Morning Market Update with TBUZ TV

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Today’s TBUZ TV

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Today's Topic: How to follow the DTI Process to make money during trending weeks




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Schedule for the Week

Wednesday
     - 11am - Train and Trade
     - 8pm - Midweek Market Update

Thursday
     - 9:45am - SPX Beta Session
     - 11am - Train and Trade / Academy

Friday
     - 11am Train and Trade
     - 3pm - Weekly Wrap

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Market Editorial - Chuck Crow

The market retraced Friday’s gains down to a low of the week at 6430.75 which was just above the midpoint of Friday’s range.  Wednesday’s open was back to 6486.75.

Nvidia (NVDA)
NVDA climbed up on Monday and Tuesday to a high of the week at 182.39.  We know that the month high is 184.48, and the high of the year for NVDA is 185.22.  If this stock makes a new high of the year after the close on Wednesday, then look for NVDA to flex its muscle.  On the last earnings report for NVDA (May 28) the stock opened the day at 135.80 and traded up to 143.17.  In early trading for the next day (May 29) the stock peaked at 143.84.  However it ended May 29 at 137.80.  The peak percentage gain of that move was 5.92%.  If we assume a 5% gain above Tuesday’s close, that would forecast a target of 191.46, which would be a new all time high for NVDA, and bring up the potential of a run to 200.00.

The Home Depot (HD)
HD opened this week at 410.36 and only moved up to 411.06.  Like the broader market it retraced a portion of Friday’s rally, dropping down to a Tuesday low of 404.71.  Unlike the broader market that low in HD is past the midpoint of Friday’s range, which was 406.40.  The stock did rally to Tuesday’s close at 407.80 putting it back above Friday’s midpoint.  It is also still well above last week’s low at 392.51.  However, we are looking for this stock to start moving higher, especially if it can get a little help from the broader market, which may in turn get a little help from NVDA. 

Walgreens Boots Alliance (WBA)
WBA dropped down to a low of 11.87 on Monday punching below the support at 11.92.  The stock started the week at 12.08, rallied to 12.18, but then dropped below Friday’s low at 12.07.  Basically it broke through 3 different support levels, 12.07, 12.00, and 11.92.  The stock closed Tuesday’s trading at 11.93 and now is the time to step to the sidelines.  While WBA could recover, breaking 3 different support levels in one day shows that the momentum that was driving this stock higher has moved to the sidelines, and it is my belief that traders should do the same.

The Broader Market
This week, the ES futures opened the week at 6493.00.  We moved up to the high on Monday of 6494.00.  The market then made a 50% retracement of Friday’s range by moving down to 6430.75 in Tuesday’s overnight trading.  By the end of the day on Tuesday, the ES futures had rallied back to 6487.50 and closed Tuesday at 6487.00.  Wednesday night’s open was  6486.75, and the market has moved up to 6488.75, but is still trading below last week’s high at 6496.25.  If the market can move past last week’s high, then look for a challenge of resistance at the all time high 6508.75.


News and Earnings for the Week

 

Wednesday, Aug 27

Macro / Policy
Chicago Fed National Financial Conditions Index (weekly)8:30a
Census: Preliminary U.S. Imports of Steel (Jul)10:00a
U.S. Treasuries
17‑Week T‑bill auction; 2‑Year FRN (reopen); 5‑Year Note auction
Earnings to watch (busy PM)
NVIDIA (NVDA)AMC
Snowflake (SNOW)AMC
CrowdStrike (CRWD)AMC
HP Inc. (HPQ)AMC (call ~4:30p)

Thursday, Aug 28

Macro / Policy — U.S.
GDP 2Q (Second estimate) & Corporate Profits (prelim)8:30a
Initial Jobless Claims (weekly)8:30a
Pending Home Sales (Jul)10:00a
Macro / Policy — Global (Asia/Europe hours)
Bank of Korea rate decision; Bangko Sentral ng Pilipinas rate decision
Switzerland GDP (final); Eurozone Economic Sentiment
U.S. Treasuries
4‑Week & 8‑Week T‑bill auctions; 7‑Year Note auction
Earnings to watch
Best Buy (BBY)BMO
Dollar General (DG)BMO (call ~8:00a)
Ulta Beauty (ULTA)AMC (call ~4:30p)

Friday, Aug 29

Macro / Policy
Personal Income & Outlays (Jul)8:30a
Includes PCE & Core PCE (Fed’s preferred inflation gauge)
Advance Economic Indicators (Jul)8:30a
Goods trade balance, wholesale & retail inventories
Chicago PMI (Aug)9:45a
University of Michigan Consumer Sentiment (Aug, final)10:00a
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*This is for informational and educational purposes only. There is inherent risk in trading, so trade at your own risk.
   
   
 

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