This week there are a few major catalysts that could impact the market. We’re heading toward the end of earnings season with most of the big names having already reported, but there are opportunities for setups this week in names like Nvidia (NVDA), Coinbase (COIN), Disney (DIS), and more. Pay close attention to the economic data this week, specifically the Core Consumer Price Index (CPI) on Wednesday morning, to see how the news impacts the overall market.
Last week, the S&P 500 (ES) traded in a 4-hour squeeze and finally broke all-time highs. Not much has changed since last week, but the ES is getting closer to the next step — a big move higher. The ES has been strong but not extended, so let’s see if the ES can squeeze and break last week’s all-time high at $4,433.25 and send the market higher.
For the Dow Jones Industrial Average (YM), it is continuing to squeeze sideways. Watch for rotation into the YM (semiconductor sector)… Or will technology act as the market leader?
The Nasdaq (NQ) held onto its gains on Monday as the NQ approached its all-time high but pulled back and closed short of last week’s new all-time high at $15,172.50.
Here is our focused list:
GOOGL — Starting to ramp up with higher lows and showing strength. On Monday GOOGL closed above the big breakout level at $2,733. Squeeze hasn’t fired but momentum is building. If technology continues to lead, look for GOOGL to break the $2,746 level to its all-time high at $2,775 (and maybe even $2,800).
ZM — Uptrend forming on its 2-hour chart. Watch for ZM to move higher into the $406 to $416 breakout zone. Look to enter around the key zone from $375 to $380. Watch for the squeeze to fire and price to hit the first target at $391 and up to $406.
TSLA — Note the beautiful weekly squeeze, watch momentum shift, and pay attention to the 4-hour squeeze as it fires. If it breaks and clears $726, look for price to move to the $750 to $760 zone and even a push into $780. Be patient because if TSLA breaks there will be plenty of opportunities to take this higher.
SNOW — Breaking out of a tight wedge. Look for SNOW to move back above the key level at $280 or $282 and then a push up to $286. Be careful because this name can be tough to trade but can offer a great setup as long as risk is maintained.
NVAX — Ran hard last week along with amazing earnings from BioNTech (BNTX). NVAX filled half of the gap between $216 to $227 and has 13 points left to fill the gap up to $227. Focus on the sector move as a whole.
Stay Focused!