April 17, 2023

Markets:

Stock futures were flat Monday, with investors preparing for more quarterly earnings reports.

Charles Schwab is set to report earnings later in the day. The stock has been under pressure recently, as traders feared the brokerage may suffer a similar fate to regional banks Silicon Valley Bank and Signature Bank. However, the company has defended its financial position, noting last month it has a low loan-to-deposit ratio. Schwab shares are down 39% year to date.

Bank of America and Morgan Stanley are slated to report earnings Tuesday and Wednesday, respectively. Investors have been eyeing the overall health of the sector after the collapse of Silicon Valley Bank last month spurred a liquidity crisis. Other notable names outside of financials, including electric vehicle heavyweight Tesla will report second-quarter earnings on Wednesday, while Procter & Gamble reports on Friday.

For the week, however, stocks remained resilient. The Dow was positive overall last week for the fourth straight time, while the S&P 500 and Nasdaq Composite both had their fourth week in the green in five.

Portfolio:

We enter the new trading week holding positions in YEXT and ONON. No changes or adjustments needed for these set-ups. Absolute outstanding start to the year thus far!  Queue is igniting and we begin to see some monster earning reports this week (TSLA, NFLX, MS, BAC). These reports have the power to ignite sector movements. We absolutely love this time of year!

Technically, remember the lines we continue to point too. These are crucial (4250 for the upside and 3890 for the downside). Break and hold either, stage will be set. The hated rally, the one that continues to bring pain to so many bears, will it continue? Let's have an incredible week and continue to build!