major break out we have been watching at $34.50. That is likely to set up a push towards $36.15.

AMD,

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Netflix (NFLX)

I will be watching Netflix closely today after two fragile days. The company is reporting results tomorrow night after the close. The low $360 region has acted as support/resistance on a few occasions, so we should see a bounce back to the high $370 ahead of results.

netflix, nflx

Have a great day.

-Mike

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.

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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.