Welcome back to another Sunday Scan. The market is making some wild moves. We’ll discuss a few thoughts on why this is and how to identify the driving forces in a market so you can understand why it’s moving and when a turn may be close. Then, later on, Stan and Chris will go over some main watches for the week ahead.
Video Scan and Game Plan
Chart Reviews
SPX correction from several key areas that we will get into in the video.
TNX bond yields falling from fed keeping rates up while economic data deteriorates.
TLT bond prices rising from demand as flight to safety from the above reasons.
IWM small caps are sensitive to economic conditions and fed moves.
AMZN gap down on earnings, signaling some concerns with earnings seasons with large tech.
USD/JPY massive currency moves causing disruptions in the Japanese and US markets as big players adjust positions.
NKD (Japan Index) impact from currency moves.
LMT Middle East tensions are rising and this can be used as a gauge for that sentiment.
NUZE review of liquidity trap playing out.
Main Watches
SERV perpetual squeezer looking for trend line to break for backside.
AMZN MSFT META AMD basket in play with market given earnings season and volatility. Looking to trade momentum off higher timeframe charts.
VXX UVXY market volatility instruments. Will use in combination with market related names above to sprinkle risk across and not have single name focused risk exposure (use as a hedge when uncertain, and diversify/press when trade is working).
SAVA looking for that gap up / parabolic move and fade.
RDHL PMEC liquidity trap looks.
NVDA rumors of product delay, may not be in a hurry to buy the dip for reversal trade if acting weak. Let it reset and have positioning get off sides for reversal / check for relative strength or weakness with chip names.
META earnings were better than expected. Earnings growth can justify the cap-ex spend so looking for relative strength especially if market bounces.
TLT possible mean reversion trade when market bounces.
CRWD reversal trade setting up after large sell off from issues after the global tech issue last week.
LMT gauge for Middle East issues increasing or decreasing. If we have some good peace headlines then mean reversion trade, but if tensions get worse this likely goes higher.
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