A Bottom for Stocks May Be Closer Than You Think

US Markets

  • S&P 500 Futures +9.75 points
  • US 10-Year 1.58%
  • Dollar Index 99.11
  • Oil $52.53
  • Vix 20.04

International Markets

  • Japan -2.01%
  • HSI +0.26%
  • Shanghai -closed
  • KOPSI -1.95%
  • UK -0.61%
  • Germany – Closed

MACRO

S&P 500 (SPY)

The good news is that for now, the futures are holding the uptrend for the S&P 500. The bad news is that the futures need to stay above 2814 to avoid a potential double top pattern.  One day at a time.

An ideal scenario for today is a flat or lower open with a retest of yesterday’s low of 2875 with a move higher the rest of the day.  Premium content – A Bottom For Stocks May Be Closer Than You Think – Try it out and get the first two weeks free.

S&P 500, utures

S&P 500, utures

VIX

Keep an eye on the VIX, as long as it stays around 21 or lower we should be fine.

VIX

VIX

 

STOCKS

Micron (MUWealth Strength IndexAAPL is Extremely Up and trending Up)

Micron has done a reasonable job of hanging on to support around $42. That price is a significant level, a decline below it $42 sets up something significantly steeper to $38.

AMD (AMD)

AMD keeps grinding lower, and my only concern here is if my target price of $27.40 is too low.

amd

amd

Microsoft (MSFTWealth Strength IndexAAPL is Extremely Up and trending Up)

Microsoft has fallen below the uptrend for the first since July. One needs to wonder if this is a change in trend or just a mild short-term shift.

microsoft, msft

microsoft, msft

Apple (AAPLWealth Strength IndexAAPL is Extremely Up and trending Up)

Apple has fallen sharply in the last few days but continues to remain above support at $217.50. As long as that price continues to hold all should be fine, otherwise like for a decline to around $209.

Pepsi (PEP)

Pepsi is trading higher this morning after reporting better than expected results. $139.40 is resistance.

Pepsi, pep

Pepsi, pep

 

Have a great day. Short but Sweet!

-Mike

Source: Mott Capital Management, LLC is a registered investment adviser. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investments involve risk and unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial adviser and/or tax professional before implementing any strategy discussed herein. Upon request, the advisor will provide a list of all recommendations made during the past twelve months. Past performance is not indicative of future results.