October 16, 2023

Markets:

Futures rose Monday to start a busy week for corporate earnings.

Earnings season heats up this week with 11% of the S&P 500 slated to report results. Some notable names on deck this week include Johnson & Johnson, Bank of America, Netflix and Tesla. 

Those results will come after a solid start to the reporting period. JPMorgan Chase, Wells Fargo and UnitedHealth rose Friday after posting their latest quarterly results.

Some on Wall Street are bracing for more volatility into year end as yields and oil prices rise, inflation remains sticky, and conflict ensues in the Middle East.

European markets started the new trading week on a positive note, despite continuing turmoil in the Middle East.

Portfolio:

Monster week and an important one for us technically, especailly for th QQQ's which we see closely follow.  The chart we're observing holds significant importance, with the trend of "Lower Highs" persisting since the July peak. In the upcoming week, keep an eye on giants like NFLX, TSLA, and TSM; they have the potential to fuel the growth of big tech after their earning releases this week. This paves the way as we delve deeper into earnings season.

It's truly astonishing how persistent the calls for market tops have been throughout the year. They've been ongoing, and yet they've missed the last 800 points or so in the S&P's ascent. The "pain trade" still leans towards higher levels. Until we witness a significant break in the trend, we can explore trading opportunities on both sides. However, the overarching sentiment should favor aligning with the prevailing market trend.

Stay prepared today and throughout the week. Anticipate updates on our current holdings (PLUG, NTNX, PATH, and AX), and watch out for fresh opportunities emerging. Let's aim for a remarkable week and set ourselves up for a strong finish in 2023, positioning ourselves to seize the opportunities that lie ahead.