Elon Musk Is Rocket Man!
What a week! Stocks hit record highs on hopes for peace in the Middle East, while Elon Musk has earned the title “Rocket Man.”
So let's dig into what you need to know right now:
1. QQQ Hits Lucky 13
What a Friday for tech!
QQQ rose for the 13th straight day, with 2026 leaders like Seagate (STX), Western Digital (WDC) and Marvell (MRVL) making new all-time highs.
Of course, the question now is “are we overextended?”
The RSI on QQQ is now 74+, which has marked near-term tops in the past, like last October:
This doesn't mean we're destined to crash.
But things are overheated just as earnings season is heating up.
And speaking of earnings, we have to talk about Tesla (TSLA), which reports Wednesday.
2. Tesla Is the Wildest Wild Card Right Now
Tesla(TSLA) has had a brutal move off the lows heading into earnings on Wednesday, April 22.
And it's the wildest of wild cards in the market.
Forget the fundamentals because the world is obsessed with SpaceX.
And there is a non-zero chance Tesla benefits from the SpaceX IPO.
Maybe Tesla gets folded into SpaceX.
If Elon Musk even hints at hitching Tesla to SpaceX, Tesla is going to the moon.
And based on surveys of the T3 Live audience, retail interest in SpaceX is sky-high.
So everything Elon-related is getting bid up.
JR Romero explains the situation here:
And speaking of space, have you seen this?
3. Elon Musk Is Rocket Man!
Space-related stocks have been flying this month, led by BlackSky Technology (BKSY) up 47.8% and Intuitive Machines (LUNR) up 46%.
Interestingly, all these names aside from Rocket Lab (RKLB) are heavily shorted:
This has created additional “rocket fuel” on top of anticipation for the SpaceX IPO.
So I am declaring Elon Musk “Rocket Man.”
Sorry Kim Jong Un.
And since we're looking at high-flying stuff..
4. The Russell 2000 Is Dominating
IWM is now up 12% year-to-date, crushing SPY and QQQ:
And short squeezes look to be a big driver of the recent small-cap surge.
We screened for the best-performing Russell 2000 stocks in April.
As you can see, plenty have short interest over 10%:
Like Aehr Test Systems (AEHR), which is up 118.6% this month on 13.0% short interest.
And AMC (AMC), which popped over 93% with 15% short interest.
5. Record Highs, “Meh” Sentiment
The S&P 500 hit a new record high at 7147 this afternoon.
But is the crowd overjoyed?
Nope. Sentiment remains “meh.”
The AAII Sentiment Survey shows that just 31.7% of investors are bullish on stocks for the next 6 months.
This is the 9th straight week of below-average bullishness.
Meanwhile, the CNN Fear & Greed index climbed out of the cellar and is now 61.
This means mild Greed.
So overall, traders remains cautious considering equities' shocking momentum.
This is good news because tops are often (not not always) marked by overly bullish sentiment.
We're not even close to that.
So the technicals look extended, sentiment is stuck in the middle.
Quite the puzzle we have here.
ATTN: Serious Options Traders
There Is Just ONE Epic Trade Every Week