January 17, 2023

Markets:

Stock futures traded lower Tuesday as investors attempted to keep building on early 2023 momentum and weighed the latest earnings results.

Goldman Sachs reported a smaller-than-expected profit for the fourth quarter, sending the stock down more than 2% in the premarket. The bank’s results were pressured by declines in investment banking and asset management revenues. Meanwhile, rival Morgan Stanley posted better-than-expected numbers thank in part to record wealth management revenue.

Those results come after other major banks such as JPMorgan and Citigroup reported mixed quarterly results.

European markets were muted on Tuesday, with concerns about the global economy high on the agenda at the World Economic Forum in Davos this week.

Wall Street is coming off positive back-to-back weeks to start the new year. The Nasdaq Composite is leading the way up 5.9%, as investors bought beat-up technology shares amid rising hopes of an improving landscape for growth stocks. The S&P 500 and Dow have advanced 4.2% and 3.5%, respectively, since the start of the year.

Portfolio:

We enter this outstanding trading week, filled with so much opportunity, eager to see how trading patterns continue or if they breakdown. So many set-ups are on the verge of exploding and triggering. We have not seen activity in our queue like this in such a long time. We truly hope that trends continue to build and momentum begins once again with certain sectors and stocks. It would be absolutely fantastic for the markets and traders, especially after 2022.

We enter the new trading week holding positions in AI, SHOP, MTTR, PINS, and UMC. No concerns with any and all continue to build. We receive a bit more follow through and nothing but air to the upside for these names. We are monitoring our queue as well, we would like to book a profit or two before moving forward with a few new setups but activity s igniting and we do not want to hold back. With earnings season also beginning we do have a new tier of opportunity building as well.

Be ready this week!