Nasdaq (-0.95%) continued its downtrend, but with decreasing volumes. This might sound constructive, this is not heavy selling. But we didn’t have heavy accumulation either. No forecast, just price action: watching SMA50 and recent lows. And keep an eye on volumes!
SP-500 (-0.92%) made a similar move while moving towards the recent lows. It will be constructive to not remain in this area and to build a higher low. Watching the same areas: SMA50 and the recent lows.
In the news
Consumer inflation is expected to have been even hotter in June, but it could be peaking. The CPI Inflation Rate May Hit 9% and a 75bp hike by the Fed in July is almost certain.
Google CEO Pichai says the company will slow hiring through 2023 in a memo to employees.
Amazon launches cancer vaccine clinical trial in partnership with Fred Hutchinson.
Crypto needs regulation — technology can’t remove all financial risks, BOE’s Cunliffe says.
Global Oil-Supply Crisis Shows Signs of Easing, IEA Says.
Sectors
Best yesterday sector: Consumer Defensive, then Consumer Cyclical. Worst sector: Energy.
Best weekly sector: Utilities, then Industrials. Worst sector: Real Estate.
Best monthly sector: Healthcare, then Consumer Defensive. Worst sector: Energy.
Sentiment
NAAIM (weekly, neutral between 70 and 90): 27.85
VIX (neutral under 20): 27.29
Equity Put / Call Ratio (neutral between 0.7 and 1): 0.97
CNN Fear & Greed: 26 (Fear)
Breadth
Stocks above SMA40 (neutral between 30 and 80): 28.34%
Stocks above SMA200 (neutral above 30): 15.72%
Number of stocks that increased yesterday by more than 4%: 185
Number of stocks that decreased yesterday by more than 4%: 222
McClellan Oscillator (neutral between -100 and 100): -23.07
Earnings Reports
Delta Air Lines DAL 0.00%↑ will unveil its second-quarter earnings report ahead of the July 13 open. For DAL's second quarter, analysts, on average, are calling for earnings per share (EPS) of $1.64 – compared to last year's per-share loss of $1.07 – and revenue of $13.3 billion, +87% year-over-year (YoY) and +6.4% over Q2 2019.
Other noteworthy earnings reports for today:
What to trade today
Cash is safer. Today will get more info regarding the CPI / Inflation and betting before the news is very risky.
No plan to trade today.
If trading, you may consider using a 1/2 or even 1/3 position to test. Consider also using tighter stops as well.
Do your due diligence if or when placing a trade. All ideas stated here are my own and do not represent trading or investment advice.
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$LNTH was added to the IBD 50 today. They're only one week behind you. :)