This Is Why Stocks May Rise Sharply on Tuesday, April 16

Michael Kramer and the clients of Mott Capital own Microsoft and NXP

Independent macro and options research, published every trading day — $85/mo or $750/yr

A dull day for the most part in US trading with the S&P 500 falling about ten basis point. It would seem the S&P 500 is consolidating today and getting ready for that next leg higher towards 2,915 on April 16. Tomorrow will be a rather big day with the ZEW business survey out of Germany, and Industrial production here in the US. These are two data points that if better then expectation could trigger positive price action tomorrow.

S&P 500 (SPY)

The chart shows another one of these triangle/wedge patterns forming, and lately, that has led to jumps pushing the index up over its next level of resistance. We have seen several of these triangles along the way higher since late December. It would suggest that tomorrow the same happens.

Amazon (AMZN)

Amazon has really struggled at the $1850 level of resistance. It is not what I had expected. I do believe we will see it rise above that resistance, most likely tomorrow.

Alibaba (BABA)

Alibaba had a rough day, as did most chinese stocks on the MSCI delay news. However, the trend is still higher and today’s pullback doesn’t seem to put that trend at risk for now.

JD (JD)

JD is also dropping sharply, and the chart for JD continues to look solid with a strong uptrend.

Square (SQ)

I think its time we start asking ourselves if Square is heading lower. The pattern is now beginning to resemble a descending triangle, and that is a bearish pattern. The stock is now at risk for a decline to $65.50

Microsoft (MSFT)

I wrote a story on why I think Microsoft may be heading higher, perhaps to $127 follow its quarterly results. This Is Why Microsoft May Rise After Quarterly Results

NXP (NXPI)

NXPI continues to look like it is heading towards $106.

That will be all

-Mike

Michael Kramer publishes independent macro and options research read across 10+ platforms and by institutional desks. For research syndication, licensing, or consulting inquiries, visit michaeljkramer.com.

Photo From Flickr

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.

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.

This Is Why Stocks May Rise Sharply on April 16