October 27, 2023

Markets:

Nasdaq futures rose Friday, as the tech-heavy index tried to recover some of this week’s steep losses. Amazon also gave a boost to tech-related shares on the back of strong quarterly results.

Amazon added nearly 5% after the e-commerce giant trounced analysts’ expectations for revenue and earnings in the third quarter. Other megacap stocks such as Alphabet and Microsoft followed Amazon shares higher in the premarket. Ford dropped 4.2%, however, after the company missed third-quarter earnings expectations and pulled its guidance for the year, citing the UAW strike.

Wall Street is coming off a tough session, with the S&P 500 and Nasdaq Composite losing more than 1% each on Thursday, with the latter falling deeper into correction territory. The Dow lost more than 250 points.

Those losses put the major averages on track for steep weekly losses. The Dow and S&P 500 are down 1% and 2%, respectively, for the week. The Nasdaq has fallen 3% in that time.

Portfolio:

We enter the final trading session of the week holding setups in GEO, MARA, TSLL, and AX. Queue continues to be active but we want to remain patient. Looking at the QQQ's themselves, we starting to see a ready from QTrader and it's returning oversold levels. Curious to see if the Q's start to run here but want to remain patient, especially with the Fed on tap next week. This flush is creating opportunity. As hard as it is to go through right now, the snap back will be even greater and provider monster opportunity. This is the picture to see and what to drive for. Allow this to materialize, the downside technicals are now working and we have a line in the sand we can see as our next level. Today, but especially Monday's index price activity will be crucial for the next leg / pattern to print. Be ready today. Let's end the week strong but really looking forward to next week's trading pattern, the Fed, and continued earnings reports – especially from the tech sector that will be sure to lead.