It was a tranquil June 24, with equity markets going pretty much nowhere. It is just a continuation of what we saw last week. My hunch is that it will be a quiet week in general, especially ahead of the uncertain G20 summit.
S&P 500 (SPY)
I do continue to believe that next move higher for the S&P 500 is higher.
Dollar Index (DXY)
So while everyone was paying attention to the Mexican tariffs, I told my subscriber that the most important thing that was happening was the break down of the US/German spreads, and it would result in a plunging dollar. From May 31- Tariffs Are Not The Most Important Thing Happening In The Market
The dollar continues to weaken, and I expect it shall decline more. We could see the dollar index reach 95.50, over the short-term.
The Euro could be heading to around 1.15 to the dollar. Or until Draghi comes out with an even more dovish monetary outlook than the Fed.
Gold continues to surge and is heading towards $1,430, its next resistance level. It likely fails its first time, as the RSI is suggesting Gold is overbought.
Oracle has been moving higher since reporting results last week. I don’t know why. A reduction in the share count drove most of the earnings beat. Net income and operating income only were up slightly. I think this one will fill the gap to back to 52ish.
Cisco has formed a very nice uptrend over the past few weeks. It would indicate to me the stock continues to climb.
Intel has a very nice strong triangle pattern that has formed, and that could suggest the stock rise back to $49.
AMD doesn’t look great, the stock is failing at resistance of $29.40 and may indicate a drop to around $27.25
Beyond Meat (BYND)
Beyond Meat continues to break down, and looks like BYND may be set up for its next leg lower to $125.
I apologize for missing the morning commentary; I had an issue with my computer that required some work on my side.
Have a good night
This article first appeared on Mott Capital.
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