** YouTube Commentary** : Here
Another decent day of returns for the Nasdaq, tech and growth. The Nasdaq is only down 1.9% now for the Month of day but is trying to break even. I don't think that is possible as Monday is a holiday and the markets are going to be closed. However, we still have the Thursday and Friday session to see how much it can fight back.
Reading over the headlines in the news makes me more confident that growth and tech have bottomed out and inflation fears have mostly subsided. This was my narrative for over a week now, and its seems like the main stream media is catching the bug now. Growth has done well this week and the growth and innovation ETF, ARKK, has been up for 5 consecutive days.
I would like to thank Trend Spider for the awesome charting tools. It is one of the best technical analysis tools out there. Everything is automated for you if you are not so good at TA or don't have the time for it. Highly recommended to check them out. TRENDSPIDER 45% OFF
Picks from yesterday: Blog
$NAIL perfectly held my trend line support and is up again for another +5% day. Homebuilding is going to be big this summer.
$BHP bounced off of support. Calls and spreads will work well on the way up to $82.
$GPS waiting for consolidation back to my support before entering calls. Up +3% on the day.
Take-Two Interactive Software, Inc. develops, publishes, and markets interactive entertainment solutions for consumers worldwide. The company offers its products under the Rockstar Games, 2K, Private Division, Social Point, and Playdots labels.
Even though Covid lockdowns are over, video games are gaining in popularity and aren't going anywhere. TTWO just came off of excellent earnings and is undervalued in my opinion. It's EPS is currently a 5.09. May and June have both been historically great months for the video game company.
If TTWO pulls back to the support, which is also around its 180MA, I think calls work well here. I'll be awaiting better entry, and to see if TTWO holds or breaks the support. If it does hold the support I expect $200 level in a little over a month.
Morgan Stanley, a financial holding company, provides various financial products and services to corporations, governments, financial institutions, and individuals in the Americas, Europe, the Middle East, Africa, and Asia.
I really like the technicals and fundamentals on MS. A few major support trend lines dating back to Covid lows last year and the 50 day MA are intersecting coming up (highlighted green box). The last time MS ran up for over a month, it consolidated back to the major support trend (highlighted purple line). I expect this time is the same and MS will consolidate back to the major support before making a push towards $100.
Overall, the financial sector is very healthy and making very nice YTD gains all around and should continue into the summer. Historically looking back on Trend Spider's seasonality function, we can see that June and July have been the best months for MS, with July being green 100% of the time over the past 4 years.
Facebook, FB, is an interesting one. On one hand it has been one of the best FAANG stocks this year so far. On the other hand, It is coming up to resistance that it has tested and failed to break 3 times. There is major buying interest around the $265-$275 levels and more support around there; especially when you overlay the Daily and Weekly charts with both indicators as I have below.
I've got an alert set at the resistance and I'll watch for which way it wants to push. I think calls or puts can work here, depending if FB can break the key major resistance or not. As far as analysts goes, it is hard to find anyone not bullish on Facebook.
Follow me on Social Media
Webull Account-2 Free Stocks with a chance to get $FB Facebook
Trend Spider- 10% Off with code 10TS - Currently 45% off Memorial Day Sale Until June 1st.
I do live trading on my Twitter and would like to post the real option trades that I am doing, and what my current watchlist is. Follow along on my journey to $1 million.
1-on-1 Private Coaching via Zoom is now available. Whether it is portfolio building and review, formulating a personalized options strategy, or the basics of how to trade - I'll make your portfolio relevant. Email me here or DM me via social media.
Disclaimer: The comments opinions and analysis expressed herein are for informational and educational purpose only and should not be considered as individual advice or recommendations. Prostockadvice.com is not responsible or liable in any way for opinions expressed here. This is not meant to be financial advice as we are not a licensed financial advisor.