Hi all,

The markets finished the week with a couple of strong days Thursday and Friday. The only index that struggled was the small cap stocks in the IWM. META and MSFT earnings reports were received positively while AMZN had good numbers but then warned that its cloud business is slowing. AMZN stock popped up in the afterhours but finished down after that negative guidance.

The feds preferred measure of inflation, the PCE price index came out at 0.3% which was the expected number. GDP was cooler at 1.1% (2.0% expected) giving hope to the bulls that this coming week’s expected rate hike of 0.25% might be the last, at least for a while.

DOW, S&P and QQQ took out some resistance levels. With the VIX (fear index) going lower and therefore showing no big concerns about a hard sell-off, I remain in the bullish camp overall.

 

Key levels:

 

• DOW (34,098 now) – support level 33,300 and resistance is at 34,500
• QQQ (323) – support level 310 and resistance is at 330
• SPY (416) – support level 400 and resistance is at 420
• IWM (175) – support level 170 and resistance is at 180

 

Recap Video:

 

Watch the recap on YouTube

 

Positions:

 

• WLLW - on Toronto Stock Exchange (TSX) - long term hold. ($0.85) – sold out a lot of my position for a big loss at $0.15.
• FOM - this is a small cap mining company. I like the drill results they are getting and management team is solid. Highly speculative at $3.00. Took some profits over $4.10.
• DIS - Long $100.5 on break out of 200 sma.
• FHN - Long at $17. Sold some at $18.4.
• NFLX - Short $320 puts expiring next Friday – risky trade. Expired and kept premium.
• TLT – Shorted $103 April 6 puts - covered them and rolled up to short $105 puts – covered for a small loss on the $105s.

 

What to Watch for this Week:

 

• Monday 9:45AM – Manufacturing PMI
• Wednesday 2:00PM – Fed interest rate decision then 2:30 Powell speaks
• Thursday 8:30AM – Jobless claims
• Friday 8:30AM – Employment reports

View the Economic Calendar on Trading Terminal

 

Sectors in Play Last Week:

 

• Communication Services and Technology sectors were the biggest gainers for the week.
• Healthcare and Utilities were the losers.

 

Earnings this week:

 

• Monday - ON, SOFI, NXPI
• Tuesday - UBER, BP, PFE, AMD, F, SBUX
• Wednesday - CVS, YUM, QCOM
• Thursday - DDOG, RCL, MRNA, PTON, AAPL, SHOP, COIN, SQ, DKNG, LYFT
• Friday - NVO, ENB

View the Earnings Calendar on Trading Terminal

 

Tracking:

 

• AAPL – Keeps moving up but earnings Thursday amc. $175 is a level worth watching if it breaks higher on earnings news.
• ABNB – $110 held on the pullback this week while $115 is resistance. Another opportunity to sell downside puts at $110. Still looking strong after Friday close.
• AMZN - Filled $110 gap but pulled back Thursday night on poor cloud revenue guidance. $105 held Friday and a level worth watching to see if holds above there – possible long or short put.
• BIDU - Bouncing now and will look to reshort at the 200 daily sma $126 level.
• CMG - Good earnings giving us 3 solid days of gains. Really extended now and could be a good short at $2100 or short a call small size.
• DIS – Long on breakout of 200 daily sma – looking for partial sale on Monday
• GOOG – $110 is resistance…watch for breakout.
• LVS – Still looking strong on good fundamentals of Macau recovery.
• MSFT – 3-day rule after earnings, extended now and $310 could be resistance this week.
• NVDA – Range bound trading between $260 to $280 – watch for sympathy move on the AMD earnings report Tuesday amc.
• TSLA – $150 level is support after earnings, potential to sell puts there. $170 should be resistance and if it breaks through the $180 next resistance for a gap fill.