We’re finally wrapping up the biggest week of earnings with companies like Apple, Tesla, Facebook, and Google all reporting. Tonight brings another round of releases with the main focus being Amazon (AMZN).
The market has been digesting these earnings, rallying hard in the beginning of the week and now just chopping sideways. Last time we traded at these all-time highs we had the same pattern of a 4-hour squeeze. We saw the market rally and consolidate, just like we’ve seen this week.
Depending on a strong or weak AMZN report tonight, the market could rally higher, drop lower, or continue to squeeze overnight. Keep an eye on this 4-hour squeeze to gauge which direction we’ll be moving next. The 4-hour squeeze is a great reminder to practice patience as we wait for the next great move and for the squeeze to explode. The market is currently trending upward, so let’s see if the squeeze continues to fire overnight or if we head back down.
Pay attention to the squeezes and how Amazon’s earnings shape the market. If the report drops technology, the ES (S&P 500) would most likely also fall. The news could send us higher or simply do nothing, sending the market back into squeezes. All these are possible scenarios, but let’s use the squeeze and Amazon’s report to help guide us in the right direction. Watch the video above for the next levels to focus on based on what moves end up happening tomorrow and into next week.
Stay Focused!