META Is On My Mind – Here’s Why
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SPX futures are +12, giving some upside follow-through to last week's bounce. PPI and CPI are coming up. These are the scenarios I have in mind:
Scenario A: If we get inline/lower PPI and CPI, perhaps this bounce gets one more push towards the 5383 gap or even 5440ish (major spot).
Scenario B: If the PPI/CPI is a bit hot, we can test some levels from last week starting near 5250ish. Last week's low is 5119.Today I’d trim and trail as we just had a nice tradable move from last week, so get much more selective now.
Now let's dig into some individual names:
META moved up the Mag7 Go-to list after the reaction to earnings. It’s still in a huge channel, but when this market gets better, this could be at new all-time highs first. The $492 area needs to hold. The next two resistance pivots are $527 and then $542.
AAPL was a great focus one week ago into the $196-$202 re-test area. It hit $216.78 Friday. I'd reduce. $220ish will probably be big resistance if it sees it. If you don't want to sell the name, maybe sell some calls to collect premium.
NVDA was a focus last Monday and a great scoop into the $90.69 area. It's very tight. We'll see what it wants to do this week. It's up a bit this morning. $103ish is active support. In order to tack on more gains, it will need to get and stay above $106.60, then $108.80 is above.
PLTR reported earnings last week. Some are long vs. $25.57. It’s good to see a name like this holding gains in this environment. It hit an all-time high of $30.36. Manage your size.
UNG was great from $15 to $20+ into June. It's up pre-market around $14.70ish. This can hit $17.50+ish September/October. I bought some calls early last week.
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Your Trading Tip for This Week: Don’t Overcomplicate Things
Don’t get caught up chasing every bright shiny object and every new flavor of the month.
You don’t need to know 100 strategies and 2,000 stocks.
You can make a lot of money trading just a few strategies and a core group of 10-20 stocks that you know well.
If you read my stuff, you know that my universe isn’t that big.
I focus on 20-30 tech and momentum names while rotating other groups of interest in and out. It’s working for me, so why complicate things?
Once you have your core strategies and stocks in place and you’re making money, you can start looking to expand your coverage.
But don’t complicate things before then
Positions Disclosure as of 2024-08-12 at 8.17.08 AM
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