November 12, 2024

Markets:

Stock futures slipped Tuesday as Wall Street continued analyzing which sectors to pour money into amid a postelection rally that’s sent equities to record levels.

Monday’s action comes amid a market upswing that began following last week’s presidential election won by Donald Trump. The Dow gained more than 300 points to close higher than 44,000, while the S&P 500 finished the session just over 6,000. With that, Monday marks the first time either finished a trading day above those respective levels.

Investors will watch Tuesday for economic data on small businesses due in the morning. They’ll also monitor commentary from Federal Reserve officials including Fed Governor Christopher Waller and Minneapolis Fed President Neel Kashkari scheduled throughout the day.

Market participants will then turn attention to consumer and producer price index readings scheduled for later in the week. The release of data from these inflation gauges comes after the Fed last week announced another interest rate cut.

Crypto stocks extended last week’s gains as investors basked in the honeymoon period between election day and inauguration day and stayed bullish about the future of the industry under a second Donald Trump presidency.

Portfolio:

Absolute great start to the week yesterday for us and today we enter the new session holding setups in APLD, IONQ, and MBLY.  We are making one adjustment and adjusting out stop on APLD to 7.17.  Market remains in extreme bullish mode and trend lines continue to build for a greater runway.  Few truly understand this.  

Ok, lets dive into thoughts / plans / outlook.  VIX is well crushed and this will lead to a bullish November OPEX.  We view any dip towards 583 as an amazing dip buying opportunity which can target 640 and above on SPY into 2025.  We spoke about this a few weeks ago during a last test on S&P and as a friendly reminder; As long as that Island Bottom is present there is no bearishness. Any short term bearishness is an opportunity.

With that said, NVDA earnings are next week and historically chips have been super positive to close a year.  If NVDA deliver (which we think it will) this could become a historic move in chip land to close 2024 and welcome in 2025.  

We will be watching price activity super close today.  We welcome this opening as now would love to see how its handled and what we see with folks coming in.