October 27, 2022

Markets:

Futures tied to the S&P 500 rose slightly on Thursday, as investors seemed to brush off disappointing results from Meta Platforms.

Shares of the Facebook parent company plummeted 20% in premarket trading on a weak fourth-quarter forecast and disappointing third-quarter earnings. The company also said it would lose even more money next year building out the metaverse. The report led to several analysts downgrading the stock.

Traders also pored over earnings reports from other companies. ServiceNow surged more than 12% after an earnings beat. Ford Motor, meanwhile, dipped 2% after the company posted its latest results.

Stocks are coming off a mixed session, with the S&P 500 and Nasdaq Composite falling for the first time in four days on Wednesday, while the Dow ended the day marginally higher.

Along with earnings, investors have their sights on an advanced reading of third-quarter gross domestic product expected to offer further clues into the state of the U.S. economy. Weekly initial jobless claims and September durable goods are also slated for Thursday.

Portfolio:

We enter today's trading session holding positions in PLTR, FIGS, SNAP, ALLY, and PARA. Yesterday provided us an absolute wild session of swings and today we expect a bit more as we had into a monster evening of big tech earning reports. Right now, stay patient and continue to watch the trend lines we pinpointed. Markets are swinging on low volume / liquidity right now, but we are heading into a pathway with midterms on tap. Charts are setting up for explosive moves to end 2022. Should be one of the best trading quarters of the year! Stay patient here.